Senate Rural and Regional Affairs and Transport Legislation Committee

Senate Estimates hearing, 26 Oct 2026

Searchable transcript of the Senate Rural and Regional Affairs and Transport Legislation Committee, 26 Oct 2026 Senate Estimates hearing, with chapters: Committee Opening and Procedural Statements, Statement Regarding Dr. Helen Haines MP, Overview of Infrastructure Corruption Allegations, Specific…

Chapters

Committee Opening and Procedural Statements (0:00)
The Chair opens the hearing for the Rural and Regional Affairs and Transport Legislation Committee, outlining procedural rules regarding parliamentary privilege and public interest immunity.
Statement Regarding Dr. Helen Haines MP (2:35)
The Chair makes a statement expressing support for Dr. Helen Haines following a recent attack, noting that the committee will suspend briefly to allow members to attend statements in the House.
Overview of Infrastructure Corruption Allegations (4:58)
Secretary Jim Betts provides statistics on allegations of unlawful or corrupt behavior on Commonwealth-funded infrastructure projects, noting 84 total allegations across 20 projects.
Specific Projects Facing New Allegations (7:40)
Officials detail new allegations related to the Northeast Link, SRL East, and other projects, covering fraud, criminal behavior, and undisclosed conflicts of interest.
Information Sharing and Reporting Protocols (13:03)
The committee discusses the reporting protocols between state jurisdictions and federal regulators, including the challenges of sharing information from ongoing police investigations.
Mandatory Reporting Implementation in Victoria (19:08)
Senators question the timeline for implementing mandatory reporting of unacceptable behaviors in Victorian infrastructure contracts following a request from Minister King.
Milestone Payments and Funding Suspension Debate (31:24)
Discussion on whether the Commonwealth should suspend milestone payments to projects under investigation for corruption and the potential consequences for contractors and workers.
Disproportionate Corruption Allegations in Victoria (41:08)
Senator Scarr highlights that over 90% of infrastructure corruption allegations originate in Victoria, prompting questions about the department's heightened focus on the state.
Integrity Oversight in Victorian Projects (44:46)
Examination of how the department responds to the disproportionate number of corruption allegations in Victoria.
Resource Allocation for Victorian Oversight (45:52)
Inquiry into whether the department has allocated additional resources or special teams to oversee Victorian infrastructure projects.
Victorian Procurement and Gateway Assurance (46:57)
Overview of the department's role in Victorian project steering committees and independent gateway assurance processes.
Conflicts of Interest in Tendering (47:48)
Investigation into alleged undisclosed conflicts of interest and favoritism within Victorian infrastructure procurement processes.
Committee suspension and musical interlude (1:27:34)
The committee is in suspension with music playing before resuming the hearing.
Committee resumes with corporate matters (1:59:58)
The Chair welcomes the committee back to continue corporate matters with Senator McKenzie.
Victoria Infrastructure Integrity and FFA Obligations (2:00:00)
Senators discuss the reporting obligations for contractors in Victoria under the Federation Funding Agreements (FFA) and the state's zero-tolerance policy for criminal behavior on infrastructure projects.
Integrity Referrals and Funding Suspension Thresholds (2:09:34)
The committee examines the thresholds for the Commonwealth to withhold or suspend infrastructure funding following integrity referrals in South Australia and New South Wales.
Centralized Construction Complaints in Victoria (2:13:26)
Officials provide details on the centralization of construction complaints through Workplace Inspector Victoria and the process for referring allegations to relevant regulators.
Document Redactions and Integrity Updates (2:17:38)
Senator McKenzie questions the extent of redactions in documents related to infrastructure project integrity and requests updates on ongoing criminal investigations.
Community Infrastructure Election Commitments (2:20:14)
The hearing shifts to the Major and Local Community Infrastructure Program (MLCIP), focusing on the nomination and selection of election commitment projects by duty senators.
Due Diligence for Nominated Projects (2:26:52)
Senators debate the level of due diligence and documentation required for nominating community projects, specifically questioning the internal party processes used for selection.
Project Approvals and Conflict Management (2:34:23)
Discussion regarding the decision-making process for projects in ministers' electorates and the management of conflicts of interest within the Expenditure Review Committee (ERC).
