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128 Business View Australia - March-April 2016
CONSTRUCTION & PR
is expected to grow from 22.3 million
in 2011 to 30.5 million in 2031.
Australia’s population growth is the
fourthfastestamongstOECDcountries
and if only those OECD countries
with a population over 10 million are
considered, it is the country with the
highest rate of population increase.
The four cities of Sydney, Melbourne,
Brisbane and Perth are expected to
grow by 5.8 million, increasing their
population from 12.8 million in 2011
to 18.6 million in 2013.
While this population growth is
required for the economy to expand, it
is essential that urban infrastructure
keep pace so that the quality of life
in Australian cities is maintained.
The UDIA has specifically raised
the issue of providing adequate
transport facilities in the country’s
cities. The Australian Infrastructure
report states that this key area can
prove to be a significant bottleneck
in the development and growth of the
country’s economy.
The report points out that in 2011
the cost of delays on roads in the six
largest capital cities was to the tune
of $13.7 billion. If adequate steps are
not taken it is expected that the cost
of delays could escalate to $53.3
billion by 2031. It is also expected
that the demand for public transport
will double by 2031.
In these circumstances, it is
imperative that the government take
up infrastructure projects to prevent
Australian cities from slipping into a
situation where public services and
infrastructure are not at developed-
country levels.
A third issue which UDIA has been
raising with the federal government is
regarding the affordability of housing
in Australia’s cites. The Institute
has pointed out that over the years
the increase in the cost of housing
has greatly exceeded increases in
income. This has resulted in taking
housing out of the reach of not only
low income households, but putting
many middle income households
under great financial strain as well.
The UDIA has conveyed to the federal
and state governments, that as the
supply of housing has been restricted,
it has put an upward pressure on
prices of the available housing stock
in the country. There is a need to
address the basic issues which have
resulted in the inadequate number
of new housing projects. These have
been identified by UDIA as high
and inefficient taxes and charges
on new housing, low investment in
urban infrastructure, and excessive
regulations and red tape.
Apart from these three issues, the
Institute takes up a number of other
causes which are of the greatest
importance for the development
of Australia’s urban infrastructure.