Trucking Industry Looks Forward To Working With New Transport Minister

Monday, 2 November 2020, 2:08 pm
Press Release: Road Transport Forum

Road Transport Forum chief executive Nick Leggett says the trucking industry congratulates Michael Wood, who has been today announced as Minister of Transport, and he looks forward to working with him on the critical issues and opportunities ahead.

“This is an important portfolio so we are pleased to see Minister Wood who has a background and interest in it,” Leggett says.

“Roads are the lifeblood of the economy and we believe the trucking industry will be a strong contributor to recovery from the impacts of the Covid-19 pandemic.

“Covid-19 has highlighted a critical need for better understanding by Government and officials about how the global supply chain works and how that flows through to moving goods into, out of, and around New Zealand. There are some significant supply chain issues ahead and we will be asking the Government for immediate attention to this.

“As the Government launches its recovery plans for Covid-19, we look forward to being part of that. We do not produce everything in New Zealand and we rely on the global supply chain, so free movement of goods is essential to a healthy trucking industry.

“We will be sending a briefing to the incoming Minister regarding all the components we believe are important to ensuring the New Zealand economy can rely on the flow of exports and imports, and New Zealanders can get the things they need every day in a timely and affordable way. We will release that briefing in due course.”

Leggett thanked the outgoing Minister of Transport, Phil Twyford, for his work in the portfolio and commitment to open dialogue with the industry.

About Road Transport Forum New Zealand (RTF)

RTF provides unified national representation for several regional trucking associations. RTF members include Road Transport Association NZ, National Road Carriers, and NZ Trucking Association. The affiliated representation of the RTF is about 3,000 individual road transport companies which in turn, operate 16-18,000 trucks involved in road freight transport, as well as companies that provide services allied to road freight transport.

The road freight transport industry employs 32,868 people (2.0% of the workforce), has a gross annual turnover of $6 billion, and transports 93% of the total tonnes of freight moved in New Zealand.

New Zealand urgently needs to focus on supply chain

The global effects of Covid-19 are putting real pressure on the New Zealand supply chain, economist Cameron Bagrie told the road freight transport industry this week.

Covid-19 meant no industry conference this year, so the Road Transport Forum invited Cameron to give us one of his popular industry updates via Zoom.

There was good news and bad news, and Cameron is pretty good at looking at how you can turn the bad news into good news. But there is no escaping there is pain ahead as we watch parts of Europe and the UK shut down again for a second autumn/winter wave of Covid.

What Cameron told us is what we are hearing across the board, and we are trying to get Government to listen. If for example, there is a Covid-19 vaccine and New Zealand is able to secure some, the supply chain is not in place to get it here and distribute it.

While exports are still working for New Zealand, imports are going down and sourcing goods is becoming a problem.

Cameron says people are talking about demand when they should be talking about supply – Covid is not supply friendly and “the Reserve Bank can’t fix supply chains”.

New Zealand is a small market to service and so is never going to be at the top of the queue. And while we can do a lot for ourselves, we are reliant on all manner of goods coming into the country to let us do that. When securing essential items becomes impossible, what’s the plan?

Some urgent thinking needs to go into managing this growing and critical risk and looking at how New Zealand can boost capability locally and fast.

Unfortunately, this doesn’t apply to goods only. Migration numbers have gone from booming to collapse which creates another point of vulnerability for New Zealand. There have been years of underinvestment in key skills and capability because we could always import them from overseas, Cameron says. But to get the economy moving in areas such as infrastructure, or to manufacture locally what we can no longer source from off shore, we are woefully short of expertise.

In the spirit of never letting a good disaster go to waste, Covid-19 presents opportunities for some.

“Think small to stand tall,” Cameron says. While the macro-economy is beyond the control of individual businesses, focus with a ruthless obsession on all the little business levers. Get up every day and make a small improvement and over a couple of months, the dial will start to move in the right direction.

