Economic Stimulus Plan A progress report. Investing in Australia s Future

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1 Economic Stimulus Plan A progress report Investing in Australia s Future

2 future The Australian Government s Nation Building Economic Stimulus Plan was put in place to protect the nation from the global financial crisis. It made a significant investment in transport infrastructure and in doing so created jobs, made our roads and rail tracks more productive, and our towns and cities better places to live.

3 Minister s introduction It is now two years since the Australian Government took decisive action to protect the country from the economic pain that is continuing to be felt throughout much of the advanced world. Our Economic Stimulus Plan heralded a comprehensive period of nation building that protected jobs while boosting long-term productivity and economic prosperity. The plan fast-tracked 17 major rail projects, accelerated work on 14 major road projects, and improved safety at hundreds of black spots and rail level crossings. Two years down the track, it is clear that the stimulus plan has worked. We have saved jobs. Our unemployment rate is less than half that of most industrialised countries. And while the rest of the world has shed 30 million jobs, there are now 500,000 more Australians in work than before the global financial crisis began. Central to stimulating the economy has been an unprecedented investment in new roads and rail, an area of nation building that had been neglected over the previous decade. We have invested on average ten times more each year on rail than the former Coalition Government. We have doubled the national roads budget to more than $27 billion. Two of the major road projects are now finished and open to traic. Last year, I opened, with Premier Mike Rann, South Australia s biggest transport project in 50 years, the $564 million Northern Expressway. Finished three months ahead of schedule, drivers now save up to 20 minutes in travel time to and from Adelaide. It is a similar story with rail. We have invested $1.2 billion into 17 projects across the interstate freight rail network. The results are significant. Upgrades to the freight line between Brisbane and Melbourne are improving reliability and eiciency and, once completed in 2014, 11 hours will be shaved o the trip, reducing travel times by one-third. One 1500 metre freight train can carry the load of 100 semi-trailers, leaving our roads safer and our air cleaner. The jobs created to support this activity are considerable. Manufacturing 1.2 million concrete rail sleepers has given work to factories in five towns in New South Wales, Victoria and Western Australia. This has employed hundreds of workers, which has had flow-on eects right throughout their communities. We have also accelerated the Black Spot Program, targeting some 600 known dangerous sections on our roads. A further $150 million has been allocated to improve safety at some 300 rail level crossings. This sensible investment saves lives and prevents injuries by making our roads and crossings safer for everyone. I am delighted to give this progress report. ANTHONY ALBANESE Minister for Infrastructure and Transport 1

4 roads Landscaping the 23 km road was good news for local horticultural businesses, with an on-site nursery created to propagate the enormous number of plants needed. Potting mix, crushed rock, fertiliser, herbicide and other horticultural products were all sourced from South Australia. It s been extremely important to us that local businesses are engaged both in the construction of the nursery and in our ongoing operations to ensure that the flow-on eects from the project are strongly felt in the local community, said Mr Randall Wee, project manager for Ecodynamics which oversaw the landscape work.

5 High-standard roads improve national productivity by allowing goods to be transported faster between our cities and towns. They are also safer and promote well-being by reducing congestion for commuters giving them more time to spend with their families. To further stimulate the economy and to keep construction workers in jobs, the Australian Government brought forward funding for 14 national road projects. The Nation Building Economic Stimulus Plan brought forward $711 million that would not otherwise have been available during the critical period of the global financial crisis. All 14 of these large road projects are underway. Two of them the Northern Expressway and Port Wakefield Upgrade in South Australia, and the Mandurah Entrance Road in Western Australia have finished ahead of schedule and are open to vehicles. Project Title Funding Brought Forward Under Construction Completed Northern Expressway and Port Wakefield Road Upgrade, SA Mandurah Entrance Road, WA Ipswich Motorway Upgrade Dinmore to Goodna, Qld Western Ring Road Upgrade, Vic Brighton Bypass, Tas Pacific Motorway Springwood South to Daisy Hill, Qld Nagambie Bypass, Vic Banora Point Upgrade, NSW Bulahdelah Bypass, NSW Princes Highway East Duplication Traralgon to Sale, Vic Anthony s Cutting, Vic Hume Highway Tarcutta Bypass, NSW Hume Highway Woomargama Bypass, NSW Douglas Arterial Duplication, QLD The Mandurah Entrance Road in Western Australia was completed during September and opened to traic on 7 October The Northern Expressway and Port Wakefield Road Upgrade in South Australia opened to traic on 13 September

