National Partnerships
A central element of the new framework is National Partnership payments, which are a mechanism to:
- support the delivery of specified outputs or projects,
- to facilitate reforms; or
- to reward those jurisdictions that deliver on nationally significant reforms.
Existing payments for specific purposes and election commitments have become National Partnership project payments. They support national objectives or provide a financial contribution to the States to deliver specific projects. Investments from the Commonwealth's National Building Funds which are directed to State infrastructure projects are also treated as National Partnership payments.
In areas that are considered to be a national priority, for example implementing the seamless national economy, National Partnership facilitation payments are used to assist a State to lift standards of service delivery or to encourage the States to agree to implement ambitious reforms.
National Partnership reward payments are provided to the States which deliver reform progress. The reward payments are structured in a way that encourages achievement of ambitious performance benchmarks detailed in the National Partnership agreement. The achievement of these benchmarks will be assessed by the independent COAG Reform Council, to provide transparency and enhance accountability in the performance assessment process.
National Partnerships may include Implementation Plans which outline the specific performance benchmarks which may, when attained by a State, trigger a payment from the Commonwealth.