While human instinct may be to hunker down in bad economic times, the people being rewarded in the Covid world are those taking risks and there is a growing wedge between firms that are adaptive and those that are not.

Covid-19 is a bit of a lightning rod for rapid changes that were already occurring. People working from home, for example, was starting to happen but became the only option during lockdown. The changes that have come with that means distribution moving from city centres to suburban areas as people start to buy in the suburbs where they are working, rather than the central business district where their company may have been located.

There is also pressure in an economic downturn to cut prices but if items are in short supply, or can’t be sourced, no sensible business is going to do that. The reverse is more likely.

Cameron wants to see both the Government and businesses take more risks and embrace technology and change. He would prefer the Government out there spending on critical infrastructure and the Reserve Bank doing a lot less. He is critical of the Reserve Bank driving down interest rates and says all this will do is widen the gaps between the “haves” and the “have-nots” in our society by making housing affordability worse.

He had some strong advice for the RTF too and that was to keep making some noise on the government front as there is not enough representation for small and medium sized businesses.

“You are going to be getting into a bit of a dog fight, but it will be needed,” he said.

As we wait for the new Government to be formed, we are certainly gearing up to represent our essential part of the supply chain that is going to keep New Zealand moving in any kind of Covid-19 response and recovery.

We recorded Cameron Bagrie’s presentation and as this is just a snapshot, it is well worth viewing here.

– Nick Leggett, CEO, Road Transport Forum

National pledges new tunnel and highway in Wellington transport plan

The National Party has pledged a $4 billion infrastructure package for Wellington and the Hutt Valley if it is voted into government.National Party leader Judith Collins announces the party's $4b transport infrastructure plan for Wellington and the Hutt Valley, on 5 August 2020.

National Party leader Judith Collins announcing the party’s Wellington region transport policy in Petone today. Photo: RNZ / Charlie Dreaver

Leader Judith Collins made the policy announcement in Petone today, as part of its $31b transport infrastructure policy announced last month.

The package includes fast-tracking the construction of a second Mt Victoria Tunnel and building a second Terrace Tunnel.

The party is also promising to construct a new highway connecting Seaview, Lower Hutt, to State Highway 1 north of Wellington and introducing rapid buses or trackless trams between Wellington CBD and the airport.

The Wellington and Hutt Valley transport Package includes:

  • Fast-tracking construction of a second Mt Victoria Tunnel and delivering a second Terrace Tunnel
  • Fixing congestion at the Basin Reserve through grade-separation
  • Rapid transit between Wellington’s CBD and airport in the form of rapid buses or trackless trams
  • Removing highway traffic from Wellington’s inner-city streets by undergrounding SH1 through Te Aro
  • A new highway connecting Seaview in Lower Hutt to SH1 north of Wellington
  • Upgrading Wellington’s metro network, including new trains to improve services between Wellington, Masterton and Palmerston North
  • Widening SH1 to four lanes between Wellington’s CBD and airport (Ruahine St and Wellington Rd)
  • Widening SH2 to four lanes between Silverstream and Whakatiki St in Upper Hutt, and fixing dangerous intersections through new interchanges

Collins said the spending would be in addition to funding already been promised through regional council and government’s Let’s Get Wellington Moving plan and the New Zealand Upgrade Programme.

She said a new Mt Victoria Tunnel will deliver more reliable travel times between Wellington’s CBD and eastern suburbs, as well as the airport.

“This region is choked by congestion. Wellington has the worst traffic in Australasia for a city under one million people,” Collins said.

As part of the package the party is looking to establish a new body to deliver National’s redesigned let’s Get Wellington Moving package.

Transport spokesperson Chris Bishop said a Wellington Transport agency wasn’t a new idea, but it was one that had real merit.

“Transport in Wellington has been a debacle for far too long – we only have to look at the lasagna of failure two years ago with the buses.”

Bishop said at the time the regional council blamed the city council and the city council blamed the regional council.

“Wellingtonians were just left there saying ‘what on earth has gone wrong’ and ‘why can’t the buses go on time anymore?’,” he said.

