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The Victorian Government has announced a AUD 104 million (USD 67.3 million) investment for regional rail freight network upgrades to increase transport capacity and encourage more cargoes to be shifted towards railways.
The funding is part of the Victorian Budget 2024-25 package designed to deliver new rail, a crossing loop extension, three grain terminal rail extensions, and line-speed and axle-load increases 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 also been ordered for installation on the standard gauge Yelta Line, which is one of the major grain lines serving the State of Victoria.
Rail services in Victoria hauled around 390,000 tonnes of grain, container freight and crushed rock in October 2024 – up 51 per cent representing an extra 132,000 tonnes compared to October 2019, reducing the equivalent of 3000 monthly truck trips on our regional roads and curbing transport sector emissions.
The announcement was made by the Minister for Ports and Freight Melissa Horne during a visit to the Bendigo rail workshops. “We’re making major investments in the regional rail freight network, supporting industry to get freight moving and boosting the economy,” the minister said.
Bendigo rail workshops is a key maintenance hub run by private rail operator Southern Shorthaul Railroad (SSR), where about 100 skilled staff perform critical tasks to keep freight and passenger rolling stock moving all year round. In August, SSR took delivery of 22 new broad-gauge high-capacity grain wagons under a AUD 5 million (USD 3.3 million) investment and SSR’s first new-build broad gauge rolling stock in the company’s 21-year history.
From September 2024, Southern Shorthaul Railroad increased its broad-gauge volume for LDC from 20 to 40 wagons, doubling capacity from 150,000 tonnes to 300,000 tonnes per annum and removing the need for a further 3400 annual truck trips.
In another major signal to industry that the Victorian broad-gauge freight network is growing, a new grain terminal is being opened for rail, 15 km north of Echuca at Barnes, with new connections at Tocumwal and Geelong to follow.
The Barnes grain terminal is the first to be connected to rail in a generation and will be operated by an independent grain trader, helping make rail freight a compelling logistics option.
Surplus V/Line Passenger N Class locomotives currently on short-term lease to SSR are also moving product to port, as volumes increase, and customers embrace the efficiencies that moving bulk goods by rail delivers. |
