Global Construction Costs Under Pressure into 2023
The Covid-19 pandemic and the war in Ukraine mean global pressures on…
5 August 2022
Economic forecasting firm BIS Oxford Economics released its report on Road Maintenance in Australia 2023-2037 for the EOFY. In the report, the economic giant predicts that despite the after-effects of Covid-19, the dollar value of road maintenance will remain elevated.
Throughout the country, it is estimated that the total value of work done on Australian roads will equate to $8.6 billion per year.
Road maintenance levels will be supported by an extension of the Commonwealth Local Roads and Community Infrastructure Program (LRCI Program), to run through until 2025.
Due to greater road use, the age of our road networks, the coming expansion in the overall network, and higher levels of repair, this sector may well see further investment from the government. Maintenance, however, is less popular and less attractive than new construction projects.
The most significant growth in percentage will come from maintenance of private toll roads. BIS expects the dollar value of work done here to average $365 million per year, which is 22% higher compared with the previous five-year average.