What's new in South East Queensland infrastructure?

By Alan Maguire and Angela Jeppesen.

Key Points:
The updated SEQ Infrastructure Plan and Program outlines a program of infrastructure initiatives worth approximately $66 billion for the next 20 years.

The State government has recently focused on strategies to deliver critical infrastructure in response to Queensland's rapidly growing urban population. In May, the State government released its updated SEQ Infrastructure Plan and Program outlining a program of infrastructure initiatives worth approximately $66 billion for the next 20 years. The Premier has also announced the creation of the SEQ Infrastructure Industry Taskforce, further water projects in response to the drought in South East Queensland and key changes to the State's PPP framework.

SEQ Infrastructure Industry Taskforce

The SEQ Infrastructure Industry Taskforce will be chaired by the Coordinator-General, with participants to be drawn from government, industry and unions. According to material produced by the Coordinator-General's Office and distributed at a recent industry briefing, the focus of the Taskforce will be to:

• "develop and implement an Industry Code of Practice for bidding processes;
• develop and implement strategies to ensure that agencies and industry are resourced to deliver the program; and
• achieve more effective training outcomes by ensuring that training programs are matched to specific project delivery outcomes."

The Taskforce will complement the role of the Program Management Office which is charged with developing and implementing strategies to ensure agency and industry are in a position to deliver the Infrastructure Plan.

Infrastructure Plan update

The updated Infrastructure Plan sets out a pipeline of projects for the next 20 years and a 10 year strategic and funding commitment to invest in 350 projects. The focus of the commitment is on transport infrastructure (in part, recognising a need for freight infrastructure to support the growing coal industry) with significant investment also earmarked for energy and water projects as well as social and community infrastructure.

Water Infrastructure Project Board

In response to the worst drought on record in South East Queensland, the Water Infrastructure Project Board was established on 28 July 2006 to oversee the business plans and management strategies and to undertake works to implement drought contingency projects. These projects are the Western Corridor Recycled Water Scheme, the Southern Regional Pipeline, the Tugun Desalination Plant and the Regional Water Inter-Connectors.

The Water Supply Emergency Regulation was also passed on 7 August 2006 under which service providers are directed to carry out these projects within specified timeframes.

These measures are in addition to the Premier's announcement to construct two new dams to be built at Traveston Crossing and Wyaralong.

Review of PPP framework

The State also reviewed its public-private partnerships Value for Money Framework with key changes announced by the Deputy Premier focused on:

• greater engagement with bidders during the bidding process, with the opportunity for one-on-one discussions within the probity framework;
• the release of the public sector comparator to shortlisted bidders (to the extent that the State's negotiating position is not compromised); and
• greater standardisation of project documentation.

The updated Value for Money Framework supporting documents "Probity Process Governance" and "Business Case Development" are now available on the Coordinator-General's website.

Possible PPP projects

The Infrastructure Plan earmarks a number of projects for delivery as possible PPPs including the Airport Link, the Toowoomba Range bypass, Darra to Springfield road and rail corridor, Gold Coast mass transit project, Sunshine Coast and Western Corridor schools and the Gold Coast hospital.

For further information, please contact Alan Maguire.