Budget "a lifeline" for trucking industry

The government will commit more than $28bn over six years to both major and minor road projects around the country.

The total funding of the various road project investments will come from the Building Australia Fund, formed last year to aid major infrastructure projects, and the $26.7bn Nation Building Program.

The budget featured four major new projects on Network 1, which is the north-south road freight corridor from Melbourne to Cairns.

About $1.5bn will be invested in the construction of the Hunter Expressway in New South Wales, effectively linking the F3 and the New England Highway near Branxton.

This project is due to be completed by 2013.

The  Kempsey bypass on the Pacific Highway development will receive $618m from the government in this year’s budget, taking total investment in the Pacific Highway to $3.1bn.

This project is expected to be finished by 2014.

The government will also fund $884m for work on the Ipswich Motorway in Queensland.

The money for all three projects will be drawn from the Building Australia Fund.

The government will also draw $488m from the Nation Building Fund to duplicate the Bruce Highway in Queensland between Cooroy and Curra.

The Australian Trucking Association chairman Trevor Martyn said the additional investments in the N1 would make a big difference to road users.

"For example, until now, the Hunter Expressway was too expensive to construct, despite everyone agreeing on its importance,” Mr Martyn said.

He believed the amount set aside by the Federal Government for roads would benefit truck drivers, trucking operators and Australian consumers.

“Our journeys will be safer and faster, with lower transport costs for businesses,” he said.

“Better roads lead to lower costs at the supermarket checkout, because the trucking industry delivers every item in every Australian’s supermarket trolley.”

Mr Martyn also said that the government’s plan to expand the bonus 30% tax deduction on new capital assets to 50% would allow trucking companies to upgrade their fleets.

“The decision is a lifeline for the trucking industry and our suppliers.”

“Many small trucking companies want to buy new equipment which is safer and more fuel efficient, but are having trouble getting finance because of the recession.”