A further $26 million is now available to farmers and growers impacted by Cyclone Gabrielle, Prime Minister Chris Hipkins has announced.
It adds to the $29m the Government has devoted to helping the primary sector recover after the cyclone destroyed orchards and decimated farmland.
Ministry of Primary Industries now estimates about 5500 individual farmers and growers covering thousands of hectares have been impacted by the cyclone, according to Hipkins.
“We know that there’ll be more support required,” Hipkins acknowledged.
It comes as Hipkins revealed Pharmac and ACC chair Steve Maharey would likely stop writing public columns for media organisations due to recent comments that indicated his political leanings. Maharey was a former Labour MP.
It follows the dismissal of Rob Campbell, formerly the chair of Te Whatu Ora/Health New Zealand and Environmental Protection Authority because of public comments he’d made on LinkedIn.
Hipkins also faced questions on the Government’s increase in spending on consultants, to which he re-stated his expectation that there should be more “in-housing” of that work and less of a reliance on contractors.
More rural support for cyclone-impacted farmers
The Government received 2846 applications in 12 days from farmers seeking to access the $29m of support that had already been devoted to the primary sector, which was hit hard by the cyclone.
Finance and Cyclone Recovery Minister Grant Robertson said more than $17.4m had been paid out thus far.
”We knew there would be more need during the response phase as people took time to take stock and work through their clean-up from Cyclone Gabrielle,” he said.
”As with the response to Covid-19 we need to be nimble, flexible and responsive to immediate needs.”
Stock farmers and those with crops were eligible for grants up to $10,000, while other growers could access $2000 per hectare up to a maximum of $40,000.
Grant applications were open until March 20 but those in hard-to-reach areas could apply up until April 3. People who had already received a grant could not apply again.
Agriculture Minister Damien O’Connor said the financial assistance had been welcomed by the sector.
”They’ve told us the grants are providing certainty of immediate funding, which has given them the confidence and reassurance to start remediating their farms and orchards.”
About 250 claims for financial support are being lodged per day, Hipkins said.
Hipkins said some “early signs of recovery” in the agriculture sector, citing a report from Fonterra that milk collections were starting to get back to normal in Hawke’s Bay.
He expected a market for diggers and other equipment would develop on the East Coast as they were required.
Hipkins said decisions should be made in the coming weeks on whether the Government would refund cyclone-impacted people who paid privately for supply drops.
Govt shifts roading priority towards resilience, away from climate change
Future spending on roading will be prioritised on building resilience in the roading network, as opposed to initiatives that reduce emissions, Hipkins has confirmed.
It follows an exclusive report in the Herald today that outlined Transport Minister Michael Wood and transport officials were putting together a plan that would place emissions reduction as a top priority of the transport plan, known as a Government Policy Statement on land transport or GPS.
The plan included changing the way road maintenance funding is used, putting it towards cycleways and bus lanes as well as just fixing roads.
“We are now working on an emergency style GPS that will focus on the huge task of reconstruction of roads and bridges washed out by the cyclone and flooding, as well as building greater resilience so our transport network can better withstand the increasing frequency of extreme weather events like we have seen this year.
“No final decisions, including changes to fuel exercise duty, have been made as we are still working through the full extent of the damage inflicted by Gabrielle,” he said.
“That said, I can confirm the next GPS will continue our record-breaking investment in transport infrastructure in order to catch up with years of under-investment by the previous Government.
“Much like if you refuse to maintain your house or car for nearly a decade, you’ll pay for it later; this is what we have been dealing with.”
Hipkins repeated that sentiment today, saying that resilience would become a “much, much bigger priority” following the cyclone.
“Resilience is probably going to be the top priority but Cabinet hasn’t made those decisions yet,” he said.
“I’m a big fan of busways and I’m a big fan of cycling as everybody will know but we also have to be investing in and maintaining our roads to make sure that people can get around.”
Hipkins said Michael Wood was speaking to the draft that had been released and he expected that draft would change in the current circumstances.
Hipkins said the transport network had been shown to be wanting in the face of the cyclone and said resilence had to be “front and centre” of future work, and that he would articulate how the Government would pay for this when announcements came.
“The Government’s message hasn’t changed” - Hipkins affirms view on over-reliance on consultants
The PM acknowledged the increase in the use of contractors and consultants, citing the need for that during Covid. Hipkins said there was no future money budgeted for the same level.
Asked for his message to Government departments on the use of consultants, Hipkins said he had been clear that he wanted to see more “in-housing” of this work and less reliance on consultants.
“The Government’s message hasn’t changed,” Hipkins said as he explained his preference to bring such work inside the Government as opposed to employing consultants.
He had spent “quite a lot of time” looking at the issue, Hipkins said.
“Sometimes it’s the nature of the workforce like transport and infrastructure ... that’s a consulting sector.”
On Sunday, National leader Christopher Luxon announced a $249m tax rebate scheme to reduce early childhood education costs for parents, to be paid for from the money the Government spent on consultants.
Hipkins said he would be surprised if there was $400m worth of Government work that could be cut out, as proposed by National.
He said he wouldn’t defend the consulting industry: “They can defend themselves.”
National state of emergency extended for Hawke’s Bay, Tairāwhiti
Emergency Management Minister Kieran McAnulty today announced the state of national emergency in Hawke’s Bay and Tairāwhiti, declared on February 14, would be extended for a further seven days.
“In the Tairāwhiti and Hawke’s Bay regions, thousands of people are still unable to return to their homes due to flood damage,” he said.
“While together we’ve made some serious progress, the mahi (work) is ongoing and there are still major road access issues for some communities.
“We need to keep co-ordinating this response at a national level in these areas to ensure we are properly supporting the Tairāwhiti and Hawke’s Bay Civil Defence Emergency Management Groups, and co-ordinating the personnel and equipment needed to transport essential supplies into the affected areas.”
McAnulty also intended to include Wairarapa in a national transition period, after consultation with local councils.
Northland, Auckland, Waikato and the Tararua District were all in a state of national emergency following the cyclone, but had since been placed in a national transition period.
The national transition period enabled remedial work to be carried out, such as restoring access to cut-off properties or making temporary infrastructure repairs.