Consult Australia congratulates the Federal Government for embracing the use of value capture to help all Australians better benefit from investment in infrastructure and policy changes. It also welcomes their consultative approach to putting more detail around the use of value capture.
Chief Executive, Megan Motto, says there is a need to achieve a careful balance between sharing the benefits and not discouraging private development:
“It has become increasingly clear that the increasing demands for better infrastructure and clear limits on public funds need to be met with more sophisticated ways to consider and fund the development of our cities.”
“Value capture (also known as value sharing) involves recovering a portion of the value uplift created by a piece of physical infrastructure or policy change.”
“Value capture works to capitalise on the economic uplift from government decisions and maximize the benefits for local communities while avoiding any undue burden on the private sector or restriction of development.”
“Value capture supports the kinds of integrated planning and project delivery that enable precinct-wide outcomes and more services provided to local communities.”
“Funding mechanisms associated with each infrastructure project or policy change should be considered on their individual merits.”
Consult Australia has developed a Value Capture Test that must be met for any funding mechanism seeking to raise funds from a piece of infrastructure or policy change to be considered value capture.
The extensive work of the association on value capture can be found at: www.consultaustralia.com.au/Ho
Done right value capture is good for government, good for communities, and good for business.