Show us the money: Minister called out on $290M Wonthaggi Hospital promise

TWO months out from the November 2022 state election, former Premier Daniel Andrews pulled off a masterstroke in the campaign for the highly marginal electorate of Bass that almost certainly won Labor the seat.

He arrived in Wonthaggi on Wednesday, September 15, 2022, seemingly to look over the progress being made on the $115 million Stage 1 of the hospital redevelopment.

But he left even hardened political pundits gobsmacked with a promise of a further $290 million for Stages 2 and 3 at Wonthaggi if Labor won the election.

However, given the parlous state of the government’s finances today, doubt is being cast over the ability of the Allan Government to deliver on that key election promise.

Ultimately, it didn’t decide the 2022 election overall.

Labor won 57 seats across Victoria in the 87-seat parliament but their sitting MP in Bass, Jordan Crugnale, was returned by a measly 202 votes, including topping the poll in Wonthaggi, her opponent Brett Tessari’s own hometown, on the back of the hospital promise.

The September 2022 promise wasn’t made in isolation.

When welcoming the completion of Stage 1 of the Wonthaggi Hospital the next year, on Wednesday, February 1, 2023, Premier Andrews said there was still more to be done:

“But there’s still more to do – that’s why we’ll deliver an up to $290 million second stage of works at Wonthaggi Hospital, which will deliver two new wards, a new labour and delivery complex, and a new outpatient clinic with around 25 treatment spaces,” said Premier Andrews.

In the same media release issued that day, Minister for Health Mary-Anne Thomas also acknowledged the commitment.

“We’re making sure the dedicated doctors, nurses and support staff at Wonthaggi Hospital have access to the best facilities to support them in their vital and life-saving work.”

Mr Andrews was back again in Wonthaggi on September 22, 2023, even donning the black, white and teal scarf of Wonthaggi Power ahead of their Gippsland League grand final showdown against Leongatha, to double down on the $290 million promise.

Wonthaggi Power didn’t win the premiership and it’s not looking good for the hospital either.

Asked by the Sentinel-Times at the time to confirm the commitment, and also, if he was considering making an early start on Stage 2 by activating empty ward shells for the development of a new, higher-care maternity department, Mr Andrews said the proposal was under consideration.

“We are looking very closely at whether we can, to fast-track that, yes,” the Premier told the Sentinel-Times.

By then, the promise was already enshrined in the 2023-24 State Budget as follows:

“To get the very best healthcare, you need world-class hospitals. We will start the important planning and design work for the second stage of the Wonthaggi Hospital upgrade and for the brand-new hospital in West Gippsland.”

In the 2024-25 State Budget, Wonthaggi’s project was front and centre again, within the government’s ‘Hospital Infrastructure Delivery Fund’ with a commitment of $115.5 million to plan works at West Gippsland, a new Queen Elizabeth II Hospital, Dandenong Hospital and the Wonthaggi hospital redevelopment.

So, where is that 2022 election promise now, re-promised, re-announced and recommitted to time and time again since 2022?

Melina Bath MP wants answers

In State Parliament on Tuesday, December 9, 2025, Eastern Victoria Region MLC Melina Bath asked the question.

“My constituency question is to the Minister for Health. In the last election, 2022, your government made a commitment of $290 million for stages 2 and 3 of the Wonthaggi Hospital redevelopment. Your commitment to locals included a completion date by 2027. The Bass region is a rapidly growing LGA, and the need for adequate health care is ever increasing, with increasing emergency department and hospital presentations. The redevelopment would expand services by adding new wards, outpatients and therapy areas, a women’s health centre, improved radiology, allied health facilities and extra parking. The word is that you have abandoned this commitment. Minister, when will you release the construction timeline for stages 2 and 3 of the Wonthaggi Hospital?”

There may be something in the claims that a cash-strapped State Government has shelved plans for further expansion at Wonthaggi.

It has also been reported to the Sentinel-Times in recent days that a [named] Health Department official told a [named] local committee in Wonthaggi that the $290M funding for the Wonthaggi Hospital is “now off the table”.

We put the question directly to Minister Thomas and Local MP Jordan Crugnale:

* Can the Minister please advise if the government still stands by the $290M funding commitment to stages II & III of the Wonthaggi Hospital?

* Can the Minister please advise about the status of the project and when the government expects work to start on the next two stages of the Wonthaggi Hospital redevelopment?

What does the hospital and council know?

At the recent annual general meeting of Bass Coast Health, the Sentinel-Times asked interim CEO Simone Alexander about the status of the $290 million funding announcement, and also about planning for Stages 2 and 3 of the hospital redevelopment.

She said the project was on track and that the hospital was working closely with the Department on project and service design.

Ms Alexander also said the merger of Bass Coast Health with the Alfred, Peninsula Health, Gippsland Southern and Kooweerup would have no impact on planning.

The BCH annual report of 2024-25 makes a number of references to the ‘Stage 2 Expansion’ project.

“We have demonstrated strong financial governance, viability and sustainability by (among other things) …contributing to the investment logic, business case and feasibility study for the Wonthaggi Hospital Stage 2 Expansion.”

“We will continue to work with the Victorian Health Building Authority to progress the Master Plan, Feasibility Study and Business Case for Stage Two of the Wonthaggi Hospital Expansion, and eagerly await the opening of our Staff Accommodation Facility.”

On October 30, Ms Alexander told the annual meeting of the Phillip Island Medical and Health Action Group (PIMHAG) that Bass Coast Health was pursuing a major maternity upgrade at Wonthaggi independently of the promised $290 million Stages 2 and 3 of Wonthaggi’s redevelopment.

Ms Alexander also met with Bass Coast Shire Councillors and officers, including Greg Box, Donna Taylor, Jodi Kennedy and Patrick Dillon, on Wednesday, November 26 under the heading of “Bass Coast Health Amalgamation”.

We asked shire CEO Greg Box what was discussed. He didn't answer directly but made some supportive remarks about the importance of funding the next stages of the Wonthaggi Hospital expansion.

"Council doesn’t provide health services, but we know how critical they are for our community, from GP access to hospital care to maternity services. These needs are equally important across mainland Bass Coast and Phillip Island," said Mr Box.

 "Council will be writing to the Minister to seek an update on the Victorian Government’s 2022 election commitment for Stages 2 and 3 of the Wonthaggi Hospital.

 "We continue to advocate for strong, accessible healthcare across the region, including the retention of promised funding and support for upgrades."

Whether or not the next stages of the proposed Wonthaggi Hospital redevelopment were discussed with Ms Alexander during the council briefing is not known, or if council was updated on the status of the $290 million funding commitment.

But they're concerned enough about the promised funding to seek clarification from Minister Thomas.