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Australia’s costly A$26 billion East Link Project

Australia’s East Link Project in Victoria will now cost as much as A$26 billion.
By MJ Woof February 5, 2025 Read time: 2 mins
The East Link project for Victoria State in Australia will now cost significantly more than initially planned – image courtesy of © Iofoto| Dreamstime.com


Australia’s tolled East Link project in Victoria has increased in cost significantly since it was first planned. The project was originally expected to come with a pricetag of US$6.25 billion (A$10 billion) but now looks as if could cost as much as $16.24 billion (A$26 billion). 

This massive jump in the price for the project has been attributed to a series of factors. Materials and labour have become far more expensive, particularly in the wake of the COVID 19 pandemic. Environmental legislation has also been a factor in the increased cost.

Once the new tolled highway is complete, it will connect the Eastern Freeway with the M80 Motorway. The project is expected to help reduce congestion at peak periods, cutting journey times for drivers.

Webuild is part of Spark consortium working on the project. Webuild will design and build twin three-lane tunnels 6.5km-long, among other works. Once completed, it will be the longest road tunnel in Victoria. The tunnelling work is part of the primary package awarded to the Spark consortium by the North East Link Program, which is overseeing the project’s development  on behalf of the Victorian Government. Construction on the North East Link Tunnels is now underway.

Concrete culverts made in regional Victoria are being installed inside the North East Link tunnels to create a maintenance tunnel to service Victoria’s largest road project. The 3m-high by 3m-wide box culverts each weigh 20tonnes and are being installed throughout the 6.5km twin tunnels to create a service tunnel underneath the road surface, providing clear access for maintenance vehicles and staff when the tunnels open to traffic.

The project involves connecting the Eastern Freeway to the new 6.5km North East Link tunnels from Bulleen to Watsonia. The new tunnels and freeway upgrades will link Melbourne’s east up to the M80 Ring Road in Greensborough, cutting travel times by 35 minutes and taking 15,000 trucks off local roads/day. North East Link is expected to open in 2028.

 

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