Energy Management Association of NZ Conference

Source: New Zealand Government

Headline: Energy Management Association of NZ Conference

Thank you for the opportunity to speak at the Energy Management Association’s conference this morning.
And congratulations on your 25th anniversary.
I was at a dairy farmers’ forum in the Waikato yesterday.
Former ANZ Chief Economist, Cameron Bagrie, also spoke there and he made the point that we face an exponential pace of change in this Fourth Industrial Revolution.
Cameron talked about the need to be innovative, adaptable and flexible if we hope to deal with the disruptions that will come with this change.
As an illustration, he mentioned the telcos, like Spark.
Born out of the New Zealand Postal service, then split into Telecom New Zealand in 1987, it’s focus was connecting and fixing your phone  landline.
I wonder how many in this room still have a landline.
Now, trading as Spark, it offers cell-phone services, broadband services and on-demand entertainment.
Telecommunications ain’t what they used to be and they won’t look much like they do now by 2025, let alone in a net zero emissions world in 2050.
Cameron offered his belief that the electricity sector will undergo similar change.
I’m not telling you anything you don’t already know.
And I certainly hope you’ll share your thoughts with the new Interim Climate Change Committee when it starts consultations later in the year on how we get to 100% renewable electricity generation.
And I hope you’ll contribute to our consultations around the Zero Carbon Bill starting in the next few weeks.
And I am sure you’ll be an interested party in the consultation work that’s also happening in the next few months around a re-designed Emissions Training Scheme that actually leads to a reduction in emissions.
You are key players across these three key areas of work.
So let’s deal with electricity generation, since that’s one of the two big questions the Interim Climate Change Committee’s going to be investigating.
The frequent warning I get when talking about New Zealand going from 80% or 85% renewable generation to 100% by 2035, is that the last 5% or so of renewable generation will be the most difficult and potentially the most expensive.
My concern is that, while I’m not professing to be an expert – like you – I wonder if we risk limiting our vision and ambition by assuming the limits of technologies today will still limit us in the years ahead.
Are we applying today’s or even yesterday’s thinking about massive central infrastructure hubs for generation that distribute across complex, expensive infrastructure networks to our homes and businesses?
And are we saying 100% renewables will be extremely difficult because we’re basing that thinking on current limitations around storage technologies, or existing electricity pricing mechanisms?
Another concern raised – when you talk about how increasing our electric vehicles fleet to reduce transport energy emissions – is that electricity generation won’t cope?
Now, I’m not dismissing those concerns, I’m just saying that these new challenges will require new and different thinking to address them.
Under our current, centralised generation system, maybe a surge in demand from things like electric vehicles will be difficult to supply.
But the electricity generation landscape will change.
As renewable options become more viable and more varied, generation can become less centralised.
More can be produced at points of demand and can be more adaptable to demand.
As Murrary Sherwin and his colleagues at the Productivity Commission have pointed out in their recent draft report on the transition to a Low-Emissions Economy:
“Rapid technological development is allowing more responsive management of electricity demand and integration of distributed energy resources (such as solar power and batteries) into the system.”
Then there’s the efficiency aspect of the overall equation.
Increasingly efficient energy use can, at least partly, off-set the demand side.
It’s already been happening.
While production has grown in some sectors in recent years, electricity consumption has actually gone down.
We’re seeing an uncoupling; a conscious uncoupling – as it was put by Gwenyth Paltrow, because we have been consciously improving energy efficiency as an economy for over 25 years now.
Better productivity no longer necessarily means extra energy requirements.
Smarter technologies will continue to help that demand side of the equation.
And for what we still need to generate and consume, as Murray and the Productivity Commission have pointed out, New Zealand has abundant unused sources of renewable energy.
Particularly wind-power, where technologies have become more efficient and more economical.
There are also our geothermal reserves, which, yes, still produce some emissions but at much lower levels than fossil fuel options.
So, let’s talk about our fossil fuel options.
If you listen to our political opponents those fossil fuel options no longer exist.
As I’m sure those of you here understand, that is not the case.
Burning fossil fuels are not the future.
We have more known reserves than the world can safely burn now.
We have to wean ourselves off them.
But we’re not going cold turkey.
All this Government is doing, is saying the focus on alternative energy options needs to start now and transition over the next 30 years.
We’re laying out a 30 year timeline for New Zealand to move from forms of energy that have helped place this Planet’s sustainability under threat to clean energy production.
It’s going to need organisations like E-MANZ to help equip businesses with some of the skills they need to substantially reduce emissions.
They’ll need the kind of expertise your CEO, Mike Hopkins, has previously talked about to up their knowledge of carbon mitigation.
I support Mike’s suggestion that businesses need to think about providing professional pathways in energy and carbon management.
I greatly appreciate the work organisations like the Energy Management Association are doing.
I know you will continue your good work and, once again, encourage you to bring your expertise to the consultations that are either underway – like the electricity pricing review, or soon to get underway with the Zero Carbon Bill, the Emissions Trading Scheme, and the Interim Climate Change Committee.
You have a critical role to play in helping us draft one of the boldest plans New Zealand has undertaken in at least a generation.
It’s why we need to start now to give us the time to formulate the plan which will be the basis of a more economically viable, more environmentally sustainable, and more resilient energy sector that can fuel New Zealand’s needs well into the next Century and beyond.
Thank you. Tena koutou katoa.

