Hundreds of properties could be compulsorily acquired for the North East Link, as Premier Daniel Andrews allocated $110 million to fast-track the plan.

Mr Andrews on Sunday announced the additional funding would be set aside in the May budget to fast-track the design, and put it to market within the first 100 days of government if re-elected.

Up to 140 businesses and 75 homes in Melbourne’s north-east could be compulsorily acquired under Labor’s plan to build the 26-kilometre road, which will cost at least $16.5 billion.

“This is the most important road project and the biggest road project in our state. This is all about making sure local roads are for local residents,” Mr Andrews told reporters in Greensborough on Sunday.

The toll road would connect the ring road in Greensborough, through Watsonia and Rosanna before connecting to the Eastern Freeway in Bulleen.

“Everybody who is impacted by this project has been spoken to and we do appreciate that this is a difficult and stressful time for them,” Mr Andrews said.

The North East Link would save up to 30 minutes between Melbourne’s north and the south-east. Photo: Victorian Government

“We will be able to confirm for them very soon, in the next stage of detailed design and planning exactly what impacts there will be on all of those homes and all of those businesses.”

He said they had been in contact with residents ahead of the full business case being released in the coming months.

The North East Link will start at Springvale Rd and includes a five-kilometre tunnel from Bulleen Rd running below the Yarra River.

About 15,000 trucks and 9000 vehicles are expected to be taken off local hotspots including Rosanna Road, Lower Plenty Road and Fitzsimons Lane.

The link would save up to 30 minutes between Melbourne’s north and south-east, according to the government.

Early works are expected to start next year, and full construction in 2020, if Labor is re-elected.

The November election is shaping up to be a battle of the roads.

The Andrews government wants to build the North East Link, while the opposition wants the East West Link to go ahead.

Opposition Leader Matthew Guy slammed the government’s plan, saying the previously proposed East West Link was the “the most needed road project in the fastest growing city in Australia”.

“For Daniel Andrews to claim he is the man to build our next freeway beggars belief, when he’s the man who tore up the contract to build the East West Link,” he told reporters on Sunday.

“You can’t have a North East Link without having an East West Link. We want to build the East West Link.”

Mr Guy said a Liberal-National government would do everything it could to build the East West Link and would assesses the finances after the budget with a final decision still to be made.

-AAP