6 4

7 The Ipswich road works are being managed by Queensland Transport s Mango Murphy, who says training has been at the forefront of the project. Our aim has been to use the opportunity to train-up young people for careers in construction, says Mr Murphy. Seven Year 12 high school students from nearby schools have worked every alternate week for us to qualify for their construction certificates. This year, we re extending this opportunity to 12 more students and oering some admin traineeships as well. Our Indigenous program employed eight students who now have their certificates and a future in the industry. And we ve also engaged six inmates from local correctional facilities who ve helped construct anti-gawking barriers. Their sentences are completed and all now work for us full-time, says Mr Murphy. Northern Expressway and Port Wakefield Upgrade, SA completed three months ahead of schedule opened to vehicles in September 2010 South Australia s biggest transport project in 50 years 2,200 people employed during construction up to 20 minutes saved in travel times improved safety with more large trucks now using the Expressway rather than local roads. Ipswich Motorway upgrade Dinmore to Goodna, Queensland f f $1.95 billion project on schedule for completion in 2012 one of the biggest construction sites in Australia: 6,700 direct and indirect jobs first section of road between Wacol and Darra opened eight months ahead of schedule 80 trainees 80,000 vehicles now using the road each day with faster traic flows during peak periods roadway designed to meet rapid growth of south-east Queensland. Western Ring Road one of the largest projects in Nation Building package f f $900 million investment 5,500 jobs part of $2.25 billion upgrade to the Western Ring Road using smart technology freeway management system: en-route signage, lane-use displays, ramp metering for freeway entries, variable speed-limit displays better access to Melbourne and Geelong ports and to Melbourne Airport first major works between Calder Highway and Sydney Road, and Furlong Road to Sunshine Avenue due for completion by end

8 rail Grafton Wagon area with Sleepers Courtesy of Rocla

9 The Australian Competition and Consumer Commission recently forecast that trade at our ports would almost triple over the next 20 years. With continued population and economic growth, a faster more capable rail network is necessary to transport passengers, goods, primary products and raw materials. The Australian Government has responded with an unparalleled $9 billion investment in both freight and passenger rail infrastructure, with the biggest capital works program since the building of the transcontinental railway almost a century ago under the Fisher Labor Government. More than one-third of the nation s interstate freight rail network is being modernised to improve reliability and reduce travel times. Through the Economic Stimulus Plan, 17 projects have been brought forward with $1.2 billion invested in national rail projects through the Australian Rail Track Corporation. Twelve of these works are now completed. Work on five others is underway. The Hunter Valley Rail Network services the world s largest coal export operation. The six rail projects funded in the Hunter will help manage an expected doubling in coal movements by 2014 with track duplications, better signalling and new loops to better handle capacity. Among the biggest beneficiaries of the new rail work have been companies that manufacture concrete sleepers. More than 1.2 million new sleepers have been sourced from factories in New South Wales, Victoria and Western Australia. The Manager of Rocla Sleepers in Grafton NSW, Ric Lewtas, says the work has been great for local jobs. Prior to the Government s announcement, there was the real possibility that work would dry up in Grafton, Mr Lewtas says. The factory instead retained all of its 60 employees in Grafton, so it could supply the almost 400,000 concrete sleepers needed to replace wooden ones along tracks between Cootamundra and Parkes, and at Acacia Ridge in Queensland. This is not only through Rocla s Grafton operations, but also the trickle-down employment eect for many of our suppliers. This sort of knock-on employment is vital in regional areas, says Mr Lewtas. 7

10 8 Hunter Valley: Minimbah Bank Third Train Line, NSW Hunter Valley: Minimbah Bank Third Train Line, NSW Hunter Valley Minimbah Bank Third Train Line, NSW