Labour’s transport spokesperson Phil Twyford agreed a new agency could be a good idea if the councils agreed.

But he hit back at National’s lasagna claim.

“I would say the National Party cooked that lasagna, the bus-tastrophe that happened over the last couple of years was a direct result of the public transport operating framework that National legislated and we’ll be fixing it,” he said.

He also questioned how the National Party would pay for an extra $31 billion in its infrastructure programme on top of what Labour had already committed to.

“They’re not telling Kiwis how they’ll fund these massive promises, what projects are they going to cut?” he said.

Twyford said Labour was committed to a second Victoria Tunnel – however, it had previously pushed back construction to as late as 2029.

Twyford said a second Terrace Tunnel was not priority.

In previous transport announcements National promised to connect Ōtaki to Wellington’s electric commuter train network, fast-track a four-lane expressway from Ōtaki to Levin and a Palmerston North rural ring road.

Firth of Thames best home for a new port for 100-plus years: Auckland Business Chamber (and Cubic agrees)

The suggestion of the Firth of Thames is a
The suggestion of the Firth of Thames is a “brave, big call”. Photo/ Google

By: Andrea Fox Herald business writer andrea.fox@nzme.co.nz

Just when you thought not another report could be wrung out of Auckland’s port future debate, the Auckland Business Chamber is urging all Kiwis to completely “re-imagine” a port for 100-150 years – and it’s pick is in the Firth of Thames.

After staying pretty quiet during a flurry of reports over shifting the Auckland port, the chamber is launching its own take, “A Port for the Future”, which invites the community to use an accepted timeline that the existing port will do for another 25 or so years, to carefully plan another to last more than another century.

And for port observers feeling reported-out, Chamber chief executive Michael Barnett assures “this is not another report”.

“It is an effort by the chamber to get people to re-imagine where a port might be and what would be the best for New Zealand and New Zealand business – not a competition between Auckland and North or Tauranga but an informed discussion of what could be.”

Barnett said the chamber represents the voice of Auckland business without bias, and in this neutral position has stepped back to analyse all the discussion around the relocation of the port from Waitemata Harbour.

“The chamber … now realises that the issue is not just an Auckland problem, but is one that, if done correctly, will bring benefits right across New Zealand.”

The chamber had concluded the existing port was fully sustainable for another 25 to 30 years and that a solution is required beyond that. To provide a port solution beyond the generation after next required vision and a willingness to go beyond the familiar.

Ports of Auckland has 25-30 years of life left in it, says Auckland Business Chamber. Photo / Michael Craig
Ports of Auckland has 25-30 years of life left in it, says Auckland Business Chamber. Photo / Michael Craig

The chamber’s offering makes a case for a man-made island ship exchange terminal in the Firth of Thames, connected by broad gauge rail to a container terminal facility in the vicinity of Pokeno/Meremere.

The island terminal would be “a whole-of-New Zealand” terminal servicing large foreign trade ships handling all import and export containers. The report does not discuss costs but points to several overseas examples to underline there is nothing in the paper that is not tried and proven elsewhere in the world.

“What is running out (for the existing port) is social licence and that’s what’s motivating us to try to accelerate the debate and re-imagine what a port could look like”, Barnett told the Herald.

“What’s been uncomfortable has been the apparent political nature of the discussion so far, it tends to have been personality-driven from the north – almost an anti-Auckland thing. Yet this isn’t about either of those things, it’s about a nation down in the South Pacific dependent on its ability to import and export.

“We need something for the next 100 years and the people of New Zealand should make that choice. It’s not up to a politician or a government.

“(So far) we have re-imagined the port simply by saying ‘let’s pick up Auckland port and take it north (to Northport)’. I’m saying we can do it another way.”

The chamber will widely distribute its paper within the freight, transport and shipping sector and invite comment and discussion directly to the chamber.

