InfraRead Te Kawepūrongo Waihanga - ISSUE 3. AUGUST 2021 - Infrastructure New ...
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InfraRead
Te Kawepūrongo Waihanga
ISSUE 3.
AUGUST 2021
InfraRead
Te Kawepūrongo Waihanga
Kia ora
It is important the August edition of InfraRead acknowledges the obvious
– the Delta variant of Covid-19 is in our community. New Zealand remains in
a Level 4 lockdown, and we are waiting with bated breath for the number of
positive cases to peak before we start seeing the benefits of the lockdown.
Not one of us is invincible and so these extraordinary times are causing much
anxiety, concern and hardship as we try and adjust to a new normal.
I encourage you to reach out if you have any comments or feedback, or if
there are specific matters you would like to discuss. I can be contacted at
claire.edmondson@infrastructure.org.nz.
Members are also invited to contribute articles to upcoming InfraRead
editions by contacting our Senior Policy Advisor, Azeem Khan, at
azeem.khan@infrastructure.org.nz.
We are continually adding individuals from member organisations to our
mailing list. If you are receiving InfraRead for the first time, welcome to this
monthly newsletter designed to keep you up-to-date with key happenings
relevant to infrastructure sector.
Feel free to forward this newsletter to others in your organisation. If you have
colleagues who would like to be added to the mailing list, they can subscribe
by emailing office@infrastructure.org.nz.
Ngā mihi
Claire Edmondson
General Manager
ISSUE 3. AUGUST 2021 2
CONTENTS
Covid-19 support available 4
Road pricing and beyond 7
NEWS
Building Nations 11
Future for local government 12
Auckland’s light rail 14
Auckland’s metro rail network 16
A rare blackout 18
Productivity Commission inquiries 19
Interest rates set to rise 20
Māori housing and wellbeing 21
The inaugural Auckland Climate Festival 23
UPCOMING EVENTS 25
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 3
Covid-19 support available By Claire Edmondson, General Manager InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 4
It has been a question of when, and not if, the Delta variant of Covid-19
would reach our shores. It is now here and it is a game-changer. It continues
to infect and kill masses around the world.
The presence of the Delta That reaction was quickly proven
variant in our community has ill-informed when the number of
caused major disruption for New Covid-19 positive cases started
Zealanders. increasing at pace.
When we learnt last Tuesday The source of the latest
there was one confirmed case of community outbreak is most
Covid-19 in our community, many likely a leak from a quarantine
of us knew a full lockdown was facility – this episode is enough
imminent. reason for a review of some
of our Covid-19 response
New Zealand remains in Level and containment strategies,
4 lockdown – Auckland will e.g. managed isolation and
remain at this level until next quarantine facilities being
Tuesday (31 August); for the rest concentrated in the nation’s most
of the country, the lockdown is populous region.
in force until tomorrow (Friday,
28 August) and will be reviewed This is especially relevant as the
then. government has indicated that
measures such as lockdowns
Several overseas media outlets and closed borders could not be
appeared gobsmacked over sustained forever and would be
New Zealand’s decision to move reassessed.
the whole country into a full
lockdown over just one confirmed
case.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 5
For the moment, the current There are also mental help
lockdown, good hygiene services available. Further
practices, socially distancing information can be accessed
ourselves, getting tested if here.
unwell, following government
advice and getting vaccinated We will continue providing you
remain our best bets. with updates as they become
available.
Government assistance is
available. Some of the more Stay well and feel free to reach
prominent schemes for out if we can be of any help.
our members would be the
Resurgence Support Payment Kia kaha
and the Wage Subsidy August
2021.
Also available are the Leave
Support Scheme, the Short Term
Absence Payment and childcare
support for essential workers.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 6
Road pricing and beyond By Azeem Khan, Senior Policy Advisor InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 7
The government has announced the new Ara Tūhono – Puhoi to Warkworth
motorway north of Auckland will not be tolled when it opens around
May 2022. The new road will extend State Highway 1 by 18.5km, from the
Johnstones Hill tunnels to just north of Warkworth.
