Aug 4, 2011

Government paves the way for Infrastructure alliances

Government paves the way for Infrastructure alliances

The Hon Anthony Albanese MP

Minister for Infrastructure & Transport

Leader of the House

Member for Grayndler

4 August 2011

New national guidelines for alliance contracting will benefit taxpayers and industry groups by driving better value for money and cost savings on major projects.

The National Alliance Contracting Policy and Guidelines being released today have been developed by the Council of Australian Government’s Infrastructure Working Group (IWG).

The policy and supporting guidelines will drive better value for money and could slash up to 15 percent off the cost of major projects by streamlining alliance processes across jurisdictions.

They will help drive cost savings by creating a consistent national alliance contracting standard and ensure the existing benefits of alliancing around the nation are maintained.

In particular they will ensure:

  • good public accountability and transparency in order to protect the public interest
  • that each project achieves value for money in-line with business case commitments
  • efficient and effective market engagement is undertaken for each project.

These reforms will provide long-term benefits for the national economy by reducing costs, removing conflicting regulations and ambiguities and putting in place a truly national approach to the way we do business.

The new guidelines build on other measures including the National Prequalification System, which removes red tape for contractors wishing to tender for infrastructure projects in different states and territories, and the National Infrastructure Construction Schedule, which will collate all known and forecast infrastructure investments by the three levels of government.

Alliancing is an effective procurement and delivery method for big infrastructure projects and gives the construction industry greater assurance and consistency.

These national guidelines will increase consistency for industry across the country in the way in which large infrastructure alliance projects are delivered.

To view the National Alliance Contracting Policy and Guidelines go to www.infrastructure.gov.au.