IN THIS EDITION

1. Analysis

2. Added 3. Status Changes

4. Updates 5. Projects removed from the Pipeline

Home About us Contact

1. Analysis

Greenfield pipeline analysis

Figure 1 below shows our current analysis of the greenfield pipeline across the Australian and New Zealand markets.

This month sees the addition of the next priority passenger rail project in Sydney – the North South Rail Link (NSRL) Stage 1 – which would connect Western Sydney Airport when completed, with the broader rail network.

Figure 1: Australian and New Zealand greenfield projects, by pipeline status

Source: infrastructurepipeline.org/projects-status-chart, accessed 4 April 2018

View a larger version of this image HERE

NSRL sits alongside other major planned rail connections, such as West, and Parramatta Light Rail Stage 2 – further strengthening the NSW 'prospective' pipeline.

Beyond new projects, this month’s Pipeline Report is weighted towards shortlisting of consortia bidding for major projects, across and New Zealand.

Shortlisting occurred for Sydney Metro’s Line-wide Works, the operations of Parklea Correctional Centre, Cross River Rail’s Rail Integration and System, and the , Stations and Development PPP, as well as the largest water project on the pipeline – Auckland’s NZ$1.2 billion Central Interceptor.

Also in New Zealand, the Request for Tender (RFT) for the ’s Stations and package has been delayed by three months, following the withdrawal of a bidder from the process.

This month has also seen the progression of the Snowy Hydro 2.0 expansion project to 'credibly proposed' – following the Federal Government’s full acquisition of the company from the NSW and Victorian governments.

Additionally , there has been a large number of project updates following the release of Infrastructure Australia’s Infrastructure Priority List. Projects have moved through to become priority projects, such as the Beerburrum to Nambour Rail Upgrade, or high priority projects, such as Metro.

Brownfield pipeline analysis

This month sees Land Use , the State’s land registry agency, move to ‘announced’ following confirmation by the Victorian Government that it will proceed with the transaction.

Figure 2: The brownfield pipeline by transaction status

Source: infrastructurepipeline.org/projects-status-chart, accessed 4 April 2018

View a larger version of this image HERE

WA TAB is also one step closer to reaching 'announced' after the WA State Government confirmed that Investec had completed detailed analysis of potential transaction options for the potential sale. The Government will conduct a consultation process with the racing industry to discuss the study's findings and potential sale options.

W e have also removed Tasmania’s TasNetworks and Aurora Energy from the brownfield 'prospective' pipeline, following the re-election of the Tasmanian Government, which campaigned on a 'no asset sales' policy. We cannot see a credible pathway to energy privatisations within five years – despite the continued fiscal pressures in the State. Prospective privatisations, and Tasmania’s fiscal condition, will continue to be monitored. back to top

2. Added

North South Rail Link - Stage One (NSW, CTH)

PROSPECTIVE PIPELINE – In March 2018, the Federal and NSW governments released the Western Sydney Rail Needs Scoping Study Outcomes Report. A North-South Rail Link has been identified as the preferred connection to Western Sydney Airport (WSA). The first stage between the Badgerys Creek Aerotropolis, WSA and St Marys is to be completed in time for WSA opening in 2026. Both governments have committed up to $50 million each to business case development for the full North South Rail Link, and have committed to equally funding the first stage.

Pacific Motorway M1 - Eight Mile Plains to Daisy Hill (QLD, CTH) PROPSECTIVE PIPELINE – This stage of works is proposing to widen the Pacific Motorway to eight or 10 lanes on the nine kilometre section between Eight Mile Plains and Daisy Hill. Building Queensland is currently developing a detailed business case for the project.

Myalup-W ellington Water Project (WA) PROSPECTIVE PIPELINE - The proposed Myalup-Wellington Water Project comprises a range of integrated above and below dam infrastructure components, aimed at reducing salinity in the Wellington Dam and surrounding area. The project was proposed by a private company, Collie Water. The company was selected as the preferred proponent by the Western Australian Government, after an Expressions of Interest (EOI) process to identify solutions for Wellington Dam's salinity problem.

Canberra Hospital Expansion (SPIRE) (ACT) CREDIBLY PROPOSED - The ACT Government has committed to an expansion of Canberra Hospital. The Surgical Procedures, Interventional Radiology and Emergency (SPIRE) Centre will be built on the norther end of the hospital campus. The project would see an investment of $500 million, of which $236 million has been budgeted over the 2017-18 forward estimates. It is expected that construction of SPIRE will begin in 2020, with operations commencing by the mid- 2020s.

