Federal budget 2022: SA misses out in $7.1bn regional spending spree

The federal government is splashing more than $7bn into rural areas across the country – but regional South Australians won’t see a cent. Here’s why.

Regional South Australians have been ignored in the federal government’s plans to create a “new frontier” for rural areas, missing out on new highly skilled jobs in a $7.1bn investment pipeline.

The federal government deflected suggestions it was only aiming to shore up support with Nationals MPs for its net-zero plans, pouring $1.7bn in North and Central Queensland.

It will also spend $2.6bn on export and energy infrastructure in the Northern Territory, building a new wharf and establishing a carbon capture and storage facility.

Regional SA, which has no marginal seats at the upcoming federal election, will get none of the government’s $7.1bn regional spend.

In Queensland, $483m will be spent on the construction of the Urannah Dam and $400m to overhaul the Inland Freight Route.

WA’s Pilbara region will receive $1.5bn and NSW’s Hunter Region will scoop up $750m. Just over half-a-billion dollars are yet to be allocated under the initiative, sold as “turbocharging our regions”.

SA has missed out in the federal budget's regional spending spree. Artwork: Steve Grice

Josh Frydenberg deflected questions about how much of the $7.1bn had been promised to Nationals MPs in exchange for support on the Liberals’ net-zero plan.

“We have chosen in these four regions … areas which are linked to major ports,” the Treasurer said. “Liberal and Nationals agree, this is a priority for jobs. It is an exciting new frontier for Australia.”

The federal government will spend just $68m on water projects in SA, compared with $7bn in Queensland and $1.1bn in NSW.

In pre-budget initiatives, SA secured $113m in federal funding for a new plant-protein industry and $52.69m for safety upgrades to regional roads, including the Eyre and Stuart highways.

The Torrens to Darlington North-South corridor will get $2.3bn in federal funding. Picture: Supplied

New spending measures in SA were headlined with a $2.3bn investment for the Torrens to Darlington project, covering much of the state’s most marginal seat of Boothby.

That same electorate was also thrown $200m to fix a nightmare traffic bottleneck at Plympton.

SA companies will be pitted against Queensland businesses for $30m in grants to support new oil and gas projects in the Cooper and Adavale basins.

Confidential funding for a graphite mine near Port Lincoln was also included.

While it did not provide a cost estimate in Tuesday’s budget, the federal government committed to more than tripling the size of the Osborne submarine shipyard to build the nuclear-powered submarines under the AUKUS security pact with the US and Britain.

GST paid to SA is expected to swell to $7.3bn this year, up from $6.8bn last year.

Originally published as Federal budget 2022: SA misses out in $7.1bn regional spending spree