A more commercially and financially sustainable infrastructure industry is vital for Australia's social and economic wellbeing.
To ensure major infrastructure investment delivers public value, governments must work with industry to drive long-term productivity, innovation and sustainability across the sector. The current focus on delivering infrastructure for the lowest cost must evolve into a more mature approach that considers value for money and optimum public value.
Record infrastructure investment is underway to support the national COVID-19 recovery.
However, the ability to successfully deliver this ambitious infrastructure pipeline is constrained by current processes.
These include an over-emphasis on a project-to-project and contract-by-contract mentality, inappropriate apportionment of risk, and a sporadic uptake of best practice. If these processes and practices continue, less infrastructure will be built for the same money, and the infrastructure will not be as functional in the long-term.
Long-term thinking that considers the role of government in the next generation of infrastructure investments will be key, supported by improved focus on planning, portfolios and pipelines. Other key areas of opportunity include enhancing individual project outcomes and applying a digital by default approach.