Commitments from the state and federal governments have sparked an agreement with Melbourne Airport to push the project forward.

The signing of the Memorandum of Understanding was triggered after the federal government last month committed extra funding for upgrades to Sunshine Station to accelerate development for the airport rail, and the state moved funding forward.

A steering committee of senior officials will be set up, with the three parties promising to cooperate and finalise the construction process so the delayed project can get under way.

It comes as Prime Minister Anthony Albanese described the airport rail link as a done deal, reiterating that the federal government is delivering $7 billion for the project.

“Works commencing next year on Sunshine Station, as well as this, represents the biggest kick-starting of this project we’ve seen in many years,” Public Transport Minister Gabrielle Williams said.

“There is a working group to be established to be chaired by an independent chair to sort out any remaining issues that we have,” federal Infrastructure and Transport Minister Catherine King said.

Melbourne Airport chief executive Lorie Argus admitted talks about the rail link had been going on for “arguably too long”.

How the final costs will be divided is also up in the air.

When complete, passengers should reach the airport from the CBD in about half an hour, travelling to Sunshine then on towards the tarmac.

The project has been delayed by at least four years.

Last year the airport broke a station stalemate and agreed to have its terminal built above ground.

Today there was no commitment to a timeframe for how long construction could take.

The entire project was slated to open in 2029, but the Sunshine Station works, which are described as stage one of the rail link, aren’t due to be finished until 2030.