The Sydney Delta outbreak and two-week construction ban will add an estimated $ 500 million to the cost of the state’s major infrastructure projects, with the NSW Minister of Transport saying COVID restrictions could also have an impact impact on the timelines of some megaprojects.
As Sydney’s construction industry prepares to return to full capacity from Monday, Treasurer Dominic Perrottet has revealed that the state has estimated that the Delta outbreak will add hundreds of millions to major construction in the United States. State.
He said the Delta lockdown caused “significant disruption” to the state’s $ 108 billion infrastructure pipeline, which would inevitably impact project costs.
“Our early estimates are that it could cost the state around $ 500 million,” Perrottet said.
“NSW Treasury is working with clusters across government to determine an accurate project cost estimate but, given the number of projects, this is obviously going to be important.”
Sydney’s construction industry was frozen for two weeks in late July as the city struggled to contain the rapid spread of the COVID-19 Delta strain. It has since operated at 50% capacity, with those restrictions due to be lifted on Monday.
Transport Minister Andrew Constance said that while the time lost on the 2021 lockdown and construction restrictions could be made up on some of the state’s flagship infrastructure projects, timelines for others could be affected.
“In a lot of cases there are ways to catch up, but we are working in a global environment so we are going to see some disruptions of some things, no doubt of that due to the way the chains go. ‘international sourcing,’ said Constance. .
Major construction work is still underway on the massive government rail subway projects in Sydney’s west and south-west, while road headers also continue to rotate under Sydney’s interior on the WestConnex highway, state signature.