Fuel Security Measures and Advertising Campaign (2:42:12)
Discussion regarding the $11.46 million spent on the national fuel security advertising campaign, its effectiveness in changing driver behavior, and the remaining unspent funds.
TRACK Program and Green Fuel Bunkering (2:47:47)
Oversight of the Transport Resilient and Capacity Kickstart (TRACK) program, focusing on the first round of rail-specific grants and the development of a green fuel bunkering strategy.
Net Zero Roadmap and Action Plan Expenditure (2:50:23)
The department provides details on the expenditure for the Net Zero roadmap and action plan, confirming it was a terminating measure with funds fully allocated in prior years.
High-Speed Rail Authority Funding and Legislation (2:56:48)
Senators question the lack of ongoing funding for the High-Speed Rail Authority beyond 2028 and the legislative provisions for winding up the entity once its initial tasks are complete.
Infrastructure Investment Program Headroom and Savings (3:02:10)
Examination of unallocated headroom within the Infrastructure Investment Program (IIP) and the return of $100 million in uncommitted funds from the Community Development Grants (CDG) program.
Community Infrastructure and Precincts Program Oversight (3:08:12)
Discussion on the closure of the CDG program, the status of contracts under the Priority Community Infrastructure Program (PCIP), and unallocated funding for urban and regional precincts.
Western Sydney Airport Delivery and Lessons Learned (3:22:25)
Following the opening of Western Sydney Airport, the department reflects on the success of the project, highlighting the importance of inter-jurisdictional partnerships and the GBE delivery model.
Implementing Infrastructure Project Gateway Reviews (3:24:51)
The department explains the use of "gateway reviews" and independent assurance throughout a project's life cycle to identify risks early and share lessons across jurisdictions.
Suburban Rail Loop Cost Pressures (3:31:26)
Senators question the department regarding the Victorian Auditor General's report on emerging cost pressures for the Suburban Rail Loop and the Commonwealth's awareness of these issues.
SRL Value Capture and Funding (3:35:34)
Discussion focuses on value capture revenue targets for the Suburban Rail Loop and the Commonwealth's decision to cap its contribution at $6 billion.
Suburban Rail Loop Fare Levy (3:42:45)
The committee examines reports of a "secret levy" on public transport fares in Victoria intended to fund the Suburban Rail Loop and whether this was disclosed to the Commonwealth.
SRL Housing Benefits and Scope (3:46:07)
Senators challenge the projected housing benefits of the Suburban Rail Loop and discuss changes to the project's scope, including the cancellation of certain station interchanges.
SRL Independent Technical Review Process (3:50:44)
Officials confirm that the Commonwealth was not consulted on the appointment of independent reviewers for the Suburban Rail Loop's technical review, which is expected in early 2027.
SRL Document Production and Transparency (3:56:44)
The hearing concludes with a debate over the government's refusal to release certain documents related to the Suburban Rail Loop, citing commercial prejudice and impacts on state relations.
Suspension of proceedings for lunch break (4:01:34)
The hearing is suspended for a lunch break, with proceedings scheduled to resume in the afternoon.
New England Highway Maitland Upgrade Progress (4:59:37)
Senator Kovacic requests an update on the New England Highway Maitland westbound upgrade, specifically focusing on the current progress of the project and the involvement of Transport for New South Wales.
Maitland Flyover Business Case and Costing (5:00:40)
Officials discuss the development of the business case for the Maitland flyover, which is expected to be completed in late 2027, and address previous costing claims made by the Member for Patterson.
FOI Documents and Cabinet Deliberations (5:03:29)
The committee examines FOI documents related to the Maitland project, with officials citing Public Interest Immunity (PII) regarding cabinet deliberations and Prime Ministerial correspondence.
Caretaker Period and Project Announcements (5:09:42)
Questions are raised regarding major decisions or contracts authorized during the caretaker period and the basis for the $100 million funding commitment announced in April 2025.
Post-Election Planning and Steering Committee (5:12:11)
Senator Kovacic queries the status of planning work immediately following the election and seeks information regarding steering committee minutes and agendas from May 2025.
Circular Quay Renewal Program Timelines (5:15:31)
Senator McGrath questions the department on the construction schedule for the Circular Quay renewal program and the impact of PII claims on information disclosure regarding project timelines.
