Light rail funds has Qld premier seething

Queensland's premier is fuming that Tony Abbott has refused to provide federal funding to expand the Gold Coast light rail in time for the 2018 Commonwealth Games.

Mr Abbott wrote to Annastacia Palaszczuk on Friday and said there would be no funding for the second stage of the light rail project unless the Queensland government sold assets.

"He's absolutely ruled it out and I'm pretty angry," Ms Palaszczuk said on Wednesday.

"This is the man who is supposed to be the infrastructure minister."

The Queensland government had been ramping up efforts to get the 7.3km rail alignment, which will connect with Brisbane's train network, finished in time for the 2018 Commonwealth Games.

Ms Palaszczuk said the project was almost ready to go but funding from all three tiers of government was needed to ensure the rail expansion was operational for the games.

But Mr Abbott made clear in his letter the federal government wouldn't be contributing.

"As you know it is our clear position that Commonwealth funding does not go directly to commuter rail," Mr Abbott wrote.

"The exception to this is when government assets are sold and recycled into new, productive infrastructure, states can be eligible for funding from the Asset Recycling Initiative."

Ms Palaszczuk said she wouldn't let the issue slide and would fight for federal money for the rail expansion.

Deputy premier Jackie Trad flew to Canberra on Tuesday to hold urgent talks with federal Infrastructure Minister Warren Truss.