The chamber’s analysis concluded there would always be a need for a port in Auckland – “just not as we know it”.

Auckland Business Chamber chief executive Michael Barnett.
Auckland Business Chamber chief executive Michael Barnett.

Social licence issues arising at New Zealand ports were “but the tip of the iceberg and demonstrate that the focus being purely on relocation of the Port of Auckland is extremely narrow and has the potential to lead to a flawed conclusion”, said the paper.

“Ports of Auckland is clearly approaching a sunset phase, however, it is the chamber’s view that the present facility will be capable of handling existing throughput plus growth for several years to come … (but) it is inevitable and acknowledged by the chamber, that the port’s container facilities will be shifted from the present location to another site.”

The paper said volume growth and investment required at the Port of Tauranga, along with “other issues starting to emerge” made it “pretty safe to assume that the Tauranga terminal will also be looking for a new location in future”. In four weeks the Tauranga port handled as many containers as Wellington’s port in a year.

Current modelling showed that with the construction of the future city of Drury South, the Auckland-Hamilton-Tauranga triangle would encompass four of New Zealand’s six largest cities.

Over the next 30 years the population in the area between greater Auckland and Taupo was forecast to grow by 7.8 per cent a year. During this time the rest of New Zealand’s population was predicted to grow by 2 per cent a year and by 3.6 per cent north of Auckland.

The option of developing a new port at Manukau Harbour raised in earlier reports was indeed an option when considered just in the context of Auckland, the paper said.

“However it is not compatible with the chamber’s objective of providing a future solution that will benefit NZ Inc. Throughout … the chamber has avoided introducing untested or yet to be implemented technology as will be required to overcome the hazardous conditions presented by the Manukau Harbour entrance.”

The Firth of Thames had been looked at in studies over the past 25 years.

“Unfortunately the concept appears to be too far out of the mainstream for people to understand, especially as it has only been viewed as a solution solely for Auckland and suggest constructions methods based on the traditional.”

The paper details modern construction methods used overseas.

Barnett concedes the chamber’s suggestion of the Firth of Thames is a “brave, big call” given the environmental, wildlife and iwi concerns that are likely to be raised against it.

But with time on New Zealand’s side for consultation, research, innovation and planning, problems could be properly addressed and hopefully overcome.

Barnett, a veteran of port group discussions over the years, worked with ports consultant Tony Boyle to produce the paper. The project cost did not exceed $10,000, he said.

“But I like to think it is rich in intention.”

New initiatives at KiwiRail’s Southdown container transfer site

The following announcement from KiwiRail concerns changes at Southdown.

We’re proud that our Southdown Container Transfer site is the third largest container handling facility in New Zealand and a critical part of many of our customers’ supply chains. Each year we handle around 450,000 TEU through this site.

Over the past five years we’ve invested over $30 million at Southdown to improve service, resilience and support growth:

• Truck entry laneways have been streamlined for KiwiRail, MetroPort and MetroBox container flows
• New top lifters to meet the growing freight volumes
• New reefer towers to handle increasing demand for temperature controlled cargo
• Upgraded rail grids for MetroPort
• Improved site traffic management systems

We’re now about to introduce two new initiatives to further improve the speed and flow of containers through Southdown for our road transport partners.

Vehicle Booking System to speed-up container throughput

With up to 1,200 trucks visiting our Southdown site each day to either deliver and/or uplift containers, and with only the Port of Tauranga’s Metroport part of the site currently operating a Vehicle Booking System (VBS) we are aware that congestion can become a real issue at certain times, as a result of trucking operators having to queue up to enter the site.

To ensure that the whole site is able to run more smoothly and to provide a more streamlined and faster process for all of our customers, KiwiRail is going to introduce a VBS which will apply to all non-Metroport volumes later this year. This will result in a reduction in average truck queueing times across the whole site.

The VBS will be an online tool, using the same product as that used by the Port of Tauranga’s Metroport operation at Southdown.

