The second stage of the long-awaited Warrnambool train line upgrade is still going ahead despite fears the federal government would scrap it as part of a project review.
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The state's infrastructure minister Catherine King this week announced the government would review its $120 billion infrastructure investment program.
Ms King said the pipeline had been clogged with "press release projects" that were unable to be delivered.
South West Coast MP Roma Britnell said it was "deeply concerning" to see other media outlets reporting that up to 100 road and rail upgrades could be scrapped following the 90-day review, including the Warrnambool rail line upgrade stage two.
The federal government is providing $280 million, or 80 per cent, of the funding for the upgrade, which was first announced back in July 2017.
"When Daniel Andrews flew into Warrnambool to announce VLocity trains more than half a decade ago, our community didn't expect that after years of delays, the upgrade could be scrapped due to a review," Ms Britnell said.
"The fact Labor even needs to review an underway project is a sad reflection of the dire budget situation Victoria is in."
But Ms King said the review would look at projects that weren't currently under construction and were not election commitments of the Albanese government.
The second stage of the Warrnambool line upgrade, which is expected to deliver the modern trains to the region, commenced in 2021.
The project is targeted for completion by the end of this year.
Ms King said the previous government left the $120b pipeline in a "total mess".
"Backed-up with projects that were announced without the support of states or territories, poorly scoped, underfunded at the outset, or designed simply to win votes," she said.
"It is very clear the pipeline is in disrepair and is not sustainable, which is why a 90-day review will inform the government about which projects are able to be delivered, and how much they will actually cost."
She said further details about individual projects would be available upon the completion of the review.
Warrnambool line stage two upgrades include track works and upgrades to the city's stabling facility to cater for longer VLocity trains.
A government spokesman said Stage 1 of the Warrnambool Line Upgrade was delivered in December last year.
"We're getting on with Stage 2, delivering modern and reliable VLocity trains for those communities along the Warrnambool line," he said.
"We'll continue to advocate for Victoria to get its fair share of infrastructure funding from the commonwealth, after being short-changed by the former Liberal government for a decade.
"Any decisions about federal government funding of infrastructure projects in Victoria is a matter for them."
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