Infrastructure

Despite Australia’s sustained economic growth over the past two decades, Australia is still characterised by significant ageing and underdeveloped infrastructure. Investment in essential services such as hospitals, prisons, schools, roads and utilities is progressing, but slowly. There remains a lack of clear policy and leadership to address the significant backlog of infrastructure projects. These projects require immediate investment to ensure that Australia can support its population and grow its economy.

 Issues

In order to promote continued growth in the sector, the industry must overcome a number of significant hurdles, including:

  • greater consideration from state and federal governments regarding the role of private investment or ownership of public assets
  • government recognition and acceptance of investors’ increasing hesitance to disproportionately bear all the risk in large infrastructure projects
  • greater flexibility in industrial relations, to help the private sector achieve efficiency and productivity gains
  • a simpler bidding process, and reduced bid costs, for greenfield projects.

Questions that should be asked

With these issues in mind, participants should consider the following questions:

  • What is an effective funding model for these projects?
  • Is there sufficient industry knowledge to support the development of greenfield projects from concept to completion?
  • Are operational assets being appropriately managed?
  • What are the most appropriate mechanisms to further encourage institutional investment in infrastructure assets?

Our expertise

Our dedicated senior team brings a detailed understanding of all aspects of the infrastructure and public-private partnership (PPP) sector, including:

  • an in-depth understanding of issues affecting debt, equity and state governments in relation to privatisations, procurement and/or bidding for greenfield assets
  • significant expertise in working with debt and equity parties to optimise capital structures
  • operational and asset management capabilities
  • project procurement and financial modelling
  • asset evaluation for transactions (on the ‘buy’ and ‘sell’ sides)
  • advising on and mitigating contractual disputes
  • refinancing of infrastructure assets, and devising smarter ways to fund projects.

As leading independent advisers, free of conflicts, we bring:

  • deep relationships with financiers, governments and investors, both in Australia and overseas
  • a reputation for identifying and developing non-traditional approaches to maximise outcomes for our clients and stakeholders
  • comprehensive execution capabilities to handle all aspects of the proposed advisory engagement.
TOP