POLICY DIRECTIONS David Bray, Economic and Policy Services Pty Ltd.

POLICY DIRECTIONS

David Bray, Economic and Policy Services Pty Ltd

Policy directions

Review of technical issues Public policy formulation Ways forward

Technical Issues

Supply chains, networks and globalisation accepted thinking

Mode choice - movement rather than mode perhaps there – for non-urban transport

Future growth in demand considerable growth anticipated

Providing adequate system capacity a challenge need for robustness relative cost of infrastructure and operations timing

Technical issues - continued

Economic growth Renewed emphasis

Productivity Operational efficiency

Safety Public views and government actions

Environment Firmly on the agenda Limited agreement on best ways forward

Technical issues - continued

Technical issues given less emphasis Capital financing Pricing Urban transport

The policy process

Sabatier (1999) “Theories of the Policy Process”

Some common themes for more comprehensive frameworks (multiple streams, punctuated equilibrium, advocacy coalition) Policy communities Policy windows Policy entrepreneurs

Also role for policy diffusion, funnel of causality, etc

Implications

We do not control the agenda Though we try to varying degrees to

influence it We are part of policy communities We need to have policy analysis

available To support policy communities For when it is needed

Two related issues – Ease of Change Different capacity for transport sub-

sectors to accommodate growth, ranging through: Aviation Road transport and logistics Rail transport Urban transport

In part related to the complexity of action

- and Rationale for Action

Can discern presented policies and proposals that are Demand led Supply led Vision or Aspirational – which can be

Principles based Outcome based

All have merits and risks

Policy Directions - Achievements Some big issues are in place

Labour aspects of micro-economic reform Concern for efficiency gains Role of rail given clearer prominence and

framework is in place In general, fixed assets and operations are

separated for all modes A productive tension Negative effect of protection

Safety also given new prominence

Future issues

Infrastructure Safety Environment Strategic planning Pricing Urban transport

Infrastructure

Providing capacity Anticipating demand Prioritising projects Scheduling implementation

Auslink Have we replaced one moral hazard with

another? Road infrastructure

How much road infrastructure? Sustaining road assets - how to increase

discipline?

Safety

How to improve walking-the-walk Limits to what can be done internally

The importance of demand led approaches Community buy-in and behaviour change Giving politicians the support they need

Environment

The awakening giant Different perspectives on solutions Need to keep research and policy

analysis broad-based and current Importance of public attitudes and

response

Strategic planning

International practice Germany, Greater Mekong Subregion, China

What does this mean for us – some needs Understand context Recognise drivers of change Understand the available policy instruments Commit to following through Clear thinking; coordination; innovation &

trialling Implications of planning in a market economy

Pricing

Progress in Germany In Australia

Has Phase I ended – in a stalemate? Future needs

Keep policy analysis current Look for short term opportunities,

eg fixed to variable pricing Potential role for insurance companies

Urban transport

The lumbering giant General concurrence on the vision Limited success to date Will need to consider the roles for

Demand led and planned outcome approaches

Persuasion, prices and regulation policy instruments

Thanks to

DOTARS, BTRE, Phil Potterton & other staff

and the speakersfor an excellent Colloquium