Federal Budget 2015/16

[ozbob]

Sent to all outlets:

12th May 2015

Transport future proofing failure - the hallmark of budget 2015

Greetings,

As was expected in the 2015 Federal Budget nothing for new public transport in Queensland.  More spending on the failed road paradigm to the exclusion of more sustainable and cost effective options.

It takes a Government with  real wisdom and vision to stop the slide to transport oblivion.   As transport failure worsens in the Australian capitals the economic cost of the failure increases exponentially.

The political and social cost of this failure will be very significant.

Best wishes
Robert

Robert Dow
Administration
admin@backontrack.org
RAIL Back On Track http://backontrack.org

[ozbob]

Budget 2015 --> http://www.budget.gov.au/

[ozbob]

Twitter

Aust Railway Assoc ‏@AustRail 5 minutes ago Canberra, Australian Capital Territory

@TonyAbbottMHR @JoeHockey 2015-16 federal budget delivered, what have they delivered for rail?

[ozbob]

Couriermail --> Federal Budget: What it means for Queensland

THE Abbott Government has placed itself on a collision course with Queensland over cuts to health and education and a go-slow approach on major infrastructure ...

Queensland's share of ­federal infrastructure funding was comparable to other states; however, the six key Commonwealth projects will receive just $1.1 billion in 2015-16, while no new projects were announced ...

Almost all the key projects were previously funded by the former Labor government, while the Palaszczuk Government will miss out on a share of the $5 billion Asset Recycling Initiative, announced last year, after winning January's state election on an anti-privatisation platform.

Political blackmail does not go down well with the electorate. 

Even the CM can see the writing on the wall .. 

[ozbob]

Twitter

Lenore Taylor ‏@lenoretaylor 2 hours ago

Confused budget reveals Joe Hockey's real agenda: political survival | Lenore Taylor http://gu.com/p/48an3/stw

[ozbob]

Twitter

Alan Davies ‏@MelbUrbanist 4 hours ago

Federal Budget 2015: Abbott must stop playing politics with infrastructure http://www.theage.com.au/business/-1mzjve.html ...

================

^ it is akin to blackmail, I have no doubt will come back and bite and bite hard ...

[ozbob]

Gold Coast Bulletin --> Congested Gold Coast roads and light rail miss out as Hockey splashes cash away from Glitter Strip

[ozbob]

Twitter

Leahy Cartoons @leahycartoons  ·  5h

JUMPIN' JOE #auspoI #BreakfastNews @ABCNews24 @TalkingPicsABC #qldpol http://bit.ly/1J9l9Px   http://www.facebook.com/leahycartoons 

[ozbob]

http://statements.qld.gov.au/Statement/2015/5/13/hockeys-second-horror-budget-fails-queensland-again

Treasurer, Minister for Employment and Industrial Relations and Minister for Aboriginal and Torres Strait Islander Partnerships
The Honourable Curtis Pitt

Hockey's second horror Budget fails Queensland again

Joe Hockey's second horror Budget in 12 months has failed Queenslanders again, Treasurer Curtis Pitt said.

Mr Pitt said the Abbott Government's failures continue on health, education, infrastructure and jobs, leaving Queensland facing a multi-billion funding shortfall.

"The cuts to health and education funding announced in Joe Hockey's first Budget have not been addressed in this Budget," he said.

"Queensland is still facing an $18 billion funding shortfall in health and education over the next decade.

"This is despite Lawrence Springborg's economic crystal ball gazing that Queensland would get an even greater share of health and education funding.

"The Queensland LNP is in denial – Joe Hockey refuses to provide the funding we need to pay our doctors and nurses and keep teachers in our classrooms."

Mr Pitt said the Commonwealth Budget Papers reveal Queensland will be $924 million worse off in hospitals funding and $466 million worse off in school funding over the next three years compared to the specific purpose payments in last year's federal budget.

"These savage cuts are yet another exercise in cost-shifting to the States, and a further sign of Mr Hockey's chronic financial mismanagement," he said.

"By Mr Hockey's own admission, national unemployment is likely to remain stubbornly high at or above six percent for the next three years.

"That's a damning indictment on a Budget which is supposed to be all about jobs and employment opportunities.

"Despite this, the Abbott Government is proposing root and branch changes to the Commonwealth public service which could threaten the job security of workers.

"Queensland's federal public servants don't need the same harsh medicine Campbell Newman's arrogant LNP government dealt to our state public servants."

