Pacific Motorway M1 Upgrade




PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
Pacific Motorway M1 Upgrade
Pacific Motorway M1 Upgrade – Eight Mile Plains to Daisy Hill
Pacific Motorway M1 Upgrade – Varsity Lakes to Tugun
STATUS

Prospective pipeline

Greenfield (construction) or brownfield (government asset divestment) projects needed or likely to occur within the next five years, but is not formally proposed by a state, territory or major local government.

Credibly proposed

The project or divestment is supported by a state, territory or major local government, is subject to studies or other processes (such as pre-feasibility or scoping studies or business case development), and is likely to proceed to formal announcement.   

Announced

The project has a firm commitment and timeline from a state, territory or major local government, but has not yet entered the market.

Under procurement

The project or transaction is under procurement (such as a call for Expressions of Interest, requests for tender, or another offer to the market).

Preferred bidder announced

A preferred bidder has been selected and is in exclusive negotiations.

Recently closed

Projects that have progressed to contractual close remain on ANZIP for 12 months.

ANZIP is focused only on major infrastructure activity, above the following thresholds:

Australia

Construction projects: > AUD$300m

Investable greenfield & brownfield: > AUD$100m

New Zealand

All greenfield and brownfield projects and divestments: > NZD $100 million


STATUS: Credibly proposed
SECTOR: Road
JURISDICTION: QLD, Commonwealth
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

As part of the National Land Transport Network, the M1 Pacific Motorway is the key commuter and freight transport corridor between Queensland and NSW. The Queensland Government is progressively upgrading the motorway between the Gateway interchange at Eight Mile Plains and Tugun as funding becomes available based on traffic volumes and best value for money.

Major stages of the Upgrade that have already been awarded include:

  • M1/M3 Gateway Merge ($196 million) - awarded to Lendlease in October 2017; and
  • Mudgeeraba to Varsity Lakes ($180 million) - awarded to Seymour Whyte in December 2017.

Remaining major stages of work include:

  • Varsity Lakes to Tugun; and
  • Eight Mile Plains - Daisy Hill.

Circa $660 million was allocated towards planning and construction of the Upgrade by the Federal and Queensland Governments, with stages such as the Mudgeeraba to Varsity Lakes and M1/M3 Gateway Merge stages funded in a 60/40 split between Federal and State. In the 2018-19 Federal Budget, the Federal Government allocated circa $1 billion towards the remaining stages of work. With $515 million allocated for the Varsity Lakes to Tugun project between FY2020-21 and FY2026-27 and $374.5 million allocated towards the Eight Mile Plains to Daisy Hill sections between FY2018-19 and FY2026-27.

The Budget notes that project timing and funding arrangements are still subject to negotiations with the Federal Government, with the total project costs subject to business case development. The 2018-19 Queensland Transport Infrastructure Programme (QTRIP), released in conjunction with the Budget, notes that the majority of funding for both projects is beyond the forward estimates with $720 million for Varsity Lakes to Tugun and $424 million for Eight Mile Plains to Daisy Hill beyond FY2021-22.



Last reviewed: 03/09/2018

Pacific Motorway M1 Upgrade – Eight Mile Plains to Daisy Hill


PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
 Pacific Motorway M1 Upgrade – Eight Mile Plains to Daisy Hill

STATUS: Credibly proposed
VALUE: $749M AUD
SECTOR: Road
JURISDICTION: QLD,Commonwealth
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

As part of the National Land Transport Network, the M1 Pacific Motorway is the key commuter and freight transport corridor between Queensland and NSW.

The Eight Mile Plains to Daisy Hill project will see:

-widening the motorway from six to eight lanes;
-ramps consolidated and managed motorways technology added; and
-better active transport connections between centres.

An extension of the South East Busway to Springwood is also being considered as part of the stage.

In April 2018, the Federal Government committed circa $1 billion funding for Queensland's M1 Pacific Motorway upgrades between Varsity Lakes to Tugun ($515 million) and Eight Miles Plains to Daisy Hill ($374.5 million), which will see funding contributions each year between FY2018-19 and FY2026-27. The Federal Government has committed to fund both projects on a 50/50 funding split between the Federal and the Queensland Governments, pending business case approval by Infrastructure Australia.

