The Victorian government has put up $100 million to ease congestion around Melbourne’s railway crossings.

The money will go towards fixing 20 of the city’s worst level crossings in the next three years.

Level crossings are responsible for half of the RACV's worst traffic spots in Melbourne.

In 2007, 11 people were killed in western Victoria when a truck slammed into the side of a passenger train.

Public Transport Minister Jacinta Allan says the new funds be used to plan the removal of all 50 of the state’s worst crossings before any work is undertaken.

“We want to see level crossings removed as quickly as they possibly can be,” she said.

“That's why were establishing a dedicated level crossings removal authority so we can get to work on this important project straight away.”

The total cost of fixing the crossings is estimated to be $5-6 billion.