Nepean Hospital Redevelopment – Stage 2 (NSW) CREDIBLY PROPOSED - The NSW Government has committed a further $450 million for Stage 2 of the Nepean Hospital Redevelopment. Delivery of Stage 2 will commence after the completion of Stage 1. The planning process to investigate specialist services will commence in 2018.

Monash Freeway Upgrade – Stage 2 (VIC) ANNOUNCED – The Victorian and Commonwealth governments have stated that they will proceed with Stage 2 of the Monash Freeway Upgrade, as part of the broader Western Distributor Project. Infrastructure Australia is currently assessing the business case, for final approval. The $711 million project will be a design and construct package that extends Stage 1 works – which are near completion – to the east and west, with 36 kilometres of new lanes. back to top

3. Status Changes

Snowy 2.0 (CTH) CREDIBLY PROPOSED - In March 2018, the Federal Government announced it had reached an agreement with the NSW and Victorian governments, taking on full ownership of their respective shares in Snowy Hydro Limited. Snowy Hydro Limited was previously 58 per cent owned by NSW, 29 per cent by Victoria and 13 per cent by the Federal Government.

Following the completion of the buyout, the NSW Government declared Snowy 2.0 as State Significant Infrastructure (SSI). Applications for SSI are subject to consultation and an environmental impact assessment in accordance with NSW Government standards.

Land Use Victoria (VIC) ANNOUNCED - In March 2018, the Victorian Government announced that it will progress with commercialisation of Land Use Victoria and conduct a competitive tender process in 2018. The successful private operator will take responsibility for Land Use Victoria's land registry and transaction functions for a term of 40 years, after which responsibilities will return to the Victorian Government.

Sydney Metro - Central Station Main Works (NSW) RECENTLY CLOSED - In March 2018, the NSW Government awarded Laing O'Rourke the contract to deliver the project. Construction is scheduled to begin in mid-2018, and be completed by 2022.

Sunshine Coast Airport Expansion (QLD) RECENTLY CLOSED - In March 2018, John Holland was awarded the $225 million contract to build the Sunshine Coast Airport Expansion, including a new second runway. Construction will start in 2018 with the project expected to be operational in 2020.

Bruce highway Upgrade – Haughton River Floodplain Upgrade (QLD, CTH) RECENTLY CLOSED - In March 2018, the contract was awarded to the Infrastructure Group joint venture between Bielby, BMD Constructions, JF Hull and Albem with Arup and HDR. back to top

4. Updates

Gawler Rail Electrification – Stage 2 (SA) PROPSECTIVE PIPELINE - The newly-elected SA Government has committed to establish Infrastructure South Australia, and will task them with assessing the project for funding.

Sydney Metro West (NSW) PROSPECTIVE PIPELINE - The NSW Government has announced Sydney Metro West will include stations at Westmead and an existing T1 Northern Line station - either Concord West or North Strathfield. Further stations will be considered through project development at Camelia or Rydalmere, North Burwood or Five Dock, Kings Bay and Pyrmont. Two future extensions of Metro West have also been flagged from Westmead to the Western Sydney Aerotropolis, and southeast of the Sydney CBD via Zetland and Green Square.

Beerburrum to Nambour Rail Upgrade (QLD) PROSPECTIVE PIPELINE - Infrastructure Australia (IA) released its positive evaluation of the project in March 2018. The project has been upgraded from a Priority Initiative to a Priority Project on IA's Infrastructure Priority List, with a recommended near term delivery timescale (0-5 years).

Pacific Motorway M1 - Varsity Lakes to Tugun (QLD, CTH) PROSPECTIVE PIPELINE - In March 2018, Infrastructure Australia listed the project as a Priority Initiative on its Infrastructure Priority List with a recommended near term delivery timescale (0-5 years).

Inland Rail - NSW/QLD border to Gowrie (CTH, QLD) CREDIBLY PROPOSED - The Queensland Government has declared the NSW/QLD border to Gowrie section of Inland Rail a 'coordinated project', allowing the Australian Rail Track Corporation (ARTC) to start environmental impact assessments along the proposed route.

Inland Rail - Tottenham to Albury (CTH, VIC, NSW) CREDIBLY PROPOSED - In March 2018, the Federal and Victorian governments signed a bilateral deal for Inland Rail which included commitments to renegotiate a new long-term lease of the North East Rail Line (NERL) with the Australian Rail Track Corporation (ARTC), and to accommodate any changes to the NERL alignment required for Inland Rail.

WA TAB (WA)

CREDIBLY PROPOSED - In March 2018, the WA Government announced that Investec had completed detailed analysis of potential transaction options for WA TAB. It will conduct a consultation process with the racing industry to discuss the study's findings. This is expected to be complete by April 2018.