Mr Pitt said key infrastructure priority projects such as Brisbane's second river rail crossing, Gold Coast Light Rail extension and Sunshine Coast Rail Duplication had not received a single cent in funding from the Federal Budget.

"The Abbott Government's Northern Infrastructure Fund isn't a 'fund' at all – it's a loan scheme and Mr Hockey isn't giving us any detail on how North Queensland can access those concessional loans or even what the conditions are," he said.

"However, we campaigned hard in Canberra for National Partnership Agreement funding and as a result the Commonwealth has provided a two-year extension for a series of NPAs in early childhood, remote indigenous housing and dental services.

"These extended NPAs which deliver Queensland approximately $350 million in additional funding to deliver vital services, and around half of this will go to kindies.

"And after standing up for Queensland's fair share of GST, we are pleased that the Budget will deliver Queensland its agreed revenue share as recommended by the Commonwealth Grants Commission."

Mr Pitt said the second Hockey Budget specifically recognised Queensland's LNG export growth is helping to drive the nation forward.

"What all Queenslanders needed was a responsible Federal Budget that delivered on jobs and economic development – and Joe Hockey has failed in this task."

[ozbob]

Yahoo News --> The big budget wheeze – why the figures are substantially nonsense

[colinw]

All you need to know ...

http://www.theguardian.com/commentisfree/2015/may/12/budget-2015-how-to-forget-how-bad-last-years-one-was

[ozbob]

Brisbanetimes --> Federal Budget 2015 'failed Queensland': Curtis Pitt

[ozbob]

http://www.brisbanetimes.com.au/queensland/federal-budget-2015-queensland-reacts-20150512-ggzu0g.html

11:08pm: Rail Back on Track - Queensland rail lobby group spokesman Robert Dow

"As was expected in the 2015 Federal Budget there was nothing for new public transport in Queensland," Mr Dow said.

'"More spending on the failed road paradigm to the exclusion of more sustainable and cost effective options."

Mr Dow said "real wisdom and vision" was needed to stop the slide to transport oblivion. 

"As transport failure worsens in the Australian capitals, the economic cost of the failure increases exponentially."

"The political and social cost of this failure will be very significant."

[James]

$500 million for the Bruce Highway between Brisbane and Cairns.
$48 million for a Cape York region package of road and community infrastructure projects.
$8 million for the D'Aguilar Highway between Caboolture and Kilcoy.
$10 million for the Dalrymple Road two-lane bridge over the Bohle River.
$50 million for the Gateway Motorway North widening and Deagon Deviation duplication between Nudgee and Bracken Ridge.
$6.5 million for the Kin Kora Roundabout conversion into a four-way signalled intersection
$102 million for the Moreton Bay Rail Link between Petrie and Kippa-Ring.
$10 million for the Pacific Motorway – Coomera Interchange (Exit 54).
$30 million for the Peak Downs Highway upgrade at Eton Ridge.
$316.5 million for the Toowoomba Second Range Crossing.
$101.5 million for the Warrego Highway between Toowoomba and Miles $101.5.
$5 million for Outback Way in central west Queensland.
$12 million for the National Highway upgrade program in regional Queensland.
$12.1 million to upgrade bridges across the state.
$12.2 million on black spot projects across the state.
$71.2 million through the Roads to Recovery program for local roads ...

You can't really fault Tony Abbott's road spending. He's spent nothing on urban rail (aside from existing commitments), but he's not really spending much on urban roads in SEQ either ($68 million, of which $60 million is on the "national highways" network). Sure, he's gone for a rural road infrastructure shift, but in many cases commuter rail doesn't exist in these areas and freight rail isn't at capacity.
Secondly, according to the ABC, overall both road and rail funding has been increased by over 40%. Can't really fault Tony Abbott on that one. http://www.abc.net.au/news/2015-05-12/budget-2015-sliced-diced-interactive/6460102#spending/comparison/2016/2015

The blame squarely lies with the whinging voters of Queensland who can't deal with "their" assets being sold*, hence the state has no money to spend on anything. A state LNP government would have delivered Beerburrum to Landsborough duplication, GCLRT Stage 2 and the first part of a cross-river public transport solution (albeit a poor one). The ALP came to the last state election with no public transport policy, I don't see why Tony Abbott should support this 'policy of nothing' by throwing money at the government.

As far as I'm concerned, I'm very content to see greater Brisbane melt in congestion. They voted against bus reform, they voted against suburban rail and they voted against a plan to actually fix the debt problem at a state level. The voters get the government they deserve.

*Excluding the "non-strategic" ones, something only mentioned post-election by Anna 2.0 and Co.

