THE Tonsley rail project is now in doubt after Assistant Infrastructure Minister Jamie Briggs said the Federal Government would withdraw funding.

It comes after the Federal Government revealed it would not pitch in for the electrification of the Gawler line.

Mr Briggs told radio this morning that because the Tonsley rail project was urban rail it was not something they would go ahead with.

But state Transport Minister Tom Koutsantonis says Prime Minister Tony Abbott and Premier Jay Weatherill had agreed the Tonsley Park Public Transport Project would go ahead.

He released a letter from Transport Department chief executive Rod Hook to the Federal Department emphasising that work had already started because both levels of government had agreed it should, and that the Federal Government was providing $31.5 million towards it.

The stoush between Mr Briggs and Mr Koutsantonis that erupted on radio this morning is set to continue as they cannot agree on the chain of events or the status of the funding.

Opposition tansport and infrastructure spokeswoman Vickie Champman said Mr Koutsantonis should be removed if he had "recklessly proceeded with a project without a formal funding instrument in place".

"The rail component of the Tonsley Public Transport Project is only $18 million, which is almost half what the state contribution for the total project is," she said.

"The project is supposed to be ready by December for services to resume on the Tonsley line and was supposed to be paid for with funds leftover from the Northern Expressway that were already in state accounts."

EARLIER

PLANS to electrify the Gawler train line have been torpedoed just a day after being reannounced, as the Federal Government withdraws $76.2 million in expected funding.

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The Advertiser can reveal Federal Infrastructure and Regional Development Minister Warren Truss has written to the State Government advising it of the shock move. A furious State Goverment has condemned the cut as an "act of bastardry" that will kill off the project.

Premier Jay Weatherill on Tuesday said he had "reconfigured" the long-promised upgrade and would start work by the end of this year, with completion expected in 2015. He spruiked it as one of the "first steps" towards ensuring his 30-year transport vision became reality.

Mr Truss' five-sentence letter to SA Transport and Infrastructure Minister Mr Koutsantonis, sent yesterday, says funding earmarked by federal Labor before the election will not be delivered.

"The Australian Government is focusing its investment priorities on rail freight projects and the delivery of roads and highways to improve productivity and safety for all road users," he writes.

"I understand you have been working to progress your proposal to electrify the Gawler line.

"I am writing to advise you of my decision to withdraw the remaining Australian Government funding from the Gawler Line Modernisation project."

Removal of Federal Government funding effectively means Mr Weatherill must find an extra $76.2 million from an extremely tight State Budget to finish the project, or abandon the project.

About 10,000 passengers use the line each weekday when operational.

Mr Koutsantonis yesterday said he first learnt of the move from The Advertiser.

"Ripping this out is a complete act of bastardry on the people of the north," he said.

"The Prime Minister's personal discussions with the Premier were that if we'd gone out to tender, they would be honoured. "This is a breach of that promise.

"We've gone out to tender on Gawler, we had an agreement with the government of the day.

"They are killing this project and breaking the hearts of everyone in the north."

News_Rich_Media: Electric train trial

Assistant Federal Infrastructure and Regional Development Minister Jamie Briggs said the Coalition had made clear during the campaign it did not intend to fund urban rail.

He also attacked the State Government for failing to consult with his department over the 30-year transport vision it released on Monday. He said $2 million pledged by the previous Labor federal government to help develop the plan would also not be paid.

"We were really dismayed by that plan, which had been released without consultation with us despite the fact that is seeking a lot of Federal Government money," Mr Briggs said.

"They really need to show some good faith and work out what their priorities are."

The Gawler electrification plans announced by the State Government this week were a significant shift from those included in its May Budget. At the time, a total $152.4 million was to be spent over three years to electrify the Gawler line from the Adelaide to Dry Creek.

A new electrical substation at Kilburn was also to be built.

The State Government now says construction of the substation can be "staged", allowing the line to be electrified all the way to Salisbury for the same total project cost.

Work now planned on the Gawler electrification includes installation of overhead wiring, new signalling systems, fibre optic communications cables and service relocations.

Mr Koutsantonis yesterday released correspondence showing the revised electrification plans were raised with the former Labor federal government, which committed to "work together in finalising the funding agreement".

News_Image_File: ON TRACK: Electric train being trialled on the Onkaparinga River bridge for the Noarlunga line.

SA Opposition transport spokeswoman Vickie Chapman would not say if she supported the Federal Government's decision, but accused SA Labor of botching Gawler line upgrade plans.

"They have played a cruel hoax on people in Adelaide's northern suburbs for years," she said.

"Weatherill Labor's incompetent management of rail projects may have been a deciding factor in the Federal Government choosing to stop working with them on public transport projects."

The Gawler rail line dispute comes amid a separate standoff between the two governments over South Rd. Prime Minister Tony Abbott at the weekend pledged support to complete the entire corridor within a decade, but remains in conflict with the State Government over where to start.

The Coalition has earmarked $500 million to the Darlington Interchange, while the State Government is pushing for money to deliver the Torrens to Torrens project near Port Rd.

The Federal Government has demanded the State Government produce a business plan for the Darlington upgrade by Christmas, a project Mr Abbott campaigned on at last month's election.

Today's news comes as another blow to train commuters, who have suffered through a series of backflips and broken promises on electrification of Adelaide's rail network.

In last year's Budget, the State Government moved to "suspend" $2.1 billion in works.

Adelaide's rail electrification project was intended to cover more than 100km of track across the metropolitan area from Gawler to Seaford, and Adelaide to Outer Harbor.

Work is currently well advanced on the Seaford line.

Electric trains are quieter and more energy efficient than traditional diesel services.