Strzelecki Track Upgrade (SA) CREDIBLY PROPOSED - The newly elected SA Government has committed to establish Infrastructure South Australia, and will task them with assessing the project for funding.

ANZ Stadium (NSW) ANNOUNCED - Infrastructure NSW's (INSW) State Infrastructure Strategy, released in March 2018, recommended that business cases for both ANZ and Allianz stadiums be completed in 2018. The NSW Government supported the recommendation in its response to the Strategy. In late March 2018, a summary of the strategic business case was released in conjunction with a NSW Government announcement stating that the stadium would be refurbished into a rectangular stadium at a cost of $810 million, rather than a complete rebuild, as previously planned.

Allianz Stadium (NSW) ANNOUNCED - Infrastructure NSW's (INSW) State Infrastructure Strategy, released in March 2018, recommended that business cases for both ANZ and Allianz stadiums be completed in 2018. The NSW Government supported the recommendation in its response to the Strategy. In late March 2018, a summary of the final business case was released in conjunction with the NSW Government confirming that it would rebuild the stadium. The new stadium will either be 40,000 or 45,000 seat capacity with a cost ranging from $704 to $775 million.

Brisbane Metro (QLD) ANNOUNCED - Infrastructure Australia (IA) released its positive evaluation of the project in March 2018. The project has been added to IA’s Infrastructure Priority List as a High Priority Project with a recommended near term delivery timescale (0-5 years).

Maitland Hospital (NSW) ANNOUNCED - An application for the concept and Stage 1 to be State Significant Infrastructure (SSI) was submitted in January 2018, with the Secretary's Environmental Assessment Requirements (SEARs) issued in February. The project's Environmental Impact Statement is now being prepared.

Metronet (WA) ANNOUNCED - In March 2018, Infrastructure Australia identified "Perth rail network capacity" as a near term (0-5 years) Priority Initiative on its Infrastructure Priority List.

Prince of Wales Hospital Reconfiguration and Expansion (Randwick Campus Redevelopment) (NSW) ANNOUNCED - An application for Stage 1 to be State Significant Infrastructure (SSI) was made in February 2018, and the Secretary's Environmental Assessment Requirements (SEARs) were issued in March 2018. The next step is for the Environmental Impact Statement (EIS) to be prepared and then disclosed for public consultation.

W estern Sydney Infrastructure Plan - M12 Motorway (NSW, CTH) ANNOUNCED - In February 2018, the preliminary design of the M12 Motorway was release for public consultation.

W estern Sydney Airport (NSW) ANNOUNCED - Graham Millett was appointed WSA Co CEO in February 2018, and in March WSA Co called for tenders for the Early Earthworks contract. The Federal Government has stated over 12 companies have been invited to tender. Works are expected to commence in late 2018.

Social and Affordable Housing Fund – Phase 2 (NSW)

UNDER PROCUREMENT - Request for Expressions of Interest closed on 21 March 21. The Request for Proposals stage is expected to be conducted from May 2018, with contracts expected to be awarded by the end of 2018.

Sydney Metro – City and Southwest – Line-wide Works (NSW)

UNDER PROCUREMENT - In March 2018, three consortia had been shortlisted to progress to the Request for Tender (RFT) phase. These included LORJH Joint Venture, comprising Laing O'Rourke and John Holland; Metconnect, comprising Downer EDI and RCR O'Donnell Griffin; and Systems Connect, comprising UGL Engineering and CPB Contractors.

The contract is expected to be awarded later in 2018.

City Rail Link - Stations and Tunnels (NZ) UNDER PROCUREMENT - The Request for Tender (RFT) was expected to be released in March 2018, however the release of tender documents will be delayed by up to three months due to the withdrawal of a bidder from the process.

City Rail Link - Systems, Integration, Testing and Commissioning (Systems ITC) (NZ) UNDER PROCUREMENT - Request For Proposals (RFPs) for the Systems ITC package of works were released on 29 March to shortlisted tenderers, with proposals due by 2 May 2018.

Cross River Rail - Tunnel, Stations and Development (TSD) PPP (QLD) UNDER PROCUREMENT - Three consortia have been shortlisted for the TSD works package. These include:

Pulse, a CIMIC Group-led consortium, including Pacific Partnerships, CPB Contractors, UGL, BAM, Ghella and DIF; Qonnect, comprising QIC, Capella Capital, Lendlease, John Holland and Bouygues; and CentriQ Partnerships, comprising Plenary Group, ACCIONA, GS Engineering & Construction, Salini Impregilo and Spotless Group.

