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

 


Taxpayers hit with an extra $2.4b for Transmission Gully PPP

Phil Twyford
Transport Spokesperson

Taxpayers hit with an extra $2.4 billion for Transmission Gully PPP

Building Transmission Gully as a public private partnership (PPP) will triple the cost to the taxpayer - to $3.4 billion - according to documents released under the OIA.

Labour’s transport spokesperson, Phil Twyford, said the use of a PPP would cost an arm and a leg, but the potential benefits were hugely uncertain.

”The only reason the Government wants to do it is that they have blown the budget on their mega motorway projects.

“A PPP for Transmission Gully is a way of building now and paying later, and Government accounting rules mean the liability won’t affect its debt reduction targets. It’s smoke and mirrors.

“Cabinet papers show that having Transmission Gully as a PPP will cost an extra 3 per cent of National Land Transport revenue – or $125 million – every year for 25 years.

“Transport officials confirmed the cost would triple but were unable to cite explicit evidence that handing the project over to the private sector to design and build would offer any specific benefits when they appeared before Parliament’s transport committee today.

“In fact the history of PPPs in big transport projects is littered with financial disasters, with four big projects in Australia falling over in recent years.

“The PPP for Transmission Gully is just one of the ways the Government is desperately trying to fund its out of control motorway building programme. It is already spending $1 billion a year on new motorways, some of which are very low value by the Government’s own figures.

“In order to build more motorways faster the Government is changing the law to allow borrowing for motorways, and is bringing in a petrol tax rise that will net more than $6 billion over the next 10 years – as well as the Transmission Gully PPP.

“This Government’s appetite for motorway projects of dubious economic value is insatiable. To keep on feeding the beast it is willing to gouge the motorist and mortgage future generations.”

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Joint Statement: Establishment Of NZ-China Strategic Partnership

At the invitation of Governor-General Lt Gen The Rt Hon Sir Jerry Mateparae and Prime Minister The Rt Hon John Key of New Zealand, President Xi Jinping of the People’s Republic of China made a state visit to New Zealand from 19 to 21 November 2014.

During his visit, President Xi Jinping met with Governor-General Jerry Mateparae, and held talks with Prime Minister John Key. The leaders had an in-depth exchange of views on bilateral relations as well as regional and international issues of common interest. More>>

 
 

Parliament Today:

Savings Targets: Health Procurement Plan Changes Direction

Next steps in implementing DHB shared services programme Health Minister Jonathan Coleman says the Government has agreed to explore a proposal put forward by DHBs to move implementation of the shared services programme to a DHB-owned vehicle. More>>

ALSO:

More on Health Policy:

Auckland Unification: 'No IT Cost Blowout' (Just More Expensive)

Following discussion of an update on Auckland Council’s Information Services Transformational Programme at today’s Finance and Performance Committee, council has released the report publicly. More>>

ALSO:

Other Expensive Things:

Gordon Campbell: On The SAS Role Against Islamic State, And Podemos

Only 25% of the US bombing runs are even managing to locate IS targets worth bombing. As the NYT explains at length, this underlines the need for better on-the-ground intelligence to direct the air campaign to where the bad guys have holed up... More>>

ALSO:

Public Service: Commission Calls For Answers On Handling Of CERA Harassment

EEO Commissioner Dr Jackie Blue is deeply concerned about the way in which the State Services Commission has handled sexual allegations made against CERA chief executive Roger Sutton this week and is calling for answers. More>>

ALSO:

Gordon Campbell:
On Andrew Little’s Victory

So Andrew Little has won the leadership – by the narrowest possible margin – from Grant Robertson, and has already been depicted by commentators as being simultaneously (a) the creature of the trade unions and (b) the most centrist of the four candidates, which would be an interesting trick to see someone try in a game of Twister. More>>

ALSO:

China President Wishlists: Greens Welcome Xi, But Human Rights Need To Be On Agenda

“President Xi has made some progress on climate change, but he must also lift the Chinese government’s game on human rights issues,” Green Party Co-leader Dr Russel Norman said... It is important that our Government continues to urge the Chinese government to show restraint and respect human rights in both Tibet and the Xinjiang province.” More>>

ALSO:

Airport Security Breach: CAA Fines Minister

Minister Brownlee has been issued an infringement notice and is required to pay a $2000 infringement fine for breaching Civil Aviation Rule 19.357(b), which states no person may be in an airport security area without an appropriate identity card or document. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news