New Fund To Help Economic Growth, Protect Jobs

The establishment of a new fund to help finance public infrastructure projects around the region and help protect jobs has been confirmed in Environment Bay of Plenty’s Ten Year Plan.

After considering public submissions and holding public hearings on its draft Plan, the regional council has decided to proceed with setting up the Regional Infrastructure Fund, making between $20 million and $40 million (subject to economic circumstances) available during the ten years for major projects.

“For two years the council has been investigating ways it can leverage its investment in the Port of Tauranga to help support economic development in the Bay of Plenty and believes the establishment of this fund is the best way to do that,” Environment Bay of Plenty Chairman John Cronin said.

“This is a significant new activity for the regional council and while final decisions on exactly when the fund will be launched have yet to be made, we are aiming to have it set up by 2011.

“We expect the fund will be able to support major new projects or help upgrade existing public infrastructure and will receive applications from external parties including industry, city and district councils.”

Money for the fund was raised through a share issue in Environment Bay of Plenty’s wholly-owned Quayside Holdings Ltd through which it holds its investment in the Port of Tauranga. The process of setting up the fund is laid out under the Local Government Act 2002 which stipulates the money raised cannot be used for rates relief or operational costs but must be used for capital expenditure.

Overall, the total spending for council outlined in this Ten Year Plan is $69.7 million in Year One (2009/10), $83.1 million in Year Two and $100 million in Year Three.

The Ten Year Plan 2009 – 2019 was adopted at the regional council’s meeting today.

ENDS

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