Labor Leader Luke Foley says the latest revelations of another $1.2 billion cost blow out on the troubled CBD & South East Light Rail project will make it the most expensive tram project in the world.

Mr Foley says the cost blow out – revealed by The Australian newspaper -  is a catastrophic  failure by the Premier and her government.

The newspaper report also revealed that the Government is being taken to court by one of the major contractors building the line, which could cause further delays.

Mr Foley was speaking at a news conference with his Deputy Leader and Shadow Minister for Planning and Infrastructure Michael Daley.

Mr Foley said the CBD & South East Light Rail project was Ms Berejiklian’s key personal transport priority project.

She began it as transport minister in 2011 and after all this she has delivered a project that looks like being a billion dollars over budget, years late in opening and now in the courts that will cause further delays.

The Premier is continually telling the people of New South Wales she is good at running transport projects.

Mr Foley said Ms Berejiklian now needs to step up and tell the residents along the tram route and the local business just what she is doing to resolve the dispute and protect their interests.

Quotes attributed to NSW Opposition Leader Luke Foley

“A contract for $1.5 billion is going to come in at $3 billion, the project is 2 years late and the government is about to be mired in the courts - which means untold further delays and misery for small business people along the route.

“This is the Premier’s personal priority project. It’s her job to tell the people of New South Wales and the local businesses affected by the South East Light Rail how she is going to fix it.

“She tells the people of New South Wales that management of transport is what she is good at. I would hate to see what she’s not so good at. She has to fix this.”

Quotes attributed to Deputy Opposition Leader and Shadow Minister for Planning and Infrastructure Michael Daley 

“In all this incompetence we should not forget local businesses along the route.

“They were told it would take a year to build and just to be patient. They can’t be patient any longer. They are going under.

“The Government has to seriously compensate these poor business owners who are getting clobbered by this unravelling farce.”