Clean energy transition a top priority for productivity: PC

The Productivity Commission (PC) has identified 15 priority reform areas for further exploration under the five productivity inquiries commissioned by the government.

The five productivity inquiries were around creating a dynamic and resilient economy; building a skilled and adaptable workforce; harnessing data and digital technology; delivering quality care more efficiently; and investing in cheaper, cleaner energy and the net zero transformation.

The PC said it is now seeking input on the reform areas to inform the draft recommendations in its interim reports.

"Boosting productivity is the only sustainable way to improve Australians' living standards, but productivity growth has stagnated in the past decade. It's now at its lowest ebb in 60 years," PC chair Danielle Wood said.

"Productivity growth isn't about working harder. And it's not just about having more 'stuff'. It means making the most of what we have - the skills and experience of our workforce, new technologies, and our resources - so we can get more out of our economy."

The reform areas the PC is seeking input on include increasing business investment through reforms to corporate tax, getting clean energy infrastructure built faster by speeding up approvals, and promoting prevention in care industries through a framework to support government investment.

"The government asked us for practical, impactful reforms under each of the five pillars of their productivity agenda. We have now identified key areas under those pillars where reform is both achievable and likely to boost productivity," Wood said.

"The reform areas we're exploring are not recommendations. They are the starting point for the targeted research and consultation we are doing to ensure our recommendations are robust and implementable."

The reform areas were informed by responses to 'Australia's Productivity Pitch', where the PC collected over 500 ideas from across Australia on barriers and opportunities to improve productivity across the economy. The PC combined this input with consultation with experts and stakeholders and the PC's own research and expertise.

"We are grateful for the many ideas we received through the Productivity Pitch. We heard from everyone from teachers to business owners and healthcare workers - all with their own suggestions for helping Australia work smarter to boost productivity," Wood said.

"Now that we've used that input to refine our focus, we want to see the enthusiasm and engagement continue. Productivity powers our living standards and quality of life and everyone has a stake in seeing it grow."

Consultation on these reform areas will be open from May 19 through to June 6 on the PC website. The interim reports will be delivered over July and August.

The PC will then conduct further consultation to inform the final inquiry reports to be delivered to government in December.