Keith Pitt (Hinkler, National Party, Minister for Resources, Water and Northern Australia) Share this | Hansard source

The Northern Australia Infrastructure Facility is a key element of the government's plan to unlock the enormous economic potential of northern Australia. I table a correction to the explanatory memorandum. The NAIF was established to provide concessional finance to infrastructure projects for the benefit of northern Australia. It encourages and complements private sector investment in the region, helping build confidence in northern Australia as an attractive place to live, work, invest and do business. The NAIF has already made investment decisions worth $2.8 billion, supporting job creation and economic development throughout the COVID-19 pandemic. This track record of investment puts the NAIF in a great position to continue supporting northern Australia's economic development.

The Northern Australia Infrastructure Facility Amendment (Extension and Other Measures) Bill 2021 extends the active investment period of the NAIF. It also delivers reforms that will enhance its effectiveness and impact and that will assist with the economic recovery. The bill contains measures to accelerate investment decision-making and lending. These measures will make it easier and faster for eligible projects to access NAIF funds and get on with creating jobs and developing the north. In future, the NAIF will be able to lend directly to proponents in certain circumstances. The states and territories have been and will continue to be critical partners for the NAIF; however, the option of direct lending will enable the NAIF to reduce the administrative burden on those jurisdictions. The NAIF will be able to invest in on-lending partnerships. These will deliver NAIF finance to smaller projects with the assistance of a partner experienced in working with smaller proponents to access financial support. Finally, the bill extends the scope and flexibility of NAIF investment to ensure projects get the kind of tailored, innovative financial assistance they need to succeed. The correction to the bill's explanatory memorandum clarifies that the NAIF can provide this financial assistance in many forms, including equity investments to corporations.

This bill represents the first step in implementing the government's reforms to the NAIF. As soon as possible, a new investment mandate for the NAIF will be tabled. Together the bill and the investment mandate provide the operating framework for the NAIF, under which it can begin to deliver on these reforms.

In summing up, this bill transforms the NAIF into a more proactive investor for the benefit of northern Australia and the nation. I thank members for their contributions to the debate on the bill, and I commend the bill to the House.

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