State Infrastructure Plan - QLD

[SteelPan]

How many years has the GC lined dead-ended at Varsity Lakes now? We're talking the Bris/GC Corridor here and it's still not rocking on to Coolangatta.....shameful stuff......World Class alright...World class Inaction!

[ozbob]

Couriermail --> $12b infrastructure black hole amid public wage splurge

A $12 billion black hole was punched into Queensland's infrastructure spending over the first five years under the State Labor Government, while cash was splurged on a public sector wage spree.

Enough to build two Cross River Rail projects, five duplicate Pacific Motorways or 40 Townsville stadiums, the massive cut in capital spending has been exposed in a detailed analysis undertaken by the Federal Parliamentary Budget Office.

Released to The Courier-Mail, the damning analysis has revealed Queensland's net spending on roads, public transport and other infrastructure as a proportion of state revenue lags woefully behind NSW and Victoria.

The results are a bitter blow for the Government as it attempts to mount its case for re-election on October 31 around a recovery plan to spend $52 billion on infrastructure projects over the next four years.

Federal Government backbencher Ted O'Brien insisted the analysis was "irrefutable evidence" of a massive infrastructure cut in Queensland which had harmed the economy and cost jobs.

"Remember, we are talking billions here, not millions," the Member for Fairfax said.

"How many additional schools or hospitals could have been built?

"How many bridges, ports, roads and rail lines could have been fixed or built anew?

"How many dams, weirs and pipelines could have been built or under construction?"

Treasurer Cameron Dick said the public infrastructure expenditure of southern states was fuelled by privatisation which Queenslanders had repeatedly opposed.

"The NSW and Victorian Governments sold public assets to fund their capital works programs and received additional infrastructure funding from federal Coalition governments to do so, while Queensland received nothing," a spokeswoman said.

"Queenslanders have rejected asset sales at the last three state elections."

The figures show on average Queensland spent 48 per cent less than Victoria and 45 per cent less than NSW of its own tax revenue on infrastructure between 2014-15 and 2018-19.

According to the analysis based on Australian Bureau of Statistics data, Queensland's net spend on infrastructure was $3.093 billion in 2018-19 compared to $7.287 in Victoria and $10.659 billion for NSW.

Queensland was on track to match the infrastructure spend of southern states in the final budget projections produced by the Newman government in late 2014 before it was ousted from office.

Had the Sunshine State kept pace, a further $12 billion would have been spent on projects across Queensland, including an additional $3 billion in 2018-19.

Instead, the annual public sector wage bill rose by $5.5 billion or 30 per cent over the five-year period with almost 35,000 new full-time equivalent positions created.

According to the Federal Parliamentary Budget Office, the Commonwealth's average annual contribution towards overall infrastructure spending was 40 per cent in Queensland compared to 21 per cent in other states.

Mr O'Brien said that, while the Palaszczuk Government had a habit of blaming Canberra over infrastructure spending, the figures demonstrated that it was the state failing to fund its fair share.

"By blaming the Federal Government, their cunning plan is to deflect attention and reframe the issue as 'he said, she said' spat between political rivals," he said.

"But, this time it's different. Now there's compelling, hard evidence which has been independently modelled."

Mr Dick insisted the Government's infrastructure spending had risen each year while cuts were inevitable if the LNP was elected at the October 31 election.

"With the LNP now making billions in unfunded election commitments and ruling out any further borrowings, Deb Frecklington needs to explain what she will cut, and sell, to fund those promises," Mr Dick's spokeswoman said.

"Unlike the LNP, the Palaszczuk Government has made no cuts to the capital program since we were elected in 2015, with the government increasing its infrastructure spend every year since coming to office."

[ozbob]

Couriermail Opinion 28th September 2020 page 33

Infrastructure key to state's recovery task
TED O'BRIEN

QUEENSLAND risks becoming the rust belt of Australia. An independent analysis by the Federal Parliamentary Budget Office has uncovered irrefutable evidence that proves that the Queensland government is spending half as much on infrastructure, compared with the governments of New South Wales and Victoria.

Over five financial years ending June 2019, the Palaszczuk government spent, on average, a tiny 3.6 per cent of its annual revenue on infrastructure, compared with 8.1 per cent in New South Wales and 7.6 per cent in Victoria. The Queensland government's spend on infrastructure averaged 0.6 per cent of the state's annual total economic activity, compared with 1.1 per cent in Victoria and 1.12 per cent in New South Wales.

This represents a massive underspend. If the Palaszczuk government had kept pace with Victoria and New South Wales, another $12 billion would have been invested in Queensland. In fact, if it had delivered according to the official forecast of the former LNP state government, an extra $12.7 billion would have been invested by June 2018.

How many additional schools or hospitals could have been built? How many bridges, ports, roads and rail lines could have been fixed or built? How many dams, weirs and pipelines could have been built or under construction? How many thousands of jobs could have been created? How much additional income could be swirling around local economies? How much better would Queensland's productivity, competitiveness and business confidence be? And how much more resilient would the economy be to the global pandemic?

