The Federal Government has been in discussion with major super funds in a bid to convince them to invest in fast-tracked 'nation-building' projects, it was reported in Fairfax media today.
Notwithstanding, the Government is prepared to bankroll the nation-building projects itself if credit remains tight and private investors aren't forthcoming, Federal Infrastructure and Transport Minister, Anthony Albanese, reportedly told the Age.
Mr Albanese also said Canberra would not use funding to bail out State Governments in electoral trouble.
Last week Mr Albanese told ABC Radio’s AM program that politics would be taken out of the equation in assessing infrastructure projects for funding, saying “...it's in the Government's interest to make sure…. we have an objective criteria based upon the national interest because that is what the Australian public want. The politics will not be a consideration.”
Meantime, today’s Financial Review quoted from a joint industry submission to Infrastructure Australia warning that the current financial crisis could lead to a cost blow-out on projects and result in fewer bidders coming forward.
However Australian Industry Group chief executive, Heather Ridout, told the paper the current economic woes did not spell the end for PPPs.
Last week the Fin Review reported on an address by infrastructure co-ordinator, Michael Deegan, who reportedly told a business lunch in Sydney that the states had pitched projects worth $325 billion to Infrastructure Australia.
The Herald Sun reported exclusively this week that a $700 million Frankston bypass will be built as part of the Victorian Transport Plan. The report said the State Government was aiming for the bypass to be toll-free and was confident of a funding contribution from the Federal Government.
And the Adelaide Advertiser reported this week that the Rudd Government’s infrastructure fund could save a number of state transport projects from being dropped as a result of the current financial crisis.
The Federal Government has moved to fast-track its nation building agenda to help shield Australia from the global financial crisis.
Prime Minister Kevin Rudd announced this week that the Government would accelerate the implementation of the Government's three nation building funds, including the Building Australia Fund for transport and communications infrastructure.
The announcement came on the back of this week’s $10.4 billion Economic Security Strategy package to strengthen the national economy and support Australian households during the global financial crisis.
Mr Rudd said the Government would be seeking referral of the legislation for the Nation Building Funds to a Senate Committee this week.
The Government’s announcement builds on its recent decision to ask Infrastructure Australia to produce an interim report on the National Infrastructure Priority List by December 2008.
The Government has already committed more than $26 billion to its three new funds:
The guidelines Infrastructure Australia will use to select projects for the nation's Infrastructure Priority List have been announced by the Government.
The guidelines outline the evidence-based approach that will be taken to select transport, water, energy and communication projects.
All proposals will be assessed against their ability to:
Roads Australia has taken up an invitation to join the Industry Advisory Group of stakeholders that meets with the National Transport Commission (NTC) every six months.
Roads Australia Chief Executive, Ian Webb, attended RA’s first meeting with the group earlier this month.
Mr Webb said the industry group canvassed a number of topical issues with the NTC’s Chief Executive, Nick Dimopoulos, including the recently introduced heavy vehicle driver fatigue laws, national road funding, and sustainability.
“RA’s involvement in this forum represents a significant opportunity to flag issues that affect our own members, and to be briefed on issues that are on the NTC’s horizon,” Mr Webb said.
In other news, RA President Ray Fisher has recently held high-level meetings with government ministers and senior bureaucrats to brief them on our new Policy Chapters and the role they can play as an interface between government and industry for policy feedback and development.
Mr Fisher had discussions in Melbourne with Victorian Roads and Ports Minister, Tim Pallas, the CEO of VicRoads, Gary Liddle, and the Director Intergovernmental Relations in the Victorian Department of Infrastructure, Lachlan McDonald.
He has also met with Queensland Main Roads Minister, Warren Pitt, and South Australian Transport and Infrastructure Minister, Patrick Conlon.
“The ministers have welcomed RA’s initiative and we will be continuing discussions with them to facilitate opportunities for the Chapters to be involved in the policy process,” Mr Fisher said.
The Queensland Government is planning to deliver an extra 25 heavy vehicle rest areas over the next few years, with a $6 million allocation to get the first 11 of these built.
Main Roads Minister, Warren Pitt, said last week the Government was looking to steadily expand the current network of about 200 heavy vehicle rest areas or stopping places so that the longest distance between areas was around 80 kilometres.
Mr Pitt said fatigue was a serious road safety issue, and actions to help manage it would also help reduce the road toll.
Victorian Premier John Brumby has applauded Abigroup’s commitment to industry training at the official opening of the company’s new Learning and Operations Facility in Truganina.
The facility is hailed by Abigroup as unique in that it offers employees the ability to undertake formal training - in areas from civil construction to mining - and combine it with practical experience, all in the one place.
It’s also a direct way of combating the crippling skills shortage that is seriously affecting the Australian construction industry.
Abigroup’s Southern Region General Manager, Rod Watson, warned that the whole industry would grind to a halt “...if we don’t do something to address the skills shortage.”
The Abigroup Learning and Operations Facility aims to train upwards of 1,000 people in its first year of operation. Currently, 35-45 employees are undertaking training each week, with plans to expand the Registered Training Organisation courses around Australia.
The $4 million facility was built and will be managed by Abigroup Contractors. The location of the facility is deliberate, maximising the growth of Melbourne’s western industrial corridor and is in close proximity to existing Abigroup projects.
It is also well placed to take advantage of the outcomes of the anticipated report by Sir Rod Eddington that looks at Melbourne’s western suburbs as a way to ease congestion in the city.
The following stories appear courtesy of World Highways.
US drivers switch to other transport
The latest US vehicle usage data shows that Americans drove 3.6% less, or 15.4 billion km fewer in July 2008 than July 2007. Since last November, Americans have driven 100 billion km less than they did over the same nine-month period last year. At the same time the use of public transport systems has increased 11% and in July 2008, rail company Amtrak carried more passengers than in any single month in its history.
Road safety gains for UK
Safety gains have been seen in the UK with road accident levels falling by 4% in 2007 compared with 2006. In 2007 there were a total of 247,780 casualties, while 2,946 people were killed, 7% lower than in 2006. Some 27,774 were seriously injured, a fall of 3% form 2006 and 217,060 were slightly injured, a drop of 4% from 2006.
For more road news from around the world, visit the World Highways website.
Submitted by Mark Bowmer on Friday October 17th 2008 12:58pm
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