MEMBER for Barwon, Roy Butler, is calling on the Federal Government to urgently compensate local councils that have spent significant ratepayer funds preparing for the now-abandoned Inland Rail route.

Mr Butler said councils across regional New South Wales had acted in good faith – only to be left stranded after the Federal Government paused the project following revelations the cost had blown out to $45 billion.

“Local councils stepped up and did the work to prepare for Inland Rail – only to be left with nothing to show for it,” Mr Butler said.

“That is simply not good enough. These communities should not be financially penalised for a project the Federal Government has failed to deliver.”

To quantify the extent of the impact, Mr Butler is writing directly to Narrabri Shire, Warrumbungle Shire, Gilgandra Shire, and Lachlan Shire Councils, seeking detailed information on the costs they have already incurred.

“Money spent on this undelivered project is money that now can’t be spent fixing roads and providing services like community pools and childcare, as many regional councils do,” Mr Butler said. “Compensation is not optional – it’s a matter of fairness.”

Mr Butler has broader concerns about the Inland Rail project, including the absence of a finalised route to the Port of Brisbane or the Port of Melbourne, despite years of planning and investment.

He supports a more regional focus for infrastructure investment.

“Upgrades to the Newcastle rail line and port would streamline access to export markets for western NSW producers,” Mr Butler said.

“At the same time, we should be open to new opportunities like exploring a future freight connection to the Port of Gladstone.”