Major Contract

Gippsland Line Upgrade

Under Delivery
Gippsland Line Upgrade

The Upgrade comprises two components. Stage One includes:

  •  duplicating track and building a new second platform at Bunyip and Longwarry stations
  •  upgrading 20 level crossing detection devices
  •  extending track duplication near Moe further east towards Traralgon
  •  improving drainage at Morwell River
  •  extending the crossing loop at Morwell
  •  a new second platform at Morwell Station
  •  duplicating nine kilometres of track between Morwell and Traralgon
  •  installing modern rail signalling and building a new second platform at Traralgon Station, and
  •  relocating train stabling at Traralgon.

Signalling upgrades between Bendigo and Eaglehawk to enable Bendigo Metro Stage Two is also procured along with Gippsland Stage One upgrades.

Stage Two of Gippsland Line Upgrade involves the $95 million duplication of the Avon River Bridge.

Key Dates

Dec 2020 Construction Commencement
Jun 2021 Contract Award
Jun 2024 Expected Construction Completion

Funding contributions

Federal Government
Victorian Government

These are funding contributions for main works of Stage One, as per 2021-22 Victorian Budget. The completed Stage Two of the project (Avon Bridge) had a total cost of $86 million.

The 2024-25 Federal Budget allocated an additional $290 million towards the project. It is understood the balance of funding is being provided by the Victorian Government although the value of the funding commitment was not published in the Victorian 2024-25 Budget. 


Procuring Agency: Rail Projects Victoria
Successful Tenderer: VicConnect: A consortium comprising UGL Limited, Decmil and Arup
Related contracts:
Stage Two: Avon River Bridge
Successful Tenderer - CPB Contractors


Oct 2018 RPV announced that Downer EDI, CPB Contractors, and a Coleman Rail and Decmil Southern joint venture had been shortlisted for Stage 2, signalling the start of the Request for Proposal (RFP) phase of procurement.
Jul 2019 The contract for Stage One was awarded to CPB Contractors in July 2019.
Dec 2020 VicConnect, a consortium comprising UGL Limited, Decmil and Arup, was selected as the preferred contractor for the first stage of the project. Early works are scheduled to begin in early 2021.
Mar 2021 Victorian Government announced that VicConnect consortium has been appointed as to contractor for the main works of the project.
Jun 2021 The Victorian Government announced contract close on the main works contract with VicConnect consortium.
Oct 2022 Major construction works at Bunyip and Longwarry stations were complete with train services reopening to passengers.
Feb 2023 The Victorian Government confirmed that major construction upgrades of all stations, including Morwell and Traralgon, were complete.
Apr 2023 The Traralgon Station overpass opened to the community.
May 2024 The 2024-25 Victorian Budget confirmed the project has a total estimated cost of $563 million, but did not specify any funding profile for the project for FY2024-25 or the forward estimates.
May 2024 The 2024-25 Federal Budget allocated an additional $290 million towards the project.
Estimated Total Cost
Procurement approach
Alliance |
Victoria | National |
Infrastructure agency resources
IA Project Evaluation Summary
Project pages
Gippsland Line Upgrade