This will mean that not only will the whole site now use a VBS, but by having the same system as that already in place with Metroport, it should significantly improve the experience for many operators.

By being able to book specific container delivery or uplift timeslots, it will enable truck arrivals at the site to be more evenly spread across each day.

This will result in faster truck turn times due to reduced queuing times, thereby increasing truck productivity and efficiency and provide a general improvement in on-site safety through a reduction in overall site congestion.

Having the same VBS will also help minimise any training requirements, as trucking companies currently servicing Metroport will already be very familiar with using it and for any new users, we will be arranging all necessary training for your staff at no cost to you.

While there will be a cost for the use of the VBS, just as with all other such systems, we are firmly of the view that the improvements this will provide transport operators through increases in fleet productivity, will provide much greater value than the system’s cost to use.

Please note that we are not currently intending to introduce a VBS at any other of our container transfer sites at this time.

We will provide further updates on this initiative once we have a confirmed start date for the system, including how we plan to roll out the required training we will be providing to all new users.

Certified Weighbridge

We are also going to be installing a brand new, fully certified weighbridge at our Southdown site which will be available for use by both customers and the general public.

It will be positioned near the entrance of the site, so it is easily accessible not just for truck operators wishing to enter the site, but also for those who simply want to have their trucks check-weighed.

At this stage we expect the weighbridge to be commissioned and available for use before the end of the year and we will provide you with more information about processes and proposed charges for using it, prior to it becoming operational.

We trust you will find these as positive enhancements to our services and we look forward to being able to commission both in the near future.

Freight company CEO says Manukau Harbour ‘wouldn’t work’ as a Ports of Auckland replacement

A top freight executive says no shipping company would choose Manukau Harbour as a potential new destination for an Auckland port.

A report by economic consultancy Sapere published yesterday ranked Manukau Harbour as the best option. It considered Northport, Manukau, the Firth of Thames, the Port of Tauranga and a shared increase in capacity at both Northport and the Port of Tauranga.

An earlier report, backed by New Zealand First, identified Northport at Marsden Point as the best option. The report was completed by a Government working group led by former Far North mayor Wayne Brown.

Auckland Mayor Phil Goff called the previous Northport work “shoddy” and Transport Minister Phil Twyford said it “had a clearly predetermined outcome” in favour of moving the port to Marsden Point.

New Zealand First still backs Northport as a new location, with MP Shane Jones saying Manukau was the most treacherous harbour in the country and unfit as an alternative site for Ports of Auckland.

Carr and Haslam director Chris Carr said he didn’t know how the Sapere report had come up with Manukau Harbour.

“It’s probably about the only time in the world I’ll ever agree with Shane Jones,” Carr told told Morning Report.

“The prevailing weather comes in on the western side of the country. Ports don’t exist in the west coast of New Zealand, they exist on the east coast.

“I’m no maritime person but all the shipping companies say that they won’t go to the west coast and that in itself would tend to make Manukau the first shipless port that we’d have in the country.

“It’s simply not suitable operationally and it wouldn’t work no matter how much we might try and make it fit.”

If the port had to be moved from Auckland it should be to somewhere ships can get in and out safely, he said.

“You also want to go somewhere near the largest consumption area which is the Auckland-Tauranga-Hamilton-Waikato area.

“The only place you can do that is the Firth of Thames. It’s not ideal.”

He agreed with the Sapere report that Ports of Auckland could keep operating for more than 30 years before it ran out of space where it was.

“But New Zealand’s not good at doing this sort of stuff and we take so long to do it that we need to start working at it and looking at it.

“If you look at it from a logistical point of view, the decisions become quite easy – it’s when you get politics involved it becomes quite hard.

“The shipping companies who in the end of the day determine where their vessels come would not choose Manukau, ever.”

Shane Jones told Morning Report he had come off second best to people opposed to a relocation to Northland.

“I had professionally and personally campaigned with my leader for the expansion of Northport and relocation of Ports of Auckland activity to Tauranga and Northland,” he said.

