A $30 million investment by the Government to improve coastal shipping services is great news for jobs, the economy and the environment, said the Council of Trade Unions.

“A viable coastal shipping service has huge advantages for New Zealand, and we welcome the Government’s commitment to unlock the potential of the sector,” said Council of Trade Unions President Richard Wagstaff.

The investment in partnership with four shipping companies announced yesterday by Transport Minister Michael Wood, will see at least four additional New Zealand operated ships entering the service. The funding is provided by Waka Kotahi through the National Land Transport Programme.

“This will ensure the industry is more viable, allowing investment in skills development and so will help create stable, long-term employment for mariners in this vital sector which is great news as the economy recovers from the disruption caused by the pandemic.

“This is also another example of the Government being prepared to tackle some of our long-term challenges. Coastal shipping can play an important role in building a lower carbon economy by helping to switch freight from roading transport to shipping which is a lower emissions mode.

“As well as environmental benefits, the expansion of coastal shipping will contribute to regional development and build resilience in our national supply chains which have been impacted by COVID.

“Improved coastal shipping means more options for freight transport, more jobs and a stronger economy and we commend the Government for taking this step,” said Richard Wagstaff.

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