Shane Te Pou (Ngāi Tūhoe) is a commentator, blogger and former Labour Party activist.
OPINION
Aotearoa seems to feel a little adrift just now. While I am never one to talk down to my country, it is right to call out the lack of driveand time it takes to get things going here.
Infrastructure New Zealand’s Building Nations conference in Auckland last week was a call to arms for those who are involved in our infrastructure delivery, as almost 1000 people gathered to listen to thinkers and doers from across the globe.
There were welcome announcements from Infrastructure Minister Chris Bishop in the form of a new National Infrastructure Agency and a 30-year infrastructure strategy. The agency will capture the investment interest in New Zealand and deal with potential public-private partnerships (PPPs), and will coordinate unsolicited private-sector bid projects across the system of government.
On top of the idea of road pricing – or congestion charging – system improvement and new sources of revenue to build and maintain infrastructure are very much on the menu.
Here is the rub: there is no guarantee a future Labour Government will keep all or any of these changes – and that is a big problem for our country.
Why? Because we are small and the lack of scale means it takes time to ramp up design, planning funding and the people to deliver infrastructure. Then, when you come in and reform systems or cancel projects, you waste time and money – this definitely doesn’t make our waka go any faster.
The industry is doing it tough. That’s a problem for a Government committed to delivery, and only a more certain delivery system and a bipartisan commitment to big projects – like roads and light rail – will improve over time.
Our country cannot afford the industry scaling down due to a penny-pinching Government, as when it comes time to ramp up, the cost of bringing people back into the industry will be so much more.
New Zealand gets among the lowest value for its infrastructure spend in the OECD. Its management of its assets is similarly lacking, and we rank lowest on accountability and transparency in our infrastructure. This has to be turned around if we hope to build and maintain infrastructure that delivers jobs and homes to whānau, and good schools and hospitals too.
Funding is also a challenge for New Zealand. We are one of the hardest nations to invest in when international capital looks for a home.
Infrastructure Minister Chris Bishop speaks at Infrastructure New Zealand’s Building Nations conference in Auckland. Photo / Claudia O'Neill
It should be no surprise that someone like me, from the left, supports the appropriate involvement of the private sector to fund and, in some cases, partially own our infrastructure.
Many people’s minds will jump to large international corporations at the mention of the word “private”. Even if that scares people, it shouldn’t, as those parties can be responsible owners and maintainers of public infrastructure.
However, before we look globally, we should seek to tap the capital that already sits on our own shores. Super funds, ACC and iwi all jump out to me as possibilities.
Our record of building and then forgetting about assets is legendary. Look at our roads, our rail network and our weeping water assets. How has total public ownership helped the condition and maintenance of these vital public utilities?
The truth is if the private sector is involved in the building of a road, and then has to manage that road for the next 25 years with capped revenue, their interest is that it is built right and it performs well for those who use it. The Helen Clark Foundation is doing some excellent work in the infrastructure area and its recent report on infrastructure funding is a must-read. Balanced, considered and fair.
A problem for some has been a narrow definition of interests based on the ownership of an asset. However, the real picture to consider is the benefit to people and the economy the asset provides.
Infrastructure at its best is an enabler of economic activity and social mobility. We must consider these benefits far more in what we decide to build, rather than self-inflicted wounds because we fail to agree on more things across the political spectrum.
The two major parties need to grow up and come together through some kind of memorandum of understanding on the infrastructure delivery system – and some key principles around projects and priorities.
We cannot afford to waste billions of dollars in cancellations and changes every time voters change the Government. The Helen Clark Foundation notes our history is investing or disinvesting in waves.
For efficiency and effectiveness, we need a strong pipeline that gives certainty to us all.