Budget 2018 to invest $42 billion in capital spending

Source: New Zealand Government

Headline: Budget 2018 to invest $42 billion in capital spending

The Coalition Government will invest $42 billion in net capital spending over the next five years to support our plan to rebuild New Zealand’s infrastructure and critical public services, Finance Minister Grant Robertson said today. 

“This is $10 billion more than forecast over five years by the previous Government before the election,” Grant Robertson told a Wellington Chamber of Commerce audience.

“We have to build the strong foundations that give every New Zealander the chance to succeed. Healthier, more secure, better-educated people have the best chance of getting ahead in life.

“The capital investments to be announced on 17 May will allow us to give a long overdue boost to Health to ensure that our hospitals are fit for purpose and can cope with a growing and ageing population.

“Education will also get a significant investment to support our schools to deal with ageing buildings and increasing enrolments.

“We are upgrading our transport network to ensure we have a safe, efficient transport system, and will make the largest investment of our lifetimes into New Zealand’s regions via the $1 billion per year Provincial Growth Fund.

“A Budget is always a balancing act and we have been responsible by making sure we have created the room to make the critical investments we need to, while maintaining New Zealand’s resilience to any future shocks. We are doing this while meeting the Budget Responsibility Rules, meaning we are running a surplus in this Budget and across the economic cycle.

“Budget 2018 begins an economic and social transformation that must happen if we are to improve New Zealanders’ quality of life and living standards.

“We are investing in the future. We are a positive, energetic government which is managing the books responsibly, so that our country and our economy is one where our children and grandchildren can thrive,” Grant Robertson said.

