Department of Infrastructure, Transport, Regional Development, Communications and the Arts

Business Case for Melbourne Inland Rail Intermodal Terminal

Funding Program:Major Project Business Case
Transport Mode:Inter-modal facility
Expected Start/Finish:Mid 2019 - Mid 2021
Estimated Project Cost:$20,000,000
Australian Government Contribution:$10,000,000
Local Council/Shire:Brimbank City Council,Hume City Council,City of Maribyrnong,Mitchell Shire Council,Moreland City Council,City of Whittlesea,Melton City Council
Corridor:Melbourne - Brisbane

Project Description

Currently, there is no terminal in Melbourne that is capable of accommodating the Inland Rail service offering of double-stacked 1,800-metre trains. Government involvement will ensure that an intermodal terminal with sufficient capacity to accommodate such trains is available to support Inland Rail in Melbourne from the commencement of services in the mid-2020s. 

The Australian and Victorian governments are currently jointly undertaking a detailed business case to consider the development of an intermodal terminal in Melbourne capable of supporting Inland Rail. The Victorian Government, through the 2018-19 Victorian State Budget and Victorian Freight Plan: Delivering the Goods 2018, that it is considering intermodal terminals at two potential sites for the intermodal terminal: one at Truganina, west of Melbourne (referred to as the Western Interstate Freight Terminal), and the other at Beveridge, north of Melbourne (referred to as the Beveridge Interstate Freight Terminal). The business case will consider the terminal location as well as matters including market access/operating models, financing options and value capture opportunities and is expected to be completed later this year.

Funding for this project has been allocated under the Major Project Business Case Fund.


The project will develop a joint business case that will help determine the preferred delivery option for an intermodal terminal in Melbourne to support Inland Rail.

Government involvement will ensure that intermodal terminals, with sufficient capacity to accommodate double-stacked 1,800-metre trains, are available to support Inland Rail in Melbourne from the commencement of services.


The Australian Government will contribute up to 50 per cent, capped at $10 million, for the joint business case.


The Business Case will be delivered between 2019 and Mid 2021.

Disclaimer: The material contained in this site is made available on the understanding that the Department is not thereby engaged in rendering professional advice for a particular purpose. Before relying on the material in any important matter, users should carefully evaluate the accuracy, completeness and relevance of the information for their purposes and should obtain appropriate professional advice relevant to their particular circumstances.

Project details last updated: 20/12/2021