Malcolm Turnbull Responds To 'Anti-Victorian' Budget Criticism On The Hot Breakfast


Malcolm Turnbull Responds To 'Anti-Victorian' Budget Criticism On The Hot Breakfast


Victoria says its been "short-changed" in the federal budget by a Sydney-centric, anti-Victoria prime minister.

Tuesday's federal budget gives Victoria $1 billion in asset recycling funds for rail infrastructure upgrades, despite Canberra previously maintaining the state is only due $877 million after failing to send a letter in time to get the rest.

But Victoria's $1.45 billion "regional rail revival" relies heavily on Canberra coughing up the funds the state says it's owed as a bonus payment under an asset recycling program for selling the Port of Melbourne lease.

Premier Daniel Andrews' only response came via twitter in which he lamented "another Sydney-centric Budget from an anti-Victorian Government."

"25% of the population. Less than 10% of the infrastructure funds. Victoria dudded time and time again," he tweeted.

He said Victoria was still waiting on full payment of $1.46 billion from an asset recycling scheme with Canberra.

"So is every regional commuter."

The government earlier said that for Victoria to be paid in line with its population, the Turnbull Government would need to provide an additional $6.6 billion over the next four years.

Canberra has committed $500 million for regional rail in the form of improvements to the North-East, Gippsland and Geelong lines, and a study looking at the Shepparton line.

There is another $460 million set aside for infrastructure projects subject to negotiations between the two governments.

Both governments have committed to progressing the business case for a rail link to Melbourne Airport, with Canberra allocating $30 million and state Labor $10 million.

Federal Treasurer Scott Morrison listed the Tullamarine rail link as one of the projects with the potential to be supported through a new $10 billion national rail program.

In a rail-heavy budget, Canberra also committed to financing the Melbourne to Brisbane Inland Rail project through an additional $8.4 billion investment in the Australian Rail Track Corporation and a public private partnership.

Mr Morrison also said the Commonwealth was open to acquiring a larger share or outright ownership of Snowy Hydro from the NSW and Victorian governments, allowing the states to reinvest the funds in priority infrastructure projects.

The federal government still has $3 billion set aside for the dumped East West Link toll road, should the state change its mind.