Half of Napier Port to be sold?

Up to 50 per cent of Napier Port could be sold to fund its expansion. Photo/ File

The Regional Council says selling nearly half of Napier Port is the best way to allow for expansion without increasing rates.

Council released four options for the future ownership of the Port yesterday, with its preferred option that it sells up to 49 per cent to the public.

Councillor Rick Barker said the port needed to expand, and the best way to do that without increasing rates is to sell part of it.

"It (council) could, if it wished to, fund it on its own resources, but this would result in a substantial increase in rates, in the order of 50 per cent."

Councillor Paul Bailey voted against the preferred options, saying all four options had positives and negatives.

"What I'm looking for in submissions and feedback is the public's take on the pros and cons."

He said he wanted the public to feel comfortable taking part in the consultation process no matter their view.

Chairman Rex Graham, said the issue around port ownership arose from the need to expand the port, which was a good problem to have.

"What we have is a booming economy. The world is demanding and wanting our produce and the only way we can get it to them is through that port."

MP for Napier, Stuart Nash, said he has always believed the port should remain fully owned by the council, however, he was going into the consultation process with an open mind.

He said he did not want to see his personal belief cause a rates increase for people in Hawke's Bay who could not afford it.

There have been some calls from the community for the final decision to be made by public referendum, rather than council.

Regional council chief executive James Palmer said the decision would go to referendum if 5 per cent of Hawke's Bay's voting population wanted one, however he felt the issue was too complex for a referendum.

"Referendums tend to lend themselves to highly contentious relatively simplistic issues where there's quite a binary choice," he said.

"This issue has a number of dimensions to it."

Former Labour candidate for Tukituki Anna Lorck, who has called for a referendum, said she is "happy" there is an opportunity for one.

"This decision is far bigger than nine councillor and I'm pleased to learn that the chief executive of HBRC has said if 5 per cent of the public want a referendum then the council will agree to hold one."

The four options released are: council retain full ownership and control, that up to 49 per cent is sold to the public, that up to 49 per cent is sold to an investment partner or that the port operations are leased to a private investor.

Public consultation will run for the next month.