Victoria Premier Ben Carroll has defended his government’s latest election commitment to cap public transport fares at $30 per week for two years, describing the $206 million pledge as “sensible” amid widening spending and rising state debt. The announcement came on Monday, one day after the government unveiled a $19 million pledge to cap road tolls at $30 per week for one year ahead of the November 28 state election.

Together, these promises increase Labor’s spending and tax relief commitments to more than $4.1 billion since Carroll succeeded Jacinta Allan as premier in July. This figure includes about $2.9 billion in proposed savings, according to an analysis of the Parliamentary Budget Office’s election tracker and additional policy releases. However, the full cost of Labor’s election promises is expected to be higher, as several commitments remain without formal costing.

Labor’s proposed savings targets include $2 billion from scaling back the Suburban Rail Loop project, though this reduction has not yet been fully secured. Another $686 million is expected to come from deferring eight level crossing removals. Opposition Leader Jess Wilson has responded with her own plan, outlining more than $6 billion in spending alongside claimed savings exceeding $24 billion, primarily through a decade-long freeze on public service recruitment and cuts to government expenditure. Nonetheless, her party’s promises also exclude some uncosted commitments, including tax reductions estimated by economist David Hayward to cost approximately $7 billion over four years.

Addressing concerns about fiscal responsibility, Carroll emphasized his government’s efforts to find efficiencies and reduce costs elsewhere. He pointed to savings on the Suburban Rail Loop, streamlining government operations, and reducing ministerial positions as evidence of a commitment to financial prudence. “This has been leadership from the top, and tone from the top, that we must be financially responsible,” he said.

Despite the escalating debt, forecast to reach nearly $200 billion by 2030, Carroll declined to commit to a debt ceiling. He highlighted a recent financial review that showed debt decreasing and budget surpluses increasing, asserting efforts to find savings to help ease the cost-of-living pressures facing Victorians.

The public transport fare cap has also raised questions about the government’s ongoing $2 billion transition to tap-and-go payment systems, with officials clarifying that users should continue to use their Myki cards while the new technology is rolled out. Public Transport Minister Sonya Kilkenny advised commuters “to use your Myki card” until credit and debit card payments are fully integrated, expected by January.

Victoria’s 2025-26 financial report, released last week, showed the government spent nearly $900 million more than forecast, despite stronger revenue. The state recorded a $2.4 billion operating surplus, $1.7 billion higher than expected, and net debt was $4.7 billion lower than anticipated at $160.7 billion as of June 30. However, the government continues to face substantial debt servicing costs amid efforts to balance the budget.

Carroll urged the opposition to clarify how it would finance its own spending promises. Wilson rejected Labor’s public transport fare cap, asserting that the state could not afford additional spending burdens. She has called for a more restrained fiscal approach, arguing that the government must prioritize sustainable financial management ahead of the election.