The federal government has hand-picked Australia's former Energy Security Board chair to scrutinise its controversial 1,700km Inland Rail project.
Key points:
- Dr Kerry Schott will scrutinise the planning, governance and delivery of the Inland Rail project
- Inland rail was first funded under the Coalition government
- Landholders fear new embankments would make flooding events on or near their properties worse
Dr Kerry Schott will lead the independent review of the $14.5 billion railway plan connecting Melbourne to Brisbane.
More than $2 billion has already been spent on the Inland Rail project which aims to meet growing freight demands on the populous east coast.
Federal Infrastructure Minister Catherine King described Dr Schott, who was also managing director and chief executive of Sydney Water, as a "highly respected and trusted leader" with experience in both government and business.
"She will conduct a thorough and independent review of Inland Rail and make recommendations to ensure this nationally significant project is successfully delivered," Ms King said.
"The review will give the government a clear-eyed view on what the problems are and the way forward."
Labor promised a review as part of its election pitch, after years of complaints from farmers and residents along the proposed route.
Dr Schott will consider the planning, governance, and delivery of the project, which is managed by the government-owned Australian Rail Track Corporation (ARTC).
She will also review the process for route selection to confirm the design "has considered both impacts and broader economic benefit".
Some landholders have warned the current plan to raise and build embankments through properties could make flooding events worse.
Today the government has also released the final report of an independent international expert panel reviewing ARTC flood studies done on the Queensland section of the Inland Rail.
The report acknowledged "the substantial amount of work undertaken by ARTC to identify existing flooding characteristics and to assess and mitigate potential impacts."
It also made a number of recommendations, including adding recent flood data into modelling and reassessing "the impacts of any waterway crossings" and ensuring "appropriate mitigation measures" were identified. The ARTC has committed to the recommendations.
While Inland Rail has been talked about for decades, substantial funding of $8.4 billion for the project was only secured in 2017 by former deputy prime minister Barnaby Joyce.
The total invested in the project has since grown to more than $14 billion, and a damning senate report last year said it could end up costing more than $20 billion.
The Inland Rail project had the potential to provide a long-term boost to regional economies.
Federal Minister for Finance Senator Katy Gallagher said over $2.7 billion in contracts had been awarded to over 400 local suppliers and businesses.
"The program has also provided work for more than 3,600 locals in the communities surrounding Parkes and Narromine, and further north in Moree which, in turn, has boosted these local economies," Ms Gallagher said.
The review's terms of reference included examining how the route was selected, and confirming it was "fit for purpose".
Ms King said it would be completed by early next year.