CommSec has released the State of States report, and it shows construction playing a major role in the success of the top two players, New South Wales and Victoria.
The quarterly report analyses eight key indicators: economic growth, retail spending, equipment investment, unemployment, construction work done, population growth, housing finance and dwelling commencements.
Construction work done in the September quarter was higher than the decade average across five of the seven states and territories. Victoria was 38.2 per cent above its decade average, while NSW—came in at 34.5 per cent higher.
New Infrastructure is Economic Driver
According to Victorian Treasurer Tim Pallas, the government’s “groundbreaking” infrastructure investment is driving the economy, creating jobs, and delivering the transport, hospitals and schools the state needs.
“We’ve done the hard yards building our economy and are well-placed to maintain our economic strength thanks to our pipeline of major infrastructure projects across the state,” Pallas said.
One such project, completed just last month, was the most comprehensive rail infrastructure upgrade in Victoria’s history. Work progressed throughout the summer to prepare the Cranbourne and Pakenham lines for the new High Capacity Metro Trains (HCMT).
Along with updates to signaling, the work crews extended platforms to accommodate the longer HCMTs and installed thousands of tactiles by hand in an effort to make the stations more accessible. Major excavation is currently underway across all five Metro Tunnel station sites, with work on Anzac Station advancing.
Moving forward, Victoria has put the call out for builders to deliver the state’s biggest ever road project, the North East Link.
The project will connect Melbourne’s freeway network and reduce travel time for 100,000 vehicles each day. when completed, it will link key growth areas in the north and south-east.
The $15.8 billion project will include Victoria’s longest twin tunnel, freeway upgrades and a dedicated busway.
Heading north to New South Wales, there is a substantial line up of infrastructure projects underway. The NSW government has committed to deliver 10 infrastructure projects in metro and regional areas.
10 Key Infrastructure Projects
Project Completion Date
Pacific Highway upgrade (Woolgoolga to Ballina) Late 2020
NorthConnex(external link) Late 2019
Sydney Light Rail (CBD and South East) Early 2019
Sydney Metro Northwest Mid 2019
Sydney Metro City and South West 2024
Northern Beaches B-Line Early 2019
Newcastle Light Rail Mid 2019
Westmead Stage 1A/B Redevelopment Late 2020
Northern Beaches Health Service Redevelopment Late 2018/Early 2019
The WestConnex project is expected to deliver 10,000 jobs during the construction process. This essential infrastructure project is key to supporting population growth in the coming years, providing Sydney with improved motorway access and connections to western Sydney and key employment hubs across the city.
“The CIMIC Group continues to deliver end-to-end infrastructure solutions for our clients, ensuring that the needs of future generations are met,” said CIMIC Group Chief Executive Officer Michael Wright in a media release.
CPB Contractors is also delivering Sydney Metro Northwest, Sydney Metro Stage 2, and the Line-wide works package in support of the Sydney Metro City & Southwest.
$75 Billion Infrastructure Investment
While many of the projects listed above are supporting the City of Sydney and surrounding regions, Newcastle has undertaken a remarkable revitalisation of its CBD. A new start-up and technology industry cluster has emerged. Besides an infrastructure boost, it has seen a redesign of the bus network and a new tram to anchor development in the CBD.
The rejuvenation has changed the character of the city, breaking with the industrial past and defining a new, confident identity.
The Department of Infrastructure, Regional Development and Cities is working with every Australian State and Territory to build vital infrastructure. The Australian Government has committed more than $75 billion over the next 10 years to transport infrastructure across Australia.