This level of funding would cover maintaining road conditions at their current level while replacing ageing infrastructure.
In recent years, annual funding for roads has risen from $900 million to $1 billion.
On August 30, the Victorian Government announced that it would provide an extra $352 million for roads this year as a one-off payment to double the number of potholes filled.
In July, the Coalition announced it would spend $5 billion over four years on roads, an increase of around $250 million per year.
Regional Cities Victoria has been campaigning for an extra $500 million per year.
The report also detailed the scope of deteriorating roads across Victoria.
In 2024, 48 per cent of state roads were in poor or very poor condition, compared to 39 per cent in 2021.
The gap between defects recorded and defects repaired has doubled from January 2025 to June 2026.
The Loddon Mallee region was identified as the worst area for remaining useful life of roads, with the Hume region performing second worst.
One key finding was that the government needed to improve oversight of contractors.
While the Department of Transport and Planning has defined standards, there is a lack of effectiveness in oversight, which means that the department cannot be confident that its standards are consistently met.
VFF president Ryan Milgate said the findings further reinforced the fact that Victoria’s roads were in crisis.
“This is a damning report, but it won’t come as a surprise to anyone living in regional Victoria,” Mr Milgate said.
“We have been telling the government for years that our roads are crumbling and the current approach is simply not keeping up.
“Farmers are driving these roads every day. We see the potholes, the crumbling road edges and the endless temporary patches. The road network is deteriorating faster than the government is repairing it.”
The report also found a third of Victoria’s roads have just five years of usable life remaining and the Department of Transport has warned it needs at least $3 billion a year to maintain them.
Mr Milgate said the figures demonstrated that Victoria’s current level of road investment was not sustainable.
“You cannot keep underfunding road maintenance and expect the network not to deteriorate,” he said.
“The numbers are now telling us exactly what farmers and regional Victorians have been telling us for years.
“We’re all paying for these roads to be maintained, so it is not good enough for repairs to be delayed, or for taxpayers to then pay again when poor-quality work has to be redone.”
6°C