[colinw]

Damn stupid Queenslanders, they voted wrong at the last election and now they must be punished. 

Thank you for neatly encapsulating all that is dysfunctional about our political culture in one deeply unhelpful post.

[ozbob]

Well I am not throwing in the towel.

I will be continuing to advocate for decent public transport solutions.

A lot of the road expenditure is just already announced and forward estimates.  The real test will be the colour of the money.



Around 3.40pm this afternoon on 4BC 1116 News Talk invited for a chat with Ben Davis  on budget and possibly some bus issues.

[colinw]

Nor should you throw in the towel.  These things take time, sometimes a lot of time.  As the MBRL currently under construction shows, sometimes even projects that have been written off as unlikely or impossible for generations manage to get up.

And let us not forget that in the past, Governments of radically different persuasions have managed to work together effectively on public transport projects.  Case in point: Federal funding (Whitlam, ALP) enabled the original Brisbane Suburban Area electrification (Bjelke-Petersen, NAT/LIB coalition).  And that was with state-federal relations even more poisonous than they are now.

Sure, we have a radically anti-PT PM right now, but that attitude doesn't necessarily pervade the entire Liberal party, as shown by previous Federal Liberal Governments investing in PT, and also by repeated tweets by Turnbull.

Keep believing everyone, and do not ever delude yourself into thinking that all the merit is on one side of politics or the other.  History shows us that we can have pro-PT Liberal Governments and can equally have anti-PT Labor Governments (remember Costa as transport minister in NSW?).  I cringe when I hear comments like "<so and so> is the party of Public Transport", or "If you had only voted for XXX, you would already have these things.".

[ozbob]

Twitter

Aust Railway Assoc ‏@AustRail 33m

Rail approaches funding cliff in Federal Budget. Read more at http://tinyurl.com/q8l6bqc 






=======================

MEDIA RELEASE
Media Contact
13 May 2015

Rail approaches funding cliff in Federal Budget

The Australasian Railway Association (ARA) has expressed disappointment in the Federal Government's 2015-16 Budget, which announced the lion's share of transport infrastructure funding to go toward roads, and no new money for the important rail infrastructure needs of the country's biggest cities.
Interim Chairman Bob Herbert AM said rail was swiftly approaching a funding cliff that would see key integrated rail infrastructure projects fall off the policy agendas of our biggest and fastest growing cities.

"Federal contributions to state government rail projects have effectively halved between this budget and the last, making up less than 5 percent of the $8.6 billion infrastructure spend in 2015-16," continued Mr Herbert.

"This situation will not improve over the forward estimates without sustained future co-investment in urban rail, with Federal funding of urban rail projects going over the cliff from $514 million in 2014-15 to only $17 million in 2018-19.

"Australia as a nation is facing increasingly serious economic, social and environmental problems with traffic congestion clogging our roads, transport emissions choking our urban environment, fluctuating fuel prices and the continued growth of our major cities.

"The Federal Government's continued approach of prioritising roads over rail will not address the long term transport needs of our growing cities," he said.
Prime Minister Abbott's commitments to roads were made clear in this Budget with around two-thirds of the $8.6 billion in Federal Government transport infrastructure spend going on roads, compared to just one-eighth being spent on rail.

Mr Herbert expressed further disappointment in the fact some of the money helping to build new road infrastructure was in fact coming from rail.

"We are seeing money earmarked for rail projects, such as the $187.5 million savings from the successful delivery of Regional Rail Link, being allocated to improving highway infrastructure that directly competes with Victoria's regional rail system," continued Mr Herbert.

"Decisions such as these are disincentives for the rail industry and its constructors and suppliers to work efficiently and effectively.

"Inland Rail was also a key priority for the industry, as outlined in our Key Platforms manifesto released prior to the Budget.

"The Federal Government has also re-committed $300 million of existing funds for pre-construction works on the Inland Rail. We are hoping for a stronger, clearer and more significant long-term funding commitment to Inland Rail from the 2016/17 Budget.

"The ARA is determined to pursue its priorities through working with both Federal and State Governments to ensure the nation and its cities receive the rail infrastructure needed for the future," Mr Herbert concluded.

[ozbob]

The Conversation --> Budget infrastructure spending serves mainly political goals

[ozbob]

Nor should you throw in the towel.  These things take time, sometimes a lot of time.  As the MBRL currently under construction shows, sometimes even projects that have been written off as unlikely or impossible for generations manage to get up.

