TRAM HITS RED LIGHT
Feds told to ‘stump up’ as light rail extension stalls
MAYOR Tom Tate has called an emergency meeting to help end an impasse between the state and federal governments over Stage 3 of the light rail.
Works to extend the track from Broadbeach to Burleigh Heads have stalled because both sides of federal politics are refusing to tip in more than $112 million, and the State Government says until they do it will be “difficult to make Stage 3 happen”.
Cr Tate, who is planning urgent talks with councillors, said the Federal Government needed to “stump up” about $145 million to “match the same percentage of funding they did” for Stage 2.
A Coalition spokesman last night insisted the Morrison Government was committed to the light rail on the Gold Coast and said the State Government was “trying to distract from their failure to commit any funding” to the tram link.
MAYOR Tom Tate has called an emergency meeting to help end an impasse between the state and federal governments over Stage 3 of the light rail.
Works to extend the track from Broadbeach to Burleigh Heads have stalled because the Morrison Government is refusing to tip in more than $112 million.
It equates to 17 per cent of the total $660 million needed to build Stage 3A, well below the 22 per cent the Federal Government committed to Stage 2 in late 2015 and the 38 per cent committed to Stage 1 in 2009.
The State Government says it needs an extra $33 million from the winner of the May 18 federal election, or “it is going to be difficult to make Stage 3 happen”.
Both Prime Minister Scott Morrison and Opposition Leader Bill Shorten pledged $112 million to Stage 3A.
A Coalition spokesman last night insisted the Morrison Government was committed to the light rail and said the State Government was “trying to distract from their failure to commit any funding” to the tram link.
Mr Shorten did not respond to requests for comment by the Bulletin.
Morrison Government Minister Karen Andrews said the issue had not been raised with her directly by Cr Tate and talked up the Government's funding commitments to the Coast’s transport infrastructure.
Gold Coast City Council is expected to match its Stage 2 commitment of 10 per cent – budgeted at $66-72 million – and the State Government will bear the remaining costs.
However, Cr Tate said the Federal Government needed to “stump up” about $145 million to “match the same percentage of funding last time”.
He will call an emergency meeting with councillors to discuss the City pouring extra millions into the project to ensure it goes ahead.
“The Federal Government says it will fund $112 million but this has put a lot of pressure on the State Government to find the balance,” he said. “I will put it to our councillors that we have to look at ourselves and if we have to dig a little deeper to soften the blow then we should look at that.
“We have to look at this as a long-term investment because any extra funds we put in we will get back through the value uplift in rates along the route.
“Together with the State I will do what I can to ask for fair funding from the Federal Government.
“We are not asking for more – just for them to be fair and match the same percentage of funding they did last time.
“These delays must end. The engineering solutions have been found and it is shovel-ready so let’s get the nod and start shovelling.”
The delay means the tram system would be unlikely to be completed until late 2022 or even early 2023.
A $10 million business case was due to be released in January but the funding standoff means the public is yet to see
WE ARE NOT ASKING FOR MORE – JUST FOR THEM TO BE FAIR ... MAYOR TOM TATE
its full results.
Stage 3A will run from Broadbeach South station at Pacific Fair along a 6.4km route to Burleigh Heads and will create up to 2400 jobs during construction.
City leaders say it is an essential step towards a tram connection to Gold Coast Airport and relieving traffic congestion along the coastline.
State Transport Minister Mark Bailey yesterday said: “We need strong commitments – especially from the Federal Government and until they come up with something reasonable it is going to be difficult to make Stage 3 happen.”
Gold Coast Light Rail Business Advisory Group chairman Stephen Harrison urged both the Morrison Government and Shorten Opposition to commit the necessary funds.
“$112 million is a great start but we’d like to see the extra $33 million committed for the delivering of Stage 3A from the government and matched by the Opposition,” he said.