Good progress on capital works program

ACT Treasurer, Katy Gallagher MLA, today released the latest report on capital works in the Territory, noting that the Government was making good progress in the delivery of its 2009-10 program.

The Capital Works Program September 2009 Quarterly Progress Report shows the Government delivered $68 million in the first quarter of 2009-10, more than double the capital expenditure in the same quarter in previous years.

“The capital delivery performance for the quarter is pleasing and demonstrates the Government’s track record of responsible financial management and a capacity to deliver results,” Ms Gallagher said.

“Through our 2009-10 Budget we committed to the largest capital works program on record with revised funds of $781 million,” she said.

“The Government has successfully delivered $68 million during the September quarter which is generally the period during which preliminary planning, consultation, procurement and tendering activities are undertaken for the New Works program.

“This figure is more than double the expenditure recorded during the same quarter last year.

“This result is encouraging, recognising that most capital works expenditure occurs in the second half of the financial year, particularly for new works.”

The Treasurer said the report outlined a number of significant milestones achieved during the September quarter in the areas of affordable and social housing, the land release program, roads and path infrastructure, education, improved recreational opportunities, the arts and health.

Some of the key achievements include:

1. the opening of the Enhanced Operating Theatre Complex at the Canberra Hospital;
2. completion of the Tharwa Drive Upgrade;
3. commencement of Stage 2 of the Gungahlin Drive Extension;
4. the opening of the Belconnen Arts Centre;
5. the preparation of the final sketch plans for the new Kambah school, Harrison High School and the new Belconnen Police Station; and
6. completion of the first project of the Building the Education Revolution program at the Turner School.

“I’m also pleased with the rollout of the Local Initiatives Package. As at 30 September 2009, the Government had delivered $12.6 million or 50 percent of the two year commitment,” Ms Gallagher said.

“The Stormwater Augmentation Program and the CIT’s Facilities and Amenities Upgrades are just some of the projects completed through this package.
 
“The Government has also implemented a number of reforms aimed at improving capital works delivery including enhanced communication with industry, improved reporting and reforms to procurement processes and systems. These results indicate that progress is being made.

“There have been some calls to spread out our planned work over the next two years which would create a buffer if the Federal Government was to wind back some of its investment.

“We are keeping a close watch on our capital program and following discussions with industry, we are looking at the possibility of reprofiling some of the planned works to align with industry capacity,” Ms Gallagher said.

A copy of the Report can be found under ‘Publications’ on the Treasury website: www.treasury.act.gov.au/about/publications.shtml

13 January 2010