Ian Ackerman reports.
A $5 billion infrastructure initiative for northern Australia is picking up speed, with the independent body overseeing spending meeting for the first time last week.
The Northern Australia Infrastructure Facility, or NAIF, will offer $5 billion in concessional finance to encourage and complement private investment in the region.
Headquartered in Cairns, the NAIF was officially launched on August 10 by federal minister for resources and Northern Australia, Matt Canavan, who said the lack of infrastructure finance expertise in the north is not a limitation, but an opportunity.
“The Northern Australia Infrastructure Facility that we are launching today will spread $5 billion right across northern Australia,” he said
“However, that is not the end of the story. In my view, having this facility here will not simply spread investment, it will attract investment, too.”
Canavan said Northern Australia encompasses 40% of Australia’s land area and has lots of untapped natural resources.
“Imagine how much of a contribution our region could make to the Australian economy if we could harness more of these resources for the production and export of food, energy and mineral commodities and tourism,” he said.
“The right infrastructure is a fundamental driver of economic change. It can stimulate productivity and growth, encourage further investment, increase accessibility to markets, especially for remote areas, and help attract and retain workers.”
The NAIF announced it had already begun to receive applications for projects back in July.
A spokesperson for the Department of Industry, Innovation and Science said applications had been received for projects from industry stakeholders seeking funding assistance for a range of economic infrastructure including port, rail, telecommunications, airport and pipeline infrastructure.
The NAIF is led by an independent board – chaired by Sharon Warburton – which will make the decisions on financing infrastructure projects. The board met for the first time on Wednesday August 10.
This article originally appeared on Rail Express affiliate site Lloyd’s List Australia.
This is Most Interesting. Yes Resources are Important, True Prices have Hit so Called “Rock Bottom” Witch Makes it a Question of Weather its worth the While to Develope the Resources in the First Place – Depending on What the Resources are and Given the Prices etc. If the Companies are Smart, NOW is the Time to Plan
Ahead and Look at Rail Infrastructure to Various Sites/Locations and Give Serious Considerations to Using Darwin as a Port Location for Exports. It Also Means Various States May have to “Co – operate” on Rail
Infrastructure to Get to Port, Rail – Like or Not Will HAVE to B “Standard Gauge” so Companies Have the
Abilities to Connect In and Get to Port, its NOT Going to Come Cheap by any Means but With Prices at Some
Lows and Companies Hungry for Development, I;m Quite Sure some Cost Saving can B Achieved and Will
Allow Those Plans to Go Ahead While the Opportunities are There. It Also Provides JOBS that Are Badly Needed as Well.
Bickering Between States Won’t Accomplish a Thing and Companies will Take What investment Dollars they Have and go Shopping Else Where to Get the Best Value for Their Bucks. Yes the Opportunities are There so Lets NOT Blow It Because of Petty Issues. Right.
Andrew W. Matheson