Circular Quay Funding and Scope Changes (5:18:30)
Discussion focuses on changes to the Commonwealth funding profile for Circular Quay and scope adjustments initiated by the New South Wales government regarding railway and berth interlinkages.
Perth Ferry Network Expansion Tenders (5:24:02)
Discussion regarding the status of tenders for the Matilda Bay and Applecross ferry terminals in Perth, including funding splits and project milestones.
Westport Project and Workforce Challenges (5:28:54)
Examination of the Westport rail enabling works and the impact of workforce shortages, driven by AUKUS and the resources sector, on Western Australian infrastructure delivery.
Corridor Funding and Unallocated Amounts (5:34:20)
The department provides details on unallocated funding within various highway corridor packages across Australia, including the Bruce Highway and Northern Territory roads.
Maitland Westbound Upgrade Project Oversight (5:42:16)
Inquiry into the Maitland Westbound Upgrade, focusing on the involvement of local members in negotiations and the current status of the business case and construction estimates.
Future Planning for Perth Ferry Stops (5:49:15)
Further discussion on the $10 million allocation for planning future ferry stops in Perth, including potential sites like Optus Stadium and Belmont.
Middleton Drive and Airport Road Access (5:54:30)
Updates on the Middleton Drive extension and the completion of road upgrades supporting access to the Western Sydney International Airport.
Mitchell's Causeway and Mandalong Road (5:59:07)
Discussion on emergency repairs for Mitchell's Causeway on the Great Western Highway and the progress of the Mandalong Road upgrade in New South Wales.
Regional Corridors Upgrade for Renewable Energy (6:06:34)
Discussion on the $1.74 billion Regional Corridors Upgrade program in New South Wales, designed to facilitate transport for Renewable Energy Zones and improve road safety.
Rail Investment and Shifting Freight Modes (6:10:04)
Senators review the $2.7 billion investment in the Australian Rail Track Corporation (ARTC) and programs aimed at shifting freight from road to rail to reduce emissions.
Results of Maritime Strategic Fleet Tender (6:15:38)
The department provides an update on the Maritime Strategic Fleet pilot tender, noting that only one suitable vessel was secured out of eleven applications.
Consultation on Connected Vehicle Cyber Security (6:17:02)
Officials detail the ongoing consultation with industry regarding the adoption of international UN regulations for vehicle cyber security and software management.
Investigating Hacking Risks in Connected Vehicles (6:24:57)
The committee discusses a Four Corners investigation into the hacking of connected vehicles, exploring the technical difficulty of remote access and current safety standards.
Regulating Over-the-Air Updates and Data (6:30:04)
Senators question the regulation of over-the-air software updates and the potential national security and privacy risks associated with data stored by vehicle manufacturers.
National Security and Vehicle Data Privacy (6:43:37)
Examination of national security risks regarding data storage and spying by overseas manufacturers.
Foreign Interference and Public Service Vetting (6:46:47)
Oversight of security clearances and foreign interference risks within the department.
Coastal Trading Act and Cruise Exemptions (6:48:32)
Review of the Coastal Trading Act exemptions for cruise ships and new criteria for owners.
Collective Bargaining Rights for Seafarers (6:52:27)
Inquiry into collective bargaining rights for seafarers on Carnival Cruise vessels.
Tasmanian Freight Equalization Scheme Review (6:56:26)
Status of the Tasmanian Freight Equalization Scheme review and its impact on local businesses.
Strategic Fleet Program and Vessel Crewing (7:16:12)
Implementation of the Strategic Fleet Program and the transition to Australian crewing on ANL vessels.
Recommendations for Tasmanian Transport Schemes (7:21:02)
Specific recommendations for the Tasmanian Freight and Vehicle Equalization Schemes.
Marrickville Golf Club Grant Sewage Scope (7:26:17)
The committee examines whether the $6.05 million grant for the Marrickville Golf Club includes sewage works, highlighting discrepancies between ministerial statements and departmental scope.
Project Advocacy in the Indi Electorate (7:33:01)
Discussion regarding representations for project funding in the electorate of Indi and inquiries into advice provided concerning advocacy by local members.
