Victorian Budget 26/27
The Victorian Budget 2026/27 was delivered on Tuesday, 5 May 2026 by Victorian Treasurer the Hon. Jaclyn Symes.
Key items within the budget – or those that are excluded from the budget – impact Frankston and the Mornington Peninsula.
As the leading advocacy body for this region, the Committee for Frankston & Mornington Peninsula (CFMP) is committed to influencing better policy outcomes and attracting significant funding for Frankston and the Mornington Peninsula.
While there is significant funding towards Victoria’s Renewable Energy Terminal proposed for the Port of Hastings – progressing this vitally important regional project even further – there is no funding for critical road upgrades, public transport, easing of business taxes, crisis support accommodation or the redevelopment of Rosebud Hospital.
$124.5 million for Victorian Renewable Energy Terminal (VRET)
The Victorian Budget 2026/27 invests $124.5 million to progress activities for the Victorian Renewable Energy Terminal at the Port of Hastings.
This funding will progress the Environmental Effects Statement (EES) process for the first offshore wind port of its kind in the country.
The Committee welcomes this announcement which will provide more certainty to the offshore wind industry, local business, and residents.
CFMP CEO, Josh Sinclair, said the “Renewable Energy Terminal will facilitate and enable offshore wind in Gippsland by assembling the turbines at the Port of Hastings. This terminal is a critical component in the Government’s capability of delivering more reliable renewable energy. It will provide significant uplift to Hastings and Western Port townships, and drive economic growth in clean, future-led industries across the Mornington Peninsula.”
Since 2023, the Committee has been a loud advocate for the proposed terminal and the benefits it will deliver in local jobs and training.
Hastings has the unique opportunity to play a pivotal role in Victoria’s transition to renewable energy, with the Gippsland Offshore Wind Zone a key component of the transition.
The Victorian Renewable Energy Terminal is currently undergoing a full Environmental Effects Statement (EES) process. Following planning approvals and environmental assessments, works should proceed without delay.
The Committee welcomes this announcement from the Victorian Government, with the support of local Members Paul Mercurio MP and Tom McIntosh MP.
Taxes
The Budget contains no concessions to payroll tax or land tax obligations for Peninsula residents or businesses.
No Funding for Local Road Upgrades
The Victorian Budget 2026/27 will invest $102.6 million for vital road projects across the state – an initiative the Treasurer described as ‘the biggest road blitz in the state’s history’.
$73.4m will be directed to roads across Regional Victoria, while $29.2m will be allocated to road upgrades in Metropolitan Melbourne.
Regrettably, not a single road across Frankston City or the Mornington Peninsula Shire is included in the list for resurfacing or intersection upgrades.
The Committee's Strategic Plan 2030 identifies major intersections and road upgrades across our region which would improve safety, congestion and productivity.
CFMP members are calling for more government funding to make our 'regional' roads safer, ease congestion, and enhance connectivity.
Unfortunately, this budget doesn’t deliver that.
Bus 'bonanza' for some, pittance for the Peninsula.
Described as a 'bus bonanza', the Victorian
Budget 2026/27 will invest almost $100 million to expand bus hours and weekend services, deliver new and upgraded routes in growing
suburbs, and boost services connecting to universities.
As identified by the Committee's Benchmarking report, extremely limited access to public transport on the Mornington Peninsula is having an
impact on young people 18-25 staying in our region; so any investment into new bus services are most welcome.
Unfortunately, that hasn't happened.
CFMP CEO, Josh Sinclair, said “the so-called bus-bonanza hasn’t reached our part of Metropolitan Melbourne”
Despite 82% of the Mornington Peninsula Shire having no access to public transport, the Victorian Government’s $100 million Budget ‘bonanza’ features no new, additional, or amended routes for Mornington Peninsula residents.
Two additional services announced between Karingal Hub -> Seaford and Frankston -> Carrum are welcome, but the critical lack of bus services, an ageing network and a decades old timetable for the Mornington Peninsula looks set to once again be overlooked by another State budget.
Victorian Government fails to deliver upgrades to Rosebud Hospital
Despite significant community pressure, media coverage, and the recent Nepean by-election, the Victorian Government has failed to deliver funding for a redevelopment of Rosebud Hospital.
It has however budgeted funding for Dandenong Hospital upgrades for $300 million.
The new $1.1 billion Peninsula University Hospital is a major health hub for the south east of Melbourne, though Dandenong Hospital is 26.5km away compared to Rosebud Hospital's 37.7km drive.
While health infrastructure investment in the south-east of Melbourne is absolutely critical - including in cities like Dandenong - the Committee continues to call on the Victorian Government to acknowledge the southern peninsula's community desire to fix the hospital and immediately match the Victorian Opposition's $340 million commitment to 'completely rebuild' Rosebud Hospital.
