CFMEU inquiry finds major Queensland projects cost 20% more due to BPIC
Commissioner Stuart Wood KC stopped the CFMEU inquiry early. A policy inflated Queensland projects by 20 per cent.
Commissioner Stuart Wood KC handed down his interim report this week. Stuart Wood KC completed more than 50 hearing days with over 80 witnesses.
Stuart Wood KC found extensive misconduct by the CFMEU. The evidence was urgent enough that he moved ahead of his original timeline.
A Queensland government policy called BPIC was introduced in 2018 and scrapped in January. It artificially increased construction costs by a conservative estimate of 20 per cent.
On major projects, the impact was huge. The Centenary Bridge cost blew out by $21 million and the Cross River Rail by $500 million, both caused solely by this policy.
The inquiry recommends Queensland adopt a comprehensive construction industry code and establish a new regulator. Wood also suggests the state use its $119 billion infrastructure pipeline as leverage.
Contractors who fail to comply risk losing government work.
- 50+
- Hearing days
- 80+
- Witnesses
- 20%
- Cost inflation
- $500 million
- Cross River Rail blowout
Why it mattersTaxpayers paid for these cost increases. Queensland's massive infrastructure spending could face similar inflation unless rules change.
AustraliaQueensland government projects and future construction costs directly affected; state policy reform recommended to protect public spending and prevent union-driven cost escalation.
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