I have read in several places over the years that the 1969 Queens Way layout was designed so that buses could replace trams along there. A quick search turned up an article in the September 2020 issue of Bellcord. I presume the doubters will not doubt the Bellcord's veracity.
https://www.trammuseum.org.au/downloads/bellcord/bc-047.pdf
Relevant part of the article below, from page 13:
After the Second World War, St Kilda Junction became the site for a
perpetual traffic jam during peak hours, due to the ever-increasing number
of cars. A roundabout was tried there from 1955, but it provided only
temporary relief to traffic congestion.
The Bolte Government commissioned a major project to fix the traffic
problem, by putting Queens Rd in a underpass underneath the Junction,
connecting with a new road called Queens Way that joined with Dandenong
Rd in Windsor. The project was placed under the control of the Melbourne
and Metropolitan Board of Works. Construction work began in 1967.
Initially, the tramways were to remain in their existing alignments, although
there was serious consideration of the tram lines being permanently
replaced by buses. Major-General Risson, Chairman of the Melbourne and
Metropolitan Tramways Board (M&MTB), lobbied for the relocation of the
tram lines to be an integral part of the project.
This meant the abandonment of the tramway in Wellington St, and its
replacement with a new line built to European light rail standards along
Queens Way to connect with the Dandenong Rd tramway. The new
tramway alignment was designed to be modifiable to take buses, for the
then-forecast eventual closure of Melbourne’s tram system.
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