Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Call for Government to release PPP figures

Phil Twyford
Transport Spokesperson

21 November 2012

Call for Government to release PPP figures

Labour is questioning the wisdom of the Government using a Public Private Partnership to build Transmission Gully and is calling on it to release figures justifying the decision.

Labour’s Transport spokesperson Phil Twyford said the Government’s timing could hardly have been worse with four big Australian transport PPPs collapsed or in the process of falling over.

“Gerry Brownlee says with great confidence that PPPs are suited to these big infrastructure projects but history shows they are fraught with problems. The failed Australian PPPs, the most recent of which was the Brisbane airport motorway, fell over because of over-optimistic traffic projections.

“After the Australian PPP collapses, and the failed London tube PPP, it is hard to imagine there would be any private sector investors willing to take on the patronage risk in such a project. If the Government carries the risk, and the only gain from a PPP is construction efficiency, then it is hard to see how a PPP would deliver value for the taxpayer given that Government can borrow money so much more cheaply than the private sector.

“Gerry Brownlee should release the business case for the PPP so the public can be reassured that this project will deliver value, and is not just an expensive way to push the cost of the project onto future generations.

“If the Government is so confident a PPP will cost less, why not put out to tender both the PPP version and a design-build option funded by the Crown? Then the public can see the true cost comparison.

“Given the $12 billion price tag for its Roads of National Significance, the Government is desperate to find extra funding options. They are about to raise petrol and diesel taxes, they are legislating to allow borrowing for state highways, and now they are using a PPP to obscure the real cost and saddle the next generation with 25 years of cost which is probably higher than alternative methods.

”The RoNS are not justified economically. It would be better if the Government reviewed its motorway-building programme and saved billions of dollars by cutting the more wasteful and low value projects,” Phil Twyford said.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell:
On Andrew Little’s Debut, Mockingjay, And Drunk Texting

John Key’s credibility has taken a hammering this week – at least among the 50% of the electorate who have always had doubts about him on that score.

The other substantial story of the week has been about Andrew Little’s debut as Labour leader, which has received top marks, especially among the 25% of the electorate still voting Labour. According to some reports, the Labour caucus has been ‘in seventh heaven’ about Little’s success this week in taking it to the government in the House. More>>

ALSO:

 
 

Parliament Today:

Gordon Campbell: On Government Arrogance

Right now, National is ramming anti-terrorism measures through Parliament. This legislation will grant the SIS the power to carry out 48 hour bouts of surveillance on anyone without a warrant, and will bestow on government the power to unilaterally revoke anyone’s passports and thus deny them the freedom to travel. More>>

ALSO:

Glenn Inquiry: Report Offers Solutions To Family Violence

The People’s Blueprint unveiled today by Sir Owen Glenn’s independent inquiry into child abuse and domestic violence outlines a new, more cohesive and effective system for reducing New Zealand’s alarmingly high family violence rates. More>>

ALSO:

Environment Commissioner: Changing Climate And Rising Seas - Understanding The Science

A rising sea will be with us for a long time to come – one way or another we will have to adapt. But how high and how fast the water rises will be influenced by the speed at which the world – including New Zealand – reduces greenhouse gas emissions over the coming decades. More>>

ALSO:

Key Texts With Whale Oil Released: PM Can’t Be Trusted Over Dirty Politics Defence - Greens

John Key’s answers to questions about dirty politics can’t be trusted, after he was forced to admit that he had misled journalists and Parliament about contact with attack blogger Cameron Slater, said the Green Party today.. More>>

ALSO:

Temporary Release Crackdown Continues: Corrections Review Of Phillip Smith Case

“The review by Corrections’ Chief Custodial Officer reveals that the plan for Smith’s series of temporary releases was overly ambitious and misinformed. He’s a highly manipulative and deceptive person who although technically eligible, should not have been considered for temporary release." More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news