Coalition senators agree to the recommendations made by the committee within this report, except for the recommendations detailed below.
Government members refute the title of this report. The more appropriate title is that Labor has been determined to derail Inland rail from the start.
It is vital to complete Inland Rail for the benefit of all Australians.
Inland Rail is the largest infrastructure project in the Australian Government’s $110 billion investment pipeline. The Australian Government has committed up to $14.5 billion in equity and $300 million in grant funding for the Australian Rail Track Corporation (ARTC) to deliver Inland Rail.
Inland Rail is a vital piece of national infrastructure and critical to advancing opportunities for regional Australia. It is expected to support more than 21,500 jobs at the peak of construction, and to date, more than 2000 people have already worked on the inland rail construction. More than $2 billion in contracts with more than 400 companies has been committed.
Inland Rail will deliver a boost of more than $18 billion to Gross Domestic Product during construction and in the first 50 years of operation.
Inland Rail will reduce congestion on some of Australia’s busiest roads, including the Ipswich Motorway, and the Hume, Newell and Warrego Highways, and will enhance national freight capacity.
Trains now run along the Parkes to Narromine section, 98.4 kilometres of upgraded track and 5.3 kilometres of new track, which has enhanced the freight connection through to Sydney in the east and as far west as Perth and Adelaide. More than 1800 people worked on the first section between Parkes and Narromine, with close to $110 million spent with 99 local businesses.
With expected industry and population growth, the Inland Rail project will address future demands for freight movements and connect important ports on the eastern seaboard.
The Australian Government will continue to work with industry, stakeholders and communities to complete this nation-building project.
Suggested new title: Vital to complete Inland Rail for the benefit of all Australians.
Commentary on Recommendation 1
Recommendation 1
The committee recommends the Senate Rural and Regional Affairs and Transport Legislation Committee self refers an ongoing inquiry into the oversight of the Inland Rail project.
Coalition senators do not agree with Recommendation 1. The committee has the opportunity to question the Australian Rail Track Corporation up to three times per year at Budget Estimates, which negates the necessity for additional formal oversight.
Commentary on Recommendation 2
Recommendation 2
The committee recommends the Australian Government commissions an independent review and update of Inland Rail’s 2015 business case that:
is an accurate reflection of current and anticipated Inland Rail expenditure and end-of-service offerings;
includes an assessment of all the proposed routes from Toowoomba to the ports of Brisbane and Gladstone, along with alternative routes subject to ongoing public scrutiny (particularly the Narromine to Narrabri and Border to Gowrie projects);
includes a sensitivity analysis on the impact of any proposed changes to Australia’s coastal shipping arrangements;
is developed in accordance with Infrastructure Australia’s guidelines and for Infrastructure Australia to review the updated business case; and
is made publicly available, and provided to the Rural and Regional Affairs and Legislation Committee.
Coalition senators do not agree with Recommendation 2. The 2015 Business Case was completed at a relevant point in time prior to the start of the project. A review, assessment or update of this business case would significantly impact the progress and stakeholders involved in the project, which is now well underway.
Commentary on Recommendation 3
Recommendation 3
The committee recommends the Australian Government ceases any efforts to restructure coastal trading that may provide foreign-flagged ships with a competitive advantage over other modes of transport or disrupts Australia’s freight supply chain.
Coalition senators do not agree with Recommendation 3. There has been insufficient evidence and discussion during the inquiry to fully expand upon this matter.
Commentary on Recommendation 12
Recommendation 12
The committee recommends the Australian Rail Track Corporation and the Australian and Queensland governments prioritise the development of the Inland Rail Bromelton intermodal terminal.
Coalition senators do not agree with Recommendation 12. It is problematic and premature to prioritise the Bromelton intermodal terminal. A thorough investigation is required into road networks, and a business case study of all South East Queensland intermodal terminals is required, before making a recommendation for a particular terminal to be prioritised.
Commentary on Recommendation 26
Recommendation 26
The committee recommends the Australian Government establishes an independent comparative review of the current Narromine to Narrabri alignment with the proposed Dubbo-Coonamble line and alternative routes around Narrabri. Taking into account both the impacts and potential broader economic benefits for regional economies and communities.
Coalition senators do not agree with Recommendation 26. The Narromine to Narrabri alignment has been reviewed multiple times, as recently as the second half of 2020, including consultation with community organisations, landowners, councils and state government agencies in both private and public meetings. Following extensive stakeholder consultation over several years, an alternate route, when the overall approval process is near completion, would cause delays and create new uncertainty for surrounding landowners and communities.
Senator Susan McDonald
Deputy Chair
Nationals Senator for Queensland
Senator Gerard Rennick
Member
Liberal Senator for Queensland