Toowoomba and Surat Basin Enterprise (TSBE) has expressed disappointment at the Federal Government’s decision to cut funding from the Inland Rail project, warning the move risks long‑term economic and infrastructure consequences for regional Queensland.
TSBE Chair April Cavanagh said the decision comes at a time when Australia should be investing in efficient freight solutions, not shifting more pressure onto already congested roads.
“This is an incredibly disappointing decision, particularly when rail freight is more fuel‑efficient, more cost‑effective, produces lower carbon emissions and safer than adding more trucks to our highways,” Ms Cavanagh said.
“Pulling back from Inland Rail during ongoing fuel cost and supply chain challenges sends the wrong signal to regional businesses and communities.
“Inland Rail was an economic catalyst for the Darling Downs and South West, with benefits flowing through agriculture, manufacturing and export supply chains.
“The project’s expected spend was to be $5 billion alone in our region.
“Our region has consistently and constructively advocated for this project, including direct engagement with Canberra and detailed budget submissions that have gone unanswered,” Ms Cavanagh said.
TSBE warned that without Inland Rail, increasing freight volumes will be forced onto roads that are already under strain.
“The Warrego, Newell and Gore Highways are already operating near capacity, with failing infrastructure, including the Bremer River Bridge, seeing reduced load limits and thousands of commuters driving at 70km/h, not to mention restricted loads impacting renewable energy construction projects on the Western Downs” Ms Cavanagh said.
“Without this rail investment, congestion, safety risks and maintenance costs will only increase.”
TSBE is calling on the Federal Government to urgently invest in alternative freight infrastructure if Inland Rail will not proceed.
“If Inland Rail isn’t moving forward, we need immediate and guaranteed funding to upgrade key corridors like the Warrego and Gore highways, as well as the associated bridge infrastructure,” Ms Cavanagh said.
“Regional businesses need certainty and communities need safe, fit‑for‑purpose infrastructure.
“The decision reinforces concerns about the imbalance between metropolitan and regional infrastructure investment, including Melbourne Airport project.
“Regional Australia drives exports, feeds the nation and underpins the economy.
“Equitable investment in our regions including our highways is essential.”
Port of Brisbane, Chief Executive Officer, Neil Stephens said the Port of Brisbane plays a critical role in connecting south west Queensland producers to global markets.
“However, current freight rail constraints mean more than 98 per cent of the Port’s container trade is transported by road. By comparison, many leading international ports move 20 to 30 per cent of freight by rail - delivering significant gains in efficiency, cost and emissions reduction,” Mr Stephens said.
“As population and demand for our primary and natural resources continue to grow, it is essential that infrastructure keeps pace.
“We have long advocated for Inland Rail, and in particular a dedicated freight connection to the Port of Brisbane, and will continue to do so to support Toowoomba and regional communities.
“With or without Inland Rail, Australia must work towards moving more freight off roads and onto rail.”