TRENZ Speech

Source: New Zealand Government

Headline: TRENZ Speech

Tourism is an economic bedrock. It’s our biggest export earner, employs hundreds of thousands of people, and the industry is the world’s window into our beautiful country.
Tourism is the face of New Zealand and our people are its beating heart.
We’re proud of what we have to offer the world.
We go on about our landscapes but other countries have forests, mountains and beaches.
What makes New Zealand special are you – our people. Thank you on behalf of all New Zealand for the work you do to put New Zealand on the map.
You make people feel good; you make people feel welcome; and you make people return home and tell others to also visit.
You create the businesses; you create the jobs; you create the excitement; and you create the thrills, food and wine.
You tell the stories. You make New Zealand an international destination of choice and you create the opportunities we all enjoy.
Thank you.  
And thank you to Chris Roberts and TIA for the invitation to speak today. Congratulations on a fantastic event.
The city of Dunedin and Mayor Dave Cull has really gotten in behind TRENZ.
The latest Mood of the Nation survey showed New Zealanders welcome visitors and are proud of New Zealand as a tourist destination.
96 per cent of Kiwis believe international tourism is good for New Zealand.
That said, many Kiwis are still question our capacity to sustain tourism growth. We can and we will. 
Visitor numbers are forecast to increase by 37% – reaching 5.1 million by 2024. I say bring it on.
Government, councils and the industry have work to do. It’s important work and do it we will.
The strong growth in visitor numbers has delivered many benefits to communities across the country, including better jobs, better transport links and better services and amenities.
That is the good that tourism does, for all parts of the country.
For growth to be sustainable we need to ensure the tourism system functions well and we must anticipate and meet the challenges head on.
The Government has a vision for successful tourism – we want to support the sector, councils and industry to succeed even further.
Vision of a successful tourism system
Tourism will enrich New Zealand through productive, sustainable and inclusive growth.
We need a flow of high-value international visitors throughout the year, from a wide range of markets, who visit more of our regions – because we want to spread the benefits from tourism across New Zealand.
We want the sector and regions to have what they need to make the most of our rising popularity – that is: the right funding mechanisms for infrastructure and services; and a workforce with the right skills, knowledge and attitude to work in tourism.
We want visitors to go away raving about their New Zealand experience, about our tourism sector; and about our environmental, social and economic successes.
Over the last decade the emphasis has been to welcome as many people as possible – and our infrastructure suffered.
We want quality as well as quantity. We can handle both, but we need to do it together.
We can resolve the issues that worry us. We can protect our environment, our communities, improve our infrastructure – and still deliver memorable experiences for our guests. But let’s do it together.
We are all part of the same team. We have different positions but we all believe in Team Tourism.
There are huge opportunities for Māori and non-Māori tourism businesses to flourish off our unique language, culture and stories.
Māori tourism operators should lead and innovate, and they should be a resource for other operators to partner with. The Government is keen to support this.
Current challenges
There is a lot of innovation and creativity in our tourism sector.
TIA has the Tourism Sustainability Commitment. This commitment encourages businesses to pay a fair wage, engage with their local communities, and minimise environmental footprints. I applaud the ambitious goal to get every local tourism business to commit to sustainability by 2025.
We still have challenges that prevent us from achieving our shared goals for tourism.
One public concern is the burden on communities and ratepayers to pay for tourism-related infrastructure.
The seasonal and regional travel patterns of our visitors mean that the gains from tourism are not spread evenly across the country.
Overcrowding, and the resulting environmental problems are the opposite of how we both see ourselves as a destination, and how we want to be seen and remembered by international visitors.
It’s a problem at peak times – but the negative perceptions persist and I don’t want our environmental and tourist reputation damaged.
Some of our policy settings, such as the Freedom Camping Act, were developed at a time when New Zealand was focussed on attracting more visitors, so need to be looked at in light of the high visitor growth we have experienced and our new reality.
The forecast growth in tourism will make the challenges more acute, and we risk a hardening of New Zealander’s attitudes towards tourism.
What Government is doing
The challenges to a sustainable tourism vision won’t go away on their own, but neither are they unsolvable. We are doing a lot.
To resolve infrastructure and funding issues, the Government is looking at options for a levy on international visitors.
There are several issues to figure out: who to include, who to exclude, how to collect, where to collect, how much, who it should go to, and so on.
