Capital recycling plan good in theory, difficult in practice
The key issue is that most projects in the top two highest priority lists, adding up to over $A25 billion, are either road extensions and upgrades, or urban railways or busways. While worthwhile, these projects will not be suited for a capital recycling program until a comprehensive user pays system is in place. In fact, there are only two projects in those lists that would fit well into a capital recycling program, namely the Oakajee Port (A$5.4 billion) and the Darwin East Arm Port Expansion (A$336 million). This is well short of the revenue that may be raised by asset sales and so recycling of capital would not be very effective.
Capital recycling plan good in theory, difficult in practice The Conversation-6 hours ago
GL
GBG Price at posting:
5.4¢ Sentiment: None Disclosure: Not Held
