Google AI
The Times Australia
The Times World News

.

Infrastructure review recommends culling 82 planned projects

  • Written by: Michelle Grattan, Professorial Fellow, University of Canberra

The Albanese government’s infrastructure review has recommended 82 projects should be cancelled, after finding the $120 billion program unsustainable in its current form.

Construction has not started on these projects. The review recommends the savings be used to provide “headroom” in the program which is facing a large cost overrun.

The review recommended 100 projects, not yet under construction, should go ahead, while a further 56, also unstarted, should proceed but on the basis that identified risks are addressed satisfactorily.

Thirty six projects, not under construction, should complete planning, detailed costings, and rescoping, with the allocated funding used for “headroom”, the review says.

The government says it accepts all the review’s recommendations in principle and will announce details on Thursday.

The review estimates a $32.8 billion cost blowout in the program, of which an estimated $14.2 billion is on projects not yet under construction.

The report says the ten-year pipeline of projects “cannot be delivered within the $120 billion allocation, even with current contributions from jurisdictions”.

“The Australian Government cannot afford within the current program settings, to meet the identified cost pressures, nor add any new projects for delivery to the pipeline in the next ten years, without significant changes taking immediate effect,” the report says.

Some projects “do not demonstrate merit, lack any national strategic rationale and do not meet the Australian Government’s national investment priorities.

"In many cases, these projects are also at high risk of further cost pressures and/or delays. A number of projects were allocated a commitment of Australian Government funding too early in their planning process and before detailed planning and credible design and costing were undertaken.”

The review says the federal government can cease or pause federal funding to projects, to create “headroom for reallocation to merit-based projects, to fund construction once planning, design and detailed costings are complete or to relieve some of the estimated cost pressures on current projects”.

The government says it will not cut the overall size of the A$120 billion program. It is committing extra funding for a number of projects.

The government has been in discussions with the states and territories over the revamping of the program, with the Queensland government – which faces an election next year – warning against cuts to its state.

Among the projects the government says it is maintaining are the Melbourne Airport Rail Link, the Milton Ulladulla Bypass, the Singleton Bypass, the Muswellbrook Bypass and the Tasman Bridge Upgrade.

Read more https://theconversation.com/infrastructure-review-recommends-culling-82-planned-projects-217805

Times Magazine

Federal Budget and Motoring: Luxury Car Tax, Fuel Excise and the Cost of Driving in Australia

For millions of Australians, the Federal Budget is not an abstract economic document discussed onl...

Buying a New Car: Insider Tips

Buying a new car is one of the largest purchases many Australians make outside buying a home. Yet ...

Hybrid Vehicles: What Is a Hybrid, an EV and a Plug-In Hybrid?

Australia’s car market is changing faster than at any point since the decline of the local Holden ...

Chinese Cars: If You Are Not Willing to Risk Buying One, What Are the Current Affordable Petrol Alternatives

For years Australian motorists shopping for an affordable new car generally looked toward familiar...

Australia’s East Coast Braces for Wet Week as Weather Pattern Shifts

Large sections of Australia’s east coast are preparing for a significant period of wet weather as ...

A Report From France: The Mood of a Nation

France occupies a unique place in the global imagination. To many outsiders, it remains the land ...

The Times Features

Korean Food and Longevity

South Korean Food and Longevity: Why the World Is Suddenly Paying Attention For years, people aro...

Pretty Woman: The Movie That Keeps On Giving

Some films entertain audiences for a few months and quietly fade into cinematic history. Others be...

The Departure Tax Rise: Travellers Pay — But So Does Au…

Australians booking overseas holidays are becoming increasingly familiar with a harsh reality of m...

Budget Shockwaves: What the Federal Budget Means for Au…

Australia’s property market does not operate in isolation. Every federal budget sends signals to b...

Restaurants Are Packed Again — So Why Are Australians S…

Australians still love dining out. Despite years of inflation, rising interest rates, higher rents...

Real Estate and the Federal Budget: Early Signs Emergin…

Australia’s federal budget has landed, and while economists, investors and political strategists c...

The Modern Causes of Back Pain and What You Can Do

Key Highlights Modern lifestyles are a major contributor to ongoing back painPosture, movement, a...

What to Know About Adding Natural Oils to Your Wellness…

Key Highlights Natural oils are commonly used to support everyday wellbeingConsistency and qualit...

How Online Mental Health Support Is Changing Access to …

Key Highlights Online mental health services are improving accessibility for many individualsFlex...