Kangaroo Island town centre upgrades worth $8m bring 220 jobs, boost to region’s tourism and economy after fires and pandemic

Kangaroo Island’s economy has been devastated by bushfires and the pandemic – now an $8m plan to upgrade its major towns is expected to bring a huge economic boost and work for 220 people.

Kangaroo Island towns are getting a major spruce up as part of a $8m plan to boost the regional economy and draw extra tourists.

Works have begun on the project, which includes upgrades at Kingscote, Penneshaw, American River and Parndana.

About 50 people will work on the project, which is predicted to bring 170 extra long-term jobs.

An artist's impression of Kangaroo Island's Town Centres Project. Town Square, Parndana. Picture: Supplied

Works planned for Middle Terrace, Penneshaw. Picture: Supplied

It includes a new town square for Parndana in the heart of the island, plantings, footpath upgrades, street furniture and better connections for people walking to landmarks such as the ferry in Penneshaw and tidal pool in Kingscote.

Mayor Michael Pengilly said the work would help attract new investment, stimulate economic development and encourage businesses to set up on the island.

“Revitalising these townships is critical to attracting tourists and local consumers, supporting

our tourism and hospitality sectors that have suffered a significant downturn in international

tourist visitation due to Covid-19,” he said.

Mr Pengilly said the towns had not had a significant upgrade in years and Kingscote, in particular, was “looking a bit weary”.

Improvements planned for American River. Picture: Supplied

An upgrade planned for Kingscote. Supplied

Meantime, the Parndana upgrade will cater for an expected population increase, brought by the gradual conversion of forestry land back to farming properties.

That follows last year’s announcement Kangaroo Island Plantation Timbers would cease operating, making way for about 15,000ha of extra grazing or cropping land.

“It will certainly boost the (island’s) centre, the west and the economy,” Mr Pengilly said.

The town centre upgrades will happen over three stages, taking a total of about four years.

The council has secured money for the first, $2m stage, from the state and federal governments.

It’s applied to the federal government for $2.5m for the second phase, and also needs to find the money for the final, $3.5m project.

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