The Productivity Commission is now inviting feedback from industry stakeholders as part of the second phase of its ongoing inquiries into the five pillars of productivity.
In 2024, the Productivity Commission was tasked by the Albanese Government with identifying ways to materially boost Australia’s productivity, economic efficiency and raise living standards. The Commission established inquiries into each of the five pillars of the Government’s productivity agenda:
- Creating a dynamic and resilient economy
- Building a skilled and adaptable workforce
- Harnessing data and digital technology
- Delivering quality care more efficiently
- Investing in cheaper, cleaner energy and the net zero transformation
To help inform this consultation period and shape their recommendations, the Commission have identified 15 priority reform areas within the pillars.
Most relevant for infrastructure players is the inquiry into the net zero transformation. The Commission have identified the need for reform in energy infrastructure approval processes, to support investment in new infrastructure to meet climate targets and ensure reliable supply. They are specifically seeking feedback on the effectiveness of current arrangements for major energy infrastructure projects and how coordination and delivery might be improved across state and federal processes.
The Commission has highlighted a range of challenges currently facing infrastructure proponents, including inconsistent planning and approval processes across states and territories and insufficient community support for new energy infrastructure projects.
In addition, the Commission is inviting comment from the industrial, electricity and transport sectors to identify misalignments, gaps or any duplications in current emissions-reduction policies. The Commission have also asked for comment on improving the resilience to climate change for Australia’s housing stock.
Consultation on the reform areas for energy infrastructure is open via online questionnaire until Friday 6 June.
The Productivity Commission will deliver their interim report in July and August, with a final report to the Government delivered in December 2025.
We will continue to monitor the consultation process for the development of reform policies in the net zero transformation. For assistance relating to how these reforms may impact infrastructure projects, planning or approvals, please contact Chris Mitchell and Larissa Buriak.
