NSW births another light rail white elephant

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By Leith van Onselen

In the wake of the massive cost blow-outs and delays hitting both the Parramatta Light Rail Project and the Eastern Suburbs Light Rail Project, the NSW Auditor-General has lambasted the 2.7 kilometre light rail line in Newcastle, whose cost blew-out by 44% to $368 million and was built with a “not convincing” business case.

In a report released on Wednesday, the Auditor-General was critical that the light rail project was decided and announced by the government in 2013 before an analysis of its benefits and costs was prepared.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.