Published Tuesday, 11 December, 2007 at 10:00 AM
Premier
The Honourable Anna Bligh
PPP likely for new Sunshine Coast Hospital
The private sector is likely to be offered the opportunity to invest in the new Sunshine Coast Hospital at Kawana, Premier Anna Bligh said today.
Ms Bligh said the hospital would be delivered as a Public Private Partnership (PPP) unless the business case clearly shows it doesn’t provide taxpayers value for money.
“I want the private sector to know that we are serious about fully considering a PPP,” she said.
“If the benefits and costings stack up and Cabinet determines a PPP will give us the best deal for taxpayers than we will pursue that option.
“The health industry is constantly changing as new technologies and new models of care are developed.
“There appears to be real potential for a PPP to deliver value for money from a whole-of-life perspective.
“But first we need to understand the risks associated with this project and determine which party is best able to manage those risks.”
Ms Bligh said the PPP model was only used to deliver public infrastructure when it was proven to provide clear advantages.
“Given the large and complex nature of a project such as the Sunshine Coast Hospital, Government’s investigations and analysis so far suggest that there may be significant benefits in utilising this model of delivery,” she said.
“We understand there is a very competitive market within Australia for quality consortia to fund, construct and maintain these types of long term infrastructure.
“We also understand that in order to attract the very best bidding consortia to Queensland we must give them a clear indication of Government’s intentions as early in the process as is possible.”
Ms Bligh said as one of the fastest growing regions in the state, the Sunshine Coast was experiencing record demand for health services.
“The new $940 million Sunshine Coast Hospital is part of the State Government’s commitment to meet this demand,” she said.
“Construction of the 650-bed hospital is scheduled to start in 2010.”
Ms Bligh said the PPP was being considered only for construction and maintenance of the new hospital.
“We are not talking about having the hospital run by the private sector,” she said.
“The hospital will be operated by Queensland Health, with Queensland Health staff, treating public patients.
“At this stage, we are investigating whether construction and maintenance could be delivered through a PPP.”
Ms Bligh said the business case was being conducted under the Queensland Government’s Value for Money Framework and would be completed by September 2008.
Expressions of interest will then be called by the end of next year.
Media contact: Minister’s Office 3234 1190
Ms Bligh said the hospital would be delivered as a Public Private Partnership (PPP) unless the business case clearly shows it doesn’t provide taxpayers value for money.
“I want the private sector to know that we are serious about fully considering a PPP,” she said.
“If the benefits and costings stack up and Cabinet determines a PPP will give us the best deal for taxpayers than we will pursue that option.
“The health industry is constantly changing as new technologies and new models of care are developed.
“There appears to be real potential for a PPP to deliver value for money from a whole-of-life perspective.
“But first we need to understand the risks associated with this project and determine which party is best able to manage those risks.”
Ms Bligh said the PPP model was only used to deliver public infrastructure when it was proven to provide clear advantages.
“Given the large and complex nature of a project such as the Sunshine Coast Hospital, Government’s investigations and analysis so far suggest that there may be significant benefits in utilising this model of delivery,” she said.
“We understand there is a very competitive market within Australia for quality consortia to fund, construct and maintain these types of long term infrastructure.
“We also understand that in order to attract the very best bidding consortia to Queensland we must give them a clear indication of Government’s intentions as early in the process as is possible.”
Ms Bligh said as one of the fastest growing regions in the state, the Sunshine Coast was experiencing record demand for health services.
“The new $940 million Sunshine Coast Hospital is part of the State Government’s commitment to meet this demand,” she said.
“Construction of the 650-bed hospital is scheduled to start in 2010.”
Ms Bligh said the PPP was being considered only for construction and maintenance of the new hospital.
“We are not talking about having the hospital run by the private sector,” she said.
“The hospital will be operated by Queensland Health, with Queensland Health staff, treating public patients.
“At this stage, we are investigating whether construction and maintenance could be delivered through a PPP.”
Ms Bligh said the business case was being conducted under the Queensland Government’s Value for Money Framework and would be completed by September 2008.
Expressions of interest will then be called by the end of next year.
Media contact: Minister’s Office 3234 1190