While the covid-19 recovery fund has $3 billion set aside for infrastructure Soal is not confident water storage and reticulation will fit the Government’s bill.
“We were really excited about the opportunity unfolding for water as we face huge economic challenges.”
But the Budget failed to deliver.
“This is missed opportunity,” Soal said.
“Water is a key part of productivity growth needed to grow the economy in our economic recovery.
“But that was not highlighted or supported as such in the Budget. We hoped to see some targeted investment around water.”
Soal said Water NZ, Infrastructure NZ and Irrigation NZ have been in talks about a national strategy for water to support and provide guidance at regional decision-making level.
“We will continue to push the Government in that direction with investment in regional development that will open opportunities through water infrastructure.”
Soal is not holding out hope for large-scale water infrastructure projects to gain funding under the Government’s shovel-ready projects scheme.
“Like the Provincial Growth Fund it seems likely smaller-scale projects will be the winners.”
The Budget delivered better news for regional environmental projects with its $1.1b investment in the environment, biodiversity and biosecurity.
That money is aimed at creating 11,000 new jobs in regions to restore the environment.
“I would give this a B-plus,” Federated Farmers environment, water and biodiversity spokesman Chris Allen said.
“This funding to do the shit on the ground is good news as it takes the burden away from the regulatory side.”
There is good potential in these intergenerational projects so long as the money is spent wisely and it won’t be how the Government does it but how the Government partners with stakeholders to do it.
“It will go some way to support economic recovery in partnership with local government, farmers and landcare groups.”
Allen said the federation has long been working in a governance role with the Landcare and QE11 Trusts.
“This funding will allow us to get work done that normally when we suggest it there’s no funding available.”
Allen said there has always been tension between landowners and conservation estate so the Budget allocating $40m for Land Information NZ to do predator control is a big plus.
“The Government is fulfilling its obligation.”
Allen particularly welcomes the $100m committed to tackle wilding pines and the $27m to get an exploding population of wallabies under control in Canterbury, Otago, Bay of Plenty and Waikato.
He backs the call for the Government to invest in water infrastructure suggesting water storage should be a prime candidate for the tagged but unassigned $3b infrastructure spend.
Allen’s biggest concern is the extraordinary level of debt the nation is committing to.
Given the enormity of the expenditure and the pressure going on to grow the economy as fast as possible Federated Farmers will continue to remind the Government the primary sector will require Crown investment to maintain its increasingly significant contribution to the economy, Allen said.
