Brownlee defends shortfall in roads funding
Transport Minister Gerry Brownlee is emphatic that the Puhoi to Wellsford road of national significance will still go ahead even though he does not know how much it will cost.
Speaking this weekend on TV3’s The Nation programme, Mr Brownlee said the New Zealand Transport Agency was going trying to sort out the geological challenges “that you have through that part of the country, but it is on the books for construction beginning in the 2015-18 period, and we intend to stick to that”.
Asked if that meant the government would go ahead no matter how much it cost, he said: “I think at this stage we're doing all of the investigations that are necessary to build a strong road.
“There is no indication yet that there will be cost problems that would make us change on that.
“So the position is that we are going to build that road.”
And he rejected claims on the programme by Southland District Council mayor Frana Cardno that cuts to roading expenditure there to help pay for the roads of national significance could end up endangering tourists’ lives in the Catlins.
Ms Cardno said Mr Brownlee needed to learn some facts.
“He needs to learn where the economy of New Zealand is based and he needs to look at the roads of national significance and say what harm would be done if we just put them off for a while, until as a country we can afford them.”
Mr Brownlee agreed that Southland was this year getting only $160 million of the $200 million it had asked for to maintain its roads.
But he said that was until an increase on their previous allocation.
“When it comes to just the road maintenance part, it's a 6.2% increase and in the previous period they didn’t use all the money that they had and returned some to NZTA,” he said.
And he said the government was continuing to look at public private partnerships building toll roads as a way of taking pressure off roading funding.
He singled out Wellington’s Transmission Gully as a potential candidate for tolls.
“I know that there is a process going on at the present time to consider that possibility.”
But no new roads in Christchurch would be tolled.
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Comments and questions14
The road building program is beyond stupidity. We are borrowing to fund road building in the face of an ever mounting oil price which is going to continue to constrict road usage. Is Jabba Gerry oblivious to what has happened in the oil markets these past 5 years? Is he totally unaware of the peak in cheap oil? Once the NZ$ tumbles lets see how much road usage falls by when petrol is $3/L.
When the $NZ tumbles?
That would be shortly before pigs fly; barring an outbreak of FMD in Godzone , that is.
A large proportion of the petrol consumption is devoted to recreational pursuits: that portion may be affected by economic conditions.
The NZ$ will follow the A$ down (as was ever the case). The $A will tumble as the Chinese growth machine hits the wall (its in the process of doing that right now - witness the collapses in coal and steel prices). Our economy will wilt as the Aussie and Chinese economies wilt taking the currency down with it. Once this reflects in soaring petrol prices you will hear a lot less whining as to how the NZ$ was such a bad thing.
Last sentence should read 'strong NZ$'.....
Farmer Brown holds that predominantly food -producing nation , such as Godzone , will follow the same currency path as one , such as Australia , which is more dependent on demand for such things as coal and ores.
Rising populations in Asia will ensure that demand for food only grows.
Somehow a line was omitted : the post should have read :-
Farmer Brown holds that a strong $NZ is an inherently good thing.
He also is disinclined to believe that a predominantly food -producing nation , such as Godzone , will follow the same currency path as one , such as Australia , which is more dependent on demand for such things as coal and ores.
Rising populations in Asia will ensure that demand for food only grows.
A new bridge and approaches over the Manawatu River, east of P.N., using the existing gazetted Staces Road, leading directly from points north to the Pahiatua Track , Massey University complex , and to Wellington via Shannon, while also allowing freight to avoid the bottleneck of P.N. city, is one project that will deliver economic benefits.
It is also a project that is perfect for a public -private toll road during the first decades.
What is the problem NZTA?
Politics? The economy is more important.
Gerry, (Sir) Pat Higgins would like to hear from you, sooner rather than later.
Knowing the luck of the Irish, Farmer Brown predicts that no sooner does the Manawatu Gorge (The what? Where is that?) re-re-re-open, than it will fall down again.
As the Irish are fond of saying : "It's an ill wind......"
If I am not mistaken some 90 odd percent of the pump fuel price comprises one tax or another. That being the case the peak oil arguement only runs whilst those taxes continue to be applied.
You are indeed significantly mistaken. Tax (including GST component) was 43% (TV3 report in 2010), so it probably around 45% now - a good third of that taxation goes straight back into roading projects etc. Not much room for cuts in those taxes I am thinking. We pay far far less than Europe in terms of a tax component so look for governments to INCREASE the tax take from petrol as their other sources of revenue shrink.
fuel tax is essentially a form of toll every time the car is started.
It seems that if you live in Northland and wish to have a reasonable standard of living (supported by jobs, goods, services etc that are expected by everyone else in the developed world) you are destined to run foul of the "nosayers": no you can't have decent road because of peak oil; or no you you can't have a decent road because it is a "holiday highway" intended only to benefit "wealthy Aucklanders" (or some other other equally insulting argument). It took an awful long tiime just to get the first stage of the new highway to Puhoi built. Before that the vast majority of goods supplying Northland (and, yes, tourists since tourism is Northland's largest employer) came down that single ribbon of road that passed through suburban Orewa and of course still come through the historic death trap of the Dome Valley. (If they don't come up that road they must either come by SH16 - simply not viable for trucks, and, oh peak oil again - by air - oh, sorry, peak oil again - by rail - ok, peak oil again, if the line isn't closed down - or by sea - peak oil ditto!). No other region in the country is as dependent on a single road. Half the problem seems to be that the improvements to this road, which is primarily a benefit to Northland, need to take place within the political region of Auckland. One rather doubts that Auckland local politicians give the needs of Northland a second thought. And (finally) to describe peak oil as a reason not to build better roads is a nonsense. Leaving aside the savings on fuel consumption, let alone the fact electric cars also need roads, one is sometimes left wondering of this is the equivalent of arguing that since the day after tomorrow is Wednesday we may as well forget about living on Tuesday.
For now, given that the first stage of the highway up to Puhoi is tolled, how about considering the fact that Northland is the only region of the country where most goods entering the region (i.e. pretty much everything by truck) are specifically taxed to do so.
Please pardon the typos!
Politicians and statistics?. Gerry was saying on TV he wants to raise fuel tax as vehicles have become more efficient than 20 years ago so he isn't collecting as much.
Lets assume thats true. Lets also look at the increase of vehicles since 20 years ago. Doubled? Tripled?
Must have - otherwise our roads wouldn't need expansion. So a few porkies there in a bid to increase taxation methinks.
According to the July 2012 MoT road crash stats, the vehicle fleet has grown by 50% in the last 22 years. The average growth rate has dropped from 3.9% 2004-2007 to 0.7% 2008-2011. Total distance travelled increased 55% from 1990 to 2007 (40.2bn km), but has been in the 39-40bn km range since 2004. Which means the government is investing $12bn on RoNS, despite demand being flat for the last 8 years.
Average vehicle fuel economy has improved by 22% (US figures) from 1990 to 2010, so the tax on fuel would need to increase by 1% per year just to maintain the status quo.