The New South Wales (NSW) Government has allocated $2 billion in its 2024-25 budget to commence the construction of the Parramatta Light Rail Stage 2 project.

The 12-kilometer light rail extension will connect the Parramatta central business district (CBD) to the Sydney Olympic Park precinct, passing through several growing western suburbs like Wentworth Point, Melrose Park, Ermington, Rydalmere, and Camellia. The project includes 14 new stops, three river crossings, and 8.5 kilometers of walking and cycling paths.

Premier Chris Minns stated that the government is delivering on the promised infrastructure for the fast-growing communities in Western Sydney, which had been long-awaited. Initial construction work is set to begin later this year on a new 320-meter bridge over the Parramatta River, connecting Melrose Park and Wentworth Point for public and active transport.

The project has received planning approvals from the NSW government and environmental approval from the federal government. Premier Minns highlighted that Stage 2 will directly link Parramatta to the Sydney Olympic Park precinct, with the light rail forecast to carry 28,000 passengers per day by 2026.

Transport Minister Jo Haylen emphasized the need for better public transport in the area and noted that the Stage 1 Parramatta Light Rail line is on track to open to commuters in the coming months. The investment is part of the government's broader plan to build stronger, well-serviced communities in NSW by coordinating infrastructure with housing development.

Local member Donna Davis, who previously served as Parramatta's Lord Mayor, welcomed the investment after years of advocacy for the project.