$1b cache puts road projects into top gear

By BERNARD ORSMAN

Auckland is set to get an extra $320 million for public transport and $136 million to start key roading projects under a funding package put together by Infrastructure Auckland.

The regional "bank" has loosened the purse strings and will allocate its full $1 billion pot of gold by 2008.

The amount of money for public transport will rise from $410 million to $730 million and funding for stormwater from $100 million to $150 million.

Infrastructure Auckland has also set aside $136 million in its draft plan to finance loans for new roads for four years until other revenue streams, such as tolls or a regional petrol tax, become available.

The Auckland Mayoral Forum believes the new debt servicing fund will kickstart all key roading projects in the region. An early contender could be the extra $175 million cost of replacing a stretch of Auckland motorway with a tunnel under Victoria Park.

The $1.18 billion package is expected to go a long way to financing a $2.4 billion gap on the mayors' $5 billion roading and public transport wishlist. Work done for the mayoral forum shows there is only $2.6 billion from normal sources to complete the transport network by 2010.

Infrastructure Auckland chairman John Robertson yesterday denied political pressure was behind the new package, saying that the region had made good progress in terms of refining transport plans.

Infrastructure Auckland also had a better handle on income from its $1 billion worth of investments, he said.

Infrastructure Auckland chief executive Richard Maher commended local politicians for focusing on the regional network, prioritising projects and providing certainty with a business plan for public transport.

Last August the Herald reported that local politicians were planning to seize control and distribute the regional nest egg as they saw fit under new powers available to them.

The politicians were frustrated at the "excessively prudent" income predictions and Scrooge-like approach to grants by Infrastructure Auckland.

Mr Robertson said last August that the funding agency board was always going to be prudent.

"We never want to make grants and then later on find we don't have the money to support them."

The new package will go out for public consultation.

Where the money goes

Infrastructure Auckland will allocate $1 billion to kickstart projects in the region.

* Public transport: from $410m to $730m by 2008

* Stormwater: from $100m to $150m by 2008

* New roads: $136m over four years