The state government has announced a modernisation process of VicRoads which will see the government organisation partially privatised, leading to license and online testing being made free.
The government has engaged a consortium of Aware Super, Australian Retirement Trust and Macquarie Asset Management to deliver the modernisation process.
The joint venture is a 40-year partnership in which the government will retain ownership of VicRoads, while generating $7.9 billion in proceeds for the state, which will be invested in the new Victorian Future Fund to help manage pandemic debt.
Among the benefits of the modernisation will be easier registration and licensing, as well as safe driving rewards, upgraded customer service systems and better custom plates services.
License and online testing costs will be made free under the changes and drivers who have not incurred demerit points or committed road safety offences in the three years prior to their licence expiring, will be rewarded with a 25 per cent discount on their licence renewal.
Under the partial privatisation, the government has committed to protect the jobs of existing VicRoads employees, while creating up to 80 new jobs to oversee the partnership, support the IT modernisation process and bolster the government’s road safety role.
Roads and Road Safety Minister Ben Carroll said the agreement will protect the jobs and conditions of VicRoads workers and will create new roles.
“It’s a terrific start for the Victorian Future Fund, which will deliver major benefits for Victorians as we continue to recover strongly from the shocks of the pandemic,” Treasurer Tim Pallas said.
