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Queensland Major Projects Pipeline 2019 Queensland Major Projects Pipeline

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2019 Queensland Major Projects Pipeline 2019 2019 Queensland Major Projects Pipeline Queensland Major Projects A JOINT INITIATIVE $M Total Pipeline 39,800,000,000 Annual Ave 7,960,000,000 Weekly Ave 153,000,000 Daily Ave 21,860,000 Hourly Ave 910,833 AT A GLANCE Major Projects Pipeline readon Unfunded split $41.3 billion total (over 5 years) Credibly Under Under Unlikely Prospective proposed Announced procurement construction* 37 39 15 36 15 52 projects valued at projects valued at projects valued at projects valued at projects valued at projects valued at $3.13bn $6.61bn $4.03bn $10.14bn $6.66bn $10.77bn Unfunded $13.77 billion Funded $27.57 billion *Under construction or completed in 2018/19 Total Pipeline Major Project Scale of Major Value Activity Recurring Projects Jobs Expenditure $8.3b per year The funded pipeline will support $6.5b 11,900 workers $41.3b North Queensland each year on average $23m per day $12.4b Fully-funding the pipeline Funding will support an extra 6.8b Central split Various Queensland 5,000 workers each year on average $23.4b $15.6b $2.2m Public Projects $41.3b Total South East A JOINT INITIATIVE $17.9b Queensland $159m per Private Projects working per week hour $M Total Pipeline 39,800,000,000 Annual Ave 7,960,000,000 Weekly Ave 153,000,000 Daily Ave 21,860,000 Hourly Ave 910,833 Major Projects Pipeline – Breakdown Unfunded split $41.3 billion total (over 5 years) Credibly Under Under Unlikely Prospective proposed Announced procurement construction* 37 39 15 36 15 52 projects valued at projects valued at projects valued at projects valued at projects valued at projects valued at $3.13bn $6.61bn $4.03bn $10.14bn $6.66bn $10.77bn Unfunded $13.77 billion Funded $27.57 billion *Under construction or completed in 2018/19 Total Pipeline Major Project Scale of Major Value Activity Recurring Projects Jobs Expenditure $8.3b per year The funded pipeline will support $6.5b 11,900 workers $41.3b North Queensland each year on average $23m per day $12.4b Fully-funding the pipeline Funding will support an extra 6.8b Central split Various Queensland 5,000 workers each year on average $23.4b $15.6b $2.2m Public Projects $41.3b Total South East A JOINT INITIATIVE $17.9b Queensland $159m per Private Projects working per week hour CONTENTS FOREWORD 1 SPONSORS 2 EXECUTIVE SUMMARY 4 THE PIPELINE 2019 14 REGIONAL BREAKDOWN 28 ECONOMIC DRIVERS 46 IMPLICATIONS FOR THE 60 CONSTRUCTION SECTOR CHALLENGES, RISKS 68 AND OPPORTUNITIES CONCLUSION AND 90 RECOMMENDATIONS 2019 MAJOR 98 PROJECTS LIST FOREWORD We are proud to introduce the 2019 Queensland Major Projects Pipeline Report to you - an initiative of the Queensland Major Contractors Association (QMCA) and the Infrastructure Association of Queensland (IAQ). The Pipeline Report captures At time of print, communities As industry peak bodies we early stage information enabling in Northern Queensland are are committed to working our members and wider market recovering from the devastating hard for our members and to to plan for their future including impacts of recent heavy promoting Queensland as a resourcing and capacity. For rains and flooding. Given the world leading destination for government and private sector scale and financial impact to economic development and new infrastructure proponents, this governments, it is likely that a infrastructure investment. We ensures healthy and sustainable number of projects listed will be look forward to working with all competition in the market and re-prioritised so that affected our stakeholders in 2019 to grow successful delivery of major communities can receive the the pipeline of major projects in infrastructure. necessary funding to recover in our great State. the shortest time possible. As A unique aspect of the Pipeline is Sincere thanks to our partner reconstruction planning unfolds, that the data is sourced directly BIS Oxford Economics for their both our associations will provide from both government and the expert guidance, compilation their members with updates to private sector, providing state of the project listings and the any impacted projects and advise wide visibility and awareness detailed independent analysis of newly created reconstruction of Queensland’s economic that underpins the report. We packages. infrastructure plans. The report also acknowledge our outgoing provides a pipeline of projects The greatest threats to a partner Construction Skills around a set of six standardised sustainable pipeline of projects Queensland for their past stages through the project remain the identification of contributions to development lifecycle. As projects move investable projects, availability of the report and for their through the defined