ABS data shows Northern Territory construction industry booming

The numbers don’t lie - there’s a $2bn cash cow driving the Northern Territory’s economy sky high and making us the envy of the nation.

A key industry struggling in other parts of Australia is booming in the Northern Territory.

Australian Bureau of Statistics’ data shows the Territory’s engineering construction industry is going from strength to strength.

In the June quarter of 2022, the value of Top End engineering construction work increased 7 per cent to $513 million.

Across the country skills shortages, supply chain disruptions and inflation-led material price rises contributed to a backward slide with dwelling investment dropping 2.9 per cent over the three months and new engineering construction plummeting 3.4 per cent.

The industry is among a number of areas needing workers, with the NT Government revealing this week it would bring up to 3000 skilled migrants into the Top End to fill dire employment gaps.

Applications for Offshore General Skilled Migration visas closed during the Covid pandemic but have now reopened.

The program will allow skilled migrants to hold a five-year visa and could lead to longer residency if the specific criteria is met.

The Territory’s engineering construction work increased 38.2 per cent and was worth $2bn, compared with 1.9 per cent nationally year on year, NT Treasurer Eva Lawler said in a statement.

Ms Lawler said public sector activity increased 73.5 per cent in the NT, mainly because of work on roads, highways and subdivisions.

She said the Top End’s private sector activity increased 34.9 per cent on the back of heavy industry.

Commencement of private sector work increased 468.7 per cent year-on-year to $5.3bn.

“This is a great result for the Northern Territory economy and shows we are absolutely on track to achieving our $40bn target by 2030,” Ms Lawler said.

“Private sector investment is critical to our economic growth, and we will continue to work with industry to attract business to the Territory.”