May 10: With $36 million over four year provided to enhance the role of Infrastructure Australia, the Federal Government has moved to prioritise certain infrastructure projects and remove some of the hurdles facing private sector investment – especially via incentives for managed super funds to support infrastructure. A number of road, rail and public transport projects across the country have also seen further investment.
Following the release of the 2011 Federal Budget, industry experts share their instant views on what implications the budget will have on the infrastructure and transport sector:
DAVID KNOX, SENIOR PARTNER, MERCER
On infrastructure and encouraging superannuation funds to invest: "I think the development in the infrastructure space was important. To encourage super funds to invest in infrastructure was a very positive move. This country needs more infrastructure and super funds are well placed to do it.
"Infrastructure Australia got more money and they seem to be working on a more coordinated approach to infrastructure which is good. But will it drive more dollars from super funds to infrastructure development? Time will tell. From our view, it’s a positive step. But it will be a gradual development."
BRENDAN QUINN, PARTNER, FREEHILLS
"I think the government can expect to receive higher volumes of corporate tax receipts in the LNG space, as there is still a huge demand for energy and resources in Australia. I am currently working on a $35 billion infrastructure project in WA and the Northern Territory.
"There is still a lot of interest in project finance work in Australia, and despite iron process being high, there is still high demand for that in particular."
Need the complete details on the budget implications for Infrastructure & Transport?
For more details on our industry-specific Budget Briefing Papers, listing every announcement with links to the full text budget releases, click here.
Alternatively, to find out how you can order next-day delivery of your full set of budget papers, click here.