Announced by Treasurer Josh Frydenberg when delivering the Federal Budget for 2022-23, the Energy Security and Regional Development Plan allocates $7.1 billion for a number of regional centres for the next 11 years.

The Government will invest in projects across WA's Pilbara, the Northern Territory, North and Central QLD and the Hunter region of NSW, developing each into what the government calls “next generation export hubs.” It believes the investment will bring about new frontiers of production and growth, and help to fund a number of initiatives.

“Australia is on the pathway to net zero emissions by 2050 and playing its part in responding to the critical global challenge of climate change. Technology, not taxes, will get us there,” says Frydenberg.

“Already, Australia has the highest uptake of rooftop solar in the world. We are investing in clean hydrogen, carbon capture and storage, batteries and large‑scale solar. Tonight, we make further investments in microgrids to support regional and remote communities that don’t otherwise have access to the grid with small‑scale renewable energy projects like solar and wind. A low‑emissions future with reliable and affordable power is critical to our plan for a strong economy.”

Similar to, but not to be confused with the Northern Australia Infrastructure Fund, the Plan provides grants as opposed to loans and requires co-investment from states and/or the private sector. The Government also topped up the NAIF by an additional $2 billion.

The Government will invest $2.6 billion in infrastructure projects across the Northern Territory, in order for it to become a hub for next generation exports. Headlining the list of investments is an allocation of $1.5 billion to build new port infrastructure, including wharves and offloading facilities to boost the region’s importing and exporting ability.

$1.7 billion will go to North and Central Queensland in order for it to become a major global supplier of food and fibre. The original $10 million Hinkler Regional Deal has been topped up by $7.7 million to construct new common-user infrastructure at the Port of Bundaberg.

In the Pilbara, $1.5 billion will be spent on new industries, with a $510 million upgrade to the Tanami improving safety and flood resilience to support both community and industry. A $285 million investment will help to deliver infrastructure upgrades at the Port of Dampier, with $200 million apportioned to enhancing Australia’s supply chain security through new low emissions manufacturing facilities.

$750 million will be invested into New South Wales’ Hunter Region, with $268.8 million of the investment to be used to build the New England Highway Bypass to Muswellbrook, better connecting regional industries and helping them get their products to port.

“I think one of the more exciting aspects of this budget is our investments in the new economic frontiers,” says Frydenberg in an interview with the ABC.

“Those regions in our country which will supercharge growth and jobs and capitalise on what is a growing middle class in the region, so we're focused on the NT. It's called the middle arm around Darwin, we're focusing on central and northern Queensland around the Burdekin, and we've also investing in Hell's Gate. The Pilbara is well known for its iron ore, and of course, good port facilities, but it's got great potential as well as an energy and export hub for more than resources, and then of course the hunter as well, which is a well-known region in New South Wales, we’re investing there, so we’ve got a very substantial regional package. It’s more than just infrastructure projects.”

$501 million has been committed to the Local Roads and Community Infrastructure program, enabling every local council across Australia to deliver priority projects to quickly stimulate local economies. It is estimated the project has already supported 9,000 jobs and nearly 7,900 individual projects.

Queensland was once more the beneficiary of Government spending with $680.6 million in funding announced for the South East Queensland City Deal, which it hopes will deliver jobs, greater connectivity and more liveable communities throughout the region. The Government is also currently working on a North Melbourne City Deal.

As well as this, the Treasurer announced the Government’s committal to a number of road and rail projects, including $1.6 billion for the Brisbane to the Sunshine Coast rail extension, $1.1 billion for the Brisbane to the Gold Coast faster rail upgrade, and $1 billion for the Sydney to Newcastle faster rail upgrade. Delivering these projects will reduce congestion and improve travel times along these corridors, opening up employment and social opportunities for millions of Australians while supporting economic growth, creating new corridors of commerce and connecting capital cities to major regional centres. A metro net project in Western Australia will also be completed, with road upgrades to South Australia’s North-South Corridor and Central Australian roads in the Northern Territory.

Frydenberg also announced a $6 billion fund for flood-affected communities, to assist communities on the east coast rebuild and repair critical infrastructure. To view the budget in full, visit budget.gov.au.

Image: https://canberraweekly.com.au/federal-budget-2022-23-at-a-glance/

Jarrod Reedie

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