The Committee for Adelaide is calling for stronger leadership, smarter regulation and a renewed focus on innovation to unlock South Australia’s economic potential and close the productivity gap with the rest of the nation.

As part of our 2026 State Election Priorities, the Committee has outlined a series of recommendations to boost productivity, support innovation and strengthen Adelaide’s position as a hub for entrepreneurship and investment.

To strengthen the economy, the Committee is advocating for the following actions to be adopted by all sides of government in the lead up to and beyond the March election:

• Appoint a ‘Minister for Productivity and Regulatory Reform’ within Cabinet and establish a Productivity Taskforce that is led by the Minister and links government, business and academia to co-design local productivity boosting actions across the economy, drawing on advice from the South Australian Productivity Commission, with clear annual and 3-year measurable outcomes.
• Set a clear agenda for regulatory reform across the public sector, including putting in place clear delivery targets and KPIs for all government departments, aligned to the State Economic Statement and individual department strategic plans, with an emphasis on simplifying regulation, improving decision making and raising accountability and service standards.
• Utilise the talent that is already on our doorstep including maintaining South Australia’s regional migration status, continuing to attract and prioritise international graduates under the General Skills Migration program, accelerate skill recognition and provide career pathway support for young people and international talent.
• Develop an overarching R&D Strategy that outlines solutions to increasing R&D, sets an appropriate target for boosting R&D spend to be closer to the OCED average, aligns R&D spend to sectors where SA can lead and leverages established CRCs, the existing R&I Fund and investments by local universities to bolster research outcomes to benefit local industry and community.
• Establish a Growth Accelerator Program, aligned to the work of the Australian Institute of Machine Learning, including specialised grants, to support researchers, SMEs, start-ups and entrepreneurs to trial, adopt and embed digital and AI technologies and applications across industry to speed-up benefit realisation.
• Continue to advocate for and deliver the multi-user Northern Water Project to unlock the investment potential of South Australia and support existing & emerging high-growth industries.
• Continue to implement and invest in South Australia’s Green Iron and Steel Strategy.
• Develop a South Australian Natural Resource Processing Strategy to secure the State’s strategic industrial capability, provide supply chain resilience and ensure existing smelters are fit for the future and equipped to support growth in mineral processing and green iron production.

The 2025 Benchmarking Adelaide Report revealed that Adelaide’s economic output per head is 30% behind Australia’s average and with the city’s productivity gap sitting at 20%, larger than most other comparable cities.

While Adelaide excels in research and development (R&D) in some areas, it spends 25% less on R&D than American counterparts, and half as much as faster-growing European cities. This lack of investment in innovation is stifling Adelaide’s potential to attract global talent, commercialise ideas and drive economic growth for all South Australians to enjoy.

Adelaide’s share of jobs in typically higher-paying sectors, such as finance, legal services, IT and energy is rising. However, 3.5% more people in Adelaide are not in education, employment or training compared to Australia as a whole, leading to an increase in disengagement and workforce underutilisation.

“Adelaide has the talent, the research institutions and the business capability to lead the nation in productivity growth, but we need a more coordinated and ambitious approach. By bringing together government, business and academia under a clear productivity agenda, we can create a stronger, smarter economy that works for all South Australians,” said Committee for Adelaide Chair, Raymond Spencer AM.

“While South Australia is enjoying some broad economic momentum, largely driven by cyclical industries and growth in key sectors including mining, agriculture and healthcare, not all South Australians are benefiting,” said Committee for Adelaide Chief Executive, Sam Dighton.

“Productivity growth is one of the main drivers of long-term improvements in living standards and wages. The more goods and services our state can produce, within existing inputs such as labour, capital and raw materials, the greater economic prosperity for the whole community. Boosting productivity is not about working harder, it’s about working smarter, faster and more effectively.”

“By investing in innovation, research, AI and digital capability, and by aligning our regulatory settings with our growth ambitions, South Australia can become a destination of choice for global talent and capital.”

“Now is the time for bold leadership across and smart collaboration across government and industry to position South Australia at the forefront of global economic change,” Mr Dighton said.

Click here for the Committee for Adelaide’s 2026 State Election Priorities.

Click here for the 2025 Benchmarking Adelaide Report.