The Australian Local Government Association (ALGA) is urging the next Federal Government to establish a $900 million annual fund to strengthen local emergency management capacity.
With 434 of Australia’s 537 councils impacted by natural disasters in the past five years, ALGA says local governments are stretched thin despite being on the frontlines of disaster preparedness, response and recovery.
“Natural disasters currently cost Australia $38 billion annually and are forecast to reach $73 billion by 2060,” said ALGA President Matt Burnett.
“Councils – especially in regional areas – are not resourced to handle this scale of risk.”
Findings from the Independent Review of Commonwealth Disaster Funding back this claim.
The review revealed that 87 per cent of federal disaster spending goes toward recovery, not risk reduction, and that local governments often lack the capability and capacity to plan and respond effectively.
It recommends a shift to evidence-based, risk-focused investment strategies and calls for a systematic uplift in local government disaster management capability.
While the federal Disaster Ready Fund offers $200 million per year for mitigation, demand consistently outpaces supply, and major resilience projects often exceed available funding.
ALGA is pushing for a non-competitive, formula-based distribution model for the proposed $900 million, to ensure all councils receive support, regardless of size or location.
“Our national disaster approach must move from reactive to proactive,” Burnett said.
“Without investment in resilience, communities – and the infrastructure they rely on – will remain increasingly vulnerable.”