A targeted levy is not straightforward to implement, but it’s our Government’s view that international visitors should contribute to the infrastructure and services they use, and to help maintain our Conservation Estate. We continue to work through the details and many of you in this room will be part of this conversation.
The Government is committed to continuing the Tourism Infrastructure Fund of $25 million a year for four years, with the second funding round to close next week. I have also directed officials to look at the criteria for the TIF. The purpose is for it to help, not restrict, infrastructure plans.
The Government has a leadership role to make sure we manage freedom camping. To do this we are working with the tourism industry and local government to find solutions that work.
We have set up a freedom camping working group that includes industry and local Government representatives but is small enough to be nimble and work quickly.
And we need to work quickly. I intend to have some practical actions in place ahead of the next peak season.
The issues around freedom camping are complex and require a well-considered response – what works for one community doesn’t necessarily work for others. Some management strategies will take longer to implement and will require changes to legislation.
I know we all talk about it as “freedom camping” – I see it more as “responsible camping”. I think a name change is in order.
As Stephen England-Hall mentioned on Tuesday, Tourism New Zealand is starting a new stream of ‘destination readiness’ work that will provide guidance to industry and communities on how to prepare for growth so that tourism delivers more value for both visitors and New Zealanders.
This work includes telling tourism’s positive stories to New Zealand – and there are so many of them. Tourism NZ will also provide more visitor data to inform regional planning and investment decisions. These are kind of smart steps we must take to capture the exciting growth opportunity in front of us.
Our Government is committed to the regions.
Tourism represents a major opportunity to create sustainable jobs and economic growth. Tourism is the one industry that traverses urban and provincial New Zealand. 
$35 million has been invested in tourism related projects through the Provincial Growth Fund so far and that is just a start.
The funding includes infrastructure projects, attraction development and will promote our unique culture and heritage.
And there is plenty of scope for the Government to invest further in tourism through the PGF. Watch this space.
What local government and industry need to do
Central government works to support tourism but councils and the sector are also part of the team.
Together we must deliver the sustainable and inclusive growth we all want to see.
Local authorities and industry need to plan for visitor growth and manage their destinations – not just market them.
We need broader destination plans, which clearly articulate how a region will develop as a visitor destination, and which has the support of local communities. This will also inform us of how Government funding could be used more effectively.
Collaboration, not competition, between regions is also necessary.
For example, Tourism NZ has worked with the Wellington, Tasman, Marlborough and Nelson RTOs and operators to become more “China ready”. This involved the development of product and itineraries that interest Chinese free independent travellers to get Chinese to visit in the off-peak seasons.
This is a great example of how regions can work together and I understand that a number of operators have seen more Chinese visitors since the campaign started.
The Great Southern Tourism Opportunity is another example of regional collaboration and I was pleased to be able to speak to that group of mayors and operators in November.
Most of you will know that tourism is not seen as a viable career for many young people – due to low wages, irregular or unsocial hours and unclear career pathways.
This is something we need to work on.
A professional tourism workforce and quality jobs are crucial for our regions and the long-term sustainability of the sector.
It will be particularly important, given the forecast growth, to ensure businesses have the labour and skills they need to continue to deliver a high quality visitor experience.  
The Government will look to support industry initiatives to address these issues in partnership with the sector.
Tourism collaboration is essential for continued success.
We are fortunate to have providers like QRC’s Resort Colleges in Queenstown and Northland. The training and pastoral care for tourism and hospitality students, as well as paid internships, has been a success.
The opportunities that young Northlanders are now experiencing because of tourism would have been a pipe dream just a few years ago.
This is the power of tourism. It is the power of collaboration. It is the power of an industry that has people at its heart.  
Let’s all find ways to support young New Zealanders in tourism careers and change not just their lives but the lives of the visitors to our country they interact with.
Conclusion
We all have aspirations for tourism.
The impact tourism has on the social, cultural and economic wellbeing of our country cannot be understated.
The work you do creates opportunities for our visitors but equally for our communities and our tourism workforce.
My ambition is to work collaboratively with councils and industry to ensure tourism is sustainable and enriches the lives of New Zealanders – whether through creating quality jobs, providing development opportunities for Māori, and helping protect our natural environment.
Working together, I am confident we can achieve these goals.
 
