Stuart Nash: Challenging 2015 awaits us all

Napier MP Stuart Nash.

This year - 2015 - will be a year of challenges and opportunities for Napier and Hawke's Bay. This time next year, the amalgamation debacle will be done and dusted. Personally, I think the whole process has been an absolute shambles and the Local Government Commission needs to take a good hard look at how it manages amalgamation proposals in other regions.

Economic development, however, is where I see huge opportunities for the city and the region in 2015. The opening of the "Business Hub" in Ahuriri, where several of the region's economic development agencies and staff will be located - including from Napier, Hastings and the HB regional councils - is a wonderful initiative but not before time. I have been saying for a few years those responsible for our economic development and growth need to be sharing stories of their plans, triumphs and challenges.

Business Hawke's Bay is working on some amazing initiatives, which, if they come off will be a game-changer in terms of jobs for the region. This organisation has always had my full support as it has an important role in driving innovation and opportunity across the region.

The growth and expansion of the Maori economy will continue to play a significant role in the region's economic health and well-being. Mana Ahuriri will receive their settlement from the Crown this year, and the opportunities that exist around the development of their investments will benefit Maori and non-Maori alike. In fact, by the end of 2015, Ngati Kahungunu will be the largest organisation in the region in terms of total assets and investments under collective management.

It appears the Ruataniwha Water Storage scheme is struggling to get the support from farmers it needs to go ahead. Although I am not against this scheme in principle, I refuse to back a project of this scale that is not grounded in a sound economic base. The "build-it-and-they-will-come" approach to major infrastructural development is a mid-20th century philosophy that has no place in the 21st century. The 99.99 per cent of Hawke's Bay ratepayers who will not directly benefit from the irrigation project should not have to carry the financial or environmental risk for the 120 or so landowners who are the major beneficiaries.

Until the regional council proves it has the economics sorted out and enough landowners signed up to ensure economic viability without huge ratepayer subsidisation (either through the HBRC carrying more debt, or levying higher rates, or further sell-down of regional assets), I will continue to oppose the scheme.

As for fracking; anything that puts the pristine water that flows from our aquifers at risk, or has the potential to erode or damage the region's growing national and international competitive advantage around great wine and food, will never get my support. I suspect, however, that the continued slide in the price of oil will put several exploration projects on hold for the meantime.

The continued fall in the global price of oil will also have other economic benefits; not least of which will be more money in the back pockets of good hard-working Kiwis as it costs significantly less to fill the family wagon, therefore more money to spend on other goods and services in the economy.

Underlying all the risks, opportunities and investments must be economic diversification. The current erosion of dairy prices just reinforces that Hawke's Bay needs to have a fully diversified economy that is not reliant on variables outside of our control (commodity prices, exchange rates and the weather).

There are several important campaigns, issues and areas that my team and I will be advocating for when appropriate and leading when necessary (such as getting the Napier-Gisborne rail line up and running, amalgamation, police numbers and strategy, the level of healthcare delivery in Napier, leasehold land issues, fish stocks in Hawke's Bay), however, underpinning everything we do will be sustainable opportunities and well-paying jobs for the people of Napier. Full employment is the single greatest enabler in terms of meeting nearly every other social and economic need.

-Stuart Nash is the Labour MP for Napier.

-Business and civic leaders, organisers, experts in their field and interest groups can contribute opinions. The views expressed here are the writer's personal opinion. and not the newspaper's. Email: editor@hbtoday.co.nz.