Local government powers national economic success

The role of local government in the local and national economy was discussed at today’s ‘Local economies driving national success’ session, part of the Local Government New Zealand conference in Hamilton.

The session ranged across three major topic areas including the part local government will play in the new national tourism plan being developed by TIANZ; how councils enable irrigators to contribute to economic growth while protecting our rivers and lakes; and councils’ role in supporting trade with China.

In his opening, Chair of the session, Stuart Crosby, Mayor of Tauranga City Council, made the following key points:

· Local government is an enabler of economic growth;

· We are responsible for the critical infrastructure and services that enable business to operate and grow; and

· This represents close to $8 billion of investment per year.

Major points from the three presentations were:

TOURISM

Martin Snedden, Chief Executive, Tourism Industry Association New Zealand

· Tourism is a huge opportunity for local economic growth. It is big business across New Zealand with total exports of around $10 billion per annum;

· The Tourism Industry Association of New Zealand will launch a National private sector led tourism plan on October 1st. Martin Snedden confirmed in his presentation that Local government is a critical partner in the plan. He highlighted that significant growth will come from the Asia-Pacific rim. Visitor numbers from China in particular are forecast to grow strongly and we need to be ready; and

· The new Tourism plan will help focus the private and public sectors on improving the visitor experience for future visitors.

CHINA

John Christie, Chief Executive, Otago Chamber of Commerce

John Christie presented the case study relationship between Dunedin and Shanghai. He demonstrated the value from Dunedin City Councils investment in the Sister City relationship for nearly 20 years.

He emphasised the important role Local Government plays in securing economic opportunities from the relationship. Mayors open doors for businesses looking to trade with China.

The cities recently launched an Economic Development strategy has provided the platform for a collaborative approach across key stakeholders in Dunedin’s economy.

The business community stated key messages for any councils looking to leverage local economic growth through engagement with China included:

· The need for councils to commit to developing sister city relationships with China;

· Resources must be made available to ensure Mayors visit regularly;

· Regular communications and visits over the long term will enhance future economic opportunities;

· Having a strategy and implementation plan with an economic focus is import for achieving successful economic growth outcomes; and

· Being accountable and communicating the value from the investment in the relationship to ratepayers is important.

IRRIGATION

Andrew Curtis, Chief Executive, Irrigation New Zealand

Andrew Curtis emphasised the important role local government plays in providing irrigation to the agriculture sector.

The key points he made during his presentation were that:

· Local government needs to focus on reliability and sustainability;

· Certainty of water supply enables investment; and

· For every dollar invested there is a $3 return from increased productivity

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