And let us not forget that in the past, Governments of radically different persuasions have managed to work together effectively on public transport projects.  Case in point: Federal funding (Whitlam, ALP) enabled the original Brisbane Suburban Area electrification (Bjelke-Petersen, NAT/LIB coalition).  And that was with state-federal relations even more poisonous than they are now.

Sure, we have a radically anti-PT PM right now, but that attitude doesn't necessarily pervade the entire Liberal party, as shown by previous Federal Liberal Governments investing in PT, and also by repeated tweets by Turnbull.

Keep believing everyone, and do not ever delude yourself into thinking that all the merit is on one side of politics or the other.  History shows us that we can have pro-PT Liberal Governments and can equally have anti-PT Labor Governments (remember Costa as transport minister in NSW?).  I cringe when I hear comments like "<so and so> is the party of Public Transport", or "If you had only voted for XXX, you would already have these things.".

Spot on Colin.  Abbott is but a temporary aberration.  The pressure will become immense.

[ozbob]

Sydney Morning Herald --> Federal budget 2015: Joe Hockey budget snubs new road, rail lines in Sydney and NSW

[#Metro]

Damn stupid Queenslanders, they voted wrong at the last election and now they must be punished. 

Thank you for neatly encapsulating all that is dysfunctional about our political culture in one deeply unhelpful post.

I don't think the founders of the constitution had the idea that all the states and territories would be going to The Commonwealth like this every time they wanted to do something.

Australia was envisaged as a federation of states, where states would do pretty much almost everything and the Commonwealth was limited to a few areas like National Defence, Immigration etc. Health, Education and Roads are not even mentioned in the constitution.

The Government of Queensland is ultimately responsible for what happens within the state. It has the powers to borrow and raise funds itself. It has the power to levy State Rates if it wanted to.

[ozbob]

Business Spectactor --> The budget's dirty little secret

[pandmaster]

The blame squarely lies with the whinging voters of Queensland who can't deal with "their" assets being sold*, hence the state has no money to spend on anything. A state LNP government would have delivered Beerburrum to Landsborough duplication, GCLRT Stage 2 and the first part of a cross-river public transport solution (albeit a poor one). The ALP came to the last state election with no public transport policy, I don't see why Tony Abbott should support this 'policy of nothing' by throwing money at the government.

I agree that the ALP were p%ss-poor on transport at the last election (and average during government before that). The LNP were p%ss poor on transport during their three years in power (including getting exactly what they asked for to fund CRR from Canberra and rejecting the funds). Everyone here seems to be p%ss poor. If new infrastructure is funded through asset sales, how will we have any new infrastructure once all the saleable assets are gone?

According to the LNP, those projects you mentioned would have only gone ahead if the people in the local areas elected LNP candidates.

Abbott has been very keen to give money to toll roads without a business case (or with a poor one and bypassing Infrastructure Australia). IMHO GCRL and Beerburrum to Landsborough/Nambour are at the stage that they could have gotten funding, though I agree that CRR/BaT is not in a position to receive funding as both previous plans have been cancelled.

[Stillwater]

Why is the state government (and others) saying they are 'disappointed' that the Budget did not include any money for Cross River Rail?  There is no project in prospect.  What project?  What are its costs and benefits?  Just what is the federal government supposed to be funding?  Other states have projects with plans and costings etc.  Queensland just hopes a RAAF Hercules will fly down Queen Street hurling $100 bills out of the cargo hold.

[#Metro]

There is no money for Cross River Rail because Cross River Rail was cancelled by blue team taking office. There is no money for BaT because red team cancelled BaT when taking office. So there is actually nothing to fund at the moment. There is no proposal to fund - yet.

The Queensland Government faces major planning and financial constipation. This is partly driven by the very short office terms which I think should be extended to 4-years to get some certainty around things.

[Fares_Fair]

Why is the state government (and others) saying they are 'disappointed' that the Budget did not include any money for Cross River Rail?  There is no project in prospect.  What project?  What are its costs and benefits?  Just what is the federal government supposed to be funding?  Other states have projects with plans and costings etc.  Queensland just hopes a RAAF Hercules will fly down Queen Street hurling $100 bills out of the cargo hold.

As always, SW nails it in a nutshell ... 

[Jonno]

Why is the state government (and others) saying they are 'disappointed' that the Budget did not include any money for Cross River Rail?  There is no project in prospect.  What project?  What are its costs and benefits?  Just what is the federal government supposed to be funding?  Other states have projects with plans and costings etc.  Queensland just hopes a RAAF Hercules will fly down Queen Street hurling $100 bills out of the cargo hold.

