PGF invests in Central Hawke’s Bay infrastructure to boost growth

The Provincial Growth Fund (PGF) will invest in roading and water storage infrastructure to catalyse primary industry growth in the Central Hawke’s Bay, Parliamentary Under Secretary for Regional Economic Development Fletcher Tabuteau announced in Waipukurau today.

The Central Hawke’s Bay will receive more than $40 million from the PGF to support the following initiatives:

• Route 52 Waipukurau to Porangahau – $20,100,000
• Hawke’s Bay Water – Tukituki Project $14,700,000
• Central Hawke’s Bay upgrades to meet High Productivity Motor Vehicles standards – $350,000
• Dannevirke Rail Hub Evaluation and Construction – $4,400,000
• Ngā Ara Tipuna - Waipukurau Pā Site Interpretation project – $119,764
• Exploring Central Hawke’s Bay economic development opportunities –  $272,640

“The primary sector is a principal driver of the Hawke’s Bay economy, ranging from intensive horticulture to pastoral farming and forestry – and there’s a lot of growth expected in the coming years,” Fletcher Tabuteau said.

“The kiwifruit industry is looking to expand its planting to exceed 100 hectares per year over the next five to seven years, and an increase in logging is predicted by 2028.

“To support this growth, producers need a reliable roading infrastructure, as well as water, to connect producers to their market.

“Sustainability of freshwater supplies is critical so today we’re announcing a major PGF investment in water storage with funding for the first step of pre-feasibility work for the development and construction of the Tukituki water project.

“The Tukituki water project will enable the development of an environmentally sustainable and reliable water supply to existing industry and primary sector water users, and provide additional water for further growth opportunities.

“Both the Heretaunga and Tukituki water projects will ensure enough water is stored for use when water supplies are low over summer.

“The initiative also has the potential to create jobs in the future and unlock the opportunities to develop unproductive Māori land across the region.

“The upgrade of Route 52 from Waipukurau to Porangahau is part of a wider Hawke’s Bay transport package aimed at helping lift the productivity of the region through roading improvements.

“We’re providing $400,000 to investigate the impacts of a new rail hub on the local roading network, as well as other wider requirements of freight movement and hubs in Hawke’s Bay. If successful, the PGF has earmarked $4 million to contribute to the construction of the rail hub.

“A new rail hub at Dannevirke could remove a considerable amount of logging and other freight from local roads in the future, especially with the expected growth in forestry.

“Dannevirke is the perfect location for the hub as it lies close to the Hawke’s Bay boundary and major plantations, including Titoki Forest. The Provincial Development Unit is in discussions with KiwiRail about this proposal.

“The PGF has also funded the potential development of Ngā Ara Tipuna - Waipukurau Pā Site Interpretation project, which will investigate a tourism attraction involving six pā sites that surround Waipukurau. The concept involves digital storytelling, displays, sculpture and displays that show Central Hawke’s Bay landscapes in a fresh light. This will complement the PGF’s investment in the region towards exploring Central Hawke’s Bay’s vast economic development opportunities.

“Today’s announcements are exciting news for the Central Hawke’s Bay region that will provide a massive boost to economic growth,” Fletcher Tabuteau said.