An important temperature check of investor sentiment towards the Australian infrastructure market 10 min read
Allens and Infrastructure Partnerships Australia are pleased to jointly present the 2024 edition of the Australian Infrastructure Investment Monitor.
The 2024 Australian Infrastructure Investment Monitor marks the ninth edition of this research and remains the most comprehensive sector-wide analysis of the trends, issues and opportunities facing current and prospective investors in Australian infrastructure. This year’s report provides an important temperature check of investor sentiment towards the Australian infrastructure market against a backdrop of economic and fiscal constraints, heightened international uncertainty, and shifting asset opportunities.
Now more than ever, understanding investors’ priorities and perspectives is essential to leverage private sector expertise, attract and retain capital in the market, and deliver a sustainable infrastructure pipeline.
Key findings
- 90 per cent of those surveyed are highly likely to invest or continue to invest over the next three years in the Australian infrastructure market.
- 68 per cent believe Australia will likely provide sufficient infrastructure investment opportunities for their needs over the next three years, up 10 percentage points on last year.
- Energy asset classes take out the top three spots for preferred infrastructure assets to invest in.
- Grid storage and firming takes out the top spot (72 per cent), followed by transmission and distribution (69 per cent).
- Preference to invest in renewable energy generation has fallen 14 percentage points from last year, dropping from first to third place (62 per cent).
- Investor preference for social infrastructure (excluding social and affordable housing) has fallen over the past three years, while interest in digital infrastructure remains steady.
- The appetite for private sector investment in transport continues to stagnate, with interest in roads (45 per cent) almost halving since its peak in 2018 (85 per cent).
- Having an adequate transmission network, adequate policy and regulatory frameworks, and global demand are the leading challenges to delivering Australia’s energy transition.