Territory Stories

Budget 2013/14 Northern Territory Economy



Budget 2013/14 Northern Territory Economy

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Tabled paper 295


Tabled Papers for 12th Assembly 2012 - 2016; Tabled Papers; ParliamentNT




Tabled by David Tollner


Made available by the Legislative Assembly of the Northern Territory under Standing Order 240. Where copyright subsists with a third party it remains with the original owner and permission may be required to reuse the material.




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140 Construction 2013-14 Budget NonResidential Building Historically, public sector expenditure has been a substantial contributor to nonresidential building, accounting for about 40percent of total nonresidential building over the past decade, and has included investment in educational facilities, hospitals and healthcare centres, police stations and correctional facilities. The two largest drivers of nonresidential building going forward are the new Darwin Correctional Precinct and the Ichthys workers accommodation village, which are both private projects. Due to the large value of both developments, as well as a reduction in public sector activity as the Territory Governments capital works program is wound back from historically high levels, it is expected that public sector nonresidential building will account for a lower proportion of total nonresidential activity than has been observed over the past decade (Chart 11.2). Several large projects, including the expansion of Casuarina Square and the proposed new Palmerston Gateway shopping centre, are also currently in the advanced stages of the planning and approvals process, however these have not specifically been included in the forecasts. In late 2011, construction of the new Darwin Correctional Precinct commenced. Located at Holtze, approximately 30 kilometres south of Darwin, the new precinct will include: a 1000bed correctional centre; a 30bed secure Mental Health and Behavioural Management Facility; and a 48bed Supported Accommodation and Program Centre for communitybased offenders. Construction activity associated with the Darwin Correctional Precinct is expected to reach its peak level during 201213 and be completed by mid2014, when the existing prison at Berrimah is scheduled to be decommissioned. The contracted capital cost element of the project is $495million and will contribute to nonresidential building activity during 201112, 201213 and 201314, with the majority of work expected to occur in 201213 and 201314. The ABS accounts for the Darwin Correctional Precinct as private sector activity because it is being delivered under a public private partnership, with the private sector responsible for financing the construction. The Australian Agricultural Company has commenced construction of a new meat processing facility in Livingstone Valley, about 50 kilometres south of Darwin on the Stuart Highway. The facility is expected to process more than 1000 head of cattle per day at full capacity and will produce beef products and hides for export to the United States, Asia and Europe. Construction of the facility is expected to be completed by late 2013 and cost $85million. The project will contribute to nonresidential construction in 201213 and 201314. Darwin Correctional Precinct Livingstone Abattoir