Our Western Bay needs to do better

The Government Report “Toi Moana Bay of Plenty Growth Study”, released last week by Minister Joyce, is a bit of a wake-up call for the Western Bay. In my view this report missed the mark when it highlighted “Priorities for action”. It included the usual Regional local government strategies, but nowhere was there a mention of the wonderful work of Professor Chris Battershill, Chair of the Coastal Science Environmental Research Institute at Waikato University, and based at Sulphur Point, Tauranga.

I remember one of Chris’ presentations, when he advocated for marine pharmaceutical research, which offers Tauranga a game-changer with the potential to harvest marine based minerals that offer huge pharmaceutical potential. This offers our region high margin, exciting growth prospects, in contrast to (for example) unrealistic expectations for low commodity type mussel farming at Opotiki, with an estimated cost of $80m for the farm, hatchery and processing; and another $52m for the harbour development. There is no question as to where the best place from a New Zealand Inc perspective, is to put our investment.

The problem is that our local government politicians lack real vision, and just want to be seen to be fair and reasonable. Well let me tell you that this same “Growth Report” notes that GDP per Capita is higher in the Eastern Bay (and in Rotorua/Taupo) than it is in the Western Bay.

GDP per capita of BOP sub-region GDP per capita by Region, 2014

Source: Infometrics Regional Database

Western Bay and Tauranga City ratepayers continually subsidise Rotorua and the Eastern Bay, while the data clearly shows that the Eastern and Central Bay continually outperform us Westies in economic terms (on a per capita basis).

We need a Tauranga based University, but please ensure that it is clearly focused on improving economic development for our region. Tauranga University will be a wonderful asset to our city, so let’s make sure our politicians don’t pander to the PC by agreeing to study in unproductive “cultural” courses, but concentrate on real “add value” study. Integrating a substantive marine research institute into our proposed university will be a win-win for the whole of the Bay.

If you have a view on these or any other local government issues, I invite you to email me at andrew@vond.co.nz , or visit www.vond.co.nz

An accolade and a brickbat

Tauranga Energy Consumers Trust

Let me commend the Tauranga Energy Consumer Trust for divesting 6.4% of its holding in Trustpower. This $154.8m divestment makes compelling commercial sense, as this Trust is a cornerstone community fund that needs to be properly diversified. The investment in Trustpower (by TECT) has been a very rewarding one for TECT beneficiaries since it was established in 1993, but over the last five years Trustpower’s earnings have been at best flat, and therefore I commend our TECT Trustees for initiating this diversification. TECT Trustees challenge will be to invest this freed up $154.8m effectively. The track record of some other community trusts, like BayTrust (which was established upon the sale of Trustbank), has not been impressive. We will monitor TECT’s future performance with real interest, as this $800m plus community fund needs to be managed with care to ensure that Tauranga residents continue to strongly benefit in the future.

Bay of Plenty Regional Council

I’m sorry but I can’t be so generous with the Regional Council. While deliberating on the Regional Long Term Plan (LTP) our Regional Councillors were informed that Rotorua residents are paying $8m in rates, and yet are receiving $20m in benefits. The difference of $12m is effectively coming from the pockets of Tauranga and Western Bay ratepayers. As I have said before, I have no issue with unbalanced funding in any one (or two) years, but this has been happening for the last ten years, and the Regional Council’s LTP indicates that it is their intention to continue this practice for at least the next ten years. Tauranga City residents and ratepayers need to rise up in unison and stop this wrought. Our locally elected Regional Councillors need to be held to account. This is plain wrong….

If you have a view on these or any other local government issues, I invite you to email me at andrew@vond.co.nz

City Councillors and their CEO are visionless

The Proposed Tauranga City Council Long Term Plan 2015-2025 shows no vision. City Councillors are obsessed with the level of Council debt, but fail to realise that if they control their cost structure then the debt will manage itself. A quick look at the burgeoning staff numbers will show that this Council is overloaded with bureaucratic planners, and not enough action orientated frontline staff. I am sure that Council could perform effectively with a reduction of approximately 40% from the current staff levels.

TCC appears in total disarray. Their property division continues to give mixed messages, and no one seems to know what they are doing. The proposed selloff of the greenspace alongside Takitimu Drive Expressway (the main entrance to the city) is a classic example. The Council property team notified Fourth Avenue residents in December 2014 that they were considering selling two Fourth Avenue properties (adjourning the Expressway) that are currently considered greenspace. They continue to give residents mixed messages, and often don’t even bother to respond to queries. The proposed properties for sale are listed incorrectly on the Council database. Now the CEO, Garry Poole tells me that Council is considering all the property adjourning the Expressway, from Fourth to Eighth Avenue. Included in the list are:

120,121 & 127 Fourth Avenue

98 Fifth Avenue

97 & 99 Sixth Avenue

105 Eighth Avenue

It truly is a shambles. There is no transparency - something the new (2013) Councillors promised us. Reading today about the 86 “secret meetings” (that’s one every week) is not good governance – something that they pride themselves in. The previous Council (2010 to 2013) might have been dysfunctional, but at least there was a semblance of transparency. This current crowd are showing a total disrespect for the democratic process; no vision; and combine all this with poor governance. I am sorry but we have to look at their leadership – the CEO and Mayor steer this ship, and it is a huge disappointment. Mayor Crosby has been on Council for 30 years, and his ship is sinking.

This is a great city, but its heart is stagnating. Residents and Ratepayers can’t afford to be apathetic. We need strong leadership. The clock is ticking….

If you have a view on these or any other local government issues, I invite you to email me at andrew@vond.co.nz

#photo