A Labor-dominated parliamentary committee has questioned whether the state government's contribution to the Oakajee port project was the best value for money for taxpayers.
The Public Accounts Committee report was table in parliament today.
The Committee, chaired by Balcatta MLA John Kobelke, examined Western Australia's infrastructure planning mechanism, the Strategic Asset Management Framework (SAMF).
It also examined funding options available to government.
The key projects it considered including the Oakajee port project, Perth Police complex, Perth City Link, Ord-East Kimberley Expansion Project and the New Perth-Bunbury Highway.
The inquiry assessed the projects against best-practice asset management, planning and assessment practices.
The committee made 26 finding and 10 recommendations.
In relation to Oakajee the committee said, "The decision to fund the Common Use Infrastructure of the Oakajee Port project was made without a cost-benefit analysis,"
"Therefore, at the time the decision was made, it was not clear whether this arrangement represented the best value for money for the state."
It made three specific recommendations in relation to the project stating that the State Development Agreement for the Port and Rail project be made public.
It also recommended the Minister for State Development publish the difference between the private and public iterations of Oakajee Port Common Use Infrastructure, together with the needs analysis underpinning the decision to provide public funds.
The committee also wants the Minister to publish details of any economic evaluation undertaken as to the benefit derived from the commitment of public funds for the Oakajee Port Common Use Infrastructure project.
"The current government claims that the reason for public funding is to make the port a multi-user, multi-function facility," the report said.
"It is not clear that there is sufficient demand for on-shore value-adding and, therefore, the need for the multi-function Common Use Infrastructure at Oakajee Port.
"If the industry demand does not eventuate, considerable public money will have been expended on a project that had not been supported by rigorous analysis of need."
