A former senior member of the Treasury says Australia may miss the boat to the ‘Asian Century’ if it doesn’t start building on a big scale.

Former Treasury secretary Ken Henry says Australia must improve its infrastructure, as he is concerned about the nation’s port, road and rail links.

Mr Henry says the ability of services and people to move with ease between Australia and Asia needs to be improved as well.

In an interview with News Corp media outlets, Dr Henry appeared to champion the same cause as the Federal Government, saying big infrastructure spends bring jobs and build productivity.

“We do not have the infrastructure requirements for an economy and a society that is well connected with Asia,” he told The Australian.

“There is enormous potential in the Asian century and we simply don't have the infrastructure assets, the infrastructure services, to ensure that in the commercial space – but also the social space – we make the most of those connections,” he said.

Dr Henry, chairman of the SMART infrastructure group at the University of Wollongong says the benefit of hindsight shows the mass of exports slated to travel through the Great Barrier Reef could have been avoided.

“I don't think the question has ever been asked in the right places. And really these questions should have been asked 20 years ago, or even 10 years ago would have been fine,” he said.

“Maybe someone should have said; ‘Why don't we explore the possibilities west and north out through the Port of Darwin?’”

“And think about what that would do for the Northern Territory,” he said.

Dr Henry has pointed to the British government practice of ‘shadow tolling’ for infrastructure funds. The shadow system sees governments pay per driver using a road, to the private company that operates a road built or maintained using private finances.