He invoked the sinking of the Orpheus in 1863, in which 189 people died, as reason to not build a port at Manukau Harbour.

“I will prophesy that a thousand years will pass before a new port will ever be located in Manukau Harbour.

“[The Sapere report] wants to take us over the bar of the most treacherous harbour in New Zealand and dredge to a level of spill that will rival Mt Cook somewhere in New Zealand or it’ll be dumped in the ocean.”

Jones said work on a new port needed to “get cracking” in 10 to 15 years.

“In New Zealand we leave too many infrastructure decisions to the last minute.”

No decision is to be made before the election, leaving it for political parties to campaign on.

MSC Continues To Invest In Decarbonising Shipping

in International Shipping News 08/07/2020

MSC Mediterranean Shipping Company, a global leader in shipping and logistics, is heavily investing in its fleet and low-carbon technology to support the industry’s transition towards zero carbon future.

Shipping can be accurately described as the most environmentally sustainable form of cargo mass transportation. Nonetheless, MSC is acutely aware that international shipping has an impact on the climate and our decision to invest in low-carbon technology is complementary to the company’s broader strategic approach to sustainability. The company operates a modern fleet and is running the biggest fleet investment programme in the industry to further reduce emissions.

MSC fully supports the IMO’s policy goals to decarbonise shipping and is actively exploring and trialling a range of alternative fuels and technologies – pioneering large scale usage of up to 30% biofuel blends for container ships, for example – on top of some significant energy efficiency improvements across its fleet.

Around 90% of the world’s trade is transported by sea. To meet the market demand while minimising emissions, MSC was the first shipping company to deploy 23K+ TEU, ultra-efficient vessels on some of the world’s busiest trade lanes (incl. the Mediterranean). In 2019, MSC set a new standard for sustainable container shipping, by introducing the MSC Gülsün with one of the lowest carbon footprints by design, at 7.49 grams of CO2 emissions to move 1 ton of cargo 1 nautical mile.

In addition, to help bridge the gap between shipping today and the zero-carbon future, MSC was the first major shipping line in 2019 to offer clients an option to fully compensate the remaining currently unavoidable carbon emissions caused by the transport of their cargo through participating in MSC’s Carbon Neutral Programme.

Inaccurate analysis of CO2 emissions from shipping

In addition to our massive investment in reducing emissions, MSC fully supports reporting CO2 emissions transparently and precisely in the European Union (EU) Monitoring, Reporting and Verification (MRV) system, as mandated by EU legislation. As said in an earlier statement in December, it is vital that the raw data reported in the system are analysed accurately and take operational realities fully into account, to give a realistic picture of the related emissions.

Another recent analysis by Transport & Environment on shipping emissions in the EU, fails yet again to take a number of operational aspects of MSC’s services fully into account, and thus does not offer a complete assessment of our role and impact in terms of emissions. Nor does it support a constructive dialogue around decarbonising shipping.

To provide a comprehensive and accurate conclusion, CO2 emissions should be compared on an equal basis. An analysis focusing on shipping emissions in the EU should only take into account emissions which actually occurred in the geographical area of the EU, if it is going to be compared to other sources limited to the same area. This is particularly relevant for a global company such as MSC, which operates in all the world’s major shipping lanes. A complete analysis would show that only 40-45% of the emissions reported by MSC in the MRV were actually in the EU. In addition, a correct analysis would also show that MSC has achieved 2.5% YOY reduction in absolute emissions under the MRV scheme in a single year.

Further to the company’s own efforts to minimise environmental impact, MSC contributes to the work of industry groups and associations to accelerate decarbonising the shipping industry.
Source: MSC Mediterranean Shipping Company SA

Manukau Harbour ‘wouldn’t work’ as new Auckland port

Manukau Harbour would never work as a new location for Auckland’s port, transport company director Chris Carr says.Manukau Harbour

Manukau Harbour. Photo: RNZ / Jessie Chiang

A report by economic consultancy Sapere published yesterday ranked Manukau Harbour as the best option. It considered Northport, Manukau, the Firth of Thames, the Port of Tauranga and a shared increase in capacity at both Northport and the Port of Tauranga.