Media contact: Britton Broun 021 865 497

TRENZ (Tourism Industry New Zealand Trust) Speech

Source: New Zealand Government

Headline: TRENZ (Tourism Industry New Zealand Trust) Speech

Tourism is an economic bedrock. It’s our biggest export earner, employs hundreds of thousands of people, and the industry is the world’s window into our beautiful country.
Tourism is the face of New Zealand and our people are its beating heart.
We’re proud of what we have to offer the world.
We go on about our landscapes but other countries have forests, mountains and beaches.
What makes New Zealand special are you – our people. Thank you on behalf of all New Zealand for the work you do to put New Zealand on the map.
You make people feel good; you make people feel welcome; and you make people return home and tell others to also visit.
You create the businesses; you create the jobs; you create the excitement; and you create the thrills, food and wine.
You tell the stories. You make New Zealand an international destination of choice and you create the opportunities we all enjoy.
Thank you.  
And thank you to Chris Roberts and TIA for the invitation to speak today. Congratulations on a fantastic event.
The city of Dunedin and Mayor Dave Cull has really gotten in behind TRENZ.
The latest Mood of the Nation survey showed New Zealanders welcome visitors and are proud of New Zealand as a tourist destination.
96 per cent of Kiwis believe international tourism is good for New Zealand.
That said, many Kiwis are still question our capacity to sustain tourism growth. We can and we will. 
Visitor numbers are forecast to increase by 37% – reaching 5.1 million by 2024. I say bring it on.
Government, councils and the industry have work to do. It’s important work and do it we will.
The strong growth in visitor numbers has delivered many benefits to communities across the country, including better jobs, better transport links and better services and amenities.
That is the good that tourism does, for all parts of the country.
For growth to be sustainable we need to ensure the tourism system functions well and we must anticipate and meet the challenges head on.
The Government has a vision for successful tourism – we want to support the sector, councils and industry to succeed even further.
Vision of a successful tourism system
Tourism will enrich New Zealand through productive, sustainable and inclusive growth.
We need a flow of high-value international visitors throughout the year, from a wide range of markets, who visit more of our regions – because we want to spread the benefits from tourism across New Zealand.
We want the sector and regions to have what they need to make the most of our rising popularity – that is: the right funding mechanisms for infrastructure and services; and a workforce with the right skills, knowledge and attitude to work in tourism.
We want visitors to go away raving about their New Zealand experience, about our tourism sector; and about our environmental, social and economic successes.
Over the last decade the emphasis has been to welcome as many people as possible – and our infrastructure suffered.
We want quality as well as quantity. We can handle both, but we need to do it together.
We can resolve the issues that worry us. We can protect our environment, our communities, improve our infrastructure – and still deliver memorable experiences for our guests. But let’s do it together.
We are all part of the same team. We have different positions but we all believe in Team Tourism.
There are huge opportunities for Māori and non-Māori tourism businesses to flourish off our unique language, culture and stories.
Māori tourism operators should lead and innovate, and they should be a resource for other operators to partner with. The Government is keen to support this.
Current challenges
There is a lot of innovation and creativity in our tourism sector.
TIA has the Tourism Sustainability Commitment. This commitment encourages businesses to pay a fair wage, engage with their local communities, and minimise environmental footprints. I applaud the ambitious goal to get every local tourism business to commit to sustainability by 2025.
We still have challenges that prevent us from achieving our shared goals for tourism.
One public concern is the burden on communities and ratepayers to pay for tourism-related infrastructure.
The seasonal and regional travel patterns of our visitors mean that the gains from tourism are not spread evenly across the country.
Overcrowding, and the resulting environmental problems are the opposite of how we both see ourselves as a destination, and how we want to be seen and remembered by international visitors.
It’s a problem at peak times – but the negative perceptions persist and I don’t want our environmental and tourist reputation damaged.
Some of our policy settings, such as the Freedom Camping Act, were developed at a time when New Zealand was focussed on attracting more visitors, so need to be looked at in light of the high visitor growth we have experienced and our new reality.
The forecast growth in tourism will make the challenges more acute, and we risk a hardening of New Zealander’s attitudes towards tourism.
What Government is doing
The challenges to a sustainable tourism vision won’t go away on their own, but neither are they unsolvable. We are doing a lot.
To resolve infrastructure and funding issues, the Government is looking at options for a levy on international visitors.
There are several issues to figure out: who to include, who to exclude, how to collect, where to collect, how much, who it should go to, and so on.
A targeted levy is not straightforward to implement, but it’s our Government’s view that international visitors should contribute to the infrastructure and services they use, and to help maintain our Conservation Estate. We continue to work through the details and many of you in this room will be part of this conversation.
The Government is committed to continuing the Tourism Infrastructure Fund of $25 million a year for four years, with the second funding round to close next week. I have also directed officials to look at the criteria for the TIF. The purpose is for it to help, not restrict, infrastructure plans.
