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Rail Project Axing Pulls 'Economic Rug' From Regions

An independent analysis found the 1,600-kilometre project’s cost had risen from $16.4 billion to more than $45 billion, officials said.

  • On Wednesday, Infrastructure Minister Catherine King announced the 1600-kilometre Inland Rail project between Melbourne and Brisbane will now terminate at Parkes after independent analysis showed costs blew out from $16.4 billion in 2020 to more than $45 billion.
  • NSW Farmers president Xavier Martin called the decision "mind-numbingly stupid," while economist Sam Miller noted the move forces freight onto trucks, costing millions in transport fees compared to using rail.
  • Nationals leader Matt Canavan and Senator Bridget McKenzie launched a "rescue our rail" petition, with Canavan telling reporters in Canberra on Monday the government removed the "economic rug" from regional communities.
  • The Coalition remains critical of the government committing $3.8 billion to Victoria's Suburban Rail Loop while scaling back the regional freight spine, arguing the decision treats regional Australia with "contempt."
  • Infrastructure Australia predicts large increases in road freight across Melbourne, Brisbane, Sydney and Perth, noting that with the inland route halted, Australia's reliance on diesel-fuelled trucks leaves the nation vulnerable to global oil supply problems.
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14 Articles

PerthNowPerthNow
+4 Reposted by 4 other sources
Center

Rail project axing pulls 'economic rug' from regions

The Nationals have urged the federal government not to scrap billions of dollars of funding for the inland rail project ahead of the federal budget.

·City of Perth, Australia
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Newcastle HeraldNewcastle Herald
+2 Reposted by 2 other sources
Lean Left

Farmers slam 'mind-numbingly stupid' plan to terminate inland rail at Parkes

NSW Farmers head Xavier Martin slams federal Inland Rail cancellation. Discover how this decision impacts Hunter industries and freight costs.

·Newcastle, Australia
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Newcastle Herald broke the news in Newcastle, Australia on Sunday, May 10, 2026.
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