AAA calls for even more Budget road funding


AAA says the Federal Government needs to provide additional funding for new infrastructure projects

The Australian Automobile Association (AAA) says the Federal Government needs to provide additional funding for new infrastructure projects in the upcoming Budget.

The call comes despite the Governments input of $26.4 billion into road and rail infrastructure through its Nation Building Plan.

AAA Director of Research and Policy John Metcalfe says the upcoming Budget is a chance to create a long-term economic benefit for Australia through the upgrade of the nation’s roads.

"We [the AAA] believe there are real benefits for governments, the community and all road users by building better infrastructure," Metcalfe says.

Metcalfe says research has proved the best way to stimulate an economy is to build roads.

"Numerous studies, including one conducted by the Committee for Economic Development of Australia (CEDA) shows that a 1 percent increase in infrastructure spending can increase national economic output by between 0.17 and 0.39 percent which generates a higher return than other areas of economic investment," he says.

The AAA also highlighted the death toll of Australian roads, and says more investment in roads from the budget can curb this.

"We should never forget that more than four people die on Australian roads every day on average - that is a national tragedy that can be avoided and this Budget can certainly assist in that regards," Metcalfe says.

You can also follow our updates by liking us on Facebook