State investment in infrastructure typically attracts further private investment, so a massive underspend by the state means Queensland failed to optimise private sector funding. The real cost of the Palaszczuk government's neglect will never be known.

Data from the financial year ending June 2020 is not yet available for the Federal Parliamentary Budget Office to model, and so I turned to the Queensland Government's COVID-19 Fiscal and Economic Review. It reported a $1.3 billion shortfall in delivery of infrastructure against the government's plan between December 2019 to June 2020.

The Palaszczuk government is now pledging an economic recovery from COVID-19 with an enormous stimulus package that "recognises the importance of building vital infrastructure". As the Premier posted on her Facebook page earlier this week – "Infrastructure is so important – it's a central part of our economic recovery plan".

This is misleading. The Palaszczuk government's four-year forecast, which it heralds as the pathway to economic recovery, is $9bn less than the previous LNP government's fouryear forecast six years ago.

I have had my arguments about infrastructure with the Premier and her ministers over recent years. I call them out for underspending, which they deny, and they counter-claim that it's the federal government that is failing to invest in Queensland.

By blaming the federal government, their plan is to reframe the issue as "he said, she said" spat between political rivals. But this time it's different. Now there's compelling, hard evidence that has been independently modelled.

The Parliamentary Budget Office analysis reveals that the federal government's financial contribution to infrastructure in Queensland has been almost double the contribution to other states and territories. That's right

– double. As a federal government, our share of the funding split for Queensland state infrastructure was 40 per cent, compared with 21 per cent in other states and territories.

The LNP's Team Queensland has been delivering. But a Queensland Labor government that fails to invest makes our job as a federal government harder. After all, much of our federal funding, due to constitutional arrangements, is allocated to the state before it can be spent, and the Palaszczuk government constantly holds up water, road and rail projects.

If the Palaszczuk government is reelected for another four years, Queensland will face a lost decade of infrastructure. The Palaszczuk government has no viable path to economic recovery, let alone a return to prosperity.

TED O'BRIEN IS THE FEDERAL MEMBER FOR THE SEAT OF FAIRFAX

[ozbob]

Couriermail Editorial 28th September 2020 page 32

Infrastructure must catch up with nation

QUEENSLAND is unlike any other state in the Commonwealth, combining a huge land mass with large regional centres and a population spread far and wide – not just centred on the capital.

We have unique challenges posed by the tropical climate – flooding and cyclones create an endless cycle of preparing and rebuilding – and the geographic diversity that sees Queenslanders living and working in places bordered by sandy deserts, tropical islands, mangrove swamps, inaccessible mountain ranges and scorched plains. We are also an ambitious state, with a constantly growing population and an in-built desire to take on our big sisters down south, in NSW and Victoria.

Of course, the constant upgrading of infrastructure is key – not only to sustain growth, but to maintain the standards that we expect in transport, health, education and water and power delivery.

Today, The Courier-Mail reveals that the Palaszczuk government has failed to keep up on infrastructure, with detailed analysis from the Federal Parliamentary Budget Office revealing that a $12 billion black hole has been punched into Queensland's infrastructure spending over the last five years.

We went from a position of nearparity with NSW and Victoria, to the current situation where we spend about half the amount of our southern neighbours.

To put those missing billions into perspective, that's enough to build two Cross River Rail projects, five second M1s or 40 Townsville stadiums.

Treasurer Cameron Dick yesterday insisted the public infrastructure spend of southern states was fuelled by privatisation – and Queenslanders had repeatedly shown they rejected that.

Regardless of the reasons, however, we are falling behind. And at the same time as infrastructure spending stagnated, public service spending has gone through the roof. The public sector wage bill rose 30 per cent – or $5.5 billion – over the same five years, as the equivalent of 35,000 full-time positions were created (and yes, many will have been frontline jobs).

It is interesting in this context how negative the government was yesterday in responding to the LNP's big infrastructure initiative – a $33 billion vision to four-lane the Bruce Highway all the way to Cairns.

Mr Dick slammed the pledge as "another LNP politician talking big about the Bruce Highway", Transport Minister Mark Bailey described it as an "unfunded (Opposition Leader) Deb Frecklington fantasy", and Premier Annastacia Palaszczuk insisted it would be another promise the LNP "cannot deliver".

One thing is for sure, though – the proposal has people talking at a time when attention is turning to the October poll. It gives Ms Frecklington the initiative as she campaigns in seats along the Bruce Highway in the coming weeks.

Yes, this project will have to be properly funded. And yes Ms Frecklington will need significant money from the federal government to get her Bruce Highway commitment off the ground.

But Queenslanders deserve infrastructure investments that are not simply business as usual – and now more than ever that is critical.

