Melbourne's tram network is the star of the public transport system and one of the largest in the world. The City Circle tram is free and loops around the CBD, but the real joy is riding the trams out to the inner suburbs. You will need a Myki card for all public transport, available from stations and convenience stores.
Trains cover the wider suburbs and the underground City Loop connects the main CBD stations. Buses fill the gaps between tram and train routes. Driving in the city can be confusing, particularly the infamous hook turns where right-turning traffic must wait in the left lane to avoid blocking tram tracks. Melbourne is flat and excellent for cycling, though watch out for tram tracks catching your wheels.