The author of an independent review of the Inland Rail says the need for planning for intermodal terminal operations in Melbourne is becoming urgent.
Dr Kerry Schott AO assessed the governance and delivery of the Inland Rail program in an independent review.
In her report, Dr Schott found two terminals should be built concurrently in Melbourne - one at Beveridge, north of the city, and the other at Truganina, in the west.
"Somewhat surprisingly the project has commenced delivery without knowing where it will start or finish," Dr Schott found.
"Beveridge should be available as soon as practical and the second, the Western Intermodal Terminal at Truganina, should - in due course - expand and become the larger operation," Dr Schott found.
"Both terminals should be operated by independent operators providing open access to all rail freight operators."
As the commonwealth owned the National Intermodal Corporation, preference should be given to it to develop Beveridge.
Dr Schott's review took into consideration of scope, schedule and cost of the Inland Rail program.
It also assessed options for the new Inland Rail intermodal terminals to be built in Melbourne and Brisbane and improved links to the ports of these cities.
Dr Schott said with the closure of the Dynon terminal, in Melbourne, and the completion of Inland Rail, the need to plan and deliver intermodals was becoming urgent.
"There are two complementary sites that would meet immediate and near future needs and these should be progressed," she said.
"Open access is desirable in line with Australian Competition and Consumer Commission concerns about competition in the freight industry."
Dr Schott found the project was late and over budget.
"One of the important tasks I have is to assess the extent of these problems," she said.
"In this, I have failed as there is insufficient certainty about the completion date and the final cost to have confidence in the current estimates."
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Meanwhile, the Port Rail Transformation Project (PRTP) has reached a major milestone with the official opening of a new permanent two-way, single lane in each direction, connection between Dock Link Road and Mullaly Close/Coode Road.
The new road has been named Intermodal Way.
Intermodal Way provides an uninterrupted east-west connection for the movement of containers between Dock Link Road and the wider port area.
The new port vehicle road also facilitates the closure of a section of Coode Road between Dock Link Road and Phillipps Road.
"We are proud of the progress we have made with the PRTP and are excited to see the benefits it will bring to the port and the wider community," Port of Melbourne chief executive Saul Cannon said.
"This is important progress on meeting the growing demand for better rail freight solutions and will enable more containers to be moved by rail more efficiently, bypassing roads in inner Melbourne."
The PRTP involves the development and construction of a new rail terminal interfacing with the Swanson Dock East International Container Terminal.
The rail terminal includes two new sidings that can handle 600-metre long trains.
Common user rail infrastructure will also be upgraded.
The 2022-23 federal budget committed $3.1 billion for the Melbourne Intermodal Terminal Package over four years, including $1.9 billion in equity to be delivered through the National Intermodal Corporation, and $1.2 billion in funding.
Of that, $1.2 billion was committed in equity for the BIFT project, while $740 million was committed for the WIFT project.