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New rail line floated to meet Illawarra’s growing freight demand

Written by Max Berry | Dec 16, 2025 12:00:00 AM

TRANSPORT for NSW has renewed a proposal first floated four decades ago to create a Maldon-Dumbarton rail freight link after recognising that the “Illawarra rail system presently lacks the capacity to support significant uplift in passenger services and freight rail capacity, to meet the changing and growing demand in the region”.

“Effectively servicing future passenger and freight demand is a key enabler of future prosperity for the region,” according to TfNSW’s Draft Illawarra Shoalhaven Strategic Regional Integrated Transport Plan.

“The South Coast Line has a duplicated main line track north of Unanderra junction, with only a single track to the south, and a lack of passing loops to augment line capacity.”

The report notes that growth to the south of the Wollongong metropolitan area, around West Lake Illawarra and Shellharbour, is generating increased travel demand which is making efficient freight transport more difficult.

“Large parts of the Illawarra and Shoalhaven rail networks operate with shared passenger and freight rail, which means the overall potential of the system to deliver increased capacity, reliability, and efficiency is constrained by interdependencies between passenger and freight operations with varying levels of complexity,” Transport for NSW comments.

With passenger and freight train requirements, management of the Illawarra rail network is shared between Sydney Trains and Australian Rail Track Corporation, reflecting multiple demands on the network.

“The transport of freight via the shared rail network is constrained by the needs of passenger transport, particularly during morning and afternoon passenger peaks. Freight trains may be held for up to 11 hours as passenger services are given priority,” the strategy notes.

“Constrained freight rail capacity is a limiting factor on volume of freight moved by rail in the region. The shared use of the South Coast Line by passenger and freight services places additional pressure on the network. Freight movements are vital for supporting the region’s manufacturing and export economy but can impact passenger rail scheduling, reliability and journey time.”

The need for access to Port Kembla and surrounding industrial areas will continue to drive demand for rail freight access, TfNSW notes, with the main freight movements to and from Sydney to the north and Moss Vale to the west. “The Manildra wheat starch and ethanol plant at Bomaderry will continue to be a significant generator of rail freight south of Unanderra.”

Road upgrades to support freight proposed in the strategy focus on Princes Highway bypasses to prevent bottlenecks at coastal towns south of Sydney.