A "long-awaited" train link could be running to Melbourne Airport within six years after the airport agreed to back down on its demand for an underground railway station.
Melbourne Airport chief executive Lorie Argus said they would work with the Victorian government to build its preferred above-ground station proposal.
"The time is now to compromise and accept the above-ground solution so we can get on and build this desperately needed rail link," she said.
The rail link will also support plans for a third runway, which would see an estimated 45 million travellers passing through the airport annually.
The airport currently welcomes around 100,000 passengers a day.
"The rail link will support a massive increase in passenger numbers and billions of dollars in additional economic activity for Victoria," Argus said.
"While Melbourne Airport has consistently advocated for an underground station, we are prepared to compromise on our position to ensure we have more transport options in place for the millions of new passengers that will visit Victoria and the airport precinct's expanding workforce.
"The third runway project will allow for the growth of our existing airlines as well as attracting new carriers. There will be fewer delays with an additional runway and more flight options for travellers, putting downward pressure on air fares."
Argus hoped the project could open as early as 2030.
Both the Victorian and federal governments each committed $5 billion to the airport rail link back in 2020.
However the project stalled after the Victorian government refused to finance the expensive underground rail option.
Melbourne Airport last month vowed to push ahead with an underground station despite the airport mediator urging "significant issues" with the proposal.
Mediator Neil Scales, who is overseeing the completion of the link, made three main recommendations and found there was a relationship breakdown" between the airport and the Victorian government.
The City of Moonee Valley Mayor Pierce Tyson said it was "about bloody time".
"Let's get on with it," he said.
The community of Moonee Valley will receive a railway station in Keilor East as part of the link.
