Queensland’s housing shortage has been thrust into the spotlight again, this time with a major injection of state funding aimed at clearing the roadblocks for new development in Mackay and the Whitsundays.
The Crisafulli Government has confirmed that $41.66 million from its $2 billion Residential Activation Fund (RAF)will be channelled into eight critical infrastructure projects across the region. In total, the funding is expected to unlock 2,977 new homes, the biggest single pipeline boost for the area in more than a decade.
Premier David Crisafulli said the investment was designed to accelerate home building in areas that had been “ignored,” pointing to bottlenecks in basic infrastructure as the main barrier.
Where the money is going
The eight projects span Mackay, Marian, Mirani, Sarina and Cannonvale, with a focus on trunk infrastructure like water, sewer, stormwater and roads:
- Cannonvale: $9.7 million for a new sewer rising main, sewer gravity main, water main, and pump station.
- Proserpine: $5.65 million for 4.8 km of water mains to unlock greenfield land.
- Nabilla Meadows Estate, Marian: $8.01 million for a new pump station, culvert upgrades, and stormwater basin.
- Beaconsfield & Rural View: $7.58 million for the Norwood Parade/Reed Street road connection.
- Rural View: $6.55 million to upgrade Wallmans Road from rural to urban standard.
- West Mirani: $387,800 for sewage pump station upgrade designs.
- Sarina: $312,000 for a water main design to support growth.
- Riverbend Estate, Mirani: $3.4 million for roadworks, intersections, stormwater and sewer networks.
Together, these works will lay the groundwork for thousands of new homes to move from blueprint to build.
Local voices: councils and MPs weigh in
For local leaders, the announcement is as much about economic resilience as it is about housing supply.
Whitsunday MP Amanda Camm described the program as “supporting regional economic stability.”
“Housing is needed to attract and retain workers, and the Residential Activation Fund supports regional economic stability by ensuring workers have somewhere to live,” Ms Camm said.
Mackay MP Glen Kelly pointed to lifestyle opportunities in towns like Marian, Mirani and Sarina.
“This will open up the door for people who want a lifestyle away from the hustle and bustle of Mackay but still be close enough to continue working in the city,” he said.
Local mayors also stressed the importance of investing ahead of demand.
Whitsunday Mayor Ry Collins noted his region is the fastest growing local government area in regional Queensland.
“This funding ensures we can keep pace with growth and give more families the chance to call our region home,” he said. “Projects like the Cannon Valley Growth Corridor and Proserpine Urban Expansion will provide the critical water and sewer infrastructure that allows developers to bring new housing to market sooner.”
Mackay Mayor Greg Williamson highlighted the double benefit of easing congestion while future-proofing services.
“The Norwood Parade and Reed Street connection will make a real difference for the Northern Beaches, helping ease congestion and improve daily commutes for thousands of residents,” he said. “Upgrading Wallman’s Road and planning for future water and sewer infrastructure ensures we’re ready for the growth that’s coming.”
Why it matters for builders
For the building industry, the RAF represents a pipeline of projects that not only opens land supply but also creates more certainty for medium-term planning.
By bankrolling trunk infrastructure, the state effectively derisks the early stages of development, allowing builders and developers to focus on delivery rather than waiting on councils to catch up.
It also provides clarity for tradies and suppliers in regional Queensland, where inconsistent pipelines often make workforce planning difficult. With housing affordability and labour shortages running hand in hand, the ability to attract workers with stable housing supply will be critical.
Balancing ambition with delivery
The Crisafulli Government has promised one million new homes by 2044, with at least half of RAF funds earmarked for regional and remote communities.
But the success of the program will depend on execution: councils delivering infrastructure on time, developers following through on projects, and builders navigating labour and materials markets that remain stretched.
For now, the $41.66 million committed to Mackay and the Whitsundays represents more than just new homes, it signals a shift towards proactive investment in regional growth, something local leaders have long demanded.
As Mackay Mayor Greg Williamson put it: “This is a tremendous investment in the future of Marian, Mirani and Sarina, opening the door for families to enjoy a peaceful lifestyle while staying closely connected to Mackay’s economic opportunities.”
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