Senator Kim Carr. Photo: Andrew Meares
Federal Labor has demanded the business case for the $14billion-$18billion East West Link be tabled in the Senate, as a result of Canberra handing billions of dollars to Victoria for the road.
In its first budget last week, the Abbott government promised $3billion for the road. The day after the budget was handed down, Labor senator Kim Carr moved the Senate seek ''any business case presented for either stage of the East West Link project'' to the federal government before it agreed to hand $3 billion to Victoria.
''The Abbott government is proposing to remove support for suburban rail funding and put money behind these road projects, which in the past has required business plans to be produced,'' Senator Carr said.
''We should apply the normal standards to the funding of such major road projects.''
Victoria has refused to hand over the business case after arguing it was not in the public interest and insisted it must remain secret to protect delicate commercial negotiations.