‘Blowouts unsustainable’: Chalmers blasts Qld gov’s spiralling costs

Treasurer Jim Chalmers has defended the federal government’s infrastructure cuts, declaring the Commonwealth couldn’t continue to foot the bill for blowouts.

Treasurer Jim Chalmers has defended the federal government’s infrastructure cuts across Queensland, declaring the Commonwealth couldn’t continue to foot the bill for blowouts.

Mr Chalmers faced questions at The Courier-Mail’s Future Brisbane Summit about the infrastructure battle between the state and federal government.

The Queensland-based federal treasurer said the Commonwealth couldn’t afford to continually foot the bill for major project blowouts.

“It’s one thing to write a press release about building something, it’s another to build it,” he said.

Treasurer Jim Chalmers speaks at the Future Brisbane Summit. Picture: Lyndon Mechielsen

“We’ve got to be conscious of the cost of these things.

“You’ve got to make sure that we can actually build the stuff that’s been announced.”

Mr Chalmers said $3bn of cost blowouts in the infrastructure pipeline was unsustainable for the Commonwealth to fund.

“There’s actually more money than was originally committed for each of the states including Queensland,” he said.

“I do understand not just as a Queenslander, but I understand as the nation’s treasurer, that every state would like more money than we are able to provide.”

The federal treasurer, who represents the Logan area, said he remained supportive of the state Labor government despite the widespread criticism of his government over the cuts.

“Steven (Miles) is here and I’ll speak to a lot of colleagues in the state government and respect all the ministers who made their views known,” Mr Chalmers said.

“They’re very good people. very good ministers who are trying to do the best for the people that we represent.”

Premier Annastacia Palaszczuk has this week lashed the federal government, labelling the cuts “outrageous” and demanding the Victorian-based Infrastructure Minister Catherine King travel to Queensland and explain the decision.

Queensland Premier Annastacia Palaszczuk took aim at the Federal Government over infrastructure cuts.

Mr Chalmers dismissed questions the Palaszczuk government’s criticism was confected, with Ms King previously saying there should be no surprises for the state in the review.

“I find it neither surprising, or controversial that this terrific state government would like more money from the fix for infrastructure and for other purposes as the other states would,” Mr Chalmers said.

“I respect them enough to be upfront with them and say we would like to build as much as we can … there’s not $33bn down the back of the federal couch.”

Transport Minister Mark Bailey said the state government would “not be deterred” from campaigning to maintain current funding arrangements with the Commonwealth.

“We have a forward infrastructure and roads program that is based on our booming statewide population and the Olympic and Paralympic Games in 2032,” he said.

“Our plan is critical to supporting the Games, growth and keeping Queenslanders safe.”