Australia is in the middle of our biggest ever transport infrastructure boom, featuring:
- An unprecedented collection of big capital city projects (road and rail),
- A ramping-up of urban renewal, maintenance and improvement programs (including arterial road upgrades and level crossing removal programs), and
- A general improvement, on a less splashy scale, of regional works (including Inland Rail and ongoing, large scale upgrades on the Bruce, Pacific, and Princes Highways).
The peak is expected in 2022/23, at around $42 billion of work done (in constant 2016/17 prices). This continued upturn will be important in maintaining record levels of total spending on Australia’s public infrastructure, as a number of other segments turn downturn significantly, such as telecoms, electricity and social building.
We ultimately expect a downturn, however, once the current wave of big projects moves to completion, and the budget circumstances of State Governments become less conducive to further expansions of capital spending.