Editorial: PM’s ambitious Cities Deal infrastructure plans point way to recovery

THE PM’s Cities Deal could revolutionise how major works are paid for and prioritised and it is imperative Queensland in the best possible position to benefit.

A COLLABORATIVE federal and state government approach to infrastructure funding is both welcome and long overdue.

Prime Minister Malcolm Turnbull’s Cities Deal initiative has the potential to revolutionise the way major works are paid for and prioritised in this country, and it is imperative that Premier Annastacia Palaszczuk gets across the finer details of the proposal so that Queensland is placed in the best possible position to benefit from it.

As part of Mr Turnbull’s ambitious vision to make regional and capital cities more “liveable”, people will have to travel no longer than 30 minutes to access employment, education and key services.

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Private investors, including national and international, will be encouraged to buy government infrastructure bonds, which will then help finance important projects such as the Cross River Rail and Gold Coast light rail.

A $50 million down-payment, allocated from next week’s Budget, will hasten the planning and development of major projects, and establish a financing unit with the private sector to attract investors.

The Commonwealth could also become an investor in certain projects where “city deals” between state and local governments can guarantee future jobs and productivity growth.

With bipartisan and cross-jurisdictional support, the City Deals plan could be the economic blueprint Queensland needs to fight back after the end of the mining boom.

Mr Turnbull has already promised a $1.5 billion upgrade of roads in Victoria, a $230 million defence hub in South Australia and a $490 million windfall for West Australian infrastructure.

As the federal election campaign kicks in, we look forward to seeing what is in the pipeline for Queensland.

Under the PM’s plan, private investors will be encouraged to buy government infrastructure bonds, which will then help finance important projects such as the Cross River Rail.

Within the next 15 years, an additional one million people are expected to pour into the Greater Brisbane area alone, highlighting the pressing need for improved transport, housing and employment opportunities.

Innovation has been the buzzword this week – in summits on jobs growth, start-up hubs and education – and it is critical that this spirit of innovation also extends to infrastructure funding.

The State Government is not awash with cash – a problem asset sales could have alleviated had it been properly sold to voters – so it falls on Ms Palaszczuk to also be creative with funding models.

A genuine collaboration between George St and Canberra is needed.

Queenslanders are tired of the merry-go-round of buck-passing, with the state putting the onus on the Commonwealth to bankroll major works.

It is time for a meaningful and productive partnership that puts Queenslanders first, and a $50 million down-payment from the Federal Government is a good start.

Responsibility for election comment is taken by Lachlan Heywood, corner of Mayne Road & Campbell Street, Bowen Hills, Qld 4006. Printed and published by NEWSQUEENSLAND. (ACN 009 661 778)