MINISTER for Agriculture Jaala Pulford has criticised local MP Peter Walsh’s cynicism over the Murray Basin Rail Project, following his comments the State Government should fund it entirely.
Member for Murray Plains Peter Walsh told The Guardian Labor has only presented a business case for the project, not a funding announcement, and it was only a dressed-up version of the previous government’s $220 million commitment last year, along with a hope Canberra would pay for the rest.
Mr Walsh said there should be enough money to fund the entire $416 million for the project from the proceeds of his former government’s privatisation of the Rural Finance Corporation last year.
“The sale of Rural Finance was in excess of $400 million, so there is enough money there to pay for the $416 million,” Mr Walsh said.
“The state should actually come out and commit to the $416 million business case and then there’s the possibility of a discussion with the Commonwealth of some money in addition to that, to lift the Mildura line from 21 tonne to 23 tonne axle-weight loading.”
Ms Pulford responded saying the government’s commitment to the rail project went “well beyond what the former Coalition Government ever committed to” and the project was one “this government will deliver – with or without the Federal Government”.
“The Nationals have no credibility when it comes to project, with even their own Member for Mildura admitting that the former Liberal-National Government failed to provide enough funding for it,” Ms Pulford said.
“If Peter Walsh really wants the best outcome for regional Victoria he should stop playing politics and tell his Liberal Party mates to get out of the way, and urge his National Party mates in Canberra to partner with the Labor Government to deliver this critical project.”
The sale of the Rural Finance Corporation was a contentious issue earlier this year when the Victorian Farmers Federation and State Opposition voiced concerns its proceeds weren’t going back into rural Victoria.
Ms Pulford said her government has committed to using the proceeds of the sale to fund the first $220 million of works on the Murray Basin Rail Project and would reinvest the remainder into other regional and rural projects
“Because the previous Government did its deals behind closed doors – not even consulting regional Victoria about the sale of Rural Finance – we’ll never know how much it could have actually been sold for,” she added.
Last year, The Guardian reported the government expected to realise net proceeds of $400 million from the sale, which it planned to put towards investment in rural and regional infrastructure.
