Foreword | by the Hon Mark Birrell, Chairman, IPA

Foreword

I am pleased to present our latest edition of Future Building; the journal of Australia’s infrastructure sector.

Over the past six months, we have seen a range of events that have changed the direction and tempo of the infrastructure market in Australia and, indeed, the region. New governments in New South Wales and Victoria have brought forward positive changes to their infrastructure strategies and priority projects. In New South Wales, we’ve seen important project commitments, the announcement of major public transport reforms and the appointment of a much needed coordinating body, Infrastructure NSW. In Victoria, the government has maintained its major projects in spite of a challenging budgetary position, established an Urban Renewal Authority, and is now looking to drive reforms that increase opportunities for the private sector to invest in the state’s infrastructure priorities. Meanwhile, South Australia has successfully completed the procurement of Australia’s largest ever hospital PPP, and markets continue to develop in other states, as well as in New Zealand. Western Australia has seen healthy investment in exportfocused infrastructure, reflecting a dynamic focus on the booming resources sector.

But challenges remain.

The rebuilding task in Queensland and Christchurch, and the resulting delay in major projects, shows the sensitive budget position of Australia’s governments. The lack of flexibility in government budgets, coupled with the mounting demand for new infrastructure investment, demands solutions. Australia’s governments will increasingly need to grapple with a new round of reform that considers how capital can be recycled to fund new projects, and how Australia can clear obstacles to a better functioning private market for public infrastructure projects.

Forums like October’s national taxation summit and the current review of state finances in New South Wales and Victoria provide important opportunities to further the reform debate in Australia. I hope you find this edition of Future Building of interest, and would welcome your feedback.

The Hon. Mark Birrell Chairman, Infrastructure Partnerships Australia