Funding major infrastructure projects could be done with new broad-based land taxes and targeted levies, an expert report recommends.
Infrastructure Australia’s Planning Liveable Cities report also suggests variable pricing on roads and trains could make better use of existing assets.
The report found infrastructure funding has not kept pace with population growth, leading the expert body to recommend governments look at new ways to pay for projects.
‘Consider alternative and innovative funding mechanisms, such as a broad-based land tax and targeted levies, to promote equitable and efficient outcomes,’ the report says.
Infrastructure Australia’s executive director of policy and research, Peter Colacino, says Australia’s largest cities are growing and changing at a rate not seen for more than 50 years.
‘Too many communities have witnessed the delivery of poor-quality housing development which is not well integrated into the local area and not accompanied by the infrastructure and services needed to support it,’ he said on Tuesday.
‘As a result, communities are understandably apprehensive about further growth and change.’
The report calls for more strategic thinking from governments of all levels to plan for population growth and infrastructure needs.