nfrastructure and Sports Minister Chris Bishop talks to Herald NOW's Ryan Bridge about NZ's infrastructure plan and 15 storey buildings
A new national infrastructure plan says central government must “lift its game” on infrastructure planning, condemning much of it as “short-term and reactive”.
The Infrastructure Commission today released the draft plan, now open for consultation, that analyses New Zealand’s infrastructure spend and recommends how it could be improved.
A key finding of the plan was for central government to “lift its game”, detailing how much of New Zealand’s infrastructure planning was “often short-term and reactive, rather than long-term and strategic”.
“Projects are announced before it’s certain that they’re affordable and deliverable,” the plan said.
“Half of the large projects seeking funding through central government’s annual Budget lack business cases to demonstrate that they’re ready to fund.
“Maintenance funds, which should provide a steady, ongoing stream of work, may get diverted to new builds. Consequently, efforts to recruit, develop, and retain a skilled workforce are stretched.”
The plan says central government needs to lift its game. Photo / Mark Mitchell
It urged not to take for granted New Zealand sitting in the top 10% of OECD countries based on its infrastructure spend per person, noting New Zealand was also in the bottom 10% “when it comes to the ‘bang for buck’ we get from our infrastructure spending”.
“To sustain high-quality infrastructure services, we need to lift our game. That could be by reducing costs or easing the regulatory environment.
“It might also mean taking a more commercial approach to infrastructure whereby we vastly lift the bar on project quality, finding new projects that households and businesses will be willing to pay more for.”
The plan would be out for consultation over the coming weeks before a final version is presented to the Government by the end of the year. The Government would respond to the final plan next year.
Infrastructure Minister Chris Bishop acknowledged central government’s infrastructure system needed to “drastically improve”, but he believed the plan’s recommendations aligned with the Government’s view.
“I am pleased to see the draft plan makes recommendations that align with existing Government priorities, such as making better use of user pricing to fund investment, adopting spatial planning, prioritising infrastructure through the resource management system, and drastically improving asset management and maintenance.”
Noting the plan’s call for consensus on infrastructure spending, Bishop said he had encouraged the Infrastructure Commission to brief all political parties while developing the plan and he would encourage parties’ “relevant spokespeople” to communicate their views to the commission.
Adam Pearse is the Deputy Political Editor and part of the NZ Herald’s Press Gallery team based at Parliament in Wellington. He has worked for NZME since 2018, reporting for the Northern Advocate in Whangārei and the Herald in Auckland.