Civil Contractors New Zealand (CCNZ) is warning more work is needed to tackle underinvestment in New Zealand’s transport infrastructure.
The concerns are in response to the Ministry of Business, Innovation and Employment’s latest National Construction Pipeline Report 2018.
CCNZ chief executive Peter Silcock says the report only shows “marginal increases” in infrastructure investment.
“While it’s good to see steady long-term growth, a lot of this is coming from increased residential development.
“Marginal increases for major projects simply aren’t enough to tackle the challenges we’re facing in our water and transport infrastructure.
Silcock is also concerned spending for transport infrastructure construction will reduce with design, consenting and preparatory work for new projects over the next two to three years as the Government’s focus shifts from state highways to light rail and rapid transit.
“Most of the work on the ground won’t begin for several years. This is a serious concern for contractors. Planning and consenting work for major infrastructure projects needs to start now for work intended to start in 2023.”
Silcock says New Zealand runs the risk of losing workers across the Tasman as the reduction of work on the ground will come at a time when infrastructure work on Australia’s east coast is booming.
