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2002-03 Budget Keeps Australia Moving

John Anderson

Deputy Prime Minister
Minister for Transport and Regional Services
Leader of the National Party

A2/Budget

14th May 2002

The Federal Government's transport budget focuses on meeting the commitments set out last year in Keeping Australia Moving, the Deputy Prime Minister and Minister for Transport and Regional Services, John Anderson, said today.

"The Budget includes funding for new roads, such as the Scoresby Freeway, and support for Australia's regional aviation industry. We have also kept our promise to continue the vitally important Black Spot Programme, which is estimated to have prevented more than 1,500 serious crashes in its first three years.

Keeping Australia moving on our roads

"The Government will spend $1.74 billion on roads in 2002-03. The highlights of this year's road programme are:

"New South Wales ($579.1 million): The Government will spend $60.9 million in 2002-03 on the Western Sydney Orbital, and $18.5 million to progress widening the Sydney-Newcastle freeway. The Budget includes $6.1 million in 2002-03 for the external bypass of Albury-Wodonga, and we are carrying out the measures announced in Keeping Australia Moving, including the Alstonville bypass.

"Victoria ($410.7 million): We will spend $68.4 million in 2002-03 on the Scoresby Freeway, which is the largest single item of expenditure in the Federal roads budget. The Government has also confirmed that we will spend $100 million (matched by $100 million of state funding) to construct the Pakenham bypass.

"Queensland ($342.5 million): We will spend $32.5 million in 2002-03 to convert the Bruce Highway to four lanes between Yandina and Cooroy in the Sunshine Coast Hinterland. The Budget also includes $33.4 million ($9.9 million in 2002-03) for the construction of the Douglas Arterial Road and Upper Ross River Bridge. We will spend $7 million in 2002-03 on widening the Bruce Highway south of Cairns.

"South Australia ($96.5 million): The Government has allocated $26.7 million ($6 million in 2002-03) to stage 1 of the Port River Expressway. We will also spend $8.4 million in 2002-03 to widen Portrush Road, and $2 million in 2002-03 to continue implementing our promise to build 17 overtaking lanes on the Sturt Highway.

"Western Australia ($179.1 million): The Government will spend $76 million over four years ($10 million in 2002-03) on the Roe Highway extension, and fund work on the Great Eastern and Great Northern Highways. We will also spend $13 million in 2002-03 to complete a high-level bridge over the Ord River.

"Tasmania ($54.3 million): In A Stronger Tasmania, we announced that we would upgrade the Arthur Highway and the Lilydale-Scottsdale Road. We are pushing ahead to implement our commitment, with $2.5 million for the Arthur Highway in 2002-03, and funding for the Lilydale-Scottsdale Road once the plans have been completed.

"Northern Territory ($42 million): The Government will spend $17.7 million in 2002-03 on maintenance and safety improvements for the Stuart, Barkly and Victoria Highways. The Budget includes funds to replace under-performing bridges that are submerged in the Wet. We have set aside a further $6 million in 2002-03 towards the combined cost of replacing Stuart Highway bridges over the Hugh, Finke and Palmer rivers. Motorists will start using the new Hugh River bridge from August 2002.

"Australian Capital Territory ($22.1 million): The Queanbeyan bypass will be the next major federally-funded road project in the capital region. The Government has confirmed that we will contribute $2 million toward the cost of the bypass, which will divert up to 45 percent of the heavy vehicles that use Monaro Street, the main street of Queanbeyan.

"Black Spot Programme ($45 million): The Government has kept its election commitment to continue the Black Spot Programme, which provides funding to improve dangerous locations on Australia's roads. The programme is estimated to have prevented more than 1,500 serious crashes during its first three years of operation. We will spend $180 million nationally on the programme over the next four years.

Keeping cars moving across Bass Strait

The Federal Government has kept its election promise to boost the Bass Strait Passenger Vehicle Equalisation Scheme (BSPVES). From 1 September 2002, the Government will replace the existing seasonal rebate with a flat rebate of $150 each way. We will increase the rebate for motorhomes and vehicles towing a caravan to $300 each way. At present, motorhomes and vehicles with caravans only receive the same rebate as a car.