[verbatim9]

Couriermail-----> Queensland second-last for infrastructure spending: Report

As other states boost their infrastructure budgets by almost 50 per cent Queensland is lagging well behind, according to a report that suggests the reason why.

Qld Gov only increased spending by 10% while  other states increased spending by 45%

[achiruel]

Couriermail-----> Queensland second-last for infrastructure spending: Report

As other states boost their infrastructure budgets by almost 50 per cent Queensland is lagging well behind, according to a report that suggests the reason why.

Qld Gov only increased spending by 10% while  other states increased spending by 45%

Note this very important caveat not included in the attention seeking headline:

The report did not include spending made by government-owned corporations.

Of which Qld has many, and NSW/Vic have very few.

Oh, and this bit:

A spokesman for Treasurer Cameron Dick however said Queensland's lack of privatisation meant it and WA would be the only two states with positive growth in 2020.

Pays to read beyond the headlines.

[timh]

Thanks for that details Achiruel. By that definition, would the whole CRR project come under it then as a part of the CRRDA?
Or is it more just things like QR?

Sent from my SM-G950F using Tapatalk

[verbatim9]

Couriermail-----> Queensland second-last for infrastructure spending: Report

As other states boost their infrastructure budgets by almost 50 per cent Queensland is lagging well behind, according to a report that suggests the reason why.

Qld Gov only increased spending by 10% while  other states increased spending by 45%

Note this very important caveat not included in the attention seeking headline:

The report did not include spending made by government-owned corporations.

Of which Qld has many, and NSW/Vic have very few.

Oh, and this bit:

A spokesman for Treasurer Cameron Dick however said Queensland's lack of privatisation meant it and WA would be the only two states with positive growth in 2020.

Pays to read beyond the headlines.

Thanks for that details Achiruel. By that definition, would the whole CRR project come under it then as a part of the CRRDA?
Or is it more just things like QR?

Sent from my SM-G950F using Tapatalk

If you guys need clarification - https://infrastructure.org.au/chart-group/government-infrastructure-investment/

[achiruel]

^ & once again, doesn't include GOC projects.

Thanks for that details Achiruel. By that definition, would the whole CRR project come under it then as a part of the CRRDA?
Or is it more just things like QR?

Doesn't include CRRDA or QR.

Would include the following:

CS Energy
Stanwell Corporation Ltd
CleanCo Queensland
Queensland Electricity Transmission Corporation Limited (Powerlink Queensland)
Energy Queensland Limited
Far North Queensland Ports Corporation Limited (Ports North)
Gladstone Ports Corporation Limited
North Queensland Bulk Ports Corporation Limited
Port of Townsville Limited
Sunwater Limited
QIC Limited

[verbatim9]

If you read the methodology on how its calculated, they include expenditure from Government owned enterprises.

Each jurisdiction reports on infrastructure funding using a different methodology, for this reason our analysis uses general government sector spending on infrastructure or capital expenditure where available. In jurisdictions where infrastructure funding is not reported separately, our analysis uses purchases of non-financial assets as a proxy.

[verbatim9]

^ & once again, doesn't include GOC projects.

Thanks for that details Achiruel. By that definition, would the whole CRR project come under it then as a part of the CRRDA?
Or is it more just things like QR?

Doesn't include CRRDA or QR.

Would include the following:

CS Energy
Stanwell Corporation Ltd
CleanCo Queensland
Queensland Electricity Transmission Corporation Limited (Powerlink Queensland)
Energy Queensland Limited
Far North Queensland Ports Corporation Limited (Ports North)
Gladstone Ports Corporation Limited
North Queensland Bulk Ports Corporation Limited
Port of Townsville Limited
Sunwater Limited
QIC Limited

QR don't really have any major project planned other than upgrades to stations and other smaller works. --- https://www.queenslandrail.com.au/inthecommunity/projects

[achiruel]

If you read the methodology on how its calculated, they include expenditure from Government owned enterprises.

It's not accurate then. Qld budget papers forecast 12,616,508,000 in infrastructure spending in 2020/21 FY, and your link indicates 25% less.

How do you explain the discrepancy?

^ & once again, doesn't include GOC projects.

Thanks for that details Achiruel. By that definition, would the whole CRR project come under it then as a part of the CRRDA?
Or is it more just things like QR?

Doesn't include CRRDA or QR.

Would include the following:

CS Energy
Stanwell Corporation Ltd
CleanCo Queensland
Queensland Electricity Transmission Corporation Limited (Powerlink Queensland)
Energy Queensland Limited
Far North Queensland Ports Corporation Limited (Ports North)
Gladstone Ports Corporation Limited
North Queensland Bulk Ports Corporation Limited
Port of Townsville Limited
Sunwater Limited
QIC Limited

QR don't really have any major project planned other than upgrades to stations and other smaller works. --- https://www.queenslandrail.com.au/inthecommunity/projects

I never claimed QR wouldn't be included, in fact I quite clearly stated it's not a GOC.