To create more and better paying jobs
Over $70 billion committed to infrastructure across Australia
The Government’s significant infrastructure investments are a critical part of our national economic plan for jobs and growth.
The Government is committing over $70 billion from 2013-14 to 2020-21 to transport infrastructure across Australia, using a combination of grant funding, loans and equity investments. The Government is establishing a 10-year allocation for funding road and rail investments, recognising that many transformational projects are planned and built over many years. This will deliver $75 billion in infrastructure funding and financing from 2017-18 to 2026-27.
To ensure each dollar of infrastructure funding goes further so we can build more projects, the Government is identifying and pursuing ways to deliver infrastructure through more innovative financing methods, rather than signing cheques to the States and Territories.
New infrastructure commitments
Building on the Government’s existing record infrastructure spend, new investments in this Budget include:
- in Western Australia, $1.6 billion in new projects, including $100 million towards better road access to the Fiona Stanley Hospital Precinct and $700 million towards the METRONET rail project;
- a $1 billion infrastructure package for Victoria, including $500 million for regional passenger rail, with $100 million for Geelong Rail Line upgrades, a further $20.2 million for Murray Basin Rail and $30 million towards a rail link to Tullamarine Airport; and
- in Queensland, $844 million for additional projects on the Bruce Highway, including upgrades to the Pine River to Caloundra section.
Western Sydney Airport
The Government will commit up to $5.3 billion in equity to establish WSA Co to build a new airport for Western Sydney at Badgerys Creek with works to commence in late 2018. When it opens in 2026, the airport will have capacity for 10 million passengers a year and a 3.7 kilometre runway. The runway will be built to accommodate the largest passenger aircraft in operation today, including the Airbus A380.
The new airport will form the core of a new city deal for Western Sydney to capitalise on the opportunities the new airport will bring to the region. This builds on the $3.6 billion joint Australian Government and New South Wales Government Western Sydney Infrastructure Plan.
The Australian and New South Wales Governments are also conducting a joint scoping study to identify the rail needs of Western Sydney and Western Sydney Airport. The study is investigating route and service options, as well as timing, funding and financing for future rail investment in the region.
Investing in rail
The Government is establishing a $10 billion transformational National Rail Program. This program will fund rail projects across the nation that improve urban and regional rail services to better connect our communities.
Building on our current work with State governments on the Urban Rail Plans for the five largest capital cities and their surrounding regions, the Program will allow the Australian Government to partner with States and Territories to plan and deliver key rail infrastructure projects.
The Government will also contribute $20 million to partner with proponents of fast rail projects to develop business cases for up to three projects that better connect our cities with major regional centres. These projects will ease pressure on our larger cities, grow our regional cities, and unlock land for more housing.
In a massive win for regional Australia, the Government will fully deliver the Melbourne to Brisbane Inland Rail project, using an additional $8.4 billion equity investment in the Australian Rail Track Corporation and a Public Private Partnership.
Inland Rail will have enduring benefits for regional communities, such as Toowoomba, Parkes and Northern Victoria, and create approximately 16,000 direct and indirect full-time equivalent jobs at its peak of construction. For the national economy it will improve access to markets and provide greater export opportunities for agricultural and other commodities.
Regional Growth Fund
To ensure that all Australians share in our economic growth, the Government will provide $472 million in regional investments to support a Regional Growth Fund for local infrastructure projects that can make a real difference to regional economies, including $200 million to support a second round of the Building Better Regions Fund.
This infrastructure investment package will support regions and towns and back the choices they make to take control of their own economic future and adapt to the changes taking place in our economy.
Infrastructure and Project Financing Agency
The Government will establish the Infrastructure and Project Financing Agency, modelled on a similar body in the United Kingdom, to help the Government identify new financing solutions and provide advice on implementation.
The Agency will help expand the Government’s current program of innovative financing. The Government is already providing $370 million in equity funding (plus land) towards the Moorebank intermodal freight precinct in NSW, a $2 billion concessional loan for Stage 2 of the WestConnex project in Sydney and the $5 billion Northern Australia Infrastructure Facility. The Government is in this Budget providing an additional $8.4 billion equity investment in the ARTC to deliver Inland Rail and up to $5.3 billion in equity to establish a new company to deliver Western Sydney Airport.
$70 billion in infrastructure commitments
- $3.6 billion for the joint Australian Government and NSW Western Sydney Infrastructure Plan
- $1.6 billion to North-South Corridor in Adelaide
- $1.5 billion of funding and a $2.0 billion concessional loan for the WestConnex project in Sydney
- $500 million towards the $1 billion Monash Freeway upgrade
- $500 million for the M80 Ring Road in Melbourne
- $412 million for NorthConnex in Sydney
- $914 million for the Gateway Upgrade North in Queensland
- $833 million for NorthLink in Western Australia
- $1.6 billion towards a $2.3 billion Federal-State WA package. The package includes $1.2 billion for the METRONET rail project and $237 million for the Kwinana Freeway
- $1 billion infrastructure package for Victoria, including:
- $500 million for regional passenger rail
- $20.2 million for Murray Basin Rail
- $30 million towards a Melbourne Airport Rail Link business case
- $844 million Bruce Highway upgrades, including Pine River to Caloundra
$10 billion National Rail Program
$20 million to develop business cases for fast rail projects
$472 million Regional Growth Fund