David Farrar: Do not believe the lies

The left and many media claim that large rates increases were necessary due to under-investment in core infrastructure such as water. Now while it is true more needs to be spent on water infrastructure, they overlook that there is a huge amount of spending on discretionary and wasteful stuff.

Here’s the list I have been keeping, just for Wellington City.

1. $593 million on social housing capital (most councils don’t do social housing)

2. $510 million for a sludge minimisation facility at Moa Point

3. $330 million on rebuilding the town hall so we have another music venue

4. $325 million on social housing operational (most councils don’t do social housing)

5. $240 million on Civic Square

 

6. $236 million on food recycling (will cost $19,000 per tonne of greenhouse gas  emissions reduction)

7. $189 million on Te Matapihi library (the three existing CBD libraries are great)

8. $180 million on the Takina convention centre (which somewhat is managing to lose money on every exhibition it hosts)

9. $160 million on cycleways

10. $139 million on removing cars and redeveloping the Golden Mile

11. $55 million to upgrade destroy Thorndon Quay

12. $42 million on renovating St James Theatre

13. $32 million to Reading Cinemas (attempted but failed)

14. $13 million on a carpark building

That is a staggering $3 billion, which equates to around $38,000 per household.

Now most councils aren’t quite as fiscally laxative as Wellington, but all of them will have large expensive non-core projects. Rates increases are a choice, not a necessity.

David Farrar runs Curia Market Research, a specialist opinion polling and research agency, and the popular Kiwiblog where this article was sourced. He previously worked in the Parliament for eight years, serving two National Party Prime Ministers and three Opposition Leaders