Building Queenslad is currently developing a detailed business case for the project, following the re-elected Queensland Government committing $16 million towards a business case for future upgrades of the M1 corridor between Eight Mile Plains and the Logan Motorway.

In March 2018, Infrastructure Australia identified this stage as a near term (0-5 years) Priority Initiative in its Infrastructure Priority List.

In June 2018, the Queensland Budget allocated $374.5 million for Eight Mile Plains to Daisy Hill out of a $749 million indicative total cost. The funding allocations comprise both State and Federal funding.

The Budget notes that project timing and funding arrangements are still subject to negotiations with the Federal Government, with the total project costs subject to business case development. The 2018-19 Queensland Transport Infrastructure Programme (QTRIP), released in conjunction with the Budget, notes that the majority of funding for the project is beyond the forward estimates with $424 million for Eight Mile Plains to Daisy Hill beyond FY2021-22.

The project will be delivered under three to four major contracts (construction only) with possible early tenderer involvement. The contracts' value is estimated between $50 to $200 million. The first contract is expected to be awarded the second half of 2020. Construction of the project is expected to commence the last quarter of 2020 with expected completion in 2023.



Last reviewed: 28/08/2018

Pacific Motorway M1 Upgrade – Varsity Lakes to Tugun


PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
 Pacific Motorway M1 Upgrade – Varsity Lakes to Tugun

STATUS: Credibly proposed
VALUE: $1.03bn AUD
SECTOR: Road
JURISDICTION: QLD,Commonwealth
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

As part of the National Land Transport Network, the M1 Pacific Motorway is the key commuter and freight transport corridor between Queensland and NSW. The M1 Motorway - Varsity Lakes to Tugun project was a key transport infrastructure commitment by the re-elected Government in the 2017 election. 

The project will see:

-widening of the north and southbound carriageways to six lanes;
-a direct northbound off-ramp from the M1 to Southport – Burleigh Road;
-ramp upgrades; and
-cycling and walking connections between centres.

Building Queensland is currently leading a detailed business case for the project.

Building Queensland notes that traffic volumes on this section of the M1 Motorway are exceeding capacity during the morning, afternoon, weekend and holiday periods causing high levels of congestion.

Forecast increases in travel demand (including freight, tourism and airport related traffic) will further extend traffic delays, increasing travel times, decreasing reliability and risking road safety.

The Queensland Government anticipates to commence construction after the completion of the Mudgeeraba to Varsity Lakes upgrade in 2020.

The Queensland Government has committed $206 million in funding which represents 20 per cent of the $1.03 billion cost. During the election campaign, the Government noted this is the same funding split with the Commonwealth (20/80) for road projects which form part of the National Land Transport Network. The Commonwealth is yet to commit the remaining 80 per cent.

In April 2018, the Federal Government committed $515 million in funding for Queensland's M1 Pacific Motorway upgrades between Varsity Lakes to Tugun which will see funding contributions each year between FY2020-21 and FY2026-27. The Federal Government has committed to fund the project on a 50/50 funding split between the Federal and the Queensland Governments, pending business case approval by Infrastructure Australia.

In June 2018, the Queensland Budget allocated additional funding of $515 million over five years (including $206 million as part of the pre-election commitment) towards delivering the $1.03 billion Varsity Lakes to Tugun upgrade.

The Budget notes that project timing and funding arrangements are still subject to negotiations with the Federal Government, with the total project costs subject to business case development. The 2018-19 Queensland Transport Infrastructure Programme (QTRIP), released in conjunction with the Budget, notes that the majority of funding for the project is beyond the forward estimates with $720 million for Varsity Lakes to Tugun beyond FY2021-22.

The project will be delivered under four major contracts (construction only) with possible early tenderer involvement. The contracts' value is estimated between $70 to $200 million. The first contract is expected to be awarded the second half of 2020. Construction of the project is expected to commence the last quarter of 2020 with expected completion in 2023.

In March 2018, Infrastructure Australia listed the project as a Priority Initiative in its Infrastructure Priority List with a near term delivery timescale (0-5 years).



Last reviewed: 03/09/2018

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