Benefits of NAIF clear to see, writes Tracey Hayes

Loans from the Northern Australia Infrastructure Facility will drive prosperity, the new chair of the organisation writes.

ONE of the things I love about Northern Australia is the people. As a proud Northern Territorian, I know we want our part of the world to get a fair share and build on our undoubted potential.

We play an important role in the region but we know there is more we can do.

This week I started a three-year term as the new Chair of the Northern Australia Infrastructure Facility, or ‘the NAIF’ as it is sometimes called.

The NAIF is a Federal Government facility that provides loans dedicated to driving economic activity and job creation in Northern Australia.

MORE NT NEWS OPINION

Snap lockdown was the slap in the face reality check all Territorians needed

EDITORIAL: Howard Springs in spotlight for Olympic Games

Hospitality staff deserve our respect

The NAIF has attracted some criticism, but we can see first-hand how NAIF is partnering with the private sector to deliver impactful projects right across the north.

NAIF invests in a range of sectors that are all vital economic drivers of Northern Australia.

We have supported projects across industries, including ports, roads, airports, tourism, education, agriculture, resources and renewable energy. All projects receiving NAIF investment have to clearly show how they will deliver public benefit, economic and population growth and Indigenous outcomes.

Tracey Hayes. Picture GLENN CAMPBELL

Applicants to NAIF have to date received financing commitments worth $3.1bn in support. Projects backed by NAIF are forecast to generate around $15bn in economic impact and support more than 10,000 jobs (during construction and operations).

Across the region, NAIF has committed $1.24bn to Queensland projects, $1.14bn to Western Australian projects and $697m to Northern Territory projects.

NAIF has supported large projects – such as multimillion-dollar renewable and resources projects, has funded improvements at a number of regional airports, backed a new beef processing facility and helped critical social infrastructure such as support for a number of our top-class universities.

And at a smaller scale, NAIF also has an excellent story to tell, having twice backed the expansion of a family-run barramundi farm in the Northern Territory.

So the facts clearly show that NAIF is working, has a critical role to play and focused on further work to be done.

I look forward to working with the new Minister for Northern Australia, David Littleproud, the Board, (including fellow Territorian, Steve Margetic), the NAIF team and the Office of Northern Australia to bring further investment to our regions.

The Stuart Highway.

We plan to deliver more for the north by implementing a package of reforms that recently passed the federal parliament. These measures are designed to increase flexibility and access to NAIF finance.

NAIF has undergone key reforms, expanding support beyond construction to include the development of infrastructure, and focusing in on the public benefit delivered by a project. We have expanded our debt tools through a number of mechanisms, including financing partnerships, equity and direct investment.

We are particularly excited that the reforms include steps to help improve access to NAIF finance for proponents seeking smaller loan sizes (i.e. between $1m and $10m) across sectors crucial to the Northern Australia economy – ranging from energy, resources, agriculture/water, social infrastructure, or transport.

Using a ‘localised’ approach, NAIF will seek to establish a range of partnerships across Northern Australia with regional financiers who will provide NAIF funding directly to small-scale proponents seeking investment.

Proponents will benefit from more localised decision making on loan approvals and potentially simplified public benefit and Indigenous engagement requirements.

As NAIF continues discussions with potential financing partners across Northern Australia, we look forward to updating readers on this exciting initiative in the coming months.

In the meantime, NAIF will continue to get things done for Northern Australia – whether by committing investment or helping deliver job-creating projects.

I look forward to helping NAIF unlock our region’s undoubted potential.

Tracey Hayes is the new chair of the Northern Australia Infrastructure Facility