Cost comparison

FACT SHEET
Reopening Dhurringile Prison: A Cost Comparison with Malmsbury Youth Justice Centre
Overview
Dhurringile Prison, near Murchison in northern Victoria, closed in August 2024 despite being a functional minimum-security correctional facility. Since its closure, the Victorian Government has continued to maintain the site at taxpayer expense.

By comparison, the Victorian Government committed approximately $141 million over five years, plus around $4.8 million in infrastructure upgrades, to reopen the Malmsbury Youth Justice Centre.

This raises the question: Would reopening Dhurringile be a more cost-effective option?

 
Malmsbury Youth Justice Centre
Estimated Cost
Approximately $141 million over five years to reopen and operate the facility.
Approximately $4.8 million in capital upgrades to make the site operational.
Works Required
Recruitment of approximately 114 new staff.
Refurbishment of accommodation units.
Security upgrades, including surveillance and control systems.
Recommissioning education, health and rehabilitation facilities.
Restarting all operational systems and youth justice programs.
Estimated total commitment: Approximately $146 million.

 
Dhurringile Prison
Current Situation
Closed in August 2024.
Infrastructure has continued to be maintained.
Government continues to spend approximately $2.06 million each year maintaining the vacant facility.
Prior to closure, approximately $2.1 million was invested in infrastructure upgrades including generators, hot water systems and security improvements.
 
Estimated Cost to Reopen
As a minimum-security correctional facility, Dhurringile would likely require substantially less investment than Malmsbury.

Likely Recommissioning Costs
Item
Estimated Cost
Building inspections and repairs
$2–5 million
Security systems recommissioning
$1–3 million
ICT and communications systems
$1–2 million
Staff recruitment and training
$5–10 million
Initial operating costs
$10–20 million
Estimated Total
Approximately $20–40 million

This estimate assumes:

Existing accommodation remains serviceable.
The prison reopens as a minimum-security facility.
No major new construction is required.
 
Why Would It Cost Less?
Unlike Malmsbury:

Dhurringile has only recently closed.
Buildings continue to be maintained.
Major infrastructure remains in place.
It was already operating as an adult correctional facility.
It does not require specialised youth justice programs or youth-specific staffing models.
 
Perimeter Fence
A common misconception is that Dhurringile would require a high-security perimeter fence before reopening.

Historically, Dhurringile operated as a minimum-security prison, housing carefully assessed prisoners with low escape risk. Facilities of this type rely primarily on prisoner classification, supervision and operational procedures rather than maximum-security perimeter walls.

If reopened for the same purpose, a new high-security perimeter fence may not be necessary.

However, if the Government wished to house higher-security prisoners, construction of a modern secure perimeter could add many millions of dollars to reopening costs.

 
Cost Comparison
Facility
Estimated Cost
Malmsbury Youth Justice Centre
Approximately $146 million
Dhurringile Prison
Approximately $20–40 million
Dhurringile could potentially be recommissioned for less than one-third of the investment committed to reopening Malmsbury.

 
Key Facts
Dhurringile continues to cost taxpayers approximately $2 million each year while vacant.
Infrastructure has continued to be maintained.
The site received capital upgrades shortly before closure.
Reopening costs are likely to be significantly lower than those required for Malmsbury.
A minimum-security reopening may not require construction of a new maximum-security perimeter fence.
 
Conclusion
From a financial and infrastructure perspective, reopening Dhurringile Prison as a minimum-security correctional facility appears likely to represent a substantially lower-cost option than reopening and operating Malmsbury Youth Justice Centre.

While any decision would ultimately depend on government policy, staffing availability and prisoner demand, publicly available information suggests Dhurringile could be recommissioned for approximately $20–40 million, compared with approximately $146 million committed to Malmsbury.