Major Infrastructure Projects Commencing in 2025: State-by-State Insights!

As we approach the halfway mark of the 2020s; a decade already set to be defined by a global pandemic, transformative changes and record-setting infrastructure projects. Australia is poised for a year of significant development in 2025. Major projects in tunnelling, roadways, and railways are set to begin, marking a pivotal moment in the nation's progress.

Here's an overview of some key initiatives from developments in different states:

Queensland: Bruce Highway Upgrade

The Australian Government has committed $7.2 billion to upgrade the Bruce Highway, aiming to enhance safety along its 1,673 km stretch. The project is scheduled to begin in 2025, with the federal government funding 80% of the total cost.

It was reported there was 41 fatalities on the highway in 2024 hence the high federal funding and priority to get these works underway. The upgrade focuses on achieving a minimum three-star safety rating to reduce accidents and fatalities.

Western Australia: Alkimos Seawater Desalination Plant

The Alkimos Seawater Desalination Plant is a flagship project addressing Western Australia's growing water demands and climate challenges. Construction of the first six kilometres of the pipeline has commenced in Alkimos, with work on the remaining 27.5 kilometres to begin in 2025. The project is expected to be completed late in 2027, ahead of ASDP commencing operation in mid-2028 the plant will initially supply 50 billion litres of drinking water annually, with capacity to double in the future. Located within the Alkimos Water Precinct, it will use reverse osmosis technology and integrate seamlessly into Perth's water network via a 33.5-kilometer underground pipeline.

Key Details:

  • Capacity: Up to 100 billion litres annually (future stages).
  • Construction Timeline: 2024–2028.
  • Environmental Features: Designed with sustainability in mind, including concealed infrastructure and renewable energy initiatives.
  • Economic Impact: $1.1 billion investment creating 1,500 jobs and >170 apprenticeship positions.

The project is being lead by the Alkimos Seawater Alliance. This includes management from Acciona and Jacobs Group, with Georgiou being mentioned as preferred contractor to support the extensive pipeline works.

This initiative marks a significant step toward securing a sustainable water future for Western Australia.

Victoria: Following Victoria's Big Build initiative the state is advancing several major infrastructure projects to enhance transportation across the state.

West Gate Tunnel:

Set to open by the end of 2025, the West Gate Tunnel will provide a vital alternative to the West Gate Bridge. Key features include widening the freeway to 12 lanes and twin tunnels under Yarraville. Benefits include a 20-minute reduction in travel times and 9,000 fewer trucks on inner-west streets.

North East Link:

Tunnelling for the 6.5-kilometer North East Link is underway, aimed at removing 15,000 trucks from local roads and cutting travel times by up to 35 minutes. Completion is scheduled for 2028.

Suburban Rail Loop (SRL):

Construction is active at six stations on the SRL East between Cheltenham and Box Hill. Tunnelling will begin in 2026, with the first segment operational by 2035. The SRL will connect major rail lines and improve access across Melbourne.

New South Wales:

Late last year, roadheaders began excavating the access caverns for the new Pyrmont Metro Station, paving the way for tunnel boring machine (TBM) operations. 3 117-tonne roadheaders carried out the work, the bulk of the excavating is said to be almost complete, and soon the project will facilitate the arrival of TBMs Jessie and Ruby. These TBMs will construct the 2.3km tunnels that will link The Bays to Hunter Street in Sydney’s CBD.

The station will feature entrances on Pyrmont Bridge Road and Union Street, providing direct access to Darling Harbour, Blackwattle Bay and the new Sydney Fish Market. The metro will offer a two-minute ride to the CBD and a 13-minute trip to Sydney Olympic Park. A proposed 31-story mixed-use development above the station is under review, set to enhance the surrounding precinct.

This project is part of the Sydney Metro West initiative, transforming Sydney's transport network with faster, more reliable services.

Northern Territory

As part of the Regional Roads Corridor Infrastructure Investment Program the Australian Government has committed $72 million for the Port Keats Road – Wadeye to Palumpa (Nganmarriyanga) upgrade in the Northern Territory.

This project aims to:

  • Improve connectivity for remote communities.
  • Combat flooding issues.
  • Improve overall road safety.
  • Increase freight capacity.

construction is expected to commence in 2025 and complete late 2027.

Australian Capital Territory: Canberra Light Rail Stage 2B, Australian Capital Territory

The Australian Government has allocated $50 million to plan for Stage 2B of the Canberra Light Rail in the Australian Capital Territory. This stage aims to extend the light rail network, improving public transport connectivity within Canberra, with construction expected to commence following the planning phase.

The 5th ACT Major Projects Conference '25 is set to commence 22-23 May at the Hyatt Hotel Canberra. Be there if you want to know more about the long-term scope of works in the Capital Territory.

Tasmania: Lyell Highway Upgrade.

$100M joint funding from Australian ($80M) and Tasmanian ($20M) governments to upgrade the Lyell Highway between Granton and New Norfolk, improving safety and reducing travel times.

  • Upgrades may include additional lanes, widening, and realignment.
  • Aecom Australia is developing a strategy for the entire highway, with improvements integrated into broader plans.
  • Traffic between Granton and New Norfolk has grown 25% in 10 years, with 10,500 daily vehicles, driven by population growth and tourism.
  • Complements the Bridgewater Bridge project for smoother connections to the Brooker Highway.

South Australia: The Torrens to Darlington (T2D)

The Torrens to Darlington (T2D) project is a significant infrastructure initiative in South Australia, aiming to complete the 78-kilometer North-South Corridor through Adelaide. The project involves constructing tunnels and upgrading roadways to improve traffic flow and connectivity.

  • Completing Adelaide's 78 km North-South Corridor with two tunnels connected by an open motorway, forming a 10.5 km continuous, non-stop route to improve connectivity and reduce congestion.
  • $15.4 billion, with $8.64 billion allocated as of December 2024; remaining funds to be budgeted.
  • Major construction begins in 2025 and is projected to finish by 2031.
  • Thousands of jobs created during construction, boosting the local economy.
  • Enhanced traffic flow, improved road safety, and better connectivity for commuters, freight transport, and local communities.

And to Wrap Thing Up

These brief insights showcase just one of the many significant infrastructure projects underway in each Australian state and territory in 2025. While this highlights a fraction of the transformative work happening nationwide, there are countless other projects progressing that aim to improve connectivity, safety, and economic resilience across the country.

As the year unfolds, we’ll continue to share updates on these and other developments, keeping you informed on Australia’s record-setting infrastructure journey. Stay tuned for more updates as we explore the progress shaping the nation’s future.

Work Smart, Work Safe!