11 Project Title Funding Brought Forward Completed Under Construction In Planning St Heliers to Muswellbrook duplication, NSW Bi-directional signalling between Maitland and Branxton, NSW Seymour to Wodonga track upgrade, Vic Cootamundra to Parkes track upgrade, NSW Sydney to Brisbane new, extended and upgraded loops project, NSW & Qld Qld border to Acacia Ridge track upgrade, Qld Western Victoria track upgrade, Vic Minimbah Bank third rail line, NSW Adelaide to Kalgoorlie new and extended loops project, SA & WA Wodonga Bypass duplication, Vic Cootamundra to Crystal Brook new and extended loops, NSW Hunter Valley: Ulan Line passing loops and duplication, NSW Melbourne to Junee passing loops, Vic & NSW Melbourne to Adelaide extended loops, Vic & SA Advanced Train Management System Phase 2, SA Hunter Valley: Liverpool Range project, NSW Hunter Valley: Minimbah to Maitland third rail line, NSW Work on the Liverpool Range project is subject to ongoing negotiations with the mining industry. Hunter rail projects f f $580 million accelerated through the stimulus package for this $1 billion upgrade will increase the freight carrying capacity to meet anticipated growth in demand from 97 million tonnes in 2008 to as much as 200 million tonnes per annum by 2014 The Hunter Rail Network is part of the Hunter Valley coal chain, the world s largest coal exporter at least 650 jobs five projects in the Hunter region either completed or under construction Other national rail projects new extended passing loops between Brisbane and Sydney are part of a broader package helping shave 11 hours o the trip between Brisbane and Melbourne new Adelaide Kalgoorlie extended passing loops allow use of longer trains every 1500 metre long train can replace 100 semi-trailers at least 850 jobs modern signalling now in place between Picton and Cunningar in NSW 9

12 safety Toomulla Beach Rd, Toomulla, QLD Courtesy of Queensland Rail Limited The Mayor of Townsville Les Tyrell says the Economic Stimulus Plan has funded several new boom gates in his part of far north Queensland. I think funding boom gates has been a tremendous initiative. The Great Northern line runs right through here and we have lots of crossings. You only need to lose your concentration for a moment and it could mean disaster. One of our new boom gates is at Toomulla where there are lots of retirees and older drivers. This funding is a practical way of solving a very serious road safety problem, Mr Tyrell says.

13 Boomgates With a nation as large and sparse as Australia, there are many thousands of level crossings where there is no protective boom gate. There are about 100 accidents at these crossings each year, with 17 people killed and many more seriously injured. The Stimulus Plan provided $150 million to upgrade safety at 300 identified high-risk crossings. Traic volumes, crash history, visibility for motorists and train drivers, and the number of rail tracks helped decide which crossings to fund. Boom gates, flashing lights, safety cameras, improved signage and/or advance warning systems are now in place at these crossings. The work has created work for local contractors and businesses. Black spots The Economic Stimulus Plan was a good opportunity to address a backlog of dangerous intersections or stretches of roads. The states and territories, local councils, road user groups, industry groups and individuals were all invited to nominate intersections or stretches of road where serious crashes had occurred or were likely to occur. State consultative groups made up of members of police, cycling, motoring organisations and the road freight industry assessed and ranked each proposal. A total of $150 million was allocated towards some 600 black spots. Targeting black spots is a proven way of saving lives. Every dollar invested saves $14 by reducing the number and cost of crashes. The program so far has prevented at least 32 fatalities and more than 1,500 serious injuries. Too many lives have been lost at black spots on Australian roads, says Wendy Machin, the President of the NRMA. The announcement of extra funding was welcome news because it targeted those sections of our road network that needed it most. I am pleased that the NRMA could play a role in helping to select the targeted black spots and that two years later hundreds of dangerous intersections and stretches of road are now safer for Australian drivers, Ms Machin says. 11

14 states

15 states Nation Building Program New South Wales 13

16 states Nation Building Program Victoria

17 states Nation Building Program Queensland 15

18 states Nation Building Program Western Australia

19 states Nation Building Program South Australia 17

20 states Nation Building Program Tasmania

21 states Nation Building Program Australian Capital Territory 19

22 states Nation Building Program Northern Territory

23 states 21

24 Commonwealth of Australia 2011 Nation Building Package This work is copyright. You may download, display, print and reproduce this material in unaltered form only (retaining this notice) for your personal, noncommercial use or use within your organisation. Apart from any use as permitted under the Copyright Act 1968, all other rights are reserved. Requests and inquiries concerning reproduction and rights should be addressed to the Oice of The Hon. Anthony Albanese MP, Parliament House, Canberra, ISBN

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