Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Ensuring communities get a slice of the growing pie

Councils want to work with Government to ensure communities get a slice of the growing pie


14 November, 2012

The local government sector wants to work with the Government to ensure affected communities around the country can directly benefit from growing oil, gas and minerals royalties says Local Government New Zealand.

LGNZ recognises and supports the Government’s aim to grow the economy, and the work of the extraction industries is an important aspect of this.

Presently, royalties for petroleum and minerals extraction are paid to a consolidated Government fund. LGNZ is advocating a proportion of the royalties be channelled to affected communities via local and regional councils.

LGNZ this afternoon spoke to its submission on the Crown Minerals (Permitting and Crown Land) Bill to Parliament’s Commerce Select Committee. LGNZ agrees with much of the content of the Bill but says some changes are needed to help communities share in the benefit of petroleum and mining activity and for the costs of the extra infrastructure local authorities must fund to be fairly met. At present, the extra infrastructure costs fall to ratepayers. A more inclusive approach would greatly aid community support for mining activity.

LGNZ President, Lawrence Yule, says the massive ups and downs associated with extractive industries mean a community’s infrastructure is typically put under great strain during a boom period. On the other hand, it’s challenging to maintain that infrastructure – such as roads, wastewater and water treatment – to support other economic activities when mining and petroleum extraction is scaled down.

“LGNZ supports properly regulated petroleum and minerals extraction, but the nature of the related industries and the fluctuation in commodity prices is such that communities are likely to experience massive ups and downs, which both bring their challenges. This can lead to problematic ‘drive in, drive out’ based economic growth.

“We want to talk with the government about how we can ensure local people and local economies, which are an essential part of the fabric of this country, are given a fair deal, and benefit directly and that fair costs are met related to work of this sort in communities’ back yards,” says Hon Harry Duynhoven, Mayor of New Plymouth District Council.

At present, councils are not legally entitled to strike rates on land owned by the Crown. If it is private land, rates are payable by petroleum and minerals extraction companies. On the West Coast, for example, where much of the extraction industry is located on Crown Land, private companies operating on that Crown Land currently don’t pay rates but private companies down the road on private land pay their share.

#ENDS#

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Gordon Campbell: On The Ombudsman’s Verdict On Paula Rebstock And Ian Rennie

Unfortunately, the brave and damning report by Ombudsman Ron Paterson on the “flawed” and “unfair” inquiry conducted by Dame Paula Rebstock into events at MFAT pulls back the veil on a far wider issue. More>>

ALSO:

Charities' Report: Stressed Families - Overstretched Services

“Like so many of the whānau and families they serve social service organisations are under huge financial stress. The support demanded from desperate people in communities is far outreaching the resources available.” More>>

ALSO:

Detention: Wellingtonians Protest Treatment Of Refugees

Peace Action Wellington (PAW) and around 50 Wellingtonians blockaded the Australian High Commission, creating a symbolic detention centre to protest the Australian Government's policy of mandatory offshore detention for refugees and asylum seekers. More>>

ALSO:

Diver's Alarums: Breach Means Training Provider Must Repay $1.47 Million

The New Zealand School of Outdoor Studies is to repay $1.47 million (GST-exclusive) to the Tertiary Education Commission (TEC) following an investigation which showed that some student enrolments between 2009 -2014 could not be validated and that courses were under-delivered against their agreement with the TEC. More>>

ALSO:

Education: Government Plans Suggest Bulk Funding Return

Plans by the Government to return to bulk funding are likely to see increased class sizes and schools most in need missing out on much-needed resources, Labour’s Acting Education spokesperson Grant Robertson says. More>>

ALSO:

Interim Report: Auckland Looks Long Term To Pay-Per-Km Road Pricing

Aucklanders can expect to be paying variable rates per kilometre to travel on the city's most congested roads under an emerging transport strategy being formulated by the government and the Auckland Council. More>>

ALSO:

Despite Promises: Government Extends Iraq Deployment

Cabinet has agreed to extend New Zealand’s contribution to the joint New Zealand-Australia mission to train Iraqi Security Forces until November 2018. More>>

ALSO:

On The 'Terrorism' Card:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news