Wellington Chamber of Commerce

Media Statement

Tuesday 10th May 2016

Sustainability, resilience and growth must be at centre of council’s plan, says Chamber

Sustainability, resilience and economic growth must be at the centre of Wellington City Council’s annual plan for 2016/17, Chamber of Commerce Chief Executive John Milford said today while presenting the Chamber’s submission on the plan.

He said the plan was promising, and it was positive to see some focus on resilience and economic growth.

“The recent announcement of the leadership of the Wellington Regional Economic Development Agency [WREDA] and progress towards an Urban Development Agency in this year’s plan are two developments which increase the business community’s confidence in the council’s leadership.

“We expect WREDA will take a high-level strategy and develop an operational plan which will include all relevant parties. Their strategy must have economic growth at its heart because if they get that right then everything else will follow.

“The Chamber believes urban planning and development is of paramount importance, and the Chamber supports the implementation of an urban development agency.

“There are areas where swift action is required, for example increasing tourism is increasing demand for accommodation facilities. An urban development agency would ideally have the powers to secure the necessary land and efficiently facilitate project development and implementation.

“Achieving successful results will depend on the people chosen to operate it. We would expect great efforts be made to attract and retain talented specialists.

“Since a great effort is being made to introduce a body which is independent, the Chamber would expect this body to comprise solely of independent, non-council specialists. We would also expect it to have Key Performance Indicators, and to communicate transparently with its stakeholders, such as ratepayers.

“The Chamber will continue to monitor the implementation of, and proposed funding for, this agency. Wellington cannot afford to wait for bureaucracy to take its course. Wellington requires this agency to act as a catalyst for economic growth.”

Mr Milford said he was surprised there hadn’t been more urgency around investment in upgrading Wellington’s water supply resilience.

“The recent Wellington Water report highlighted that Wellington’s water supply network is very fragile and susceptible to being cut off for up to 100 days in the event of a major earthquake.

“If this infrastructure were to be harmed, we would have wasted our time discussing the items on your Annual Plan agenda – as these would suddenly appear very insignificant.

“Our water infrastructure needs be included in Council plans, and made a key priority. We need to see some kind of action plan outlining how the regional authorities are planning to address this.”

He said there was a case to review how funding for arts events is allocated.

“I recognise the importance of arts and culture to Wellington – this is our competitive advantage. It’s crucial we support organisations that sustain our creative culture.

“But I do have concerns about continuing to increase this particular fund. There are some major infrastructural projects we have committed to, and some which we really need to commit to – and in this tight fiscal environment I do worry about increasing funding elsewhere.

“Might I suggest there is a case to review how funding is allocated, and whether it can be re-allocated rather than expanded, or funded by other means.

“For example, could some of the major funding awarded to Te Papa be re-allocated to those smaller, reliant organisations? Te Papa is performing very well in terms of visitor numbers, and I wonder whether a reduction in funding would be missed – or whether it could in fact be earned from elsewhere – say attaching a price to exhibitions?”

On rates, he said the Chamber expects the council to take a financially prudent approach to project prioritisation and planning, rather than progressing a wish-list.

“When projects are being considered which add to rates increases, and are not necessary for economic growth or resilience, we expect to see reductions made elsewhere.

“We ask that wish-lists be set aside in favour of investment into what is necessary. We will soon be demanding that these elements be placed at the centre of all political agendas, too – so watch this space.”

Some other points from the Chamber’s submission:

• The Chamber endorses policies which seek to reduce carbon levels in Wellington, provided these policies are well-balanced and considerate of all participants in the community.

• Without a financial plan, a transfer of ownership of the Zealandia building to council will not increase the value of this asset, and instead creates a liability to ratepayers. We suggest divesting of this asset altogether.

ENDS

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