WA is still falling far behind the eastern states when it comes to getting a fair share of federal funding, particularly for major infrastructure projects, according to the Urban Development Institute of Australia (UDIA WA).
“Despite the most recent announcement by Bill Shorten that Labor will increase their ‘Fair Share for WA Fund’ by $400 million and match the Federal Government’s $3.2 billion infrastructure commitment in the recent budget, WA is still projected to receive a tiny portion of the forecast federal infrastructure spend,” UDIA WA CEO Allison Hailes says.
“While we welcome the bidding war that is currently taking place in the lead up to the next federal election in terms of infrastructure spend in WA, the fact is, the money being promised still doesn’t come close to what WA actually needs or deserves,” Ms Hailes said.
“We need to be looking at the long term needs of this state and matching federal funding accordingly,” Ms Hailes said.
“Recent research by the Commonwealth Bank of Australia shows that of the projected $195 billion that the federal government is expected to spend on transport infrastructure out to 2026, just 3% will go to Perth projects,” Ms Hailes said. “The majority is going to Sydney and Melbourne.”
“That figure is despite the fact that Perth is expected to receive 19% of Australia’s population growth in the same period,” Ms Hailes said.
“There are two issues that need addressing here,” Ms Hailes said. “Federal infrastructure funding for WA must keep pace with population growth projections and we need a long term solution to WA’s GST shortfall.”
“While it is positive that Federal Labor is recognising the disparity in the GST distribution, the Fair Share package is not a long term solution,” Ms Hailes said.
“We hope that the Productivity Commission report into the GST distribution will be released by the Federal Government soon, and the recommendations that are likely to be made are supported by the government,” Ms Hailes said.
“Perth is a growing and evolving city with a number of critical infrastructure projects that require funding,” Ms Hailes said.
“We need to ensure our road and rail networks have the capacity and efficiency to support the significant growth we will experience in the coming 20 years and beyond,” Ms Hailes said.
For more information:
Gemma Osiejak
UDIA WA Executive Manager Communications & Marketing
E: gosiejak@udiawa.com.au
M: 0421 506 819