Melb port lease passes, to reap billions

Melbourne's Port lease is finally on the market and ready to reap a "minimum" $5.3 billion.

Legislation allowing the sale of the largest container port in Australia passed both houses of Victorian parliament on Thursday, ending long-running negotiations.

The 50-year lease deal has been held up for months with the government and opposition negotiating amendments.

Treasurer Tim Pallas has said the lease of the port will fetch a "minimum" $5.3 billion when it goes to market later this year.

The opposition believes the port will reap as much as $7 billion.

The previous government booked $5.3 billion for the port lease, but Mr Pallas expects that to be exceeded.

Mr Pallas said the lease would make the port more efficient and competitive.

"The export discount will also protect Victorian producers, manufacturers, other exporters and importers, and consumers," he said on Thursday night.

Opposition Leader Matthew Guy says the government's original plan for the lease would have left the state facing huge compensation bills for potentially 70 years.

The government wanted to offer compensation if a competing port was built before Melbourne reached capacity for the full 50 years of the lease.

Both sides eventually settled on 15 years.

Expressions of interest in the port lease will now be called, with the lease expected to be sold by the end of 2016.