Federal Govt would not have funded the project but I don't agree there is not a project ready to go. CRR was the No.1 shovel ready project in IA's project list. It had a business case signed and delivered.  The BAT tunnel was a dodgy deal for a mate called the Lord Mayor!

[James]

I agree that the ALP were p%ss-poor on transport at the last election (and average during government before that). The LNP were p%ss poor on transport during their three years in power (including getting exactly what they asked for to fund CRR from Canberra and rejecting the funds). Everyone here seems to be p%ss poor. If new infrastructure is funded through asset sales, how will we have any new infrastructure once all the saleable assets are gone?

According to the LNP, those projects you mentioned would have only gone ahead if the people in the local areas elected LNP candidates.

Abbott has been very keen to give money to toll roads without a business case (or with a poor one and bypassing Infrastructure Australia). IMHO GCRL and Beerburrum to Landsborough/Nambour are at the stage that they could have gotten funding, though I agree that CRR/BaT is not in a position to receive funding as both previous plans have been cancelled.

Given Peter Beattie (Peter who?) knew in 2006 there was a rail capacity issue, he should have been designing and taken plans to the 2009 election to build CRR then. Who knows, had work started in 2010 we'd probably be already looking forward to the big opening of CRR next year.

The assets were to be leased, not sold, and it would have provided the capital to pay off debt, of which the interest is preventing Qld from building the equivalent of CRR once every 3-4 years, or something along those lines. At least the LNP had a plan, the ALP's plan seems to be establish a review/committee. Like Infrastructure Queensland, establish another committee to tell us what we already know. FFS, just build the bloody thing.

Tony Abbott has done for a roads focus in urban areas, but rail and road funding isn't that disparate, going by the most recent budget. And aside from East-West link (which is currently stalled), there's no real 'major transit projects' occurring anywhere in Australia.

[#Metro]

Given Peter Beattie (Peter who?) knew in 2006 there was a rail capacity issue, he should have been designing and taken plans to the 2009 election to build CRR then. Who knows, had work started in 2010 we'd probably be already looking forward to the big opening of CRR next year.

They actually knew there was an issue waaay back in 1970. The idea was to have the project completed by they year 2000...
LOL.

The Queensland Government can raise the funds if it wants to, just like Perth did - sell or lease something, borrow the funds or raise taxes (land tax). Federal Government funding is customary, but a red herring excuse IMHO for not proceeding.

The Brisbane Transportation Study (Wilbur Smith Plan) 1965 & 1970
http://railbotforum.org/mbs/index.php?topic=3304.0

"RAILWAY SYSTEM CENTRAL AREA - 2000"

NB: Note the George Street Alignment.

[ozbob]

Couriermail --> Job creation projects in limbo as Premier Palaszczuk rejects federal funding from asset recycling and low-interest loans

[SurfRail]

What they should be doing is sourcing low-interest loans of their own by refinancing other public sector debt and undertaking borrowings to fund those projects.  The current interest rates are basically at CPI levels.  It really is criminal.

[ozbob]

What they should be doing is sourcing low-interest loans of their own by refinancing other public sector debt and undertaking borrowings to fund those projects.  The current interest rates are basically at CPI levels.  It really is criminal.

Indeed ....

[ozbob]

Letter to the editor Queensland Times published 14th May 2015 page 13

Budget fails to deliver for public transport

[ozbob]

Independent Australia --> Joe Hockey's battlers and the Great Northern Mirage

[James]

What they should be doing is sourcing low-interest loans of their own by refinancing other public sector debt and undertaking borrowings to fund those projects.  The current interest rates are basically at CPI levels.  It really is criminal.

100% agree. I hate government debt as much as the next person, but with CRR in particular, it is too late to do nothing. Sure, since the fare hikes and other capacity measures, we have until 2020 now, but even if you started building BaT/CRR today, you still wouldn't have it ready until 2021. This blows out to 2025 if nobody takes any action in this term of government.

[#Metro]

100% agree. I hate government debt as much as the next person, but with CRR in particular, it is too late to do nothing. Sure, since the fare hikes and other capacity measures, we have until 2020 now, but even if you started building BaT/CRR today, you still wouldn't have it ready until 2021. This blows out to 2025 if nobody takes any action in this term of government.

The Queensland Government has the money - locked up in assets - to build CRR. It is a bit like stowing away $8BN (or whatever amount) in a safe somewhere and then going out to the Feds with a hand out and complaining when they say, "well, you've already got some cash on hand, why don't you use that?"

