Australia has a track record of delivering complex, large-scale infrastructure projects. We’re accelerating our own mega projects to better meet the needs of our booming economy.
Our population is set to reach 40 million by 2059, which is why we’re focusing on intelligent transport, advanced communications, future cities, critical water infrastructure, tourism, and warehousing and supply chains.
There is a high magnitude of public infrastructure investment in Australia. The scale of investment – more than A$218 billion – and the growth needed to achieve it present exciting opportunities for business and talent.
InfraCompass rates Australia as a top performer or global leader in all eight of its infrastructure drivers
Australia offers nearly A$70 billion in grants, incentives and funding pools to Australian-based companies across priority sectors.
A strong project pipeline
Australia has a strong pipeline of public sector funded projects. We’ve planned major road, rail, airport, energy and social infrastructure construction projects in our major cities and across key freight and transport routes in Northern Australia.
The 2022–23 federal budget commits A$17.9 billion over 10 years to major infrastructure projects, including billions on road and rail projects across the country. Total investment in major public infrastructure is expected to exceed A$218 billion between 2021 and 2025.
Infrastructure Partnerships Australia provides real-time information on our Infrastructure Pipeline.
Australia’s largest infrastructure projects include the A$16.8 billion WestConnex 33 km traffic motorway in NSW, due for completion in 2023, and Sydney Metro, which is Australia’s biggest public transport project and the nation’s first fully automated metro rail system. The Melbourne Metro Tunnel is another major project underway, which will enable an extra half a million passengers to use the train system every week during peak times.
Australia is focused on improving the safety, efficiency and productivity of fixed infrastructure investment, through the Office of Future Transport Technology and in line with the National Land Transport Technology Action Plan.
- 86% of Australians live in cities and towns – more than 50% live in Sydney, Melbourne and Brisbane
- Infrastructure industries account for more than 20% of Australia’s GDP
- Total engineering and construction spending between 2020 and 2025 is expected to be A$1.1 billion
- Road freight will grow by 25% and rail freight by 8% by 2030
- Around 182,000 people work in Australia’s major public infrastructure pipeline, and another 1.2 million people work in adjacent industries
- The construction sector has grown by an average of 3.9% per year since 1991–92
- The total value of infrastructure engineering construction work in 2020–21 was $58.3 billion (in 2019–20 prices)
- Major Australian construction companies include Lendlease, CPB Contractors and John Holland
- Multinationals in Australia include Acciona, Keolis, MTR Corporation and Webuild
Australia’s economic stability gives infrastructure investors long-term predictable revenue. Our enduring political stability and strong government response to the pandemic make Australia an attractive investment proposition.
Investors can have confidence in the continuing stability of the Australian market as governments across the nation commit to large infrastructure projects.
Interest is growing in social infrastructure projects as a result of pandemic-related factors such as population redistribution, pressures on health and education, as well as an ageing population. The pandemic has also fuelled investor interest in telecommunications infrastructure and renewable energy generation.
The development of our cities and regional centres is a key focus at all levels of government. Around 80% of all Australians live in our 21 largest cities and these generate around 79% of GDP. That’s why we’re committed to building new infrastructure and redeveloping existing built environments to make these places some of the most liveable in the world.
In partnership with industry, researchers, urban planners, local communities and state and local governments, we’re investing in innovative and smart infrastructure projects in cities, suburbs and towns across the country that will support jobs, economic growth and productivity.
‘The forecasts for Australia and New Zealand are very strong, reflecting an expectation that the historical tendency of these countries to invest strongly in infrastructure will continue in the years ahead in support of strong demographic and economic growth.’
Source: Oxford Economics
Cutting-edge technology and training
With advanced communications networks and a nationally consistent approach to deployment, Australia is the top choice for trialling the latest transport technologies, like connected and automated vehicles. The high degree of safety and efficiency within our transport system makes us well positioned to adopt and test new technologies, and tech leaders around the world have formed collaborative partnerships with our universities, businesses and transport authorities.
We are also the go-to destination for rail industry training, thanks to our industry focus and our deployment of the latest virtual reality and 5D training technologies.
We are early adopters of innovative building materials and technology that accelerate construction while maximising quality and safety. Taronga Group’s RealTechX facilitates collaboration between emerging tech companies and businesses in the real estate and built environment sectors.
R&D at the forefront
Australia is a sought-after location for R&D of new infrastructure products and technologies. We have research centres around the country dedicated to innovations in transport, water and the built environment, with a strong focus on sustainability.
By bringing your ideas here, you’ll have access to collaborative hubs and a talent pool of experts in large-scale sustainable infrastructure projects. You’ll also receive generous tax offsets via the Research and Development Tax Incentive.
Home-grown innovations in transport and construction include:
- The SCATS intelligent transport system – deployed in over 100 cities worldwide
- STREAMS – the smart motorways platform piloted in projects in the US
- Driverless trains that operate 24/7
- Train control centres located 1,800km from train networks
- La Trobe Tower in Melbourne – the world’s tallest timber apartment building made from cross-laminate timber.
Incentives, grants and support
Joining the Australian infrastructure ecosystem unlocks access to diverse financing options, including public-private partnerships, federal grants and concessional loans.
- The Australian Government’s SMART projects and supply chains service gives you access to advice, guidance and network connections as well as grants.
- The Northern Australian Infrastructure Facility (NAIF) is a A$5 billion lending facility to provide loans to infrastructure projects that benefit Northern Australia.
- We also have a large pool of superannuation (pension) funds under management looking for investment opportunities. In Australian super funds, you’ll find active investors with a strong knowledge of the sector, attracted by the prospect of long-term high returns for their members.
- The Australian Tax Office’s New Investment Engagement Service gives tailored guidance on tax issues to businesses planning significant new investments in Australia.
- World-class solutions from Lendlease’s property lifecycle platform, Podium
- Cubic Transportation Systems has its Asia-Pacific headquarters in Australia as it develops a range of future transport technologies