Irresponsible to ignore Auckland's funding requirements
We raised the debate on possible futures for the AECT to focus Auckland's attention on the parlous state of our city's
development, says the chief executive of the Employers & Manufacturers Association Kim Campbell.
"Auckland's planning for growth is being stymied on all fronts," Mr Campbell said.
"Many thousands of people are welcomed here every year to live and work but the city is failing to build the
infrastructure required to accommodate them.
"This is irresponsible.
"If we keep on slowly building more roads and adding piecemeal more public transport as at present, by 2024 we will all
be taking an unacceptable time to get to work and paying heavily for goods delivered around Auckland.
"People who argue differently haven't looked at the numbers. Doing nothing is really head-in-the-sand stuff.
"The extra capital funding needed to build transport and other infrastructure is estimated at $12 billion over 30 years
- an extra $400 million a year.
"There may be disagreement on the priorities for how the funds should be invested but about the shortfall there can be
no doubt.
"The Auckland Council recently reported on the two year work programme exploring how to find these extra funds. It
suggested funding options included higher rates, regional fuel taxes, or a toll on our motorway system.
"It appears no one wants to pay any of these, and the Government says it won't change the law to allow for the latter
two anyway.
"So what other options are there?
"The city owns many assets. Asset sales could delay the need for tolls and other cost increases.
"The recycling of city assets to fund infrastructure is very common internationally and we are arguably behind the world
in this.
"One of our largest assets is the $2.1 billion worth of shares held in trust for Auckland by the AECT.
"Any change from the status quo for these would require the public to agree, but unfortunately the debate on this has
degenerated into an ideological slanging match in which the substance is being lost in insults.
"Regardless of the debate, everyone in Auckland will soon have to pay more.
"Either they will pay more in road tolls, in higher fuel taxes, in rates, or pay more through far slower transport times
and gridlock within 10 years.
"Failure to act decisively now will cost Auckland dearly, and hurt the whole country.
ends