Construction of the Geelong–Ballarat railway line began in 1858 and took nearly four years to complete, employing up to 3,000 men and costing approximately £1.5 million.

[16][17][18][19][better source needed] In 1994, V/Line passenger rail services beyond Ballarat were withdrawn to allow for the conversion of the line beyond Ararat to standard gauge.

[21][22] Major upgrades to the line occurred as part of Regional Fast Rail, a project announced in 2000 by then-Premier Steve Bracks with the aim of shortening travel times between the major Victorian regional centres and Melbourne by upgrading the tracks and introducing V/Line VLocity diesel multiple-unit trains.

Heavier tracks and concrete sleepers were laid, ballast was renewed and a new signalling system was installed.

[25] Another significant round of upgrades occurred to the line as part of the Regional Rail Revival project, beginning in early 2018 with major construction completed in 2021.

[32] Ballarat Station will receive accessibility upgrades by 2026, delivered as part of the Level Crossing Removal Project.

In 2013, Public Transport Victoria released the Network Development Plan – Metropolitan Rail, stage 3 of which includes quadruplication and electrification up to Melton.

The Western Rail Plan, announced as a key policy of the 2018 Victorian state election by then-incumbent Premier of Victoria Daniel Andrews, also included quadruplication and electrification to Melton.

[10][11][12] Nevertheless, Melton Station is planned to be rebuilt with 4 platforms as part of the Level Crossing Removal Project, enabling future quadruplication.

In 2022, then-Premier Daniel Andrews announced plans to extend the platforms at all stations from Bacchus Marsh to Ardeer to allow 9-car VLocity trains to run on the line, reducing overcrowding.

[36] Additionally, the 2023 Victorian state budget made reference to a "Melton Line Upgrade" project, stated to include "extra stabling and upgrade[d] stations to deliver better train services and increase train capacity".

[38] Several new stations have been planned to be built on the line, primarily to serve new housing estate developments.

[40] In 2024, a petition submitted to the Parliament of Victoria calling for the station to be built attracted over 1,700 signatures.

Under the Kennett Government's economic reforms, the V/Line service to Dimboola was cut back to Ararat, with the towns beyond now served by coaches.

The Overland service is now operated by Journey Beyond and runs on the Western standard gauge railway line, serving only some stations between Southern Cross and Adelaide Parklands Terminal.

A branch line was built from Lubeck (between Stawell and Murtoa) to Rupanyup in 1887, extended to Marnoo by 1909, and to Bolangum in the 1927.

A branch line was opened from Murtoa to Warracknabeal in 1886 and extended to Beulah in 1893, Roseberry and Hopetoun in 1894 and Patchewollock in 1927.

[42] In 1905, a branch line was opened from Stawell to the Heatherlie quarry in The Grampians, from which large amounts of high-quality freestone were railed,[43] to be used in a number of significant building projects.

[45] The Tom Waits song Town with No Cheer from the 1982 album Swordfishtrombones refers to Serviceton, The Overland train, and the railway line's disuse.