The Victorian government has approved the sale of the Port of Melbourne to QIC Private Capital for about US$7.3 Billion, or AU$9.7 Billion.

This is part of the government's $100 Billion privatization program.  States and the Federal government are selling "mature" infrastructure assets to cut debt and bankroll capital works projects.  Investors include the Queensland state government, Australia's sovereign Future Fund, New York-based Global Infrastructure Partners, Canada's Ontario Municipal Employees' Retirement System and the California Public Employees' Retirement System.

QIC will be able to develop the port's latent capacity, which the consortium believes is greater than Port Botany in Sydney.  This means expanding over the Melbourne port's 515 hectare parcel.  In fact, QIC's 50 year development plan was the deciding factor in winning the port over a rival bid from a consortium led by IFM Investors and Macquarie Infrastructure.