stages, of funds and timely investment sponsorship this year along with from inception to business case, decisions. This year’s report collaborative partners Accura investment decision, procurement also highlights an unusual Consulting, Cbus, Construction and then construction, the concentration of activity Skills Queensland, Dial Before You report ensures the market is emerging in very large major Dig, Pumps United, and regional kept informed and up to date. projects above $500m in partners Plangrid, BMD, Economx Our report also sends a strong value, that could also threaten and ARTC. signal to potential infrastructure the sustainability of parts of Through the support of our investors that a highly motivated the supply chain. The ability sponsors, it has been possible engineering sector exists, with of governments to package to improve the report format to designers, contractors and service projects in a way that maximises enhance the reading experience providers eminently capable of local industry participation has and provide access to key report preparing for and delivering world assumed even greater importance data through a dedicated website class major engineering projects. to the continued short-term qldmpp.com.au. sustainability of the major projects sector. JON DAVIES STEVE ABSON CHIEF EXECUTIVE OFFICER CHIEF EXECUTIVE OFFICER 2019 Queensland Major Projects Pipeline 1 SPONSORS QMCA and IAQ would like to thank our partners and supporters, without whom production of the 2019 Queensland Major Projects Pipeline Report would not be possible. COLLABORATION PARTNERS Accura Consulting CBUS Accura Consulting Accura Consulting provides Cbus is the leading industry super fund for the commercial management, claims consulting, construction, building and allied industries. planning support and expert witness services The Fund is focused on maximising retirement in both time and quantum disciplines. outcomes for members and helping employers manage their business superannuation needs. Construction Skills Queensland Dial before you Dig CSQ assists major projects to access building Dial Before You Dig is a Not for Profit and construction training to address skills organisation that delivers a vital national deficiencies that may hold up the project, community service designed to assist individuals to become more multi-skilled in preventing damage and disruption to and productive, or provide career pathway Australia’s vast infrastructure networks which opportunities for the workforce. provide essential services we use every day. Pumps United Pumps United are Australia’s leading provider of dewatering, pump rental and environmental services, with over 45 years of experience, we are the dewatering contractors and pump hire suppliers of choice for landmark construction projects, nationwide. AMRUN JETTY REGIONAL SPONSORS BMD EconomX BMD has grown from a small family owned EconomX design and implement leading company to become one of Australia’s Local and Regional Content strategies for largest privately-owned engineering Major Projects and Contractors. We provide design, construction and land development strategy, technology and innovative thinking contractors. which cover contracting, employment and stakeholder management. Inland Rail Plangrid The Australian Government has committed PlanGrid is the leader in construction $9.3 billion to deliver the once-in-a-generation productivity software that allows contractors 1,700km Melbourne to Brisbane Inland Rail. and owners in commercial, heavy civil and Divided into 13 individual projects, it’s the other industries to collaborate easily from largest freight rail infrastructure project in their mobile devices and desktop, managing Australia. drawings, specs, photos, RFIs, field reports and defect lists. EXECUTIVE SUMMARY Welcome to the third Queensland Major Projects Pipeline Report (the Report) developed by the Queensland Major Contractors Association (QMCA) and the Infrastructure Association of Queensland (IAQ). This annual Report has The Report this year contains In this year’s Report there become the key barometer mixed news. While last year’s is a focus on the regional of current and future major call for increasing the volume implications of the pipeline. project activity in Queensland. of funded work in the pipeline Eleven separate analyses has been answered, there is are provided representing It provides a comprehensive still not enough funded work diverse regions of the state, list of major project work to avoid a decline in major with commentary on the together with the predicted project activity in 2019/20. outlook for each region. This level of construction activity And while the overall size of regional analysis shows that based on both the completion the pipeline is roughly the there are significant winners of existing projects
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