State Budget 2011-12: Building the State - $15million upgrade for South Street-Murdoch Drive intersection

The Liberal-National Government is paving the way for better access and traffic flow to Fiona Stanley Hospital and Murdoch Activity Centre with a major upgrade of the South Street/Murdoch Drive intersection.

The $15million project - $2.5million of which will be used in 2011-12 to enable planning and pre-construction activities to begin - is expected to be completed in time for the opening of the State's new flagship hospital.

Transport Minister Troy Buswell said the upgraded intersection reflected the overall strategic approach to developments that was the hallmark of the current Liberal-National Government.

"The new hospital and activity centre, with existing institutions in the area, including St John of God Hospital, the TAFE complex and Murdoch University, will generate about 35,000 jobs - one of the biggest concentrations of employment outside Perth's CBD,"  Mr Buswell said.

"This upgraded intersection is needed to accommodate the predicted increased traffic volumes.  Rather than wait for the problem to arise in 2014, we are planning and acting now for the future as a responsible and capable government should."

Traffic modeling shows that more than 50,000 vehicles a day will use the South Street-Murdoch Drive intersection by 2021.