Earthquake damage in Kaikoura and Wellington is causing a massive rethink to infrastructure priorities. So it’s just as well the Treasury National Infrastructure Unit’s recent Ten-year Capital Intentions Plan 2016 came with a large caveat.
Released prior to the first major earthquake, the report portends to be the “best available picture” of infrastructure plans by central and local government, plus the private sector, at the time.
“Uncertainty inherent in longer-term plans,” as the report puts it, has since kicked in big time.
The report aims to help the construction and infrastructure sectors get their heads round possible future investment opportunities.
It notes that central and local government together own over $200 billion of infrastructure assets and, including the private sector, estimates $100 billion will be spent on infrastructure by 2025.
Drawing information from councils’ 10-year long-term plans, it includes 4147 local government projects (both actual and intended) between 2012 and 2025 which could collectively be worth over $54.6 billion.
Looking just at intended local government projects for 2016 to 2025, there’s a possible price tag of $51.1 billion with, not surprisingly, an estimated 1270 upcoming transport projects carving out the largest single chunk of these funds at $20.3 billion.
An estimated 1199 water projects could soak up $19.5 billion. Social projects – which include sports and recreational facilities plus community infrastructure such as libraries, civic buildings and cemeteries – form the third largest bunch of spending. The report puts a possible price tag of $8.2 billion across 885 such projects.
Download the full report: bit.ly/Capital_Intentions_Plan
Local Government Capital Intentions: 2016 – 2025
Inclusion of a project does not mean that it has been funded or approved, will proceed, or that if it does proceed, it will be on the scale and to the timeframe indicated in this report. It is, however, the best available picture at this particular point in time.
Source: Treasury National Infrastructure Unit’s Ten-year Capital Intentions Plan 2016.
This article was first published in the December 2016 issue of NZ Local Government Magazine.