Major Queensland project faces years-long delays as total cost reaches $17 billion
A major project in Queensland is facing years-long delays as the state government reveals the overall cost is $17 billion.
The Cross River Rail is now set to be the most expensive infrastructure project in the state's history, according to figures provided by Transport Department officials to the Liberal National Party government.
The LNP is now pointing the finger at Labor, claiming the former Miles government hid the costs, which could still rise, from Queenslanders.
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A major project in Queensland is facing years-long delays as the state government reveals the overall cost is $17 billion. Nine
"It will be at least $17 billion so that I guess is the best-case scenario," Transport and Main Roads Minister Brent Mickelberg said.
The Cross River Rail, which was meant to start services in 2026, is now going to be pushed back years.
"I've been briefed that it's likely that Cross River Rail will be operational with passengers in 2029," Mickelberg said.
The project initially started at $5.4 billion in 2019 but has suffered several cost blowouts, such as in 2023, when there was a cost increase limited to 17.5 per cent.
Mickelberg said the overall cost of the tunnel itself had increased to $10.5 billion due to private financing repayments and the cost of maintenance over a 25-year contract.
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There's an additional $1.5 billion in costs due to projects running late and contractor claims. Nine
On top of that, another $5 billion would be needed to run Cross River Rail including items like the trains, stabling yards, a new signalling system, replacement busses for passengers during construction work and works to connect the tunnel to the rail network.
"These are all things that Labor did not consider to be part of the Cross River Rail project," Mickelberg said.
There are an additional $1.5 billion in costs due to projects running late and contractor claims.
Works for the project have reached the halfway mark.
"We need to ensure that we finish the project now and it will deliver benefits for Queenslanders," Mickelberg said.
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