Cost Control Framework

The Cost Control Framework (the Framework) applies to all projects and programs registered under the Infrastructure Investor Assurance Framework (IIAF), excluding State Owned Corporation projects subject to the IIAF, unsolicited proposals and grants programs. 

The Framework sets the requirements for:

• transparency of cost and risk at both the project and portfolio level to ensure that Cabinet has a clear picture of fiscal risks
• preparing cost plans to inform investment decisions to ensure that decision makers are provided with consistent, transparent information on the potential cost and risks
• calculating and managing risk exposure and contingency to ensure consistency and a level of robustness appropriate to the risk level of each project
• managing agency level contingency (if applicable) to balance central control with agencies’ ability to manage risk across their portfolios.

The Framework was updated in March 2025 and now requires:

• increased transparency of contingency provisions within project costs
• stricter controls on the application and use of contingency throughout the project lifecycle, with focus on High-Risk High-Profile projects to facilitate on-time, on-budget project delivery
• biannual reports to Cabinet on the health of their capital portfolio and budget risks for nominated agencies
• additional reporting on risk exposure, particularly for Tier 1 projects.

View the Cost Control Framework.