Intermodel terminal for North Melbourne

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The Federal and Victorian state governments have welcomed significant private sector investment to build and operate a $400 million intermodal freight terminal in Melbourne’s north. Intermodal Terminal Company (ITC) announced it would soon start construction of the Somerton Intermodal Terminal, which will be a key node in the Australian and Victorian governments’ $58 million Port Rail Shuttle Network.

“The Port Rail Shuttle Network will not only enhance the strategic importance of local freight and logistics operators—it will also deliver efficiencies and cost-savings for businesses,” said Federal Minister for Transport and Infrastructure Catherine King. “The shuttle network will also deliver a huge safety boost for motorists by moving freight off the roads and onto rail. I’m thrilled to see this private sector backing for the landmark, project.”

When at capacity, ITC expect the Somerton Intermodal Terminal to take 500,000 truck trips off Melbourne’s roads—equivalent to 454 million truck kilometres. Each year, it will also save 451 million litres of fuel and reduce carbon emissions by 189,000 tonnes.

By 2050, the Port Rail Shuttle Network is expected to move 30 per cent of Melbourne’s containers by rail from Somerton, Altona and Dandenong South to the Port of Melbourne, avoiding thousands of truck trips on roads each year. The Somerton Intermodal Terminal will be built at the Austrak Business Park and is forecast to create 190 jobs during construction and a further 50 permanent jobs for Victorians once the terminal is operational in 2025.

“The Somerton Intermodal Terminal is a city-shaping project,” said Victorian Minister for Ports and Freight Melissa Horne. “This private investment will supercharge job creation and support our commitment to move more freight by rail to port.”