Infrastructure Australia’s 15-Year Infrastructure Plan proposes a range of sensible reforms which, if implemented, would boost the efficiency of our national supply chains and in turn, underpin economic growth.

"The Australian Logistics Council (ALC) is very pleased that Infrastructure Australia has embraced a number of recommendations ALC made in its submission on the Infrastructure Audit to boost productivity in the freight logistics sector and efficiencies in our national supply chains,” said Michael Kilgariff, ALC Managing Director.

“IA’s plan paves the way for improved freight efficiency – the challenge before all governments is to work in the national interest and implement its recommendations in a timely and coordinated fashion.

“If we can squeeze just a 1% percent improvement in our supply chains, the economic benefits are significant, with research showing it would boost national GDP by $2 billion.

“We encourage all political parties in this election year to commit to these common sense reforms.

“In particular, we applaud IA’s recommendation for a National Freight and Supply Chain Strategy which acknowledges the importance of putting in place a long term plan incorporating the various, interlinked components of our national and international supply chains.

“IA’s recommendation for governments to work with the private sector to map nationally significant supply chains and their access to supporting infrastructure and gateways, is sensible long-term thinking.

“As part of this work, we would like to see Infrastructure Australia audit the existing National Freight and Port strategies to identify priority areas for action, such as the establishment of a national body to progress freight reforms.

“Similarly, its proposal for work to be undertaken to evaluate the adequacy of the institutional frameworks supporting freight networks, and to recommend reforms and investments that would move freight more efficiently, is a reform that could yield significant efficiency benefits.

Mr Kilgariff acknowledged the 15-year Infrastructure Plan had picked up on other ALC priorities such as the protection of key freight corridors and road reform to drive better supply chain efficiency.

“All too often, freight has been the ‘poor cousin’ when it comes to land development, and as such, key freight routes have been encroached upon or effectively built out,” he said.

“IA’s recommendation that all levels of government establish effective corridor protection mechanisms to ensure the timely preservation of freight corridors and strategic sites for future infrastructure is fundamental to the efficient movement of freight and strongly backed by industry.

“We encourage jurisdictions to consider ALC’s proposal for an intergovernmental agreement between all levels of government for the payment of incentives to fund corridors to progress this reform so as to set an agreed investment framework.

“ALC also hopes the report’s recommendation to implement a heavy vehicle road charging structure in the next five years will help drive this important reform through the many roadblocks it has experienced over the past decade.

“In a recent letter to Paul Fletcher, Minister for Major Projects, Territories and Local Government, ALC welcomed a wide ranging public debate to ensure road funding reform proposals improve supply chain efficiency and threw its weight behind a proposal to establish a roundtable involving industry and government to progress the issue of heavy vehicle road reform.

“The suggestion of a public inquiry into road user charging is a sensible way to address both the lack of robust information regarding the current pricing system and the emotionally charged nature of this highly political issue,” he concluded.

Infrastructure Australia’s 15-year Infrastructure Plan will form the basis of discussions at the 2016 ALC Forum, which is being held 1-3 March 2016, Royal Randwick, Sydney. Infrastructure Australia CEO Phil Davies will provide the keynote address in the morning of Wednesday 2 March 2016. 

For more information, visit the ALC Forum website.

This media release was sourced directly from the Australian Logistics Council.