MAF subsidy sought for Waitohi dam
Hurunui Water Project has applied for a government subsidy top dam the Waitohi river valley. The Project's scheme to dam the Waitohi River in North Canterbury has won the approval of a selection panel.
It is an alternative to plans for dams on the Hurunui River and at Lake Sumner. The Waitohi river feeds into the Hurunui near the historic Hurunui pub.
The Waitohi Irrigation Scheme Selection Panel endorsed the Hurunui Water Project’s scheme over two competing developers, Direct Project Management, and Fraser Geologics.
Hurunui Water project manager, Amanda Loeffen, said the endorsement by the panel has allowed her group to apply to the Irrigation Acceleration Fund, a new government subsidy supporting irrigation schemes to conduct detailed feasibility studies. A draft application is under review by the Ministry of Agriculture and Forestry.
Last year Hurunui Water Project obtained shareholder commitments for $8 million in several tranches. The first call in late 2010 saw $1.5 million paid in, and last year another $2 million.
The cost of the scheme is expected to be more than $400 million. The promoters have yet to say where the money will come from although Ms Loeffen told NBR last year that it might come from an overseas corporation.
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Comments and questions7
Am I missing something here.
A group of farmers trying to create an irrigation scheme taking water from our rivers for their financial benefit and then filtering back their dirty water into the eco system wants Government ( ie Taxpayer ) support.
Firstly this is obscene and pure greed and secondly isn't this just another form of a farm subsidy that we got rid of in the 1980's and is part of our pitch to get access to many offshore markets.
This should be all their cost and they should be paying for the water - just as most other kiwi's do in their rates etc
Water is not theirs as of right and nor is it free
If I remember correctly, and possibly I don't, but the Kurow scheme is about collecting 'storm water excess' which would otherwise flow pointlessly into the sea. By using this to irrigate farm land, that same water will create huge inflows of cash (profit) into our economy, much of which will then inefficiently flow back out of wealth creation and prosperity to fund the die-while-you wait state health system that pays your wages, Doctor.
You should be there with your spade helping: this is going to improve your standard of living, and if you agree with the state health system, then the lot of Kiwis, period.
(Rejoinder: I agree with Clive James when he said that the Soviets thought they had a free healthcare system, but it ended up costing them everything they had, literally.)
.... although I don't agree with the government subsidy either: I don't agree with welfare either personal or corporate. Just leave the rural sector with it's tax money, and subsidies wouldn't be needed.
'gawd Tribeless, where do you imagine the wealth is going to come from with such schemes as above?
HWP's earlier economic analysis and indeed treasury's own irrigation papers, show a good deal of caution is needed. Sure there is a lift in GDP, but the payback is projected to be so long term, over so many generations, that as regards wealth it is all digging holes and filling them in again! Rather it is about farmers looking for retirement and a way off the farm with a bunch of capital gains to grab once water is to the farm gate. These are the new ponzi schemes and they're even slicker if Mr. Taks Paer is allowed to help..
Good theory but how wrong you are
The Hurunui scheme is going to extract water from the Hurunui River - not only that it will destroy the river doing so. There is already an uprising by the current users of the river and the baches at the mouth of the river will be left with a river the size of a creek on a farm
This is just pure farmer greed and arrogance that they believe that it is their God given right to the water
This scheme will transform dry farms - that is great but tell me any other insustry or commercial enterprise that can obtain raw materials for nothing and destroy the surrounding environment
And to make it worse, the Government through Nick Smith and his Environment Canterbury rort are supporting it.
Sensible development of New Zealands abundant water resources has been in the media for several years now. It would seem seeing as the National Party got returned to power, that most people are smart enough to understand that in order to have a first world health system, an education system, the rule of law and a few other institutions that would elevate us from the likes of Fiji it must be funded. In roughly 30 years since Mr Lange dismissed the primary sector nothing else has come along to replace Agriculture/Forestry etc which has the competitive advantage to allow us to trade to afford the public institutions we deem as a right here. Those of you who think that all resource development can be halted and that tourism and far off promises of high tech nirvana can keep us as a first world economy are living in cloud cuckoo land.
Interesting replies and each one has its merits to help build my rank alternative
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