Foreword

Highways and major arterial roads are arguably the most critical transport link between major population centres. They are the State’s biggest asset with a replacement value of around $69 billion.

Something so important and valuable must be managed well.

The Roads and Traffic Authority (RTA) is responsible for maintaining and developing this critical public asset, for which it receives an annual budget allocation of more than $2 billion.

This report examines the condition of the State Road network, the maintenance program the RTA currently has in place and the plans it has to maintain it in the long term.

Road users and taxpayers need assurance that roads are kept in an appropriate condition at the lowest possible lifetime cost.

Roads are difficult assets to manage in that they may be rebuilt but are rarely ‘retired’. Their traffic and load demands are also often above their original design parameters. Therefore they present a special challenge to asset managers in achieving the right balance between maintenance and renewal while achieving satisfactory service levels well into the future.

This report builds on our work over the last few years in asset management. I believe it will encourage greater transparency regarding the condition of the road network and contribute to debate regarding the appropriate balance between spending on new roads and maintaining existing routes.

Bob Sendt

Auditor-General

August 2006