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Home Rail industry news (Australia, New Zealand)

ARA welcomes NSW Budget investment in rail

by Lisa Korycki
June 23, 2026
in ARA, Rail industry news (Australia, New Zealand)
Reading Time: 2 mins read
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nsw budget

Image: Rafael Ben-Ari/stock.adobe.com

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The Australasian Railway Association (ARA) has welcomed rail funding announcements in today’s New South Wales Budget, including $2.4 billion for the Parramatta Light Rail Stage 2 and $2.1 billion to improve reliability and incident response on the Sydney Trains network.

Other investments include $30.9 million for Woollahra train station, $100 million joint funding with the Federal Government for south west Sydney rail planning and future business case work, and $4.5 billion for continuing Sydney Metro expansion works in 2026-27. Opal fares for public transport will remain at 2025 prices for the next year as part of a broader Transport Affordability Package.

ARA Chief Executive Officer Caroline Wilkie said the ARA has been advocating for increased investment in the existing rail network as well as new, vital infrastructure for Sydney’s fastest-growing areas.

“The ARA welcomes this recognition of the importance of ongoing maintenance funding, complemented by investment in new projects, to support the productivity and efficiency of the New South Wales network,” Wilkie said.

“The budget’s funding for Parramatta Light Rail Stage 2 will deliver important opportunities for urban renewal and growth as it extends the line from the Parramatta CBD to Sydney Olympic Park.

“Light rail projects like this do not just improve access and liveability but are significant drivers of housing and commercial development to support the growth of the community.

“This continued investment in Parramatta Light Rail will have a lasting and positive impact on western Sydney.”

The ARA also welcomed the confirmation of the new $2.1 billion Rail Reliability Plan, which will deliver:

  • An additional $200 million for network maintenance compared to last year
  • $150 million over four years to deliver improvements at the Rail Operations Centre, including improved incident response and passenger support
  • More train drivers and guards for intercity services, delivering better reliability for passengers travelling between Sydney, the Illawarra, Central Coast, Newcastle, the Blue Mountains and beyond
  • Track, power and signalling improvements

This also includes a previously announced $425 million four-year asset renewal program targeting track, signals, overhead wiring and drainage in critical areas and a $35 million reliability program to fast-track repairs in high-priority locations.

“Continued investment in the existing network is absolutely vital to ensure rail operations are as productive and efficient as possible,” Wilkie said.

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