Enticing superannuation funds to invest in infrastructure projects through tax incentives could be one way to encourage much-needed funds to the sector, according to the Housing Industry Association (HIA).
HIA chief executive Graham Wolfe said the federal government needed to play a greater role in helping to deliver physical and social infrastructure in Australia.
“More and more, the states and territories are expected to allocate funds to build new infrastructure and to replace and augment existing infrastructure. Federal government assistance is long overdue,” he said.
Ideas to encourage superannuation funds to invest in infrastructure include the creation of an Infrastructure Bank, as well as the possibility of residential infrastructure bonds and tax increment funding — both of which are working successfully overseas.
