$20 Million Transport Package to Improve Central Hawke's Bay Roads

$20 Million Transport Package to Improve Central Hawke's Bay Roads

 Monday 10 June 2019

 Central Hawke’s Bay District Council welcomed Provincial Growth Fund investment announcements today granting more than $20 million of funding to improve essential transport links in the district.

 The transport package will give $20.1 million to fund much needed upgrades of roads that are essential economic transport routes leading on to State Highway 2 and on to the Port of Napier. It will also provide $350,000 to fund a feasibility study to help the council understand additional upgrades and investment requirements to meet High Productivity Motor Vehicle standards on CHB roads.

Specific improvements include upgrades to the bridge network on Porangahau Road between Waipukurau and Titoki Forest. These routes were chosen based on their contribution to primary industries such as Forestry and Agriculture alongside key factors such as social and economic resilience, the potential to unlock economic development for Māori landowners, and current and future tourism growth. The upgrades will improve resilience to flooding and ensuring reliable transport links for businesses and communities across the district. 

The improved bridge network is expected to be completed by the end of 2022, with the first four bridges completed by June 2020.

 Alex Walker, Mayor of Central Hawke’s Bay said the transport package announced today will drive further economic growth for Central Hawke’s Bay and the rest of the region. “Investment of this scale, in a small community like ours, is truly transformational.

We are thrilled to be granted this funding to invest back into improving our roads which are used by our communities and businesses every day. "

“22% of exports through the Port of Napier originate in Central Hawke’s Bay.  This injection of funding will accelerate and support growth and connectivity for our primary industries, Māori landowners, rural communities and tourism.”

 Flaxmill Bridge – closed for 28 days in 2018 due to flooding, one of the bridges proposed to be upgraded as part of the Waipukurau to Porangahau Roading upgrade.

• The Provincial Growth Fund is administered by the Provincial Development Unit, part of the NZ Ministry of Business, Innovation, and Employment. The Government has allocated three billion dollars over a three-year term to invest in regional economic development through the Provincial Growth Fund (PGF).

• Forestry, fishing and mining (FFM), Manufacturing and agriculture produce 48% of the total GDP generated by Central Hawkes Bay District. These are the key sectors in Central Hawkes Bay employing 2600 people directly, around 41% of the total employed population. Much of what is produced either supports value added production elsewhere in NZ or is exported thus directly contributing to a positive balance of payments for the country.

• In 2017 this district and its industries contributed $482 Million to the regional economy of Hawkes Bay and Hawkes Bay contributes (via the above three industries) 4% of New Zealand’s total GDP in these sectors.

• Central Hawke’s Bay is planning for a tourism boom in the coming years, a boom that is already being realised. MBIE’s Monthly regional tourism estimates (MRTEs) for April 2019 show that in the 12 months to April 2019, Central Hawke’s Bay saw $36.2m of estimated visitor spend, up $2m or 4.3% from the 12 months to April 2019.

-ENDS-

Authorised by Chief Executive: Monique Davidson 

Media contact 

Monique Davidson |T 06 857 8060, M 027 422 9977 

Kim Parker, Communications and Engagement Manager |M 027 297 0542 

19 June 2019

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