Readers of Australia’s metropolitan newspapers must be wondering when the shroud covering value capture will be lifted and the mystery behind this magic-pudding funding method will finally be revealed by federal and state governments. Few ideas have received as much publicity and public endorsement over the past few months, yet remained so vague and misunderstood as value capture, an increasing popular overseas infrastructure and urban regeneration funding method.
From Prime Minister Malcolm Turnbull, to Major Projects Minister Paul Fletcher, to NSW Premier Mike Baird, value capture has been held up as the last best hope for funding our utopian city-building aspirations. Former tennis ace and now Member of Parliament John Alexander is leading a federal government inquiry into value capture. Alexander believes it can help connect capital cities and regional centres by partially funding a high speed rail network along Australia’s east coast. High speed rail operators from China and Japan and several private consortiums have recently approached federal and state transport ministers with similar proposals.