NFRASTRUCTURE I ON ELECTI TOR MONI SOUTHAUSTRALI A REDBOOK
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I NTRODUCTI ON
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PUBLI CI NFRASTRUCTUREI NVESTMENTOVERVI EW
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I NFRASTRUCTUREMARKETDYNAMI CS
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I NFRASTRUCTUREPOLI CYANDREFORM
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ECONOMI CANDFI SCAL
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TRANSPORT
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ENERGY
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SOCI ALI NFRASTRUCTURE
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I NTRODUCTI ON TheSout hAust r al i an( SA)LaborPar t y ,l edbyPet erMal i nauskas,hasf or med maj or i t yGover nment ,f ol l owi ngal andsl i dewi natt heSt at eEl ect i onovert he weekend.Labor ’ sel ect i onpl at f or m hadast r ongf ocusonhospi t alandpubl i c housi ngi nf r ast r uct ur e,whi chwi l lseet henew Gover nmentpr ogr esst he$2bi l l i on New Women’ sandChi l dr en’ sHospi t al ,al ongsi det hedel i ver yofmor et han750new publ i chousi ngdwel l i ngsandupgr ades.SALaboral sopr ovi dedbi par t i sansuppor t f ort hest at e’ smaj orr oadandr ai lpr oj ect sandwi l lcont i nuepr ocur ementoft he $14. 5bi l l i onNor t hSout hCor r i dor .However ,t her ewer esomecr i t i calpr oj ectand pol i cydi f f er encesi nt hi sel ect i on,wi t hSALaborcommi t t i ngt onotpr oceedwi t ht he $662mi l l i onAdel ai deRi verBankAr ena.I nadi sappoi nt i ngandpot ent i al l yhi ghl y damagi ngmovef orconf i dence,Pr emi erMal i nauskaswi l lseekt o‘ cancel ’t he Adel ai deMet r oPassengerTr ai nandTr am andBuscont r act sandr epealt hest at e’ s r oaduserchar gi ngl egi sl at i on.Whi l et hesechangesi npol i cydi r ect i onwi l lbehar d t odel i veri npr act i ce,cancel l i ngact i vecont r act swi l lr ai sesi gni f i cantsover ei gnr i sk concer nsf ort hest at eatacr i t i calj unct ur ei nt hei nf r ast r uct ur emar ketcycl e. Asofpubl i cat i on,t heSALaborPar t yhaswon26seat s,wi t ht heLi ber al ssecur i ngonl y ei ghtseat si nSout hAust r al i a’ s47seatPar l i ament .Wi t hcount i ngofpost alvot esand pr epol l scont i nui ng,t her ear est i l lsever alseat sst i l li ndoubt . Anal ysi soft heMal i nauskasGover nment ’ si nf r ast r uct ur epol i cyandpr oj ect commi t ment si ncl udi nganover vi ewofpubl i ci nf r ast r uct ur ei nvest mentandmar ket dynami csi spr ovi dedbel ow.
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PUBLI CI NFRASTRUCTUREOVERVI EW Publ i ci nf r ast r uct ur ei nvest menti sonanupwar dt r aj ect or yi nSout hAust r al i a.The 202122St at eBudgetal l ocat ed$14. 7bi l l i oni ngener algover nmentexpendi t ur et o i nf r ast r uct ur eoutt oFY202425,i ncl udi ng$3. 4bi l l i oni nFY202122.Thef our year i nf r ast r uct ur espendi ngr epr esent sa$1. 3bi l l i oni ncr easeont hepr evi ousSA Budget . The14. 4percentshar eoft ot algover nmentex pendi t ur eappor t i onedf ori nf r ast r uct ur e overt henex tf ouryear si ssi gni f i cant l yhi ghert hant he10yearaver ageof10. 7per cent .Overt henex tf ouryear s,t heshar eoft ot alspendi ngt oi nf r ast r uct ur ei sf or ecast t oi ncr easesi gni f i cant l y ,peaki ngatmor et han20percenti nt hesecondl astyearoft he f or war dest i mat es. Fi gur e1:Publ i cI nf r ast r uct ur eI nvest ment