Parliamentary Statements on Marrickville Sewage Funding (7:36:05)
Senator McKenzie tables Hansard records to challenge statements made in Parliament regarding federal funding for sewage works at the Marrickville Golf Club.
Conflict of Interest in Grant Approvals (7:41:24)
Officials explain the process for managing conflicts of interest and identify the specific ministers responsible for approving various grant projects.
Status and Completion of MLCIP Projects (7:43:36)
The department provides an update on the number of contracted and completed projects under the Major Local Community Infrastructure Program, including the Carter Fields upgrade.
Finance Department Input on Grant Guidelines (7:49:59)
Examination of why the Department of Infrastructure only adopted some suggestions from the Department of Finance regarding the development of grant program guidelines.
Program Funding and Guideline Timeline (8:08:39)
Officials discuss the timeline for engaging with the Department of Finance and explain a reduction in total program funding from $568.2 million to $560.9 million due to projects moving to other programs.
Ballarat Projects and Conflict Management (8:14:25)
Senator McKenzie inquires about the selection and assessment of projects in the Ballarat electorate, focusing on conflict of interest declarations by Minister King and the role of the Labor Party in determining funding amounts.
Bendigo Community Infrastructure Projects (8:17:00)
The committee reviews specific infrastructure projects in Bendigo, including recreation reserves and the Central Deborah Gold Mine, while debating the transparency of the assessment process for election commitments.
Status of Bendigo Funding Agreements (8:21:52)
Officials provide updates on the execution of funding agreements and the receipt of costed designs for Bendigo projects, noting that several are still under negotiation with the local council.
Eden-Monaro Election Commitment Projects (8:26:43)
Senator McKenzie requests status updates and funding amounts for a wide range of projects in Eden-Monaro, including swimming pools, sports pavilions, and mountain bike trails.
Ministerial Oversight in Eden-Monaro (8:33:56)
The department clarifies the level of reporting provided to Minister McBain regarding projects in her electorate and addresses whether projects met value-for-money assessment criteria.
Regional Projects in Tasmania and Nunawading (8:39:12)
The hearing concludes this segment with questions regarding project proponents in Tasmania and the $45 million commitment for the Nunawading Indoor Sports Centre, focusing on cost verification and council priorities.
Nunawading Indoor Sports Center Funding Gap (8:43:10)
Discussion regarding the $45 million commitment to the Nunawading indoor sports center and concerns over a $30 million funding shortfall as total costs escalate to $110 million.
Coordination of Northern Australia Economic Development (8:48:10)
The Office of Northern Australia discusses its role in coordinating projects across jurisdictions and the challenges of tracking delayed or abandoned initiatives managed by other agencies.
Infrastructure Progress and Closing the Gap (8:53:36)
Senators express frustration over the lack of new agricultural and mining projects in Northern Australia and the impact of infrastructure delays on Closing the Gap targets.
Urban Precincts and Partnerships Program Status (9:02:23)
Officials provide an update on the Urban Precincts and Partnerships Program, including successful project announcements, application volumes, and unallocated funding.
Electorate Distribution of Urban Grant Projects (9:06:42)
Debate ensues over the geographic distribution of urban grants, with claims that the majority of projects are located in Labor-held electorates rather than being evenly distributed.
Integrity and Independent Assessment in Grants (9:12:16)
The Minister defends the integrity of grant programs, highlighting the use of independent expert panels to ensure merit-based funding decisions and transparency.
Thriving Suburbs Program Round 2 Guidelines (9:18:11)
Discussion on the timeline for releasing Round 2 guidelines for the Thriving Suburbs Program and the total value of open competitive grants available to local councils.
Grant Assessment Reforms and Project Progress (9:25:36)
The department explains the decision to move grant assessments from a multi-party parliamentary panel to internal departmental staff to improve efficiency. Additionally, the minimum grant amount was reduced to $250,000 to increase eligibility, and an update is provided on the completion status of Round 1 projects.
Cities and Planning Working Group Oversight (9:28:51)
Senators inquire about the frequency of meetings for the Cities and Planning working group and the staffing levels dedicated to implementing city deals. The department confirms recent interactions with Treasury and addresses the reporting requirements for ongoing city deal projects before the session adjourns.