Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


New publication reveals fuel spending impact on development

4 August 2014

New publication reveals fuel spending’s impact on development

New Zealanders are driving less, and using less petrol than a decade ago, but the cost has gone from $3.8b to $7.8b a year says commercial property, architecture, design and research company RCG.

In the launch issue of their publication Constructive Thinking, the company examines the influence fuel spending is having on Auckland household budgets, the economy and city development.

“Auckland households spend on fuel has increased to an average of $4,500 a year, an average that increases with distance from the CBD.” says John Polkinghorne, Associate Director of Research at RCG.

“Ultimately, these added costs percolate through the whole economy. We’ve investigated how much discretionary income has “gone up in smoke” rather than into investments, savings, or retailers tills.”

“When new homes are built on Auckland’s city fringe, instead of more centrally, the residents could easily spend $2,000 more on petrol each year. That’s a drain on their economic resources, and it’s an issue for the environment.”

“As a result mixed-use developments, and inner city living, will become more popular.”

Polkinghorne says the Council aren’t doing enough to enable intensification, and the Unitary Plan won’t help. “There are too many restrictions, and a complex approval process.”

“However, fringe living could be improved by making sure that the outlying areas have access to the services they need, like shops and employment.”

Constructive Thinking goes on to point out fuel spend has a bigger impact on retailer profits than online retailing.

“Internet shopping gets plenty of media attention, but that extra $4 billion spent on fuel has certainly been a bigger drain on the economy (and on retailers’ profits) than the Internet.”

Constructive Thinking is published quarterly, visit http://rcg.co.nz/subscribe to subscribe to the free publication. For more information on RCG, visit www.rcg.co.nz.

About RCG
RCG specialises in property consulting and development, architecture and design, and research and strategy for businesses seeking commercial success. Established in 1989, we provide expert services across a range of sectors from commercial, mixed use, educational, retail, hospitality and tourism to town centres, lifestyle precincts and transport hubs.

We are New Zealand’s leading creator of innovative environments for the retail sector and deliver well-considered, smart solutions that result in commercially successful outcomes.

With the ability to assist at all stages of the development process and with projects
of any size, RCG combines the best thinking, design expertise and skill to create environments that deliver tangible results. For further information please visit www.rcg.co.nz or call 09 303 1501.

About Constructive Thinking
Constructive Thinking is an insight-driven publication that helps clients and subscribers understand the new consumer and uncover commercial property opportunities. Published quarterly, Constructive Thinking is free to subscribers.
The first issue launches Monday 4 August 2pm. For further information please visit http://rcg.co.nz/subscribe.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Housing: Affordability Drops 14%, Driven By Auckland Prices

Housing affordability across New Zealand fell 14 percent in the year ending November 2014, with Auckland’s lack of affordability set to reach levels it hit during the height of the global financial crisis, according to the latest Massey University Home Affordability Report More>>

ALSO:

The Dry: Fonterra Drops Forecast Milk Volumes By 3.3 Percent

Fonterra Cooperative Group, the worlds largest dairy exporter, reduced its milk volume forecast for the 2014-2015 season by 3.3 per cent due to the impact of dry weather on production in recent weeks. More>>

ALSO:

Strike: Lyttelton Port Workers Vote To Escalate Dispute

Members of the Rail and Maritime Transport Union (RMTU) at Lyttelton Port today voted to escalate their industrial action. Around 200 RMTU members have been operating an overtime ban since 17 December and today they endorsed a series of full withdrawals of labour at the port. More>>

ALSO:

Scoop Business: NZ Dollar Falls To 3-Year Low As Investors Favour Greenback

The New Zealand dollar fell to its lowest in more than three years as investors sold euro and bought US dollars, weakening other currencies against the greenback. More>>

ALSO:

Scoop Business: NZ Govt Operating Deficit Smaller Than Expected

The New Zealand’s government’s operating deficit was smaller than expected in the first five months of the financial year as a clampdown on expenditure managed to offset a shortfall in the tax-take from last month’s forecast. More>>

ALSO:

0.8 Percent Annually:
NZ Inflation Falls Below RBNZ's Target

New Zealand's annual pace of inflation slowed to below the Reserve Bank's target band in the final three months of the year, giving governor Graeme Wheeler more room to keep the benchmark interest rate lower for longer.More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news