The Southern Highlands Train Overtaking Project continues to move forward in New South Wales as construction progresses on critical rail infrastructure designed to improve freight and passenger operations between Sydney and Melbourne.
The Australian Rail Track Corporation (ARTC) is delivering the project at Werai and Joppa Junction, where new crossovers, signalling systems and supporting infrastructure will increase network capacity and reduce delays. The project has now transitioned from design and procurement into active construction, with completion targeted for early 2027.
Southern Highlands Train Overtaking Project Current status update (2026)
The project has made significant progress since the original design contract was awarded in 2022. Following the award of the main construction contract to Abergeldie Complex Infrastructure in 2024, major civil and rail works are now underway across both project sites. Construction includes installing eight new rail crossovers, upgrading signaling systems, undertaking embankment works and improving access roads to support rail operations.
In May 2026, ARTC completed a 96-hour “super possession” across the Sydney-Melbourne rail corridor, allowing crews to install two new crossovers at Joppa Junction. The works marked another major milestone for the project while improving network resilience and reducing future transit times. More than 1,200 workers completed over 200 maintenance and construction activities during the possession.
Once complete, the project will allow freight trains up to 1,800 metres long to be overtaken by faster passenger services, improving capacity, reliability and operational flexibility on one of Australia’s busiest mixed-use rail corridors. ARTC expects the project to be completed in early 2027.
The project also complements the Sydney-Newcastle High Speed Rail program, which recently entered its development phase after Bechtel was appointed as the delivery partner. While the Southern Highlands project upgrades Australia’s existing interstate rail corridor, the Sydney-Newcastle High Speed Rail project will establish the country’s first dedicated high-speed passenger railway, supporting the broader modernization of Australia’s rail infrastructure.
Aim for the Southern highlands train overtaking project in New South Wales
The project will deliver overtaking opportunities for trains in the Southern Highlands at Werai. Moreover, the project will deliver overtaking opportunities for trains at Joppa Junction near Goulburn.
This will contribute towards a more efficient movement of passenger rail services as well as freight, especially on the crucial Sydney to Melbourne rail line. Additionally, it will increase flexibility as well as reduce delays that are currently being experienced.
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Currently, the necessary site investigations for the Southern highlands trains overtaking project in New South Wales have already taken place. Moreover, a thorough, as well as a detailed design for the project, is well underway.
ARTC will reportedly continue to consult with both the local communities as well as councils, keeping them up to date with the project’s progress.
Remarks of ARTC’s group executive on the project
The Group Executive of the Australian Rail Track Corporation spoke about the Southern highlands train overtaking project in New South Wales.
Mike Zambelli made an assurance that the project will deliver greater efficiencies, especially for the ARTC rail line. He concluded by revealing that the project will allow trains up to 1,800 meters in length to be overtaken by faster services.
The $46 million project will be funded by the Federal Government.
Project Fact Sheet
Project: Southern Highlands Train Overtaking Project (Southern Highlands Overtaking Opportunities Project)
Country: Australia
State: New South Wales
Project owner: Australian Rail Track Corporation (ARTC)
Current status: Construction underway (2026)
Construction start: 2024
Expected completion: Early 2027
Project value: Approximately A$59.9 million (about US$39 million)
Australian Government contribution: A$41.56 million
Locations: Werai (near Moss Vale) and Joppa Junction (near Goulburn)
Project scope:
- Installation of eight new rail crossovers
- Signalling construction, testing and commissioning
- Track realignment and upgrades
- Civil embankment works
- Access road improvements
Key objective: Improve freight and passenger rail efficiency between Sydney and Melbourne
Main benefit: Enable freight trains up to 1,800 metres long to be overtaken by faster passenger services
Rail corridor: Sydney-Melbourne interstate rail line
Project Team
Project owner: Australian Rail Track Corporation (ARTC)
Funding partner: Australian Government
Lead delivery agency: Australian Rail Track Corporation (ARTC)
Detailed design consultant: Lycopodium
Construction contractor: Abergeldie Complex Infrastructure
Signalling contractor: Delivered under Abergeldie’s construction package
Environmental approvals: Australian Rail Track Corporation
Community engagement: Australian Rail Track Corporation
Project management: Australian Rail Track Corporation
Future operator: Australian Rail Track Corporation (interstate rail network)
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