In February 2000, the Government released the Linking Victoria1 program to deliver new transport infrastructure projects and upgrade Victoria's ports, roads and rail network. The redevelopment of Melbourne's Southern Cross Station (formerly known as Spencer Street Station) was integral to the program. A master plan for the redevelopment was released in June 2001, comprising:
• a major refurbishment of the rail terminal
• the provision of significant new transport infrastructure
• the integration of the station precinct with the City of Melbourne and the Docklands area.
To facilitate the development, the Government sought a public and private sector partnership delivered under the aegis of Partnerships Victoria2. The Southern Cross Station redevelopment project is one of the largest public-private partnership (PPP) projects undertaken in Victoria.
The objectives of the project, as set by the Department of Treasury and Finance (DTF) and outlined in the approved project business case, were to:
• provide a world-class inter-modal transport facility at the station
• minimise the long-term costs to the taxpayer associated with the construction, maintenance and operation of the station
• transfer risk to the private sector where it constitutes good value-for-money
• make cost-effective allowance for future patronage growth, and for new transport services and infrastructure at the station over time
• secure the delivery of the development in a timely fashion, in accordance with target dates and deadlines set by Government
• ensure that the development is managed in a transparent and accountable way, in consultation with stakeholders and in accordance with the highest standards of probity.
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1 The Linking Victoria policy can be found at <www.linkingvictoria.vic.gov.au>.
2 The Partnerships Victoria policy can be found at <www.partnerships.vic.gov.au>.