IT’s ramping up the rhetoric …
Those that put out this stuff seem to be under the pump to get things happening for those in the corner they are supporting
Apart from a front page that is clearly ringing the alarm bell … the explanation inside details how there is a massive shortfall in infrastructure spending that needs to be addressed so we must get on board and sweep aside all obstacles …
Essentially it is about getting high-rise going on Glebe Island … and who do you think would benefit the most from that?
Hm … wonder, does it have his finger prints all over it?
THE INFRASTRUCTURE that SYDNEY and NSW need are roadworks … all the potholes filled … underground power lines … that is the infrastructure that NSW needs … and would create JOBS … lots of them! Boost the economy … but oh, no …
Mind the ($30b) gap: Massive bill to build Sydney
NSW faces a huge infrastructure funding shortfall of about $30 billion needed to drive projects critical to the state’s future. But the government has vowed to push on and is considering all methods of obtaining the cash needed to finalise key projects.
Anna Caldwell and Matthew Benns,
The Daily Telegraph
November 15, 2019 5:
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*NSW faces a massive infrastructure funding shortfall of about $30 billion needed to drive projects critical to building the state’s future, as the government contemplates taking on more debt or even selling off further assets to bridge the gap.
Treasurer Dominic Perrottet told The Daily Telegraph that he would not take his foot off the pedal when it came to Sydney’s infrastructure program.
“We are rebuilding Sydney. We’re taking our city from good to great. We’re building not just for now but for the future generation,” he said.
As Reserve Bank governor Philip Lowe repeatedly urges governments to increase infrastructure investment, NSW is staring down the barrel of a massive multibillion-dollar shortfall, which the Treasurer will need to tackle in order to continue the state’s building legacy.
In an interview in his Parliament House office this week, Mr Perrottet conceded there were major projects in the state’s sights which still needed funding.
“I’m squarely focused on keeping the infrastructure program going while maintaining the state’s Triple A credit rating,”
Mr Perrottet said, noting that this was an honour that only five sub-sovereign states outside the US could claim.
*The funding gap Mr Perrottet faces includes a massive $14 billion shortfall for the Sydney Metro West — the much-trumpeted project that will connect Parramatta to the CBD in under 20 minutes.
*The government has committed $6 billion to the massive project but will need to find the rest.
Then there is the Greater West Metro — the railway line that will link Greater Western Sydney to the new Western Sydney airport — which is estimated to cost between $15-$20 billion and is funded on a 50-50 arrangement with Canberra.
The state has already found $2 billion for that but has a long way to go.
The Western Harbour Tunnel and Beaches Link has an estimated price tag of $14 billion, with just $556 million allocated.
The second phase of the Parramatta light rail is so far uncosted.
In total, the shortfall is closer to $40 billion but The Daily Telegraph has been told part of that will come from capital expenditure in the NSW Budget.
The options for funding the rest are continuing the state’s asset-recycling program, borrowing more money or raising taxes — which Mr Perrottet ruled out, having already cut $5 billion in taxes in his past four Budgets.
Mr Perrottet indicated that extending the state’s debt levels was a viable option, noting that debt was historically cheap.
He noted that he also has the security of his generation fund — the future fund which will grow to $28 billion by 2029 and protects against future debt problems.
The government already has a massive fully funded $93 billion infrastructure program underway, but engineering firms and developers are concerned the city is on the cusp of stalling.
Gabriel Metcalf, Committee for Sydney chief executive, said: “There have been few significant new tenders in the market since the end of 2018.
“We know the pipeline is ready — so the most likely reason for the delay and uncertainty is that government is struggling to come up with the funding. It is becoming clear that the next set of projects are stalled.
“No one can deny how expensive these infrastructure projects are. But they are absolutely essential for the long-term viability of Sydney. In truth, the projects under construction are largely a form of catch-up, after a decade of not adding infrastructure while population continued to grow.”
Independent economist Clifford Bennett said infrastructure is the life blood of the economy, creating jobs and improving quality of life.
“State and federal governments should be looking to double their current infrastructure plans, because we need to be No.1 in our region in terms of ease and speed of travel and transport in all its forms, from railways to internet speeds,” Mr Bennett said.
“While interest rates are at historically low levels, this is the time to act boldly and think bigger than we ever have before in regard to infrastructure transformation,” he said.
The government has already put the state’s softwood plantation business out for a scoping study, which could yield about $1 billion if sold.
The most likely asset sales option after this would be the remaining stake in Sydney Motorway Corporation, after the first half was sold for $9 billion.
*Selling more electricity assets would require legislation — difficult with a hostile upper house.
*Selling water assets in a drought is also highly unlikely.
*Mr Perrottet rejected the description that asset recycling was “selling off the state”.
BAY BID KEY TO HALT CONCRETE BUNGLE
Prime harbourfront land at Glebe Island will be used to deliver and store concrete and building materials in what experts have called a tragic missed opportunity for Sydney.
*“Glebe Island is a stunning location in Sydney Harbour and it must be fully developed with mixed uses including residential,” the Urban Taskforce’s Chris Johnson said. “To only use the island for building materials and concrete batching plants would miss an amazing opportunity.”
The Port Authority of NSW wants to make the whole island a shipping facility and has already given its own proposal for concrete batching at the western end the green light in the face of furious opposition from locals, councils and developers who believe the new Metro West link would unlock the area’s potential.
Committee for Sydney chief executive Gabriel Metcalf said: “The renewal of the Bays Precinct is one of the most important regeneration projects in Sydney today. Building a Metro station and linking the area to the CBD and Parramatta via rail will create a fantastic opportunity for new jobs and new places for people to live.”
One artist’s impression for Glebe Island’s alternative future reveals a glitzy eight-tower mixed commercial and residential precinct.
CAAN: Where’s their taste? Imagination? More to be Shanghai’d ….
Its backers also found an unlikely ally in Lord Mayor Clover Moore who said: “Space in the middle of one of the most densely-populated areas in the country could be put to better use than a concrete batching facility.”
BUILDING A GOLDEN AGE FOR OUR CITY
Comment by Tony Shepherd
Sydney is on the burst.
Not since the era of the great John Bradfield have we seen such a burst of energy. WestConnex, Metro, Light Rail, Western Sydney Airport and Aerotropolis, hospitals, schools, museums, galleries, stadiums, theatres and Sydney Harbour Walk.
An unprecedented city investment program.
The whole purpose of this explosion is to make Sydney the best and most exciting place in the world to live, work, play and visit.
In this Oration our focus is on people and liveability.
The new infrastructure must be more than functional. It must be beautiful, open and accessible and renew our pride in our city. It must be inspired by the innovation and attraction of the Sydney Opera House.
The night-time economy is returning to Sydney with the safe reform of the lockout laws. With the massive investment in transport Sydney will be far more accessible and we want to bring to it a vibrancy we have not seen for many years.
CAAN: There’s that V word again … quoted again … and again …
The new and expanded cultural and sporting facilities will put Sydney back in its rightful place as Australia’s premier city. We must build for the future so we can be proud of our legacy to future generations.
The new economy requires the creation of virtual and physical intellectual hubs. Our massive investment program creates the places and connectivity which will make Sydney a far more attractive place to live, work and play.
It is up to our research institutions and business to take advantage of the opportunities created.
To achieve our goals we must also relax the heavy hand of bureaucracy which can be anti-change and tends to preserving the status quo.
We want our children, grandchildren and great-grandchildren to look back at this era and reflect on it as a golden age.
Tony Shepherd is chairman of the boards of the Greater Western Sydney Giants, the Sydney Cricket Ground & Sports Trust and a former chairman of Transfield and a Business Council of Australia president