Entertainment centre, John Hunter and more: Hunter's budget winners and losers

The state government has allocated $14 million to kick-start the planning and development of the Broadmeadow Precinct, including a new entertainment centre.

The investment, to be spent over the next year, was the Hunter highlight from a state budget clearly geared towards the upcoming election campaign.

Further details about Broadmeadow Precinct's costs and timelines, which are expected to extend over three decades, were not included as part of Tuesday's announcement.

The budget papers indicated funds had been set aside to support Tomago Aluminium as part of a Commonwealth-state bailout.

However, the state did not indicate how much it was prepared to contribute due to the ongoing negotiations with Canberra.

Health

The government once again avoided investing in Stage 2 of the John Hunter Hospital Health and innovation precinct.

It allocated $82.2 million to continue Stage 1 works for the next 12 months.

The funding incorporates part of the $55 million that the government announced last week to address project cost blowouts.

The budget papers also included $1 million for the establishment of a new paediatric oncology unit at John Hunter Hospital.

In other Hunter health spending, the government will spend $45.8 million over the next 12 months on the $137.9 million Cessnock Hospital redevelopment.

More than $16 million was allocated to the development of the $22 million Maitland Integrated Community and Community Mental Health Service at Metford.

Almost $7.5 million will be spent on a new car park at Maitland Hospital.

A government spokesman said the Calvary Mater Hospital's ongoing mould crisis is expected to be addressed as part of a $400 million statewide hospital maintenance blitz.

The public-private partnership was allocated $3.1 million over the next 12 months as part of a 25-year $83.3 million cyclical maintenance budget package.

Schools and education

The budget has allocated about $200 million for new and existing school projects across the region.

More than $14 million was allocated for projects at Cooranbong Public School, Maitland Grossman and Chisholm.

The Tighes Hill TAFE centre of excellence will also share in $31.9 million in new funding.

Roads funding

Major Hunter road projects needed to support the region's population and economic growth will continue to receive funding.

The budget allocated $201 million to continue work on the state-Commonwealth funded M1 to Raymond Terrace extension, which is running ahead of schedule.

Similarly, $74 million was allocated for the Muswellbrook Bypass and $94.6 million for the Singleton Bypass.

A further $6.3 million will be allocated towards the completion of the $481 million Newcastle Inner City bypass.

A further $4.5 million will go towards the Nelson Bay Road upgrade, $20 million to Stage 1 of the Hillsborough Road upgrade and $12.1 million towards the Speers Point intersection upgrade.

Another $104.2 million will be spent over the next years to upgrade roads between the Port of Newcastle and the state's central west to allow for the transportation of clean energy infrastructure

Clean energy and transition

Billions of dollars of new investment have been poured into new clean energy generation and storage projects across the state, particularly in the Hunter.

The newly established $115.5 million Newcastle Port Logistics Precinct at Mayfield, which will be used to store clean energy infrastructure, will continue to evolve with an allocation of $59.6 million for the next 12 months.

Another $2.2 billion will be spent over the next four years on the construction of the $4.7 billion Hunter Transmission Project that will connect Eraring and Bayswater power stations.

More than $16 million has been allocated for work between Muswellbrook and Armidale as part of the New England Renewable Energy Zone.

Coal royalties continue to pour in

The government will reap about $3 billion in coal royalties over the next 12 months despite major shocks in the global economy.

Since the 2025-26 half-yearly review, royalties have been revised up by $84.0 million in 2025-26 and $186.0 million in 2026-27 to reflect higher thermal coal prices in response to major disruptions to the flow of oil and gas resulting from the conflict in the Middle East.

Since the outbreak of the conflict, thermal coal prices have increased by more than 20 per cent, resulting from energy security concerns and gas-to-coal switching by major Asian trading partners.

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