INFRASTRUCTURE RULES: Policy could affect some promised local projects

THE Albanese Government is making major changes to the way infrastructure is funded across Australia, and Corangamite Labor federal member Libby Coker says all her commitments towards projects in her electorate will still be honoured.

Released on Tuesday this week, the Infrastructure Policy Statement follows a strategic review into the collective $120 billion of projects in the federal Infrastructure Investment Program.

The review started in early May this year and was intended to determine the future of the more than 700 projects in the program over the next 10 years.

Labor says many of the projects announced by the previous Coalition government under the program were uncosted and underfunded.

The Infrastructure Policy Statement returns to a preference of 50-50 funding with the states and territories.

It notes projects must have at least two of the following four characteristics:

• A federal government contribution of at least $250 million
• Alignment with government priorities in the Infrastructure Policy Statement
• Situated on or connected to the National Land Transport Network and/or other key freight routes, and/or
• supporting other emerging or broader national priorities, such as housing.

“The Albanese Government will invest in the projects that only the Commonwealth can – those which shape our cities, our regions and our nation,” Infrastructure Minister Catherine King said.

Following the announcement of the review, Victorian Liberal Senator Sarah Henderson said the review put several projects in the Geelong region (including some proposed under a Coalition government) at risk, including the Grubb Road upgrade in Ocean Grove, the Reserve Road and Felix Street intersection on the Surf Coast Highway, the Geelong-Portarlington Road and Wilsons Road intersection, the Separation Street bridge improvements at Corio-Waurn Ponds Road, and upgrades to Murradoc Road.

Yesterday (Thursday, November 16), the Albanese Government announced its response to the review, which included cancelling the $4 billion Geelong Fast Rail initiative – one of 12 Victorian Infrastructure Investment Program projects to be cut.

“Stage Two of the Barwon Heads Road upgrade and the South-Geelong to Waurn Ponds Rail Duplication are significant projects for our region – we remain absolutely committed to delivering all our election commitments and following through on all projects already under construction,” Ms Coker said on Wednesday this week.

“What we know is the review highlights just how badly the Liberals and Nationals mismanaged and rorted infrastructure and misled our communities with the number of federal government projects growing from 150 to 800 during their time in government.

“It should be noted that a large proportion of these occurred in the lead up to the 2016 and the 2019 Coalition election campaigns.

“This mismanagement has resulted in $33 billion of known project cost overruns across the country.”

Shadow Minister for Local Government and Regional Development Darren Chester said dropping the 80-20 funding split for infrastructure would make many regional projects unviable.

“This is the beginning of a major cost shift onto local councils and ratepayers, and a plan to abandon infrastructure projects in regional areas.”