I NFRASTRUCTUREMARKETDYNAMI CS Anewl yel ect edMal i nauskasGover nmentwi l lneedt oconf r ontsever alchal l enges i ndel i ver i ngi t spr ogr am ofi nf r ast r uct ur ecommi t ment s.Sout hAust r al i acompet es wi t hi namuchl ar gernat i onali nf r ast r uct ur emar ket ,t hati sdomi nat edbyNSW and Vi ct or i a.T oget her ,NSW andVi ct or i amakeupmor et han70percentofpubl i c i nf r ast r uct ur ei nvest menti ni nf r ast r uct ur e. Looki ngacr osst het ot alpi pel i ne–publ i candpr i vat e–i nf r ast r uct ur ei nvest menti n NSW i sex pect edonaver aget obe$6. 7bi l l i onperquar t eroutt oQ12026( SeeFi gur e 2) .Bycompar i son,Sout hAust r al i a’ si nf r ast r uct ur ei nvest menti sonl yex pect edt o aver age$700mi l l i onperquar t erovert hesameper i od. Sout hAust r al i ai svyi ngt oat t r actandr et ai nl abour ,mat er i al s,andbi dder sawayf r om i t seastcoastnei ghbour si namar kett hati sst i l lr ecover i ngf r om si gni f i cant COVI Di nducedsuppl ychai ndi sr upt i ons. Fi gur e2:For ecasti nf r ast r uct ur eexpendi t ur ebyj ur i sdi ct i on( f our yearhor i zon)
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Ensur i ngt her ei sasuf f i ci entl evelofcompet i t i oni nt heSAmar kett omai nt ai nval uef or t ax payer swi l lbeadef i ni ngchal l engebutal soanoppor t uni t yf ort henewl yel ect ed Mal i nauskasGover nment .Gi vent hecont ex tf aci ngt heSAGover nment ,i tcanadj usti t s pr ocur ementandpr oj ectdel i ver yt i mi ngt omat cht hepeaksandt r oughsoft hebr oader i nf r ast r uct ur emar ket .However ,af ocusonex pandi ngt hedept hofoppor t uni t i esi nt he mar ketbeyondt heNor t hSout hCor r i dorandNewWomen’ sandChi l dr en’ sHospi t al pr oj ect swi l lbecr i t i cali ft heMal i nauskasGover nmentwant st or emai nanat t r act i ve i nf r ast r uct ur edest i nat i onf orbi dder s. Demandf orl aboural sor epr esent sanot hersi gni f i cantchal l engef ort heMal i nauskas Gover nmentovert heneart omedi um t er m.Accor di ngt oANZI P ,bet weenJul y2022and Oct ober2024,t hei nf r ast r uct ur esect orwi l lneedt ogr owi t st ot alwor kf or cebymor e t han40percentt omeett hedemandsoft hecomi ngpi pel i ne( seeFi gur e3) . Fi gur e3:For ecasti nf r ast r uct ur eexpendi t ur ebyj ur i sdi ct i on( f our yearhor i zon)
I nSout hAust r al i a,t hedel i ver yoft heNor t hSout hCor r i dorandNewWomen’ sand Chi l dr en’ sHospi t alwi l lseel abourdemandmor et handoubl e.Onasect or albasi s, r oadpr oj ect sar esett or equi r et hemostconsi st enti ncr easei nwor kf or cer equi r ement s movi ngf or war d,wi t ha70percenti ncr easeby2024.I nr ai l ,a40percenti ncr easewi l l ber equi r edi ft hesect ori st omeett hef or ecastl evel sofex pendi t ur e. Whi l et hesel abourshor t agesar eofconcer n,t heyar enoti nsur mount abl e. I nf r ast r uct ur ePar t ner shi psAust r al i ahasbeenact i vei nadvocat i ngf ort heFeder al Gover nmentt oi nt r oduceaspeci f i ci nf r ast r uct ur esubcl assvi sawhi chi st i edt opr oj ect t i mef r ames. Overt henex tt er m ofPar l i ament ,t heSout hAust r al i anGover nmentwi l lneedt ot ur ni t s at t ent i ont ot hi spol i cychal l engeandseekt odevel opacoor di nat edr esponsewi t hi t s eastcoastnei ghbour si ft heywantt ol i mi tpr i ceescal at i onandpr oj ectdel i ver ydel ays acr ossi t si nf r ast r uct ur epi pel i ne. I nf r ast r uct ur eEl ect i onMoni t or
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I NFRASTRUCTUREPOLI CYANDREFORM
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ECONOMI CANDFI SCALOVERVI EW TheSout hAust r al i aneconomyi sr eboundi ngf r om t hepandemi c,wi t hGr ossSt at e Pr oduct( GSP)est i mat edt ogr ow by2. 25percenti nFY202021–asi gni f i cant i mpr ovementf r om t he0. 75percentcont r act i onf or ecasti nt hepr evi ousyear ’ s Budget . Thi st ur nar oundi sunder pi nnedbysi gni f i cantFeder alandSAGover nmentst i mul us spendi ngandast r ongr ecover yi nhousehol dconsumpt i on.Fi gur e4pr ovi desa summar yofSout hAust r al i a’ skeyeconomi ci ndi cat or s. Fi gur e4:SABudget202122keyeconomi ci ndi cat or s
