A NEW train station will be built and operational at Epsom in two years.
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The $9-million station was announced in today's state budget and aims to improve public transport access in North Bendigo.
The project will create a 160-metre platform with shelters, ticketing services and parking for 60 cars. There is currently no station at Epsom.
Local rail services will undergo a shake-up, with Epsom and Eaglehawk to become terminuses for some services.
Budget papers show the development should be finished by mid 2015.
The project first received minor funding in the 2011-12 budget.
In other budget news, government papers show a $7.1-million Echuca to Toolamba broad gauge rail upgrade will be finished by mid next year, reopening the line to freight.
Bendigo Health will also receive three five-bed mother baby units.
Bendigo, Bridgewater, Heathcote, Huntly and Echuca will also receive water and sewerage treatment infrastructure upgrades which will be complete by mid 2014 to mid 2015.
The government will also spend $61 million on upgrades to "dilapidated and ageing" rural fire stations across the state, which may include the local region.
Previously announced funding to close Sandhurst Residential Services and build a 26 unit accommodation centre for low-income earners in Bendigo were also detailed.
The government did not provide money to upgrade the Ravenswood Interchange on the Calder Highway.
Budget documents also noted the Castlemaine Police Station should be finished mid next year.