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Major jobs and infrastructure boost for Western Australia

The Turnbull and McGowan Governments have agreed to build historic, major infrastructure projects that will create thousands of jobs, stimulate economic growth and crush congestion, allowing commuters to get home more quickly and safely.

Federal funding of $3.2 billion in the 2018-19 Commonwealth Budget, will facilitate the construction of $5.4 billion in infrastructure development for Western Australia, based on current cost estimates and subject to business cases as appropriate.

This follows on from last year’s agreement on a $2.3 billion ‘Boosting Jobs, Busting Congestion’ package, which was included in last year’s Budget.

This significant infrastructure package will provide a major boost to WA’s local economy, with many thousands of jobs expected to be created during construction.

The Turnbull and McGowan Governments are jointly committed to delivering the next stage of the expansion of the Perth rail network through METRONET, which aims to tackle urban congestion in Perth.

In this year’s Budget, the Turnbull Government will commit a further $1.05 billion federal investment towards METRONET.

This means total federal funding towards METRONET will now exceed $1.84 billion.

This comes on top of the $490 million towards the Forrestfield Airport link funded through the 2016 GST top-up payment.

The Federal and WA Governments will also sign a Memorandum of Understanding to negotiate a Perth City Deal over the next twelve months.

The City Deal is designed to leverage the transformative investment in METRONET to deliver city shaping reforms in the areas of land use planning, housing release and affordable housing and smart infrastructure.

We are committed to continue improving outcomes for West Australians and lifting productivity by investing in transformational urban infrastructure.

METRONET

  • Construction of Morley-Ellenbrook Line, (indicative estimated cost of $1,000 million, with $500 million in federal funding);
  • Extension of the Armadale Line to Byford, (indicative estimated cost of $481 million, with $241 million in federal funding);
  • The Midland Station Project, including the relocation of Midland Station, (indicative estimated cost of $165 million, with $83 million in federal funding);
  • $2 million in business case funding for a railway station at Lakelands, with further federal funding earmarked for the construction, subject to the business case; and
  • A further $226 million in federal funding to support other METRONET related projects.

Roads

  • Bunbury Outer Ring Road – stages 2 and 3 – completing the remaining stages from the South Western Highway to the Bussell Highway and from the Perth-Bunbury Highway to near Picton Boyanup Road (indicative estimated cost of $700 million, with $560 million in federal funding);
  • Tonkin Highway improvements including:
    • Stage 3 Extension – extending Tonkin Highway from Thomas Road to the South West Highway, including grade separations at Thomas, Orton and Mundijong Roads and South Western Highway and a grade separated interchange at Bishop Road (indicative estimated cost of $505 million, with $253 million in federal funding)
    • Tonkin Highway Gap – widening, reconfiguring and implementing managed motorway technologies to resolve the current gap in service levels (indicative estimated cost of $290 million, with $145 million in federal funding)
    • Hale, Welshpool and Kelvin interchanges – constructing grade separations at these high priority intersections (indicative estimated cost of $366 million, with $183 million in federal funding)
  • Mitchell Freeway Extension from Hester Avenue to Romeo Road (indicative estimated cost of $215 million, with $108 million in federal funding);
  • Welshpool Road interchange at Leach Highway (indicative estimated cost of $93 million, with $47 million in federal funding);
  • Roe Highway-Great Eastern Highway Bypass Interchange (indicative estimated cost of $180 million, with $144 million in federal funding);
  • Stephenson Avenue extension (indicative estimated cost of $130 million, with $65 million in federal funding);
  • Great Northern Highway Bindoon Bypass (indicative estimated cost of $275 million, with $220 million in federal funding); and
  • Planning work for the Eastlink WA Orange Route ($10 million in federal funding)

State Government funding will be provided towards these METRONET and road projects, subject to normal State Budget processes and further federal funding may be sought from existing Federal Government infrastructure programs.

As always, final METRONET and road project costs will be determined as part of business case development. Cost estimates are indicative as always and the State Government will provide final costs following business case development in the usual way.

Myalup-Wellington Dam Project

The Turnbull Government will also provide up to $140 million in federal funding and a concessional loan of up to $50 million towards the Myalup-Wellington Dam Project.

The project will divert high saline inflows upstream from Wellington Dam for desalination, improving the quality of water stored in and released from the dam for agriculture.

GST top-up payments towards WA Hospital Infrastructure

The Turnbull Government has agreed to allocate the federal WA GST top-up payment this year of $188.9 million towards the following WA hospital infrastructure projects:

  • $158 million towards the Joondalup Health Campus expansion which will include 90 new public beds, 75 new mental health beds, a new stroke unit, 3 new cardiac catheter laboratories, a new 25 bed Coronary Care Unit, allowing for further expansion of the existing High Dependency Unit, an urgent care clinic, an ambulatory care centre and a Medihotel facility. This investment will ensure Joondalup Health Campus can further develop its capacity to care for more complex patients closer to home.
  • $10.6 million towards the Osborne Park Hospital Expansion which will include a neo-natal facility upgrade and additional rehabilitation beds; and
  • $20.3 million towards the refurbishment of the Royal Perth Hospital, including the mental health observation unit and Medihotel.

This WA infrastructure package will help to better connect the fast-growing areas of the north and south of Perth and improve a number of key freight routes. It will deliver jobs and improve amenities, while also unlocking future urban and regional development opportunities across Western Australia.

These game-changing, transformative projects will improve the lives of West Australians and the benefits will flow across the entire state.

There will also be other opportunities for Western Australia to access federal funding towards vital productivity enhancing and congestion busting infrastructure.

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