State Infrastructure Plan – 2018 Update
The Queensland Government has released its 2018 update of the State Infrastructure Plan (SIP) for the next four years. The State Infrastructure Plan update looks at projects of all scales and focuses on a range of infrastructure spending with its updated release. The SIP outlines the $11.6 billion of infrastructure investment to be rolled out in 2018-19, which aims to support up to 38,000 jobs.
In addition, the Plan includes the Queensland Transport Roads and Investment Program 2018-19 to 2021-22 which outlines $21.7 billion in transport and road infrastructure over the next four years, estimated to support an average of 19,200 direct jobs over the life of the program. The Plan aligns with the Queensland State Budget 2018-19 which included a total of $45.8 billion spent on infrastructure over four years, an increase of $3 billion from last year.
The Queensland Government additionally highlighted development programs such as Building our Regions which has already allocated $225 million across 174 projects in 62 local government areas, supporting the creation of 1762 jobs. Building our Regions is also funding the Transport Infrastructure Development Scheme worth $150 million and this program is having a significant impact in Aboriginal and Torres Strait Islander Communities where primary access infrastructure is being upgraded.
Deloitte Access Economics noted that the outlook for engineering construction in Queensland is better than it has been for some time. Further, the State Governments of Victoria and New South Wales have fiscal capacity to fund infrastructure investment due to strong property markets and asset privatisations. By contrast, the Queensland Government will rely more heavily on raising new tax revenue and increasing debt to fund this infrastructure.
The Queensland Government aims to address capacity constraints in South East Queensland’s transport network by investing in infrastructure projects. These include the Cross River Rail project which is the biggest state funded infrastructure commitment in more than a decade. The Cross River Rail will be delivered in partnership with the private sector and will provide a turn-up-and-go transport system with the aim of benefiting South East Queensland. The Queensland Government’s SIP will provide up to sixty five per cent of the Queensland’s infrastructure budget outside of the greater Brisbane area.
The Queensland Government noted that its infrastructure development aimed to boost growth industries such as tourism and renewable energy. In addition, the Plan aimed to drive economic development and jobs growth throughout Queensland by funding and facilitating both small and large-scale regional infrastructure.
To read the State Infrastructure Plan, please click here.