Victoria's roads in poor condition due to privatisation and funding gaps
Consensus Summary
Victoria’s state roads are in crisis, with nearly half in poor or very poor condition as of 2024, up from 39 per cent in 2021, according to the Victorian Auditor-General’s Office. Both ABC and THEAGE report that the decline outpaces repairs, with the Department of Transport and Planning estimating $3 billion a year is needed to maintain current conditions. The upcoming November 28 state election has made roads a key issue, with Labor pledging to double pothole repairs this year and bring maintenance back in-house after decades of privatisation starting in the mid-to-late 1990s. The Coalition has countered with a $5 billion over four years plan to repair and rebuild roads, though neither party has committed to the full $3 billion annual funding. Former VicRoads staff blame privatisation for neglecting maintenance, while rural areas like Loddon Mallee and Hume face the worst conditions, with 69 per cent and 57 per cent of roads in poor shape respectively. Both sources agree the gap between defects recorded and repairs has more than doubled between January 2025 and January 2026, highlighting a growing backlog.
✓ Verified by 2+ sources
Key details reported by multiple sources:
- 48 per cent of Victoria’s state roads were in poor or very poor condition as of 2024
- The Victorian Auditor-General’s Office report found 48 per cent of state roads were in poor or very poor condition in 2024, up from 39 per cent in 2021
- The Department of Transport and Planning estimates it would cost more than $3 billion a year to maintain road-pavement conditions at their current level
- The Coalition has pledged $5 billion over four years to repair and rebuild the state’s roads
- The government has committed to bringing road maintenance back in-house
- The gap between the number of defects recorded and the number repaired more than doubled between January 2025 and January 2026
- The gap between defects recorded and repaired also more than doubled between January 2025 and June 2026
- The state election is scheduled for November 28
- The Labor government has pledged to double pothole and road repairs this year
- The 2026–27 business case for road maintenance was referenced in discussions about funding needs
Points of Difference
Details reported by only one source:
- Former VicRoads staff blame decades of privatisation, starting in the mid-to-late 1990s, for the decline in road quality
- Jeff Moran, a former VicRoads road construction engineer, said flexible pavement (crushed-rock type) was prioritised over rigid pavement (concrete) in Victoria
- Gary Rusmand, a former VicRoads worker, noted that skilled workers moved to private companies after privatisation, raising maintenance costs and reducing repairs
- Western Australia brought its road maintenance back in-house four years ago, leading to improvements over the last 10 years and significantly over the last four to five
- John Lambert, a retired VicRoads engineer, said increasing safety standards raised costs dramatically, requiring more workers per crew
- The Liberal-National coalition has pledged to reinstate the Country Roads and Bridges Program
- The ABC reported 112,000 tyre punctures recorded last year due to potholes
- The government allocated $1.04 billion to road asset management in this year’s budget, with an additional $352 million announced to double pothole repairs this year
- The report found that 69 per cent of state-run roads in the Loddon Mallee are in poor or very poor condition, with 57 per cent in Hume and 48.6 per cent in the Grampians
- There are currently 8049 unrepaired potholes listed around Victoria, with Towong (445), Moyne (386), and Mornington Peninsula (382) being the worst-affected areas
- Rural Councils Victoria called for an extra $500 million over four years to address road funding gaps
- The opposition Coalition promised to fix a million potholes over four years, though it did not commit to the $3 billion annual funding figure
- The report noted that one in eight routine maintenance works carried out by government contractors were defective and required extra work
- The government’s extra funding commitment is $500 million over four years to repair 500,000 potholes this year, doubling its original target
Where the reporting differs
Details that conflict, or appear in only some outlets:
- The ABC states the Coalition pledged $5 billion over four years, while THEAGE does not specify the exact amount but mentions a $5 billion pledge in the same context
- The ABC mentions the Coalition’s reinstatement of the Country Roads and Bridges Program with $288 million over four years, but THEAGE does not mention this specific figure
- The ABC states the government allocated $1.04 billion to road asset management in this year’s budget, while THEAGE states the government committed an unspecified additional funding to repair 500,000 potholes this year
Source Articles
Former VicRoads staff blame privatisation for state's crumbling roads
Former VicRoads staff say privatisation and road-building techniques are behind the horrific state of Victoria's roads.
Almost half of Victoria’s roads in poor condition, as decline outpaces repairs
A new report has found that state government-managed roads around the state are deteriorating faster than they’re being fixed, as parties scramble for solutions before the election.
Auditor-general finds nearly half of Victoria's road in very poor condition
The Victorian auditor-general has found that 48 per cent of state roads were in a "very poor condition" in a report released today.
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