A federal Labor government would contribute $250 million towards the construction of the Singleton bypass.
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Shadow Infrastructure and Transport Minister Anthony Albanese said the contribution would cover half the expected cost of the project and would be contingent upon it being matched by the NSW Government.
The funding commitment follows confirmation from the State Government that it will inject $266 million into the Muswellbrook bypass project if reelected.
The funding would enable construction to start by 2022 and take an estimated three to four years to complete.
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The Singleton bypass has been regarded as a key piece of Upper Hunter transport infrastructure for more than a decade.
The town is now regarded as one worst choke points in the region for morning and afternoon traffic.
Planning for the project, including the route and final costing, remains incomplete.
Member for Hunter Joel Fitzgibbon said he had been lobbying the state government for eight years to get the project underway.
"This is a desperately needed project and I will be putting as much pressure as I can on the State Government to make it a reality," Mr Fitzgibbon said.
“Already NSW Labor Leader Michael Daley has responded by committing the funds needed to bring the project to shovel-ready status."
“In my years as the local member I’ve had to fight for four big New England Highway projects: the Belford Bends Deviation, the Scone Bypass, the Muswellbrook Bypass and the Singleton Bypass.
“The first two are complete and with Federal Labor’s announcement and Michael Daley’s commitments today, we hope to start building the other two soon."
Mr Albanese said the bypass was an essential piece of regional infrastructure.
“The Singleton Bypass will boost productivity, improve road safety and make a real difference to the quality of life of the people of Singleton.
“The Hunter is a dynamic and growing region and Labor is focused on delivering the infrastructure required to underpin its ongoing growth.’’
The Singleton bypass project has drawn comparisons to the 39.5 kilometre Hunter Expressway project which was first proposed in 1988 but which was not completed until 2014.