South West Coast MP Roma Britnell has demanded answers from Roads Minister Melissa Horne over the status of major roads projects in the south-west.
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Ms Britnell said she had been told by road contractors no money had been allocated to major road projects in the coming year.
"What we are hearing is a drying up of funding to road construction companies who are responsible for undertaking major road upgrades," she said.
"I am led to believe currently no budget has been allocated to any upcoming major projects, even when the roads budget was already cut by 45 per cent since 2020, including another 25 per cent in this year's disastrous budget."
The state government has previously denied there was a 25 per cent cut the May 2023 budget. A government spokesperson said the true road maintenance figure for 2023-24 was $770 million, rather than the $441 million indicated in the budget papers.
Much of the major road maintenance performed throughout the state is done under the Eastern Regional and South Western Regional Alliances, an agreement between New Zealand construction company Fulton Hogan and Regional Roads Victoria.
The contract is worth about $150 million annually, but Ms Britnell said smaller contractors had told her the money hadn't come through for the coming year.
"They tell me that Fulton Hogan haven't got their budget for this year, which they would well and truly have by August and that there are no major construction works planned, proper big projects like Princes Highway West, overtaking lanes, those sorts of things," Ms Britnell said.
"We're not seeing any contracts or major road works, so what's going on?"
The Minister has 30 days to reply to Ms Britnell's question.
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