How the South Australian Budget will impact the roads and infrastructure sectors

The South Australian Government has handed down its 2025/26 State Budget, which outlines $27.3 billion in funding over four years for priority infrastructure projects, with a number to be delivered in partnership with the Federal Government.

The budget provisions for the $15.4 billion North-South Corridor as well as the $3.2 billion new Women’s and Children’s Hospital.

Several new road infrastructure initiatives in this budget are to be delivered in partnership with the Federal Government.

These include the High Productivity Vehicle Network Stage One. The South Australian Government will contribute $125 million, and the Federal Government $531 million.

The Curtis Road Level Crossing Removal will reduce congestion and road and rail conflicts.

The South Australian Government will contribute $125 million with the Federal Government committing $125 million.

The Main South Road upgrade between Myponga and Yankalilla will benefit from $40 million from the South Australian Government and $40 million from the Federal Government.

This is in addition to several existing major projects due for completion over the forward estimates.

$601 million for the Princes Highway Corridor, $495.9 million for the Flinders Medical Centre Upgrade and Expansion, $400 million for the Marion Road Upgrade – from Anzac Highway to Cross Road and $365.6 million for the New Mount Barker Hospital.

As well as $350 million for the South Eastern Freeway Upgrade, $330 million for the Eyre Peninsula Desalination Plant, $185.9 million for the New Technical Colleges and $133.8 million for the new Ambulance Headquarters.

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Road safety is also a large focus for the 2025/26 budget, which outlines $110.6 million in funding for a road safety package, bringing the total investment in road safety since the 2023-24 Budget to $456.7 million.

A $9.7 million investment over four years will go towards the ongoing operation and fit-out of up to 20 police vehicles with a mobile automated number plate recognition system. This will increase South Australian Police capabilities in road safety, traffic policing and other investigative requirements.

$46.8 million has been allocated for the purchase, implementation and ongoing operation and maintenance of additional road safety cameras over the next four years. This includes mobile phone detection cameras, red light speed cameras and a point-to-point camera at high-risk locations.

Additional road safety maintenance works for regional and metropolitan roads such as road resurfacing, and maintenance of electrical assets, including traffic signals will be completed with a $20 million contribution over two years.

$7.5 million in funding will be distributed over three years for regional road safety infrastructure upgrades, including audio tactile line marking, safety barriers and rural junction activated warning system signage.

As well as $4.5 million over three years to further engage the community and help change unsafe behaviours on the road.

Industry response

Cement Concrete & Aggregates Australia (CCAA) welcomed the budget, “highlighting its continued investment in housing, schools, health, and renewable energy infrastructure.”

Michael Kilgariff, Chief Executive Officer of CCAA commended the South Australian Government on the budget.

“We commend the government’s commitment to long-term economic development and liveability, but the affordability and timely delivery of these projects’ hinges

on securing a reliable supply of construction materials,” said Kilgariff.

For more information, visit: www.premier.sa.gov.au/