New $A5 billion tunnel proposed for Melbourne

Known as the Western Distributor, the proposal incorporates the delivery of a tunnel beneath the suburb of Yarraville, connecting the West Gate Freeway with the Port of Melbourne, CityLink and the CBD and providing an alternate river crossing.

The concept for the Western Distributor project was submitted to the State Government earlier in 2015 under Victoria’s Market-led Proposals Interim Guideline.

A statement from Victorian Premier Daniel Andrews said the new proposal is currently being assessed by the Department of Treasury and Finance and reviewed by external consultants.

A Transurban spokesperson said a detailed proposal, investment case and procurement plan for the project was now in development with the State Government.

The project is expected to cost between $A5 billion and $A5.5 billion and deliver 3,500 construction jobs.

Funding for the project would come from tolls and an extension of the CityLink Concession Deed, with no State support required.

Subject to negotiations and approvals, work on the project could begin in 2015 and be completed by late-2020.

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