Transport Minister Hon Michael The minister’s position is relevant
Wood has said he declined a to Parliament’s Transport and
tolling proposal from Waka Kotahi Infrastructure Committee’s
NZ Transport Agency. Inquiry into congestion pricing in
Auckland, vis-à-vis what happens
A primary factor in the minister’s if majority of Aucklanders say
decision was that 80 percent of they do not want any form
the affected community opposed of road/congestion pricing,
a toll. particularly given the prerequisite
infrastructure for alternative
Another key reason cited by Hon transport modes is not currently
Wood was that commuters could in place.
be forced to pay two tolls given
the Northern Gateway is already The current absence of adequate
tolled between Silverdale and prerequisite infrastructure and
Orewa, and especially since there infrastructure services would
is also no southbound exit from likely result in Aucklanders
the road before the Northern viewing road/congestion pricing
Gateway. as a punitive tax paid on top
of petrol excise duty, road user
Hon Wood has stated that charges and a regional fuel tax.
tolling is a useful tool that can
help fund the construction and The timeframe for final
maintenance of new roads or recommendations from the
significant upgrades to existing inquiry is yet to be confirmed.
roads, so it warrants investigating
but adds it is important there are
adequate alternatives for drivers.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 8
On a similar note, the government has somewhat acknowledged through Hon Grant Robertson that bringing forward the construction of a multimodal harbour crossing instead of the $785 million walking and cycle lane across Auckland’s Waitemata Harbour would be a better investment. Last month’s edition of InfraRead ran a scathing editorial on the proposal, making clear Infrastructure New Zealand’s position on the ill-informed project. InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 9
NEWS InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 10
Building Nations
Building Nations is New Zealand’s
premier event in the country’s
infrastructure calendar.
Attendance has increased steadily
since its inception in 2006.
Held in November, delegates
will have an opportunity to step
Over 800 public and private
back from their usual day-to-day
sector delegates attended the
approach and focus on the big
two-day conference last year,
picture.
hearing from thought leaders
across the infrastructure sector,
This year’s programme will cover
participated in various workshops,
a wide array of topics such as
and contributed to the debate
Covid-19, the state of the economy,
to influence the future of New
resource management system
Zealand.
reform, three waters reform, public
transport and urban regeneration,
Facilitating new connections
climate change, building back
that help to advance careers and
better and te ao Māori as an
projects, Building Nations aims
integrated infrastructure delivery
to ‘lead the leaders’ into a future
approach, to name a few.
where New Zealand is a global
exemplar of smart, sustainable,
Visit the Building Nations website
cost-effective infrastructure that
to find out more.
supports a high standard of living
for all New Zealanders.
All Infrastructure New Zealand
Members and BN2021 Sponsors
The theme of Building Nations 2021
can exchange their complimentary
is A Fork in the Road.
tickets for TWO livestream tickets.
Now is the time to boldly commit to
For registration enquiries or to
a handful of big decisions that will
exchange tickets, please contact
propel New Zealand forward.
office@infrastructure.org.nz.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 11Future for local
government
The government established the
Review into the Future for Local
Government in April this year. MUSEUM
L I B R A RY
The review is mainly in response CAFÈ
to Local Government New Zealand
and Taituarā – Local Government
Professionals Aotearoa calling for
a programme of work to ‘reimagine
the role and function of local
government’ to build a sustainable
system that delivers enhanced
community wellbeing outcomes.
The review’s long-term focus
The review is relevant since the means it will look to relevant
overhaul of the three waters sector reports such as those from the
and the resource management Productivity Commission but not
system reform are foremost among limit itself to these.
a suite of reform programmes that
will reshape our system of local Work has been ongoing in the
government. background, with the group
engaging with key stakeholders.
The review’s overall purpose is to Infrastructure New Zealand met
identify how our system of local with officials a couple of weeks ago.
democracy and governance needs
to evolve over the next 30 years
to improve the wellbeing of New
Zealand communities and the
environment, and actively embody
the Treaty of Waitangi partnership.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 12Key topics we raised were Substantive work will then be
governance matters, whether undertaken on answering the
mayoral powers need to be priority questions identified during
extended, funding and financing, the initial scoping work.
the remit of council-controlled
organisations, and future proposals A draft report containing
around council amalgamations. recommendations will be issued
for public consultation by 30
The review will consider, report September 2022.
and make recommendations on
this matter to the Minister of Local The final report will be presented to
Government, Hon Nanaia Mahuta. Hon Mahuta by 30 April 2023.
An interim report will be presented Given the review’s timeline, the
to the minister by the end of next review will likely feature in future
month (30 September) signalling editions of InfraRead.
the probable direction of the review
and key next steps.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 131
Auckland’s light rail Freemans Bay
CITY CENTRE
Grey Lynn
2
Auckland’s light rail is poised to
Eden
Terrace
Newmarket
Kingsland
run from Auckland City Centre to Sandringham
Mt Eden
Māngere and is intended to provide Mt Albert
the backbone for future light rail to
North and Northwest Auckland. We 3
covered the light rail project in last
Three Kings
Penrose
Mt Roskill
month’s edition of InfraRead. 4
Onehunga
Hillsborough
5
The government established the
Auckland Light Rail Group earlier Māngere
Bridge
this year as part of a “fresh start”
– the group has been charged Favona
6
with developing a business case
Māngere
and making recommendations for
Auckland’s light rail. The Auckland
7
Light Rail Group consists of Waka
Kotahi NZ Transport Agency, the AUCKLAND
Ministry of Transport, Auckland
AIRPORT
Council, Auckland Transport, The government will make a
Kāinga Ora and mana whenua. decision about the route, mode and
delivery entity later this year.