If the Queensland Government doesn't want to sell or lease assets for whatever reason, fine. That's its choice. HOWEVER, It can still unlock the funds by borrowing against the said asset and using the income stream to pay off the loan - which is at record low-interest rates now and likely to go lower...

This is a bit like borrowing against your house or rental property. You don't have to sell your house or rental property to get paid money for it... duh..

In addition to this QLD Gov has taxing powers as well.

We really are being led up the Garden path. The buck stops at George St. Queensland Government responsibilities rest with Queensland. Federal support is nice to have, but funding can still go ahead without fed support.

[pandmaster]

Unfortunately we have a political climate in Australia that is terrified of government debt. Were the ALP do that they would be hounded from the other side for "reckless spending" or some other rubbish.

[ozbob]

Rail Express --> EXCLUSIVE: Rail ignored by visionless Abbott Government

COMMENT: In nearly 20 years in Parliament I cannot remember a federal Budget that included no new infrastructure projects.

Nor can I remember a Budget that actually reduced investment in infrastructure.

But that's exactly what happened when Joe Hockey brought down the Budget on Tuesday night.

The Government cut infrastructure spending by $2 billion over two years despite having run for election claiming it would lift funding.

Critically, the Government failed to deliver a cent for urban rail, in line with the Prime Minister's bizarre view that the commonwealth has no business investing in public transport.

There was no reversal of the cuts to public transport in last year's Budget.

Cuts to the Melbourne Metro.

Cuts to Cross River Rail.

Cuts to the link between the Perth CBD and the city's busy airport.

No effort to progress planning for a High Speed Rail Link between Brisbane and Melbourne via Sydney and Canberra.

Freight rail fared no better.

In Opposition, the Coalition vowed it would "fast track'' the Inland Rail Link from Brisbane to Melbourne.

But after two Abbott Government Budgets, not an extra dollar has been allocated beyond the $300 million left in the Budget by the former Labor Government.

And the industry is becoming impatient over delays in the production of the report into the delivery of the project being prepared by a government-appointed panel.

The Budget even included cuts for the Prime Minister's preferred mode of transport – roads.

This includes the scandalous and vindictive decision to punish the people of Victoria for daring to elect a Labor Government that can see that there are more productivity gains to be made building the Melbourne Metro than there are in the East-West Link toll road.

This Budget has also foreshadowed extending this approach to freight rail with the examination of privatising the Australian Rail Track Corporation.

The key challenge for the economy at the moment is how to deal with the wind-back that has occurred in the resources sector as a result of the move from the investment side to the production side.

We need to fill that gap to ensure future economic growth.

Options include investing in infrastructure and capital or investing in human capital – in people's skills and education.

This Budget fails on both accounts.

This is occurring at a time when the latest ABS statistics show that construction activity for public sector infrastructure fell by 17.3 per cent between the December 2014 quarter and the December 2013 quarter.

In the same period, private sector investment plunged by 12.4 per cent.

This is a time when government should be investing in infrastructure.

Yet this Budget does exactly the opposite.

Infrastructure Partnerships Australia's analysis of the Budget shows that the Commonwealth investment in infrastructure will fall from 1.55 per cent of the Budget to 1.47 per cent across the forward estimates to 2018-19.

The Government has also cut Infrastructure Australia funding from $15 million this year to $8.8 billion by 2018-19.

This is confirmation it is trying to sidelined this important organisation as a provider of independent advice to government on the value for money implications of proposed infrastructure projects.

Judging by the East-West Link debacle in Victoria, the Government does not want advice because it would prefer to use public money to make investments that are in its strategic political interest, rather than in the long-term national economic interest.

If the Government wanted Infrastructure Australia's advice, it would not have transferred $3 billion the former Labor Government allocated to the Melbourne Metro to the East-West Link, which would return a paltry 45 cents for every dollar invested.

This country needs a government that understands that the cost of infrastructure must be considered in the light of the economic productivity returns it delivers to the community.

By increasing productivity and economic growth, great projects provide a return to government.

They represent investments, not just costs.

The nation needs a government that understands that one in six Australians currently use public transport and that the prosperity of our cities is intricately linked with the efficiency of public transport, particularly urban rail.

This week's infrastructure Budget was a prescription for inactivity.

It does nothing to address the worsening traffic congestion that is holding back productivity growth, which is the pathway to job creation.

Anthony Albanese is the Shadow Minister for Infrastructure, Transport and Cities.