Infrastructure Budget Welcome but Delivery of Projects Critical to Stimulus Success

12 October 2020

Australia’s peak voice for the civil infrastructure sector, the Civil Contractors Federation National, has welcomed the Federal Government’s infrastructure investment package announced in the 2020-2021 Federal Budget and has called on governments to work with industry to roll out the funds in fast and effective manner.

“CCF welcomes the $7.5 billion worth of new infrastructure investment, taking the total Federal Government commitment to $14 billion since the outbreak of COVID-19. This is in addition to the existing $100 billion rolling 10- year infrastructure investment pipeline,” said Chris Melham, Civil Contractors Federation National Chief Executive Officer

“I would like to thank the Deputy Prime Minister, the Hon Michael McCormack MP and the Minister for Population Cities and Urban Infrastructure, the Hon Alan Tudge MP, for their constructive dialogue with CCF over many months leading up to the Budget and acknowledge their recognition of the important role the civil infrastructure sector can play in contributing to Australia’s economic recovery as evidenced in tonight’s budget,” Mr Melham said.

“This investment reflects the significant productive capacity of the civil infrastructure sector, and its readiness to generate additional jobs as outlined in the CCF’s 2020-2021 Federal Government pre-budget submission. CCF has long argued for significant and sustained civil infrastructure investment to support Australia’s economic recovery efforts and the budget announcements reflect CCF’s policy,” Melham said.

Mr Melham also welcomed the Federal Governments ‘Use it or lose it’ message to the States and Territories but he said it needs to go further by requiring ‘shovel ready’ infrastructure funds to be spent in a transparent manner across urban, regional, rural, and remote Australia – and not to be used for ‘pork barreling’ in the lead up to respective State elections.

“In addition, Federal, State and Territory government procurement policy must be more balanced by encouraging and maximizing greater participation of Tier 2 and Tier 3 head contractors, and I look forward to the Federal Government adopting this policy and its application to the release of infrastructure funds to State and Territory procurement agencies,” he said.

“While the Government has made it quite clear that it is targeting ‘shovel-ready’ projects across all States and Territories, creating opportunities for parties to work more collaboratively is the key to contracts being awarded earlier and to identify and manage risks,” he said.

 

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Source:  Civil Contractors Federation - www.civilcontractors.com

Date of Original:  07 October 2020

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