The Australasian Railway Association (ARA) says Australia’s rail sector is well-positioned to deliver high speed rail, as easing construction activity creates capacity for the landmark project.
The ARA’s 2025 Australian Rail Procurement Pipeline Annual Report found national rail construction activity is projected to fall 35 per cent by 2031-32, from a peak of $17.3 billion in 2025-26 to $11.3 billion.
ARA Chief Executive Officer, Caroline Wilkie, said the country should capitalise on the skills gained from delivering recent major projects.
“The delivery of major projects across the country has strengthened Australia’s world-class rail construction capability,” Wilkie said.
“Australia must make the most of these skills to deliver high speed rail before the opportunity is lost.”
In New South Wales, where the first phase of high speed rail will be delivered, construction activity is expected to peak this year before declining by an average 8.7 per cent per year through to 2031-32.
Wilkie said the 12-year delivery timeline for the first phase will help retain highly valued rail construction skills, even as projects like Sydney Metro reach completion.
“This is a project that will transform Australia, creating economic opportunity, boosting local manufacturing capability and providing solutions to address the housing crisis,” she said.
Industry currently employs 15,200 people in the rail construction sector, with more than 80 per cent based on the east coast. Key projects such as the Metro Tunnel in Melbourne and Sydney Metro’s city line are complete, while Cross River Rail, the Suburban Rail Loop, and further Sydney Metro sections are underway or planned.
High speed rail is expected to dramatically improve journey times, increase housing opportunities in new areas, deliver net zero operations, and support long-term economic and manufacturing growth. Rail trips between Sydney and Newcastle currently take up to three hours, with the route expected to reach capacity by the early 2040s.
The ARA has welcomed Infrastructure Australia’s support for the business case and is looking forward to the Federal Government’s response.
