2 December 2022
BACK TO THE FUTURE FOR INFRASTRUCTURE AUSTRALIA
Today’s announcement by the Albanese Labor Government to scale down the role, scope and ambition of Infrastructure Australia is an anti-climax after Labor election promises for greater independence for the federal infrastructure advisory body.
The Shadow Minister for Infrastructure, Transport and Regional Development, Senator Bridget McKenzie said the decision to remove the independent board with a three-member commissioner model was a retrograde step and erodes the impendence of the body.
“Today’s announcement of a supposed refresh for Infrastructure Australia, in fact, a return to an outdated advisory model that was initiated under Anthony Albanese in 2008,” Senator McKenzie said.
“The decision to pare back projects on the Infrastructure Australia priority list – one that comes on top of Labor’s $10 billion infrastructure Budget cuts – is further evidence of the new Government’s scaled back ambitions for infrastructure investment in Australia.”
Senator McKenzie was responding to the release today of the Independent review of Infrastructure Australia, undertaken by Nicole Lockwood and Mike Mrdak AO.
Infrastructure, Transport, Regional Development and Local Government Minister Catherine King has announced that there is to be a “more refined, smaller and targeted priority list” by Infrastructure Australia in response to the review.
“Rather than working harder with the states on driving and delivery, the Government appears to want to shrink the number of projects,” Senator McKenzie said.
One of the recommendations of the Independent review was to take Infrastructure Australia from the responsibility of the Department of Infrastructure and place it instead under the Department of Prime Minister and Cabinet, or the Department Treasury.
“The Government has rejected this option, however it is instead placing departmental secretaries of all those departments on the proposed new advisory board. This is a further reduction of the independence of Infrastructure Australia,” Senator McKenzie said.
“While the governance model is important and has been changed by successive governments, including by former Deputy Prime Minister Warren Truss in 2013, the decision-making process is also crucial,” Senator McKenzie said.
“It is important that the assessment parameters used under the proposed new Infrastructure Australia model do not disadvantage regional Australia at the expense of city projects where population is a determinant of priority.”
Senator McKenzie said the Albanese Government had already sideline Infrastructure Australia by approving a $2 billion federal commitment to the Melbourne Suburban Rail Loop ahead of the Victorian election without it being assessed by IA.
“Labor’s lack of accountability and transparency on infrastructure decisions has been emphasised by the Government’s rejection of recommendations 4 and 5 calling for new annual infrastructure investment statements to be publicly tabled along with public disclosure of the government’s responses”.
End.