Federal budget 2020: Transport infrastructure upgrades, $2 billion in road safety

Treasurer Josh Frydenberg has pledged billions for infrastructure projects in each state – but the cash comes with one harsh condition.

Treasurer Josh Frydenberg has announced a massive cash splash for a slew of infrastructure projects as part of Australia’s recovery plan.

Under the hotly-anticipated 2020-21 Budget, the Federal Government will expand its record 10-year infrastructure pipeline, which is already supporting 100,000 jobs on worksites across the country.

Along with measures announced during the coronavirus crisis, $14 billion has also been earmarked for new and accelerated infrastructure projects support a further 40,000 jobs, which is designed to “boost productivity and deliver long term benefits for Australians”.

During his Budget speech on Tuesday night, Mr Frydenberg said the government’s infrastructure investments would help to “set Australia up for the future”.

“We know that building more infrastructure now means more jobs now,” he said.

The Budget will fund major projects across each state and Territory, including the Singleton Bypass and Bolivia Hill Upgrade in NSW, the upgrade of the Shepparton and Warrnambool Rail Lines in Victoria, the Coomera Connector in Queensland, the Wheatbelt Secondary Freight Network in Western Australia, the Main South Road Duplication in South Australia, the Tasman Bridge Upgrade in Tasmania, the Carpentaria Highway Upgrades in the Northern Territory and the Molonglo River Bridge in the ACT.

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The Government is also providing an additional $3 billion towards “shovel-ready projects”, which includes $2 billion to deliver small scale road safety projects as well as an additional $1 billion of funding for the Local Roads and Community Infrastructure Program.

But Mr Frydenberg has revealed the cash comes with one major condition.

“Funding for these shovel-ready projects will be provided on a use it or lose it basis,” he said in a statement.

“If a state drags its feet, another state will get the money.”

Transport infrastructure across the nation will receive a $7.5 billion investment, which includes $2.7 billion in NSW, $1.3 billion in Queensland, $1.1 billion in Victoria, $1.1 billion in Western Australia, $625 million in South Australia, $360 million in Tasmania, $190 million in the Northern Territory and $155 million in the ACT.

Specific projects which will receive a cash injection include an extra $490.6 million for the Coffs Harbour Bypass in NSW, $528 million for upgrades to the Shepparton and Warrnambool rail lines in Victoria, $750 million for Stage 1 of the Coomera Connector in Queensland, an additional $80 million for the Wheatbelt Secondary Freight Network in Western Australia, $136 million to progress the Main South Road Duplication in South Australia, $65 million for the Tasman Bridge Upgrade in Tasmania, $46.6 million for National Network Highway Upgrades in the Northern Territory; and $87.5 million for the Molonglo River Bridge in the ACT.