Technology is disrupting how infrastructure assets will be used
in the future.
Richard Fechner, GHD
Advisory Global Leader – Infrastructure, Investment &
Economics, was one of the panellists invited to speak on this
topic at the Infrastructure Investors Forum Australia 2017 in
“Investors are considering how new technologies will change the
demand for assets,” Richard says. “One of the issues we discussed
is the arrival of driverless cars and how they may provide
‘mobility as a service’. In this scenario, even though fewer people
will own cars outright, we could actually expect greater use of
According to Richard, some of the other key insights from the
- Few major privatisation deals coming up is driving interest in
infrastructure owned by corporates.
- Investors are considering riskier options, such as greenfield
projects, because of high competition for ‘core’
- There is a need for more focus on improving returns from assets
investors already own.
- Asset recycling programs in Australia and the UK show
increasing trend of governments building and ‘de-risking’ the
assets for later private investment.
- To sustain the governments’ willingness to privatise assets,
the Infrastructure industry needs to better explain how communities
benefit from private ownership.
- Policy unpredictability is making energy sector investments
more uncertain. However, advances in energy storage like Snowy 2.0
will transform the potential of renewable energy assets.