TheSAGover nmentnowest i mat esanetoper at i ngdef i ci tof$1. 8bi l l i onf orFY202021 –an$800mi l l i oni mpr ovementsi ncet hef or ecast soft hepr evi ousyear ’ sBudget .Thi s i sl ar gel yar esul tofhi gherGoodsandSer vi cesT ax( GST)r evenueandr ef l ect sst r ong st ampdut yr evenue. ForFY202122,t heBudgetf or ecast sa$1. 4bi l l i onoper at i ngdef i ci t ,whi chi tex pect st o gr adual l ygr owi nt osur pl usovert hef or war dest i mat esper i od.However ,netdebti s f or ecastt ogr owf r om $18bi l l i oni nFY202122t ocl oset o$25bi l l i onbyFY202425. Despi t et hi si ncr ease,netdebtt oGSPst i l lr emai nsl owbyi nt er nat i onalst andar dsand i sl ar gel ydr i venbyt hegover nment ’ ssubst ant i ali nf r ast r uct ur espendandCOVI D19 st i mul usr esponse.Fi gur e5showsasummar yofkeyf i scali ndi cat or s. Fi gur e5:202122SABudgetkeyf i scali ndi cat or s
TRANSPORT Out si deoft hei rdeci si ont or evoket heAdel ai deMet r oPassengerTr ai nandTr am andBuscont r act s,aMal i nauskasl edGover nmentwi l lcont i nuedel i ver yoft he exi st i ngt r anspor tpi pel i ne,wi t hadj ust ment si nscopet ot heMai nSout hRoad Dupl i cat i on. SALaborhascommi t t ed$125mi l l i ont or ei nst at et hescoper educt i onsor i gi nal l ymade byt hef or merMar shal lGover nmentt ost aget wooft heMai nSout hRoadDupl i cat i on. Thescopeofst aget wowi l lnowseet hepl annednumberofl anesbet weenAl di ngaand Sel l i cksi ncr easedf r om t hr eet of our ,wi t ht hepr oposedr oundaboutatAl di ngaBeach RoadandAl di ngaRoadr epl acedwi t hagr adesepar at i onandr oadal i gnment ,and t hr eeover t aki ngl anesaddedbet weenMypongaandCapeJer vi s.
Maj orpr oj ect scur r ent l yi npl anni ngorunderdel i ver yt hatwi l lbecont i nuedbyt he Mal i nauskasGover nmenti ncl udet heNor t hSout hCor r dor–T or r enst oDar l i ngt on sect i ons,Mai nSout hRoadDupl i cat i on–St ageOne,Vi ct orHar bourRoad-St ageOne, Gawl erLi neEl ect r i f i cat i on,Ovi ngham LevelCr ossi ngUpgr ade,St r z el eckiT r ackSt age T wo,andt hedupl i cat i onoft heJoyBal uchAM Br i dgeby2024.Ot herr oad commi t ment si ncl udet heconst r uct i onoft heT r ur oBypassandt hePor tAugust a Hi ghwayDupl i cat i onby2025.
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ENERGY Akeydi f f er encebet weent hemaj orpar t i esdur i ngt heel ect i oncampai gnwast he devel opmentoft hest at e’ sf l edgl i nghydr ogeni ndust r y ,wi t hSALaborcommi t t i ngt o del i verahydr ogenpr oj ectpackagei nt hef or m oft hei rHydr ogenJobsPl an. Thepackagewi l lbedel i ver edandoper at i onalby2025andi ncl udest heconst r uct i onof hydr ogenel ect r ol yer swi t ha250megawat tcapaci t y ,a200megawat tCombi nedCycl e T ur bi nepower edbyt hehydr ogenpr oducedbyt heel ect r ol yser s,and3, 600t onnesof hydr ogenst or agecapaci t y .LaborhasannouncedWhyal l aast hesi t ef ort hi shydr ogen powerst at i onpackage. Gi vent hatt hedevel opmentofhydr ogenatscal e,par t i cul ar l ygr eenhydr ogen,i sst i l l anemer gi ngt echnol ogy ,howt hesepr oposedpr oj ect scoul df easi bl ybedel i ver edby 2025hasnotbeendet ai l edi nLabor ’ sannouncement .Agover nmentent er pr i se, Hydr ogenPowerSA,wi l lal sobeest abl i shedof f er i ngf i r mi ngser vi cest or enewabl e ener gygener at i onf aci l i t i es.Hydr ogenPowerSAwi l lal sobet askedwi t hdevel opi nga hydr ogenener gyex por tst r at egy . I ti sant i ci pat edt hatsomeex i st i ngener gypr ogr amswi l lal socont i nueundert heSA LaborGover nment .Thi si ncl udest heRenewabl eT echnol ogyFund,Gr i dScal eSt or age Fund,Sout hAust r al i a’ sVi r t ualPowerPl antpr ogr am,andt heHomeBat t er yScheme Fund.
