I am delighted to announce that the Alice Springs to Darwin rail link will become a reality following agreement between the Commonwealth, South Australian and Northern Territory Governments.
Today I met with the Premier of South Australia and the Chief Minister of the Northern Territory, who provided me with the final results of their negotiations with the preferred tenderer for the rail link, the Asia Pacific Transport Consortium.
Following detailed negotiations the three governments have agreed to contribute sufficient funds to enable the project to go ahead. Over three years the Commonwealth will cap its contribution at $165 million which is sufficient to make this long held transport dream a reality.
The development of the Adelaide to Darwin railway has had a long history. The Adelaide to Alice Springs leg was completed some time ago. In 1997 the Commonwealth announced a $100 million grant from the Federation Fund towards the construction of the link to Darwin. The South Australian and Northern Territory governments also committed $100 million each at that time.
Under the agreement reached today all three governments will increase their contributions. The railway will be built with $480 million in government contributions, and $750 million in private capital. The construction will take 3 years and provide employment for 7000 people in regional Australia.
It will enhance Australia’s trade position, open up new opportunities for Australian industry, and have enormous significance not only to South Australia and the Northern Territory but to the nation as a whole.
My Government is proud to announce that this project will go ahead. It will rank as one of the most significant infrastructure projects in Australia and be a fitting project to mark the Centenary of Federation.
28 October 1999