Mayors blast Albanese Government over Rail Trail snub

By Published On: May 23, 2026

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The Albanese Government has been accused of abandoning the region after refusing to fund the final “missing link” of the Northern Rivers Rail Trail.

The failed application sought about $44 million to complete the unfinished sections linking  Crabbes Creek in the Tweed, through Byron Bay to to Lismore.

Richmond MP Justine Elliot attempted to distance herself from the decision, blaming an “independent expert panel” for rejecting the bid.

“Unfortunately, I have been advised that the independent panel did not consider the application meritorious,” Ms Elliot said in a statement to Ballina News Daily.

She said project was rejected because it was not considered “shovel-ready” and still had approvals pending.

But the explanation has sparked frustration across the region, with critics questioning why Labor failed to secure funding for a project already delivering major tourism benefits elsewhere on the trail.

“Missed opportunity” for Northern Rivers

Ballina Shire Mayor Sharon Cadwallader said the decision was deeply disappointing and represented a major lost opportunity for the region.

“This was a significant opportunity to invest in regional tourism, economic growth, community wellbeing and active transport across our region,” she said.

Cr Cadwallader said the already completed sections had demonstrated exactly what the project could deliver.

“The rail trail has demonstrated enormous success in the sections already completed, attracting visitors, supporting local businesses, creating jobs and giving locals and tourists alike another reason to experience the beauty of the Northern Rivers,” she said.

She also questioned the practical reality of councils being expected to spend millions preparing “shovel-ready” applications without any guarantee funding would follow.

“It’s a chicken and egg situation for councils,” she said, noting local government could not always afford to gamble huge sums on studies and approvals before grants were secured.

Cr Cadwallader said the project would have delivered benefits right across the Northern Rivers, including through increased visitor numbers coming via Ballina Byron Gateway Airport.

Hogan: “Labor has walked away”

Federal Page MP Kevin Hogan pointedly noted he secured Federal funding for the Casino to Lismore section while in government.

“There has been no new Federal funding for the Rail Trail since I secured funding for the Lismore to Bentley section in 2021,” Mr Hogan said.

“Since then, the Government has failed to step up and finish the job.”

Mr Hogan said the rejection was a devastating blow for local businesses, tourism operators and regional communities.

The Rail Trail has already proven itself as a major success story,” he said.

“The completed sections are delivering real economic benefits to local towns and businesses.

“The next stage through Lismore was ready to go. Councils were working together. The community was behind it. The economic case stacked up. But Labor has walked away.”

Kevin Hogan MP with guests including Northern Rivers tourism executive Cameron Arnold and Richmond Valley Mayor Robert Mustow at the Casino to Lismore rail trail funding announcement in 2019

Mr Hogan said close to 100,000 people a year were already using parts of the trail network.

“The community has done the hard work. Councils have done the planning. What’s missing is leadership from this Government,” he said.

Lismore mayor ‘bitterly disappointed’

Steve Krieg said the rejection had left councils and communities across the Northern Rivers stunned and frustrated after waiting two years for an answer.

He said councils had been left planning around the expectation funding would eventually arrive.

“We were planning on getting this money through to be able to progress the rail trail,” he said.

Cr Krieg also suggested the size of the application may have counted against it and flagged smaller, staged funding applications may be the best approach in future.

“Maybe $42 million is biting off a bit more than was practical,” he said.

He maintained the Lismore component of the project was effectively “shovel ready” to proceed.

Byron mayor launches attack on Labor

A section of the completed rail trail from Murwillumbah to Crabbes Creek

Sarah Ndiaye used an ABC North Coast interview yesterday to launch a stinging attack on the Albanese Government, accusing it of decimating regional funding.

“If anybody had a really close look at the budget, they would have seen regional areas were gutted in terms of funding,” Cr Ndiaye said.

“Over $300 million was taken out of the regions through various grant programs.”

Cr Ndiaye said councils had spent two years working on the application and had revised it multiple times following feedback from government representatives and funding bodies.

“If there was something that was going to rule it out … it should not have taken two years to say that to us,” she said.

Despite the setback, regional leaders insist the push to complete the Rail Trail is far from over, with pressure now expected to intensify ahead of the next state and federal elections.

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