Productivity Commission Inquiry: Public Infrastructure 2014 The Inquiry examined ways to encourage private financing and funding for major infrastructure projects and investigated costs, competitiveness and productivity in the public infrastructure sector. Key Findings Key Australian related to Recommendations Government freight and Response supply chains Project Selection These An urgent Jurisdictions need existed should have best recommendations to examine practice were largely the decision institutional and supported by the making governance Australian processes for arrangements for assessing infrastructure Government. and provision, The threshold for developing including cost-benefit public processes, analysis was infrastructure procedures and retained at the to avoid poor policies for existing investment planning and $100 million choices and selection projects; inefficient Transparent, provision of innovative and infrastructure; competitive Private sector processes should involvement be used in the in selection of infrastructure private sector funding and partners; provision Regular should be monitoring of well designed project and performance and implemented review of funding in order to policies including deliver user charges; efficiency Rigorous gains. benefit analysis for all public infrastructure projects over $50 million. These should be
Productivity Commission Inquiry: Public Infrastructure 2014 The Inquiry examined ways to encourage private financing and funding for major infrastructure projects and investigated costs, competitiveness and productivity in the public infrastructure sector. Key Findings related to freight and supply chains Key Recommendations Australian Government Response Project Selection An urgent need existed to examine the decision making processes for assessing and developing public infrastructure to avoid poor investment choices and inefficient provision of infrastructure; Private sector involvement in infrastructure funding and provision should be well designed and implemented in order to deliver efficiency gains. Jurisdictions should have best practice institutional and governance arrangements for infrastructure provision, including processes, procedures and policies for planning and selection projects; Transparent, innovative and competitive processes should be used in the selection of private sector partners; Regular monitoring of project performance and review of funding policies including user charges; Rigorous analysis for all public infrastructure projects over $50 million. These should be These recommendations were largely supported by the Australian Government. The threshold for cost-benefit analysis was retained at the existing $100 million benefit
working-paper_recent-reviews-of-relevance.docx