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

 


Share offer proceeds boost capital investment

Share offer proceeds boost capital investment

The success of the Government’s share offer programme provides a further $1 billion of new capital investment in Budget 2014 without the need to borrow more from overseas lenders, Finance Minister Bill English says.

“The share sale proceeds saw $4.7 billion go to the Future Investment Fund and we said we would spend $1 billion of that on schools, and a further $1 billion on health,” he says.

Future Investment Fund allocations in Budget 2014 include $200 million for health, including $67 million for a new Grey Base Hospital on the West Coast. That takes health spending from the Fund since 2012 to $684 million.

Education is allocated $172.5 million in Budget 2014 to continue the upgrade and replacement of school buildings, and to build new ones, including Pegasus Bay School in North Canterbury. That takes total spending from the Fund on education since 2012 to $391.8 million.

KiwiRail receives a further $198 million from the Future Investment Fund, of which $150 million is earmarked for infrastructure. An additional $25 million covers Aratere-related costs.

In addition to allocations from the Fund, Budget 2014 provides $375 million of new capital for the New Zealand Transport Agency, by way of an interest-free loan, to accelerate $815 million worth of Auckland transport projects.

Other spending allocated from the Future Investment Fund in Budget 2014 includes:
• $75 million for a Christchurch housing contingency.
• A further $40 million to Crown Irrigation to invest in the design and construction of irrigation schemes to boost agricultural production.
• $30.6 million towards the Hobsonville Land Company housing development.
• $11.3 million towards the Crown buying the TVNZ Archive at Avalon.
• $8 million on Te Papa for maintenance and repair.
“Budget 2012 allocated $533.3 million from the Future Investment Fund and Budget 2013 a further $1.4 billion,” Mr English says. “So the $1 billion in this Budget brings the total so far to almost $3 billion.

“That leaves nearly $1.7 billion in the fund for spending on new public assets in Budgets 2015 and 2016, without us having to borrow,” Mr English says.

“This means that thanks to the share offer programme, taxpayers will not have had to borrow money for new capital spending over about five years. The programme to sell down some of our assets to fund new ones is delivering.”

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Patience: Drive Safe

Be patient before passing is the AA's message for drivers this Labour weekend.

"People taking crazy risks to get past other vehicles is one of the most dangerous things on the road,” says AA spokesperson Dylan Thomsen.

“The weather is looking good for the long weekend so the roads will be busy. Unfortunately, that also increases the chances of people getting frustrated and trying a risky passing manoeuvre. When they get past, there will probably be more traffic up ahead anyway so it won’t get people there faster.” More>>

 
 

Parliament Today:

Employment Relations Bill: Govt Strains To Get Tea Break Law Through

The Government has been left with egg on its face - failing to get its much-vaunted, but hugely unpopular, meal break law passed in the first week of its new term, Labour spokesperson on Labour Issues Andrew Little says. More>>

ALSO:

Guns: Police Association Call To Arm Police Full Time

"The new minister gave his view, that Police do not need to be armed, while standing on the forecourt of parliament. The dark irony was that the interview followed immediately after breaking news of a gunman running amok in the Canadian parliament in Ottawa..." More>>

ALSO:

Gordon Campbell: On The Tokenism Of New Zealand's Role Against Islamic State

Our contribution against IS will be to send SAS forces to train the Iraqis? That’s like offering trainers to General Custer just as the 7th cavalry reached the Little Big Horn. More>>

ALSO:

Scoop Business: Shell And Todd Caught Drilling Without Approval

Multi-national oil company Shell’s New Zealand arm and local energy giant Todd Energy have breached the new law governing New Zealand’s Exclusive Economic Zone, the Environmental Protection Authority says in an Oct. 10 document released by the Green Party. More>>

ALSO:

Gordon Campbell: On Pharmac, Gough Whitlam And Sleater-Kinney

We’re not at the outset of these negotiations. The outset was six years ago, and negotiators were hoping to have some sort of ‘framework’ deal finished in time for the APEC meeting in a few weeks’ time. These ‘extreme’ positions are what we’ve reached near the intended end of the negotiations… More>>

ALSO:

PM Of Many Hats: Questions, No Answers On Whale Oil

Dr RUSSEL NORMAN (Co-Leader – Green) to the Prime Minister: How many times since November 2008 has he spoken with blogger Cameron Slater on the phone and how many times, if any, has he texted him?
Rt Hon JOHN KEY (Prime Minister): None in my capacity as Prime Minister. More>>

ALSO:

Aussie Investigation Dropped: Call On Minister McCully To Pursue The Case Of Balibo Five

West Papua Action is deeply concerned at the lack of any clear outcome from the Australian Federal Police inquiry into the 1975 deaths of the ‘Balibo Five’ including NZ journalist Gary Cunningham. More>>

ALSO:

'Feed The Kids' Bill: Metiria Turei To Lead Fight On Feeding Hungry Children

Green Party Co-leader Metiria Turei is urging all political parties to support the Feed the Kids Bill which she inherited today from Mana leader Hone Harawira. More>>

ALSO:

Parliament Today: State Opening Of Parliament

The House sat at 10.30am on Tuesday before MPs were summoned to hear the Speech from the Throne in the Legislative Council Chamber. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news