The state and federal governments have welcomed significant private sector investment in the third road-rail intermodal freight terminal planned for Melbourne's north and west.
Intermodal Terminal Company (ITC) has announced it would soon start construction of the Somerton Intermodal Terminal, which will be a key node in the Australian and Victorian governments' $58 million Port Rail Shuttle Network.
When at capacity, ITC expect the Somerton Intermodal Terminal to take 500,000 truck trips off Melbourne's roads - equivalent to 454 million truck kilometres.
"ITC is delighted to announce the Somerton Intermodal Terminal as the first independently constructed, maintained and operated terminal in our portfolio," the company's founder and chief executive Mishkel Maharaj said.
"We're especially pleased that once operational, the terminal will deliver additional benefits to the people of Melbourne every single day of its operation - through reduced carbon emissions and air pollution, reduced road congestion and improved road safety."
It joins planned intermodal terminals at Truganini, the Western Intermodal Freight Terminal (WIFT) and one at Beveridge, as well as the SCT Altona terminal, which is currently in operation.
ITC expects to complete the 45ha Somerton Intermodal Terminal (SIT) by 2025.
It will be part of the Austrak Business Park, 26km from the Port of Melbourne, which sits between the standard-gauge Sydney-Melbourne rail line and the Hume Highway.
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Both governments want to move more freight by rail in the state - by 2050, the Port Rail Shuttle Network is expected to move 30 per cent of Melbourne's containers by rail from Somerton, Altona and Dandenong South to the Port of Melbourne, avoiding thousands of truck trips on roads each year.
The Somerton Intermodal Terminal will be built at the Austrak Business Park and is forecast to create 190 jobs during construction and a further 50 permanent jobs for Victorians once the terminal is operational in 2025.
ITC was launched in December 2022 and is backed by one of Australia's leading super funds, Aware Super.
Aware is Australia's third largest super fund with 1.1 million members and $150 billion in funds under management.
Federal Transport Minister Catherine King said the Port Rail Shuttle Network would enhance the strategic importance of local freight and logistics, while delivering efficiencies and cost-savings for businesses.
Ports and Freight Minister Melissa Horne said Somerton was a "city-shaping project - this private investment will supercharge job creation and support our commitment to move more freight by rail to port".
"These direct rail connections will get trucks off roads, increase safety, reduce emissions and cut the cost of doing business for producers, farmers, exporters and operators."
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