The consortia will now progress to the Request for Proposal (RFP) phase, with the contract expected to be awarded by mid-2019.

Cross River Rail – Rail Integration and Systems (RIS) Alliance (QLD) UNDER PROCUREMENT – Two consortia have been shortlisted for the Alliance. These include:

River City Alliance, comprising Laing O’Rourke, GHD, Aurecon, SYSTRA Scott Lister; and Unity Alliance, comprising CPB Contractors, UGL Engineering, Jacobs Group and AECOM.

The consortia will now progress to the Alliance Development phase, with the contract scheduled for award in late-2018.

Melbourne Metro Tunnel (VIC)

UNDER PROCUREMENT - A draft Planning Scheme Amendment (PSA) for rail infrastructure and rail systems across Sunbury, Cranbourne and Pakenham was released for public comment in March 2018. Comments are due by 21 April 2018.

W estconnex - M4-M5 Link Rozelle Interchange (NSW) UNDER PROCUREMENT - Registrations of Interest (ROIs) for the Rozelle Interchange works package as part of WestConnex Stage 3 opened in February 2018. ROIs were due by 22 March.

Parklea Correctional Centre (NSW) UNDER PROCUREMENT - In February 2018, the NSW Government announced that three short-listed proponents would progress to the Request for Tender (RFT) stage. The proponents include:

Serco; G4S; and an MTC/Broadspectrum joint venture.

Central Interceptor (NZ) UNDER PROCUREMENT - In March 2018, Watercare announced the contractors who had been shortlisted in the selection process. They include:

CPB Contractors; Ghella-Abergeldie Harker Joint Venture; Pacific Networks, comprising McConnell Dowell, Fletcher Construction and Obayashi; and VINCI Joint Venture, comprising VINCI Construction Grands Projets, HEB Construction and Solentache Bachy.

Successful proponents will move to the Request for Proposal (RFP) stage of procurement, which is expected to commence in May 2018.

Level Crossing Removal - Southern Program Alliance (VIC)

RECENTLY CLOSED - The Environmental Effects Statement (EES) for the removal of level crossings in Edithvale and Bonbeach has been released for public comment. Comments are due by 2 May 2018.

Melbourne Metro - Tunnel and Stations Works package (VIC) RECENTLY CLOSED - In late February 2018 the Victorian Government released the contract it had signed with Cross Yarra Partnership (CYP) for the Tunnel and Stations Public Private Partnership (PPP). Construction of the tunnel and stations is expected to be completed in September 2024, with track and signal work to follow and be complete by the end of 2025.

West Gate Tunnel project (VIC)

RECENTLY CLOSED - The Planning Scheme Amendment (PSA) for the project was put before Victorian Parliament in February 2018, with the opposition parties revoking the amendment's approval the following month. The Victorian Government has reissued the PSA – allowing construction on the project to continue. back to top

5. Projects removed from the Pipeline

These projects reached contractual close 12 months ago, so are no longer considered part of the infrastructure pipeline.

Social and Affordable Housing Fund - Phase 1 (NSW)

M1 Pacific Motorway Widening – M1 Motorway – Tuggerah to Doyalson

These projects are no longer considered likely to occur in the next five years or have had proposals withdrawn, so are no longer part of the infrastructure pipeline.

Aurora Energy (TAS)

The re-elected Tasmanian Government campaigned on a 'no asset sales' policy. We cannot see a credible pathway to energy privatisations within five years – despite the continued fiscal pressures in the State.

T asNetworks (TAS) The re-elected Tasmanian Government campaigned on a 'no asset sales' policy. We cannot see a credible pathway to energy privatisations within five years – despite the continued fiscal pressures in the State. back to top The information contained in this e-mail and its attachments is intended only for the above-mentioned recipient/s. Unless otherwise stated, copyright of any material transmitted herein shall remain vested in Infrastructure Partnerships Australia Limited. If you receive this electronic mail in error, please delete it from your system immediately and notify the sender by electronic mail or by using any of the media noted above. Any opinion expressed in this email and its attachments is not represented as the opinion of Infrastructure Partnerships Australia Limited unless that is stated or apparent from its terms. We believe, but do not warrant, that this e-mail and its attachments are virus free, however you should take full responsibility for virus protection. Infrastructure Partnerships Australia Limited reserves the right to monitor all e-mail communications passing through our internal and external networks. This message was sent by Infrastructure Partnerships Australia. Suite 3.03 Level 3, 95 Pitt Street Sydney NSW 2000 Australia. This message was sent to you because you are currently subscribed to The Infrastructure Report - Members' Newsletter.

To remove yourself from this mailing list, please click unsubscribe