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Australian Government Coat of Arms

Budget | 2014-15

Budget 2014-15
Australian Government Coat of Arms, Budget 2014-15
  1. budget.gov.au
  2. 2014‑15
  3. Budget Overview
  4. Building Australia's infrastructure

Building Australia's infrastructure

The Government is building the infrastructure for the future and addressing infrastructure bottlenecks in our cities and regions

The Government is getting on with the job of delivering infrastructure that Australia urgently needs by building high‑quality road and rail projects and addressing transport bottlenecks that are a drag on business and communities.

Infrastructure Growth Package

The Infrastructure Growth Package provides an additional $11.6 billion for infrastructure. This will bring the Government's investment to $50 billion by 2019-20 which, combined with State and private sector funding, will catalyse over $125 billion of additional infrastructure investment nationwide.

The Budget package consists of a $5 billion Asset Recycling Initiative to unlock capital from State and Territory assets, an additional $3.7 billion for the Infrastructure Investment Programme and $2.9 billion for the Western Sydney Infrastructure Plan.

These initiatives are designed to expedite critical infrastructure, create real activity at a time when the economy is going through a significant transition, and boost long-term productivity and living standards.

Stable and growing funding source

The Government is reintroducing indexation of fuel excise from 1 August 2014 to create a more stable source of Commonwealth road funding over the longer term. The Government is also redirecting recurrent spending to address immediate infrastructure funding challenges and setting up a new Asset Recycling Fund.

Asset Recycling Fund

The Asset Recycling Fund will be set up on 1 July 2014 to facilitate the Government's investment in new infrastructure. It will include unspent funds from the Building Australia Fund and Education Investment Fund, and proceeds of the sale of Medibank Private and other possible privatisations.

Australian Government investment in transport infrastructure
With $39 billion worth of projects at MYEFO through to 2019-20 and the Infrastructure Growth Package of $11.6 billion in the 2014-15 Budget, the Commonwealth is spending over $50 billion in infrastructure. When this is combined with state/territory investment and private sector funding, it will catalyse over $125 billion of additional investment.

*This figure does not include potential additional private sector funding stimulated by the Asset Recycling Initiative.