SOCI ALI NFRASTRUCTURE Sout hAust r al i anLabor ’ ssoci ali nf r ast r uct ur ecommi t ment sar ef ocusedonheal t h, wi t hf undi ngcommi t t edf orsoci alhousi ngr enewalal ongsi det heconst r uct i onof f i venew T echni calCol l eges.I nasi gni f i cantmove,Laborwi l lnotpr oceedwi t ht he Adel ai deRi ver bankAr ena.I nst ead,t heMal i nauskasGover nmentwi l lr eal l ocat et he $662mi l l i oni nf undi ngf ort heSt adi um t oheal t hi nf r ast r uct ur e,i ncl udi ng const r uct i onofanew MountBar kerHospi t alal ongsi deanaddi t i onal50bedsf ort he $2bi l l i onNew Women’ sandChi l dr en’ sHospi t al . TheSout hAust r al i anLaborGover nmenthascommi t t edaddi t i onalf undi ngf ora changeofscopet ot heNewWomen’ sandChi l dr en’ sHospi t alt oaccommodat e50 addi t i onalbeds.Thenewhospi t alwi l lbecol ocat edwi t ht henewRoyalAdel ai de Hospi t alandwi l li ncl ude500t r eat mentspaces,170out pat i entr ooms,14Women’ s AssessmentSer vi cet r eat mentspaces,t woai rbr i dgesl i nki ngt oRoyalAdel ai de Hospi t al ,andabr i dgeovert her ai ll i neonsi t e.Lendl easewasr ecent l yappoi nt edas t heManagi ngCont r act ort oconst r uctt hepr oj ectwi t hmai nwor ksex pect edt o commencel at ert hi syearandpr oj ectcompl et i onschedul edf or2026. Af ur t her$220mi l l i onhasbeencommi t t edt oconst r uctanewMountBar kerHospi t al , whi chwi l ldel i veranaddi t i onal102i npat i entbeds,addi t i onalsur ger yandt heat r es,and addi t i onalchemot her apy .Thenewhospi t ali sex pect edt obecompl et edby2027. SALaborhasal socommi t t ed$185mi l l i ont odevel op98newment alheal t hbedsand t hr eenewwar ds.Thi si ncl udes72bedst obespr eadoutacr osst hemet r opol i t anar ea and26i nr egi onalar eas,i ncl udi ng: •24bedsatQueenEl i z abet hHospi t al •24bedsatModbur yHospi t al •24bedsatNoar l ungaHospi t al •20addi t i onalment alheal t hcommuni t yhospi t ali nhomebeds,and •si xbedsatMountGambi erHospi t al ,doubl i ngt hesi z eoft heex i st i ngment al heal t hwar d.
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I naddi t i on,t heLaborGover nmenthascommi t t ed$169mi l l i ont oupgr adeandex pand t heModbur yHospi t aland$120mi l l i ont oanewSAAmbul anceHeadquar t er s,whi ch wi l li ncl udeanewEmer gencyOper at i onsCent r e,anewambul ancest at i on,andanew St at eHeal t hCont r olCent r e.TheSALaborGover nmentwi l lal socommi t$100mi l l i ont o count r yhospi t al s. I nhousi ng,SALaborhaveal l ocat ed$182mi l l i ont odel i vermor et han750publ i c housi ngdwel l i ngs.Thi si ncl udesupt o250homesi nAdel ai de,wi t ht her emai nder l ocat edi nr egi onalar eas.I nt ot al ,t hepackagewi l l : •const r uct400newpubl i chousi nghomes •upgr ade350ex i st i ngpubl i chousi nghomes,and •i mpr oveaf ur t her3, 000publ i chousi nghomesacr osst hest at e. I neducat i on,t heSALaborGover nmenthasal l ocat ed$175mi l l i ont odevel opi ngf i ve newT echni calCol l eges,i ncl udi ngt hr eei nmet r opol i t anAdel ai deandt woi nr egi onal Sout hAust r al i a.Thef i r stcol l egei sex pect edt oopeni n2024,wi t hal lf i veex pect edt o beopeni n2026.
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