Alarm bells sound in regional NSW as infrastructure skills crunch looms large
Alarm bells are ringing across regional NSW as an absence of large infrastructure project coordination is exacerbating the housing and skills crises in towns and cities across the state, according to a new report from Business NSW.
The state’s peak business organisation, Business NSW today launched its new report Down to the Wire: Managing the upcoming infrastructure workforce crunch in Riverina Murray, New South Wales which highlights the challenges of delivering more than $20 billion worth of projects in the region and finds that the risks are applicable across the state.
“There is a real risk that NSW will miss out on maximising the benefits from an unprecedented infrastructure pipeline across the state,” said Business NSW Regional Manager, Riverina Murray, Anthony McFarlane.
“The worst case scenario is that the local regional economies in NSW are stretched to breaking point in coming years, with skilled workers poached from local businesses as more projects come on-line and housing shortages become more acute.
“As a case study for regional NSW, there is a real risk that the six biggest infrastructure projects in the Riverina Murray region, collectively estimated to be worth well over $14 billion, are likely to face further cost increases over the coming years as inflationary pressures and workforce shortages compound.
“While it is positive that this region is becoming a centre of excellence for Renewable Energy, we are concerned about the lack of coordination between these projects, which if left unmanaged will cause significant challenges for local communities and lead to further cost escalation and delays.
“The Riverina Murray is already struggling to meet businesses’ need for skilled workers, and to provide sufficient housing.
“These pressures, whilst being acutely felt in this region, can be found in almost any region in NSW. The Riverina Murray is the canary in the coal mine for regional NSW and how we can manage the influx of demand for housing and skilled workers and the negative impact that can have on local communities.
“There is a real opportunity for the new Federal Government to address these challenges and, in its review of Infrastructure Australia, create a regional Infrastructure Coordinator General function genuinely empowered to manage the demands from different government departments and non-government infrastructure providers to maximise each project’s legacy for local communities.
“This role could also support engagement and co-design between industry and education in the region and address any inadequacies in relevant education and training offerings,” Mr McFarlane said.
About Business NSW
Formerly the NSW Business Chamber, Business NSW is the peak policy and advocacy body which has been representing businesses in NSW since 1826.
Media Contact – Anthony McFarlane 0439 389 486