An earlier report, backed by New Zealand First, identified Northport at Marsden Point as the best option. The report was completed by a government working group led by former Far North mayor Wayne Brown.

Auckland Mayor Phil Goff called the previous Northport work ‘shoddy’ and Transport Minister Phil Twyford said it “had a clearly pre-determined outcome” in favour of moving the port to Marsden Point.

New Zealand First still backs Northport as a new location, with MP Shane Jones saying Manukau was the most treacherous harbour in the country and unfit as an alternative site for Ports of Auckland.

Carr and Haslam director Chris Carr said he didn’t know how the Sapere report had come up with Manukau Harbour.

“It’s probably about the only time in the world I’ll ever agree with Shane Jones,” Carr told told Morning Report.

“The prevailing weather comes in on the western side of the country. Ports don’t exist in the west coast of New Zealand, they exist on the east coast.

“I’m no maritime person but all the shipping companies say that they won’t go to the west coast and that in itself would tend to make Manukau the first shipless port that we’d have in the country.

“It’s simply not suitable operationally and it wouldn’t work no matter how much we might try and make it fit.”

If port had to be moved from Auckland it should be to somewhere ships can get in and out safely, he said.

“You also want to go somewhere near the largest consumption area which is the Auckland-Tauranga-Hamilton-Waikato area.

“The only place you can do that is the Firth of Thames. It’s not ideal.”

He agreed with the Sapere report that Ports of Auckland could keep operating for more than 30 years before it ran out of space where it was.

“But New Zealand’s not good at doing this sort of stuff and we take so long to do it that we need to start working at it and looking at it.

“If you look at it from a logistical point of view the decisions become quite easy – it’s when you get politics involved it becomes quite hard.

“The shipping companies who in the end of the day determine where their vessels come would not choose Manukau, ever.”

Shane Jones told Morning Report he had come off second best to people opposed to a relocation to Northland.

“I had professionally and personally campaigned with my leader for the expansion of Northport and relocation of Ports of Auckland activity to Tauranga and Northland,” he said.

He invoked the sinking of the Orpheus in 1863, in which 189 people died, as reason to not build a port at Manukau Harbour.

“I will prophesy that a thousand years will pass before a new port will ever be located in Manukau Harbour.

“[The Sapere report] wants to take us over the bar of the most treacherous harbour in New Zealand and dredge to a level of spill that will rival Mt Cook somewhere in New Zealand or it’ll be dumped in the ocean.”

Jones said work on a new port needed to “get cracking” in 10 to 15 years.

“In New Zealand we leave too many infrastructure decisions to the last minute.”

No decision is to be made before the election, leaving it for political parties to campaign on.

Transport lobby opposes port move north

Northport should stick to what it's already doing according to the trucking industry. Photo / Tania Whyte
Northport should stick to what it’s already doing according to the trucking industry. Photo / Tania Whyte

NZ Insights By: Imran Ali

The National Road Carriers’ Association has released a report it commissioned from TG Enterprises, which opposes shifting Ports of Auckland to Whangārei, saying it would be logistically impractical and cost-prohibitive to do so, while increasing greenhouse gas emissions.

The report, based on interviews with trucking companies and stakeholders, concluded that Auckland’s port provided the best value for money and should continue in its current location until it could not cope with future growth, which it expected would be at least 30 years away.

But those lobbying for the move to Northport, including former Far North mayor Wayne Brown and Northland Mayoral Forum chairman Jason Smith, say the argument for the status quo lacks logic.

With a focus on road freight, the report said the issue was not port location but the efficiency and safety of road (and rail) access to the upper North Island ports of Northport, Auckland and Tauranga. It said servicing customers by road freight from Northport would be nearly eight times more expensive, or more than $1 billion annually, than from Ports of Auckland.

