The Bay of Plenty town of Kawerau is receiving $19.9 million from the Government’s Provincial Growth Fund for roading and rail infrastructure.
This includes $9.6m for the Kawerau Container Terminal, $7.5m to Putauaki Trust for roading extension and infrastructure and $2.8m to Sequal Lumber for an off-highway road. The project is expected to create at least 150 jobs in Kawerau.
“The funding will go to three projects to further develop the Putauaki Trust Industrial Hub, an industrial development which will act as a catalyst for much-needed economic growth the Eastern Bay of Plenty,” regional economic development minister Shane Jones says.
“Putauaki Trust Industrial Hub needs an efficient rail link to transport goods and connect heavy industry in the Bay of Plenty to global markets. A reliable road network is also essential for the hub to attract new businesses,” he says.
The construction of rail siding at the Kawerau Container Terminal will allow for the loading and unloading of containers. This will take pressure off roads by removing an estimated 40 daily truck trips from local roads and reduce Co2 emissions.
The Putauaki Trust industrial roading extension will connect around 50-hectares of vacant plots within the hub to existing roads by adding a turning bay and a roundabout on SH34.
The Kawerau off-highway road will be a new 1.6km stretch direct to the Kawerau Container Terminal. This will be used by large vehicles that cannot use the existing highway.
In 2018, the Putauaki Trust Industrial Hub received $2m for the first stage of construction.
“This is an exceptional example of the Government partnering with Māori, local council, businesses and the community to create a landmark change for the future of Kawerau.
“We back communities such as Kawerau by funding projects that will make a difference to the lives of local people for generations to come, while boosting industries vital to New Zealand’s economic success,” Jones says.
KiwiRail chief executive Greg Miller says a new rail hub for the Eastern Bay of Plenty is welcome news.
“KiwiRail’s role will be to build the new rail siding and to run week-day train services beginning in 2021 between Kawerau and Port of Tauranga.
“The siding opens the way for containerised exports to travel directly to Port Tauranga from Kawerau.
“Export containers from Norske Skog, Sequal Lumber and Waiu Dairy will underpin the new train service as well as creating capacity for other exporters in the region.
“This is part of road and rail working together in a much more integrated way, improving efficiency and saving costs,” Miller says.
The project is expected to take about 18 months to complete.
