A KEY Melbourne tram route could be extended under a revamp of a rundown CBD intersection.

The Herald Sun can reveal the Napthine Government is seriously considering a plan to run Elizabeth St trams into Flinders St.

Lord Mayor Robert Doyle strongly backs the move, saying that the intersection needs “a whole lot of love” and would benefit from the removal of the Elizabeth St tram terminus.

“If the tram goes around the corner it gives us the opportunity to consider removing parking, extending the footpaths, doing tree planting to make it a beautiful intersection rather than the mess that it is right now,” he said.

A spokeswoman for Transport Minister Terry Mulder said the Government was evaluating a number of tram improvements including linking the Elizabeth and Flinders streets tracks.

“We are still gathering more information and will discuss these matters with stakeholders, such as the Melbourne City Council, before we make any decision,” she said.

It is understood that the Government wants to upgrade the Elizabeth St-Royal Pde route as compensation for rejecting the Metro 1 rail plan, which would have included an underground station in the busy Parkville health precinct.

Cr Doyle said his preference was for Elizabeth St trams to turn right into Flinders St and link up with destinations such as Southern Cross Station.

“It will be very important as the Parkville precinct grows that the Elizabeth St-Royal Pde tram route becomes as busy as Swanston St,” he said. “This is the first step towards extending our tram network to make it serve a busier city.”

Committee for Melbourne CEO Kate Roffey said it was a good idea because Flinders St needed more tram services and it suited a strategy to move trams to the western side of town.

The RACV has previously proposed that cars be banned from Elizabeth St between Flinders and Bourke. The Greens have a similar policy to keep vehicles out of Elizabeth St near the Flinders St end.

john.masanauskas@news.com.au