An analysis of road freight cost showed a container truck that made five trips a day between Ports of Auckland and South Auckland for $50 would be only able to achieve one from Northport, at an estimated cost of $230.

“With Auckland’s business growth moving south, and Auckland, Waikato and Bay of Plenty dominating the upper North Island’s economic growth, Northport is too far away,” the report said, while moving to Whangārei would add more than 125,000 tonnes of carbon dioxide per year for container road freight, compared with about 27,000 tonnes from Ports of Auckland to South Auckland.

That would seriously undermine New Zealand’s efforts to reduce greenhouse gases, it said.

“The decision to move the port from Auckland to Northport is being rushed. We need to stop. Take stock. Reassess,” the report added.

But Brown said the association had a vested interest ensuring that the port didn’t move north.

He described claims about greenhouse gas emissions, as “total and absolute crap,” saying goods transported to and from Northport by rail freight would mean less pollution and traffic congestion.

“At the moment, more stuff goes to Auckland from Tauranga, which is further away from Northport. Milk from Northland goes to Tauranga for export,” he said.

“Auckland is planning 50,000 houses in the south and 86,000 houses north of (the city). Where are the biggest new commercial businesses like IKEA and Costco going? To West Auckland, not south,” Brown said.

He led the Upper North Island Supply Chain (Unisc) working group, whose report promised an economic boom for Northland if the $10 billion port move happened.

“There’s nothing that will make Northland do better than shifting the port from Auckland,” he said.

Smith said the days of Ports of Auckland were numbered, whereas Northport offered the best deepwater port in the upper North Island.

“Everyone is aware of the growth in Waikato and further south, but the next era of growth in New Zealand will, in my view, be on the north side of Auckland,” he said.

“Ships will be getting bigger in future, and the risk for New Zealand is they won’t be able to come here. That’s where the deepwater port at Northport has an advantage.”

Regional Economic Development Minister Shane Jones said the report was built around fear and apprehension, citing points of weakness in the state of the trucking industry.

“We’ll see more electric trucks in future, but for now we see a significant role for rail, and I think the trucking industry is churlish in not acknowledging the $700 million put aside for a four-lane highway out of Whangārei heading south,” Jones said.

Through its Provincial Growth Fund, the Government has provided $300 million for work on the existing rail line between Auckland and Whangārei.

Milburn ‘Inland port’ gets backing

A southern MP says a recent $1.2 billion cash boost for KiwiRail could be a “game-changer” for the Clutha economy.

Lawrence-based NZ First list MP Mark Patterson said yesterday he supported the establishment of an “inland port” at Milburn, in South Otago.

An inland port provides a remote storage hub for export goods such as logs and frozen produce, linking a region’s production zones and sea port.

Mr Patterson said the $1.2 billion funding for KiwiRail announced in the recent Budget could help provide the upgraded rail network essential for such a facility.

The Government’s draft New Zealand Rail Plan, published in December last year and expected to be finalised shortly, has identified Milburn as a preferred site, servicing Port Otago.

Mr Patterson said the area was a natural crossroads between Central Otago, Southland and Dunedin, and had a “compelling case” for selection.

“The studies have shown we need to move additional freight on to rail, and this idea has the support of both Dunedin and Clutha [councils].

“Experience elsewhere shows that where you have an inland port, major industry follows, so this could be a game-changer for Clutha.”

On June 11, Clutha District Council is expected to finalise the rezoning of more than 330ha of land between Milton and Milburn to industrial.

Businesses including Calder Stewart and Pan Pac Forest Products already adjoin the land.

Clutha Mayor Bryan Cadogan said the rezoning would allow Milton and surrounds to “fully realise their potential”.

“The zonal changes and financial investment we’re now making in Milton are building blocks we’re laying for a more vibrant future for the district.

“We’ve maintained for a long time Milton has Clutha’s greatest potential for growth. If ever we needed that potential realised, it’s now.”