New Victorian Premier Ben Carroll has pledged to establish a royal commission into alleged corruption in the construction sector, including on Big Build projects, as his first action in office. The move could bolster Labor's standing at the upcoming state election, according to an integrity expert.
Expert says commission sends important signal
William Partlett, an associate professor of law and fellow at the Centre for Public Integrity, said the commission would be an 'important signal' to voters that the government is acting on corruption. He noted that Labor's proactive stance could help its electoral prospects.
Carroll, sworn in on Tuesday, said the commission's terms of reference would be 'exhaustive' and cover top-tier companies, subcontractors, businesses, and unions. He also announced a special prosecutor would work alongside the commission, and the Independent Broad-based Anti-corruption Commission would receive enhanced follow-the-money powers.
Background of corruption allegations
Carroll's predecessor, Jacinta Allan, had resisted calls for a royal commission into allegations of organised crime and bikie gang infiltration of major infrastructure projects, including the Big Build. Partlett suggested the failure to call the commission may have contributed to Allan's downfall.
The Big Build program has allocated about $109bn in public funds to over 180 projects since 2015, including the Metro Tunnel, level crossing removals, and the Suburban Rail Loop. Many projects have faced cost blowouts, which Allan attributed to inflation, supply chain disruptions, and rising labour costs. However, a report by Geoffrey Watson SC for the Centre for Public Integrity found that the 'flood of government money' made the Big Build 'ripe for corruption,' including allegations of job-selling by corrupt union organisers and collaboration with outlaw motorcycle gangs.
Commission's potential impact on election
Partlett said the commission should have broad terms of reference and begin hearings as soon as possible, potentially before the November state election. He argued that Labor's early action allows it to set the agenda and avoid a 'demonisation of unions,' instead conducting a responsible inquiry into the construction sector.
