The State’s first Productivity Commission will identify ways to deliver more jobs and business opportunities, raise living standards and enhance services for all Western Australians.
The Productivity Commission will be created by merging key functions of Infrastructure WA (IWA) and the Economic Regulation Authority (ERA). In terms of the ERA, the focus of this work is on whether its inquiries function should be merged into a new Productivity Commission. There is no intention to change the ERA’s regulatory functions of the electricity, gas and rail industries through this process.
This change brings WA into line with other states, with New South Wales and South Australia establishing its commissions in 2018 and Queensland reinstating its commission in 2024.
New legislation will be required to establish the Productivity Commission of WA. To help inform this, the Premier’s Parliamentary Secretary David Scaife MLA will begin consultation with industry, peak bodies, unions and other public sector agencies on the commission’s final model and functions.
This process is being supported by a steering committee made up of senior executives from the Department of the Premier and Cabinet, Department of Treasury and Finance, and the Public Sector Commission
Legislation is expected to be introduced to Parliament in 2026.
More information on the progress of these reforms will be updated as required.
What will the new Productivity Commission do?
The Productivity Commission of WA will have a remit to provide advice and recommendations to the State Government that support continuous improvement in the performance of Western Australia’s private and public sectors.
How will the commission differ from what the ERA and IWA do?
IWA provides advice to Government on infrastructure matters. The ERA conducts inquiries on economic matters and regulates the electricity, gas and rail industries. The focus of this work is on the IWA functions and the ERA inquiries function.
The Productivity Commission of WA will identify ways to deliver more jobs and business opportunities, raise living standards and enhance services for all Western Australians.
The infrastructure planning functions of IWA and the inquiry capabilities of the ERA will all be maintained.
Will the commission be independent and what powers and responsibilities will the commission have?
New legislation will be introduced in the first half of 2026 to establish the Productivity Commission of WA and define its objectives, responsibilities and governance.
The Premier’s Parliamentary Secretary David Scaife MLA will lead a consultation process with industry, peak bodies, the public sector and unions on the final model and functions of the Productivity Commission.
When will the commission be established?
It is anticipated new legislation will be introduced into Parliament in the first half of 2026.
Will there be a public consultation period?
The Premier’s Parliamentary Secretary David Scaife MLA will lead a consultation process with industry, peak bodies, the public sector and unions on the final model and functions of the Productivity Commission.
Print this page
