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6 March, 2026

Rail freight downgrade with Melbourne project

THE Hindmarsh Shire Council has added their voice to growing concerns about the impact on rail freight from the proposed Sunshine ‘Superhub’ station project in Melbourne’s western suburbs.


Rail freight access to Melbourne is likely to be made more difficult for the agricultural industry with a proposal to remove a key feature as part of the Sunshine station upgrade required for the rail link to Melbourne airport and electrification to Melton. Hindmarsh mayor, Ron Ismay; Lowan MP, Emma Kealy and Rail Freight Alliance chief executive, Reid Mather have all voiced their concerns, including the potential to create more heavy truck traffic onto regional roads.
Rail freight access to Melbourne is likely to be made more difficult for the agricultural industry with a proposal to remove a key feature as part of the Sunshine station upgrade required for the rail link to Melbourne airport and electrification to Melton. Hindmarsh mayor, Ron Ismay; Lowan MP, Emma Kealy and Rail Freight Alliance chief executive, Reid Mather have all voiced their concerns, including the potential to create more heavy truck traffic onto regional roads.

More than 20 mayors from across rural, regional and metropolitan municipalities have called on Premier Allan to support the future of rail freight in Victoria.

The mayors are members of the Rail Freight Alliance, a local government advocacy body whose mission is to grow Victoria’s freight task to rail.

While the project has been announced as part of a Melbourne Airport rail link and the expansion of suburban electrification to Melton, less obviously stated has been the removal of the ability for freight trains to pass directly through Western Victoria, Tottenham Yards, and Port Melbourne.

The crossovers currently employed for this purpose would likely interfere too often with increased suburban traffic, along with V/Line services to Geelong, Ballarat and Bendigo, and are therefore proposed for removal.

Rail Freight Alliance chief executive Reid Mather said the change would affect both broad- and standard-gauge lines.

“The standardised lines, from Horsham, Rainbow and Hopetoun ... they would be heading down a more congested line,” he said.

“The biggest impact is on those trains that are operating on the broad gauge lines – the Manangatang and Sea Lake lines.

“If these are removed, the only way into the Port of Melbourne will be via Geelong.

“When they go by Geelong, it's another 47 kilometres.

“They often have to queue to wait the turn, and as a consequence, sometimes they have to re-crew, and they're certainly up for more diesel costs.

“Simply put, it just makes it harder to operate, certainly on the broad gauge network.”

He claimed the government's decision doesn’t align with its stated goals.

“It's almost difficult to understand why you put out a freight plan, which they've just done recently, and then almost they haven't really got any plans to mitigate taking these crossovers away,” Mr Mather said.

“We do understand the need to move people around, and we do understand that this is a small part of the Melton electrification process, we do understand that it's part of the airport rail link, and we do understand that they want to run more services out of Sunshine, so this is required.

“We know that the Federal Government's given them $2 billion to go ahead with it, which is matched by the state's $2 billion, so we understand it's a growing city, but I guess our counsel to that would be – as you've got a growing city, that means more people need more things – they need freight.”

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Asked about the omission in the plans to provide a solution, such as a freight line flyover, along with the others already outlined for passenger rail or even just improved signalling, he didn’t believe the government had been thorough enough.

“Because it's cheaper (to remove the crossovers) and the signalling problem hasn't been thought through,” Mr Mather said.

“But I've been assured, it’s possible to signal to get it through, but I think it's just easier, and freight will just be second.

“The reason that we're (advocating) the retention of them is because there's been nothing else offered.”

Works are expected to begin this year and be completed in 2030.

Mr Mather said it was disappointing the outcome would likely “mean more trucks on the road network”.

“Everybody talks – no one wants more trucks on the roads, but when decisions like this are made, it makes it harder for rail to sustain,” he said.

Lowan MP, Emma Kealy also raised the matter in parliament on February 4, pointing out “the best case scenario is an additional 45 minutes for each route, the problem is that that is only if you can get a slot”.

She advocated for the government to reconsider the business case for impacts to the agricultural industry and told the Dimboola Banner she wanted “any solution”.

“I just find it hard to understand why the only option they've got available is this other great, big loop around,” Ms Kealy said.

“It just seems like they haven't put a lot of effort into looking at alternatives.”

HSC mayor, Ron Ismay, said it was “imperative that these crossovers are retained for rail freight to be viable”.

“Should these crossovers be removed, it will substantially increase freight on roads that are already congested and deteriorating due to a substantial reduction in funding for Victorian roads,” he said.

Hindmarsh Shire Council has also been advocating to various members of parliament, expressing their concerns regarding the crossover removals.

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