The Auckland Light Rail Group
is currently holding community The question of mode is relevant as
focussed “listening” sessions until an autonomous rail transit system
31 August, to understand what – or a trackless system – could be
people want and build the project’s a running candidate instead of the
social licence. This engagement traditional track railway system. A
period is about finding the solution trackless tram system is a relatively
that gives the best transport, recent Chinese innovation, and
access, urban development, considered a cheaper and faster to
economic and environmental build option.
outcomes for everyone.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 14Commercial operational lines are only found in a handful of Chinese cities, but trackless systems are already being considered for the 2022 FIFA World Cup in Qatar and are also being looked into by a number of Australian cities. Autonomous rail transit systems could well serve as the technological disruption needed to ensure Auckland’s light rail is responsive and future fit. Join us on 9 September for a virtual event to hear from the Auckland Light Rail Group on how the Auckland Light Rail project is progressing, what the timelines are, and what we can expect. If you have not already received an invitation to this members only event, please contact our Event Coordinator, Paige Hallam, at paige. hallam@infrastructure.org.nz. InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 15
Auckland’s metro rail
network
In August 2020, KiwiRail applied
a blanket temporary speed
restriction across Auckland’s metro
rail network system following
discovery of accelerated wear and The report singles out a 2014
tear (rolling contact fatigue) of the evaluation which concluded that
railway lines. investment of around $100 million
was needed to Auckland’s metro
The speed restrictions lasted rail network to ensure it would be
several months, with already fit for purpose for the proposed
lengthy train journeys taking much electric trains.
longer than usual, and entire lines
had to be shut down as KiwiRail This investment was not approved,
undertook urgent works. and the parties instead relied on
increased inspections for safety,
A report that has just been made track speed restrictions, and
public attributes the wear and tear accepted the infrastructure would
to the following: provide lower levels of service.
• historic under investment in the
track asset prior to 2014 up to The report does not state who
September 2020 vetoed the investment proposal.
• insufficient rail grinding from KiwiRail owns the network and
2015 to 2020 infrastructure, and Auckland
Transport pays an annual fee to use
• the design of the electric trains
it.
• wheel rail interface
• the existence of multiple sites The repairs have been costed in the
where the track condition is sub- order of $200 million.
optimal in engineering factors
known to accelerate the growth
of rolling contact fatigue
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 16This debacle highlights the deadweight loss of sweating critical assets and even running certain assets to failure. This practice is likely to generate further debate in the near future, especially as the resource management system moves to legislating for outcomes, which will include infrastructure and infrastructure services. InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 17
A rare blackout
The Electricity Authority has
ordered a review of the 9 August
2021 electricity cuts, which affected
over 34,000 customers. The
biggest impact was felt by those in
the Waikato region with over 17,000
This comes as some electricity
customers being disconnected.
generators are turning to cheap
non-renewable energy sources
The review has two phases:
such as coal from overseas due
i. phase one has two parts: to lower rainfall levels here and
• a review around the system the government’s commitment
operator’s demand allocation to moving New Zealand to 100
tool – envisaged to be percent renewable electricity
completed by 23 August supply by 2030, and thus already
• a review around the system banning offshore coal, oil and gas
operator’s communications exploration and extension permits.
processes and associated
protocols – likely to be A move to renewable energy
completed by 30 August sources, climate change and supply
chain disruptions in a Covid-19
ii. phase two will be informed by world will shape our energy
the findings of phase one. conundrum, a topic discussed in
last month’s edition of InfraRead.
Power cuts in New Zealand are very
rare so the blackouts earlier this
month have sent jitters around the
country.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 18Productivity Commission
inquiries
The Productivity Commission has
two inquiries underway.
The first was briefly covered in last
month’s edition of InfraRead and The terms of reference will be
is an inquiry into what immigration presented to Cabinet in November
policy settings would best facilitate 2021.
