I don't entirely agree with this sentiment, personally. Regional areas by definition do not have large populations. There is be work to be done in the regions, and regional employment can and should be increased, but building more infrastructure to accommodate more people would be very expensive per person.
The real solution in my mind is more homes closer to existing services.
We are pretty allergic to densification in Australia, but we desperately need it. Seems to work fantastically for many European cities.
The car has lead to ridiculous urban sprawl in all major Australian cities, and we need to densify so public transport becomes more affordable to expand.
That and ending housing being an investment vehicle.