Hobart City Deal

All three levels of government have confirmed a City Deal for Hobart, aimed at reducing congestion, supporting its tourism and science industries, and opening Tasmania up to the world.

The Hobart City Deal includes:

  • An international gateway — $82.3 million for border services including immigration, customs and biosecurity at Hobart International Airport
  • A hub for jobs — Utilising Macquarie Point’s full potential as a major scientific, tourism and cultural hub, with the Federal Government providing more than $450 million for the upgrade of Australia’s Antarctic research station network and supporting infrastructure as part of our ongoing efforts to back Hobart as the gateway to Antarctica
  • Busting congestion — An extra $25 million from the Federal Government and $105.5 million from the Tasmanian Government for projects including the Kingston bus interchange, easing traffic congestion in the Kingston area and activating the northern suburbs transit corridor, on top of the $576 million replacement of the Bridgewater Bridge, funding for a fifth lane on the Southern Outlet and setting up a Derwent River ferry service
  • Affordable housing — Boosting the supply of community housing across the city with a $30 million investment from the Morrison Government for projects in partnership with community housing providers, delivering over 100 new dwellings
  • Prime Minister Scott Morrison said the ten-year $1.43 billion Hobart City Deal would open the city up by tackling congestion bottlenecks, boosting tourism and making the airport a true international gateway, driving scientific investment and creating an extra 720 jobs.

“The $1.43 billion investment going into the Hobart City Deal is about driving investment into the city to make it an even better place to live and work, but also to drive benefits well beyond Hobart for all Tasmanians, whether in the north or the south, especially through the investment in the airport,” the Prime Minister said.

“With ink on the page on this landmark second City Deal for Tasmania, the state will be in prime position make the most of its tourism draw cards and its potential as a science hub.”

Minister for Cities, Urban Infrastructure and Population, Alan Tudge, said the Hobart City Deal relied on productive collaboration between all three levels of government.

“The Deal will make sure we get ahead of the curve on population growth, bust congestion and address housing affordability issues,” Mr Tudge said.

“We will undertake the single largest Tasmanian transport infrastructure project—the $576 million replacement of Bridgewater Bridge.”

Mr Tudge said the success of the Launceston City Deal demonstrates the benefit of governments coming together, agreeing on a vision for the city and then aligning their policy and investments to achieve that vision.

Together the Launceston and Hobart City Deals have attracted over $1.8 billion in investment in Tasmania.

“Through collaboration between all three levels of government, the City Deal secures $1.43 billion of investment and a long term plan to help facilitate growth, create jobs and improve livability for our state’s capital,” Mr Hodgman said.

Tasmanian Treasurer, Peter Gutwein, said the City Deal will further enhance Hobart’s reputation as the pre-eminent gateway to Antarctica by building on past investments with the development of a world-class Antarctic and scientific precinct at Macquarie Point.

“Macquarie Point is one of the most attractive, centrally located capital city development sites in the entire country. By taking full advantage of the site’s potential we can unlock millions of dollars of investment, create hundreds of jobs and deliver a hub that will serve the community for generations to come.”

The deal will also see the city deal partners activate the Northern suburbs transit corridor through transit-oriented development that underpins urban renewal and improves housing supply and affordability whilst reducing congestion.

The City Deal comes in addition to over $1 billion in other transport infrastructure investments from the Australian Government, including upgrades to the Midland and Bass Highways, the Tasmanian Freight Rail Revitalisation project, and the Hobart Airport Runway Extension and Interchange projects.


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