"Eligible drivers with a disability who are unable to travel by sea will be able to access the reduced passenger vehicle fare available under the scheme by shipping their vehicle and flying across Bass Strait.

Keeping trains moving through Wodonga

"The Government will spend $20 million over the next two years to build a rail bypass of Wodonga and an intermodal freight terminal serving the border region.

The Government will contribute $15 million in 2002-03 and $5 million in 2003-04 towards the $50 million cost of the project. The Victorian Government will contribute the remainder of the cost, under an agreement reached in December 2000.

"The project will relocate the railway line from Wodonga's central business district, eliminate twelve level crossings, and reduce traffic congestion. It could create up to 2,000 jobs in Albury-Wodonga.

Keeping regional aviation moving

"The Government will provide $13 million in 2002-03 to support regional air services and general aviation. The funding is separate to the support that the Government has provided regional airlines under the Rapid Route Recovery Scheme since the grounding of Ansett.

"We will continue to subsidise regional airlines for the enroute charges imposed by Airservices Australia, which will save the industry $6.0 million in 2002-03. One regional airline is saving over $16,000 per week as a result of the payment scheme. I originally announced the initiative during the election campaign.

"The Government will spend $7 million in 2002-03 to help Airservices Australia provide reasonably priced tower services at regional and general aviation airports. These airports handle 1.5 million passengers a year and are an essential part of the national air transport system," Mr Anderson said.

The details of the Federal Government's road spending are attached.

Media contact: Paul Chamberlin 02 62777680


FEDERAL ROADS ALLOCATIONS 2002-03

Programme

NSW

$m

VIC

$m

QLD

$m

WA

$m

SA

$m

TAS

$m

NT

$m

ACT

$m

Other/not

Attributed

$m

Total(1)

$m

National Highway

266.33

109.74

149.74

66.64

46.08

20.65

27.67

4.06

7.24

698.15

Roads of National Importance

92.79

142.90

28.41

10.00

6.00

2.50

282.60

Untied local road grants

128.06

91.00

82.70

67.49

24.26

23.39

10.34

14.15

441.38

Roads to Recovery (2)

56.67

41.67

41.67

30.00

16.67

6.66

3.33

3.33

2.16

202.16

Black Spot Programme

14.29

10.43

8.92

4.98

3.49

1.12

0.67

0.60

0.50

45.00

Federation Fund

21.00

15.00

31.10

67.10

Total(1):

579.14

410.74

342.54

179.11

96.50

54.32

42.01

22.14

9.90

1736.39

(1) Figures may not add to totals due to rounding.
(2) Includes $2.16 million for Indian Ocean external territories. The allocation for the states, the ACT, and the NT is $200 million.

ROAD FUNDING CATEGORIES

National Highway - The 18,500 km network of interconnecting roads linking Australia's capital cities, Brisbane with Cairns and Hobart with Burnie. It is funded 100 per cent by the Federal Government.

Roads of National Importance - Selected freight and regional routes, most notably the Pacific Highway, funded jointly with the States and, in some cases, local government.

Untied local road grants - Made available as federal financial assistance grants to local government and separately identified for roads. The Federal Government has no say over how this money is spent.

Roads to Recovery - A special allocation of $1.2 billion over four calendar years distributed to councils, to be spent according to council priorities.

Black Spot Programme - Funding targeted at known crash sites or sections of road with a poor accident record. Funding dispersed according to priorities established by consultative committees in each State and Territory. Black Spot money may be spent on any road, apart from the National Highway. A component of National Highway funding is allocated separately for 'safety and urgent minor works'.

NOTE: Figures for the National Highway and Roads of National Importance programmes will vary slightly from those published in the Budget papers, as the above table has been updated with new information not available at the time the Budget papers were prepared.