MELBOURNE - The influential Committee for Melbourne on Tuesday called for a "mega-region" to be formed along Australias eastern coast.

Martine Letts, chief of the committee, said that a rapid transport link between Melbourne and Sydney could see the "mega-region" become reality within a decade.

She said she believes the region, which would also include regional centers, could rival others in the world such as the Shanghai district and San Francisco-Los Angeles in the United States.

The proposal by Letts came after the Royal Melbourne Institute of Technology (RMIT) University announced it believed a hyperloop could provide the link between Melbourne and Sydney.

Championed by Teslas Elon Musk, hyperloop works by propelling a pod-like vehicle through a reduced-pressure tube at the speed of sound.

Zac McLelland, chief executive officer (CEO) of VicHyper, said the technology already existed to make hyperloop a reality, and it just needed to be supported by governments.

"If we really wanted to do it, we could do it now, and be built within three to five years," McLelland told Australian media on Tuesday.

He said that they would investigate the cost of hyperloop in 2017 and estimated it would cost around 30 billion U.S. dollars.

Letts said that if hyperloop was built, Melbourne and Sydney could become one region that shares an economy and co-hosted major events.

"The time for rivalry is over. To compete on the global stage and to deliver the best for our economy and people, it is imperative that Melbourne and Sydney work together," she said.

"A critical component for a successful eastern seaboard region is to bridge the geographical divide via an efficient intercity link.

"A rapid intercity link will support the vision. We have the technology to conquer the distance."