The Australian Government plays a critical role in how infrastructure projects, assets and services are shaped, defined, financed or funded, approved, delivered and operated. Historically, these responsibilities have been achieved indirectly but the benefits of a more active role are increasingly clear.
As a responsible steward of public funds, the Australian Government should be required to demonstrate value for money outcomes for taxpayers. This is particularly important now, when the sector faces multiple challenges arising from the impact of the pandemic and fast-rising demand for infrastructure services.
Such an environment is driving larger, more complex and more numerous infrastructure projects (particularly larger projects receiving Australian Government contributions). This is increasing project risk. The larger a project is, the higher its risk profile through to delivery.
Economic and social value for taxpayers becomes harder to guarantee when risk in the sector increases. To safeguard economic and social value on behalf of taxpayers, governments should ensure scrutiny, assurance and transparency remain a key part of all infrastructure decision-making.