New Zealand’s long-term economic
growth and promote the wellbeing Subject to Cabinet approval,
of New Zealanders. the commission will then have
12 months to conduct the
Preliminary findings and inquiry and present its findings
recommendations will be released and recommendations to the
in October 2021 and a final government.
report will be presented to the
government in April 2022. Public input in developing the
terms of reference closes tomorrow,
The second inquiry is into the Friday, 27 August.
drivers of persistent disadvantage
within people’s lifetimes and across If you are keen to have your say,
generations. please visit the inquiry webpage
here.
This inquiry is currently in its
infancy.
The government has asked the
commission to prepare the terms
of reference, and the commission
has in-turn sought public input to
develop them.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 19Interest rates set to rise
Up until last Tuesday, 17 August,
the Reserve Bank of New Zealand
was widely tipped to hike the
official cash rate (OCR) from the
current 0.25%.
The Reserve Bank has now
Some commentators had priced
indicated a hike of 50 basis points
an increase of 50 basis points to
is being considered for October, all
0.75%.
but confirming it is going to take a
horrible turn of events to put off a
Indeed, commercial banks were
rise this year.
seemingly ready to hike their own
rates, with ANZ going early (and
dropping them back again this
week).
News of the Delta variant of
Covid-19 being in our community
and the nation subsequently
going into lockdown has resulted
in the Reserve Bank keeping its
powder dry and leaving the OCR
unchanged.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 20Māori housing and
wellbeing
Statistics New Zealand released Te
Pā Harakeke: Māori housing and
wellbeing 2021 this morning.
The report focuses on Māori The report notes that Māori
housing and wellbeing, particularly experience poorer housing
on the connections and outcomes and higher rates of
associations between various homeless-ness.
housing measures and Māori
wellbeing outcomes. The report states that enduring
low rates of home ownership have
The report can be accessed here. resulted in adverse eco-nomic and
material outcomes with potentially
One of the keys to intergenerational wider intergenerational implications
wellbeing is home ownership. for Māori.
We know that home owner-ship
remains a key aspiration for most Māori are also more likely to live
New Zealanders. in unsuitable, crowded homes, and
in homes affected by dampness
Home ownership rates are and mould. They are also less
associated with age. People who likely to move from renting to
are older are more likely to own or home ownership and generally
partly own their home than people report higher rates of unaffordable
in younger age groups. housing.
The Māori population is generally The report makes for unsettling
younger. As people in their early reading especially given Māori are
twenties are often the least likely projected to represent a sig-nificant
to live in an owner-occupied home, chunk of the nation’s working age
having a younger population population in future.
structure is likely to result in lower
home ownership rates.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 21The report notes that Māori were much more likely to own the home they lived in, in the 1930s, but that Māori home ownership rates have fallen since then, particularly as many Māori migrated to cities. By the time national homeownership rates reached their peak in the 1990s, the rates for Māori had fallen well below that of people with European ethnicity. Empirical reports tend to appear unexciting, but they are an effective way of measuring the suc-cess of targeted central government initiatives. This latest report from Stats NZ Tatauranga Ao-tearoa demonstrates there is still a long way to go to achieve equitable housing outcomes for Māori. InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 22
The inaugural Auckland
Climate Festival
Auckland’s first ever climate festival
will be held from 12 to 31 October
2021.
The festival is an open platform for A diverse programme of events
communities, the private sector, is being established that will take
government, youth and Māori place throughout the three-week
to come together as a whole-of- period.
society response to the climate
emergency. Events already announced
include the Climate Change and
The festival is inspired by and Business Conference, KangaNews-
modelled off the London Climate Westpac New Zealand Sustainable
Action Week. Finance Summit, Vector Lights in
partnership with Auckland Council,
The Auckland Climate Festival a panel discussion hosted by
is being supported by a range Warren and Mahoney in partnership
of founding partners including with Cosgroves, and workshops
Auckland Council, Auckland hosted by the Recreators and
Unlimited, the Britomart Group, Climate Collage.
Foundation North, MartinJenkins,
Ngāti Whātua Ōrākei, No One Event registration is open and
Studio, Smash Delta, Tonkin + those interested in organising an
Taylor, Vector, Waste Management event can find out more here.
and Whakatupu Aotearoa
Foundation. More events will be announced on 1
September.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 23UPCOMING EVENTS InfraRead Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 24
SEPTEMBER
Auckland Light Rail (virtual)
Transmission Gully Site Visit
Private lunch with Hon Grant Robertson
OCTOBER
Low Emission Vehicle Infrastructure
NOVEMBER
Building Nations
DECEMBER
Renewable Energy and Hydrogen
More information on these member events will be released soon.
InfraRead
Te Kawepūrongo Waihanga ISSUE 3. AUGUST 2021 25You can also read
