Monday November 28, 2011
 
Road construction activity to fall sharply

Road construction – which has long been the largest infrastructure sector in Australia – is forecast to decline sharply after 2011/12, according to leading industry analyst and economic forecaster BIS Shrapnel. In turn, the weak roads outlook will be a drag on Australia’s booming engineering construction sector, constraining overall growth in the market through to the middle of the decade.
 
According to BIS Shrapnel’s recently released report, Road Construction in Australia 2011 – 2026, total road construction activity across Australia rebounded 11 per cent in real terms through 2010/11 to $16 billion. While activity is expected to remain near this level through 2011/12, the report forecasts a 20 per cent decline in road construction activity through the next three years to 2014/15.

Contact: Adrian Hart