ARA: Rail Industry welcomes tax incentives for infrastructure

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http://www.ara.net.au/Media-releases

18 April 2013

Rail Industry welcomes tax incentives for infrastructure

The Australasian Railway Association welcomes the release today of draft legislation for new tax incentives that will promote investment in public infrastructure.

"Any initiative that will encourage private sector investment into major transport infrastructure has our strong support" Australasian Railway Association (ARA) CEO Bryan Nye said.

"These measures may help unlock projects that have long been in the pipeline but are yet to see the light of day. Initiatives such as this are essential to allow Australia to build the infrastructure that will keep us competitive in the 21st century", Mr Nye went on to say.

These new tax incentives are intended to support up to $25 billion in new private sector infrastructure spending, including major transport projects that will help transform Australia's cities and our freight networks.

The Infrastructure Coordinator will designate eligible projects for the tax concession when they meet certain criteria under the new regime. Eligible projects must also be in Infrastructure Australia's 'Ready to Proceed' category and at least part of the projects must be privately owned or financed.

"Investment in high quality infrastructure projects is critical to improving national productivity and underpinning economic growth and this tax incentive will encourage greater private investment in nationally significant infrastructure projects", Mr Nye continued.

"The rail industry applauds the Government for their forward thinking and commitment to promoting investment in Australia's future." Mr Nye concluded.

Copies of the draft legislation and associated materials can be accessed at www.treasury.gov.au

[ozbob]

http://www.treasury.gov.au/ConsultationsandReviews/Submissions/2013/Designated-infrastructure-projects