The reopening of the Wairoa-Napier line for logging trains is among key projects to benefit from the government’s $3 billion provincial growth fund launched today.
Regional economic development minister Shane Jones officially announced the scheme in Gisborne with $61.7 million allocated for the first round of spending.
All regions are eligible for the funding which will be rolled out over three years.
It has the “potential to make a real difference to the people of provincial New Zealand”, Jones says.
The Wairoa-Napier line will receive $5m for KiwiRail to re-establish the network.
It is expected this will cut around 5,700 trucks from the road each year with a focus on road safety and reducing carbon emissions, he says,
Northland, Tairāwhiti-East Coast, Manawatū-Whanganui and the West Coast of the South Island are also areas targeted for big investment through the scheme.
“We are being bold and we are being ambitious because this government is committed to ending the years of neglect.
“Nearly half of us live outside our main cities. If this country is to do well, then our provinces must thrive.
“We are providing an immediate boost to these areas by investing $61.7 million into forestry initiatives, tourism ventures, rail and roading projects, and supporting these regions develop their proposals further to help them get off the ground,” Jones says.
An independent advisory panel and a newly established regional economic development unit will be assisting ministers and officials in helping allocate the $3bn.
“Our provinces are full of ideas and proposals. I have been heartened by the aspirations of so many businesses and investors, local councils, iwi, and community groups and I’m pleased to say that we now have a mechanism to see these realised,” Jones says.
Northland is receiving $17.5m in the first round of funding for several projects including the forestry sector and upgrading the Waipapa intersection on State Highway 10.
More than $6m is going towards revitalisation of the Whanganui Port and upgrade of the town’s rail line.
Gisborne and the Hawke’s Bay will get support in tourism and forestry projects with $8.6m in the first round.
