Council welcomes PPP review, calls for supply chain investment

By: Jason Whittaker

The Australian Logistics Council (ALC) has welcomed the Prime Minister's announcement of a major overhaul of PPP regulations to encourage

The Australian Logistics Council (ALC) has welcomed the Prime Minister's announcement of a major overhaul of PPP regulations to encourage greater private sector in infrastructure delivery.

But ALC Chief Executive Hal Morris says governments must also commit to continue growing their investment in our key transport networks.

"The Australian freight industry has long been calling for the streamlining and simplification of transport and investment regulation throughout Australia, and welcomes today’s initiative of the Rudd Government which will help address the infrastructure bottlenecks holding back our economy," he says.

Prime Minister Kevin Rudd has announced the development of an integrated set of national PPP regulations with the aim of encouraging more investment in key infrastructure by the private sector.

This, in conjunction with the new Infrastructure Australia’s review of infrastructure priorities, will provide a clear path forward for governments and industry, according to Morris.

"Any move towards consistency of regulation and improved transport infrastructure is a move in the right direction for Australia’s supply chains," he says.

But it is vital,he says, that transport infrastructure investment is considered on a whole of supply chain basis with all modes and connections taken into account in determining future priorities.

"The private sector, rightly, will only be interested in investing in projects that provide strong returns for their outlays. Many critical projects will not be suitable for such investment. It is therefore vital governments also increase their investment in key infrastructure projects," he says.

"The Australian logistics industry believes it is vital that Australia’s transport networks receive the investment needed to ensure our supply chains work efficiently. Unfortunately current supply chain blockages are holding back our nation’s international performance.

"Only concerted effort, including additional investment by governments and the private sector in our road and rail networks, as well as improved connection and coordination of intermodal terminals and ports, will address these blockages."

The Australian Logistics Council (ALC) is a national umbrella body representing all players in Australian transport and logistics industry.

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