The Victorian Government is to spend $104m on the state’s rail freight network to get more trucks off regional roads.
The decision comes at a time when spare passenger trains are being used to haul freight to port to cater for an increase in grain and other exports.
Ports and Freight Minister Melissa Horne and MP for Bendigo West Maree Edwards visited Bendigo Rail Workshops on Wednesday to announce the rollout of the upgrades to the rail network.
The government says the $104m package will build new rail, a crossing loop extension, three grain terminal rail extensions and increase line-speed and axle-load between Korong Vale and Manangatang, one of Victoria’s busiest grain corridors, with a growing intermodal service from Ultima.
A total of 75,000 concrete sleepers have been ordered for installation on the standard gauge Yelta Line.
“We’re making major investments in the rail freight network, supporting industry to get freight moving and boosting the economy,” Horne says.
Edwards says the investment in rail freight will “deliver more local jobs and get trucks off regional roads”.
The rail network hauled around 390,000 tonnes of grain, containers and crushed rock in October 2024, up 51 per cent (or 132,000 tonnes) compared to October 2019, or the equivalent of 3000 monthly truck trips, the government says.
Bendigo Rail Workshops is a key maintenance hub run by private rail operator Southern Shorthaul Railroad (SSR).
In August, they took delivery of 22 new broad-gauge high-capacity grain wagons worth $5 million.
From September 2024, SSR increased its broad-gauge volume from 20 to 40 wagons, doubling capacity from 150,000 tonnes to 300,000 tonnes per annum and taking 3400 annual truck trips off the roads.
A new grain rail terminal is to open 15km north of Echuca, at Barnes, with connections at Tocumwal and Geelong to follow.
MP for Bendigo East (and state premier) Jacinta Allan says “Southern Shorthaul Railroad’s investment is a massive vote of confidence in the Bendigo economy”.
The Barnes grain terminal is the first to be connected to rail in a generation and will be operated by an independent grain trader, the government says.
Surplus V/Line passenger locomotives on short-term lease to SSR are also carrying freight to port.