Private Capital Expenditure Rises in Australia, Led by Renewable Energy Investments

Australia, Police

Article: Private capital expenditure in Australia experienced a 0.

December quarter of 2023, according to the latest figures released by the Australian Bureau of Statistics (ABS).

This rise, measured in the seasonally adjusted chain volume, indicates a 7.

The ABS Head of Business Statistics, Robert Ewing, stated that both the mining and non-mining sectors witnessed growth, with the former rising by 1.

Among the industries, the electricity, gas, water, and waste services sector saw the largest increase in investment, rising by an impressive 14.

This surge was primarily attributed to the increased investments in renewable energy infrastructure.

Additionally, new buildings and structures experienced a 1.

The rise in building and structure investments can be attributed to the increased spending on renewable energy infrastructure in the electricity, gas, water, and waste services industry, which surged by 17.

Furthermore, ongoing investments in data centers led to a significant rise in capital expenditure for the information media and telecommunications industry, increasing by 6.

Despite the flat growth in equipment and machinery capex, it remains at a high level.

In comparison to the December quarter of 2022, capital expenditure is up by 6.

The state analysis reveals that Queensland experienced the largest rise among the states and territories, with a 9.

December quarter.

However, South Australia witnessed a significant decline of 17.

In addition to the current figures, the release includes updated expectations for planned capital expenditure for the financial year.

Businesses have revised their expected capex spend upward by 4.

Moreover, the first estimate for planned capex for 2024-25 indicates a 12.

The predicted rise in planned capital investment suggests that businesses anticipate continued growth in new capital expenditure for the upcoming financial year.

The information media and telecommunications industry project a significant rise due to planned investments in new data centers.

Similarly, the electricity, gas, water, and waste services industry anticipate strong growth from planned investments in renewable energy infrastructure.

For more detailed industry and state analysis, as well as additional information on the statistical methodology, refer to the ABS report on New Capital Expenditure (cat no.

The ABS expresses gratitude to the businesses across Australia for providing the data used in this release.