Australian-first standardisation trial for rail and road projects could ‘save millions of dollars’

An Australian-first trial to adopt a nationally standardised approval system for rail and road projects is under way, which could save taxpayers tens of millions of dollars each year.

The trial, which started last week between the NSW and Victorian governments, sees any new product used in rail or road infrastructure projects must meet minimum regulatory, technical and safety standards to obtain approval across both jurisdictions.

The trial, if successful, could be adopted in early 2025, and may spark national uptake, with states and territories making inquiries on how to participate. 

It would save the rail industry alone in the tens of millions of dollars each year. Currently, inefficient processes cost the rail industry alone up to $40m a year, Australasian Railway Association research suggests.

NSW Transport secretary Josh Murray said the interstate collaboration would promote technological growth and save millions. “We are excited that NSW and Victoria are together working to innovate the rail and road infrastructure industries in a way that will promote … cost savings in the tens of millions of dollars,” he said.

“Faster and smoother approvals will assist us as we engage industry to help the NSW government procure more locally made products to stimulate domestic manufacturing.”

The trial would cover “thousands of items” associated with train control systems, including active-level crossings, signalling, electrical substations, track and bridges, as well as within road infrastructure, such as traffic lights, pavements, drainage and pipes.

“In NSW alone, the existing catalogues of type approved products stretch to 3000 items listed across 40 different registers,” Mr Murray said.

Victorian Transport and Planning Department secretary Paul Younis said a greater consistency in standards was a “win-win” and would reduce costs for all states. “This trial will help test the benefits and effectiveness of this approach and delivers on our joint commitment to the ­National Rail Action Plan, and deliver nationally harmonised outcomes for public transport,” he said.

The two departmental heads discussed the cross-border collaboration in Brisbane last week, where they attended a forum with infrastructure and transport ministers from across the country, including federal Transport Minister Catherine King.

The Australian understands the trial could quickly spark a ­national uptake, with two other states and a territory inquiring how they can participate.

Currently there is significant inconsistency in processes across Australian jurisdictions, leading to complex and time-consuming approvals.

The trial, launched after a memorandum of understanding between the NSW and Victoria governments, would cover road and rail infrastructure projects, although not rolling stock.

If successful, it could be accepted and implemented into a dual-government product approval framework, which is expected by early 2025.

It follows the NSW government announcing last week that $450m would be earmarked in next Tuesday’s budget to extend the life of Transport for NSW’s Tanagra rolling stock, for an extra 12 years.

The Australian

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