The Rudd Federal Government has now handed down its budget for 2008/9 and the following are the key highlights of most relevance to you and your business:
A new Building Australia Fund is to be established to finance major transport and communications infrastructure unable to be financed by the States or the private sector. This Fund is to receive an initial allocation of $20 billion to deliver roads, rail, ports and broadband imperatives. Financing is not to commence until 2009/10.
It is expected that the Federal Government will increasingly deploy Public Private Partnerships (PPPs) and other risk-sharing models.
$75 million of funding is to go to the States for feasibility studies on high priority transport projects including those covered in the recent Eddington Report. The States will also contribute $57million to this program and it will be overseen by a new policy advisory body, Infrastructure Australia, to be chaired by Sir Rod Eddington.
$3.2 billion will be spent on road and rail transport projects in 2008/09 focusing on NSW($905m), Victoria ($497m) and Queensland ($826m).
$51 million of spending will be brought forward to begin eight major Victorian road projects in 2008/09, including:
$25 million to strengthen and improve the capacity of Melbourne’s West Gate Bridge;
$6.5 million to extend the Geelong Ring Road to Anglesea; and
smaller allocations of $5 million towards planning major AusLink projects such as duplicating the Western Highway from Ballarat to Stawell and planning the Nagambie Bypass on the Goulburn Valley Highway.
The Hon Anthony Albanese Minister for Infrastructure, Transport, Regional Development and Local Government announced the Government would spend $277 million on Victorian road construction and maintenance in 2008/09 and eliminate 55 black spots on the State’s roads at a cost of $11.4 million.
Another key transport spending initiative includes $70 million to:
establish a heavy vehicle safety and productivity program;
fund trials of technologies aimed at curbing driver speed and fatigue problems;
fund the construction of parking areas; and
rest stops on highways and fund upgrades to freight routes.
