South Australian Treasurer Stephen Mullighan delivered the state’s 23-24 budget on 15 June 2023. Significant funding is directed to housing, health, and transport, with investment flagged for the Northern Water Project, which will be confirmed in the second half of 2024. The below summarises infrastructure allocated within the budget that may help shape your business strategy in the state.

Housing

Affordable and Social Housing

The budget will fund the delivery of 3,600 new homes over five years. $72 million is allocated to the 164 public homes, in addition to the 400 committed previously, and development of 700 new affordable homes will be supported through a partnership between Renewal SA, the Commonwealth government (Housing Australia) and community housing providers. Sites of the new affordable homes include Park Court on Greenhill Rd, Newton Boulevard, Playford Alive, Second and Third Street and Bowden. Renewal SA will establish a regional office to work with local governments to develop five new key worker housing developments throughout regional centres. $1.7 million is committed to expanding the Aspire homelessness program, while development of 111-129 Franklin Street will deliver 392 apartments within a minimum of 137 social and affordable housing dwellings. Over four years, $7.4 million of the budget will extend women’s crisis accommodation programs.

Land Release

Provision is made for the largest release of residential land in the state’s history with 25,000 blocks becoming available across the state.

Home Buyer Incentives

The annual caps have increased by $10,000 for HomeStarts government loans to assist buyers. Stamp duty will be abolished for first-home buyers on homes valued up to $650,000 and on vacant land up to $400,000, which is anticipated to assist 3,800 first-home buyers annually. Additionally, the First Home Owner Grant value cap will increase to $650,000 from $575,000.

A fast-tracked approval process will be available and HomeStart will provide a 2% home deposit loan for first-home buyers building a home.

Sources: SA Budget Overview, SA Budget Speech, Financial Review: Winners and Losers in the SA budget, Indaily: Tax implications of the latest state budget

Health

Hospital works and upgrades

In total the budget commits $2.3 billion to health sector funding. This includes $2.1 million to establish two new emergency department avoidance hubs in the western and northern suburbs. $100 million will contribute to funding the $320 million new Mount Barker Hospital project and $20 million over two years will be directed to upgrading the paediatric intensive care unit at the Women’s and Children’s Hospital. The entire major works at the Hospital are expected to receive $1.2 billion from this budget.

Response and Health Research Funding

With $20 million from the budget, four new ambulance stations will be delivered over the next three years at Norwood, Woodville, Golden Grove and Edwardstown in addition to redevelopments of Campbelltown, Mount Barker, Gawler and Victor Harbor stations, bringing the total project value to $70 million. $15 million over three years will fund the South Australia Cancer Genomics Laboratory, a part of the Australian Cancer Research Foundation Cancer Genomics Facility funded by the Commonwealth. The State Health Control Centre, funded with $31 million of the budget, will provide 24/7 whole-of-system oversight to support the coordination of critical health resources.

Across major and minor works the budget indicates a strong pipeline of work in the health sector.

Sources: SA Budget Overview, ABC: SA Budget Everything you need to know as Treasurer reveals deficit

Education

The budget provides $100 million in school upgrades. Key initiatives include capital works to address capacity pressures alongside compliance works, with $64 million of the budget. Key sites include Hackham West Children’s Centre, Plympton International College, Virginia Primary School and Preschool and Yahl Primary School. $25 million will deliver upgrades and repairs to over 50 metropolitan and regional schools. New gymnasiums at Brahma Lodge Primary School, Hillcrest Primary School, Ingle Farm East Primary School and The Pines School will be funded with $10 million of the budget.

In the tertiary sector, $9 million will be directed to equipment and infrastructure across TAFE SA, not-for-profit and industry training providers to bolster facilities and equipment.

Sources: SA Budget Overview, ABC: SA budget winners and losers

Transport

From this budget, $98 million will fund transport infrastructure including a $40 million upgrade to the Adelaide, Alexandrina, Wellington and Flaxley Roads intersection in Mount Barker.

Sources: SA Budget Overview, ABC: SA Budget Everything you need to know as Treasurer reveals deficit

Justice

Over four years, $348 million will fund delivery of a facility for Forensic Science SA and the SAPol Forensic Services Branch. Upgrades to prisoner accommodation and staff facilities at Port August Prison will be funded with $30 million from the budget. Additionally, $4.6 million will allow the fit out of a new Port Augusta Community Corrections Centre and $5 million will fund works to build a new SA Police Communications Centre to increase emergency response efficiency.

Sources: SA Budget Overview, ABC: SA budget winners and losers

Community

The Adelaide Aquatic Centre will be expanded with $55 million from the budget, while $23 million will upgrade the SA Aquatic and Leisure Centre at Oaklands Park.

Sources: SA Budget Overview

Space & Research Infrastructure

Establishment of a common-use facility for the space industry at Lot Fourteen will receive $33 million of the budget to expand the site to better support collaboration, production and testing of small satellites. Additionally, $25 million will be directed to upgrades and operations of six South Australian-based National Collaborative Research Infrastructure Strategy facilities that support sectors including agriculture, health and defence. Over two years, $5 million of the budget will contribute to establishing a BioCina end-to-end mRNA manufacturing facility. These budget items indicate a demand for specialist, fit-for-purpose facilities within the state.

Sources: SA Budget Overview, SA Budget Speech

AUKUS

Over four years $5.5 million of the budget will support the implementation of a new office at Osborne for the AUKUS submarine construction program.

Sources: SA Budget Overview, ABC: SA budget winners and losers

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