The Government has a leadership role to make sure we manage freedom camping. To do this we are working with the tourism industry and local government to find solutions that work.
We have set up a freedom camping working group that includes industry and local Government representatives but is small enough to be nimble and work quickly.
And we need to work quickly. I intend to have some practical actions in place ahead of the next peak season.
The issues around freedom camping are complex and require a well-considered response – what works for one community doesn’t necessarily work for others. Some management strategies will take longer to implement and will require changes to legislation.
I know we all talk about it as “freedom camping” – I see it more as “responsible camping”. I think a name change is in order.
As Stephen England-Hall mentioned on Tuesday, Tourism New Zealand is starting a new stream of ‘destination readiness’ work that will provide guidance to industry and communities on how to prepare for growth so that tourism delivers more value for both visitors and New Zealanders.
This work includes telling tourism’s positive stories to New Zealand – and there are so many of them. Tourism NZ will also provide more visitor data to inform regional planning and investment decisions. These are kind of smart steps we must take to capture the exciting growth opportunity in front of us.
Our Government is committed to the regions.
Tourism represents a major opportunity to create sustainable jobs and economic growth. Tourism is the one industry that traverses urban and provincial New Zealand. 
$35 million has been invested in tourism related projects through the Provincial Growth Fund so far and that is just a start.
The funding includes infrastructure projects, attraction development and will promote our unique culture and heritage.
And there is plenty of scope for the Government to invest further in tourism through the PGF. Watch this space.
What local government and industry need to do
Central government works to support tourism but councils and the sector are also part of the team.
Together we must deliver the sustainable and inclusive growth we all want to see.
Local authorities and industry need to plan for visitor growth and manage their destinations – not just market them.
We need broader destination plans, which clearly articulate how a region will develop as a visitor destination, and which has the support of local communities. This will also inform us of how Government funding could be used more effectively.
Collaboration, not competition, between regions is also necessary.
For example, Tourism NZ has worked with the Wellington, Tasman, Marlborough and Nelson RTOs and operators to become more “China ready”. This involved the development of product and itineraries that interest Chinese free independent travellers to get Chinese to visit in the off-peak seasons.
This is a great example of how regions can work together and I understand that a number of operators have seen more Chinese visitors since the campaign started.
The Great Southern Tourism Opportunity is another example of regional collaboration and I was pleased to be able to speak to that group of mayors and operators in November.
Most of you will know that tourism is not seen as a viable career for many young people – due to low wages, irregular or unsocial hours and unclear career pathways.
This is something we need to work on.
A professional tourism workforce and quality jobs are crucial for our regions and the long-term sustainability of the sector.
It will be particularly important, given the forecast growth, to ensure businesses have the labour and skills they need to continue to deliver a high quality visitor experience.  
The Government will look to support industry initiatives to address these issues in partnership with the sector.
Tourism collaboration is essential for continued success.
We are fortunate to have providers like QRC’s Resort Colleges in Queenstown and Northland. The training and pastoral care for tourism and hospitality students, as well as paid internships, has been a success.
The opportunities that young Northlanders are now experiencing because of tourism would have been a pipe dream just a few years ago.
This is the power of tourism. It is the power of collaboration. It is the power of an industry that has people at its heart.  
Let’s all find ways to support young New Zealanders in tourism careers and change not just their lives but the lives of the visitors to our country they interact with.
Conclusion
We all have aspirations for tourism.
The impact tourism has on the social, cultural and economic wellbeing of our country cannot be understated.
The work you do creates opportunities for our visitors but equally for our communities and our tourism workforce.
My ambition is to work collaboratively with councils and industry to ensure tourism is sustainable and enriches the lives of New Zealanders – whether through creating quality jobs, providing development opportunities for Māori, and helping protect our natural environment.
Working together, I am confident we can achieve these goals.

Tourism New Zealand

Source: New Zealand Government

Headline: Tourism New Zealand

Tourism is an economic bedrock. It’s our biggest export earner, employs hundreds of thousands of people, and the industry is the world’s window into our beautiful country.
Tourism is the face of New Zealand and our people are its beating heart.
We’re proud of what we have to offer the world.
We go on about our landscapes but other countries have forests, mountains and beaches.
What makes New Zealand special are you – our people. Thank you on behalf of all New Zealand for the work you do to put New Zealand on the map.
You make people feel good; you make people feel welcome; and you make people return home and tell others to also visit.
You create the businesses; you create the jobs; you create the excitement; and you create the thrills, food and wine.
You tell the stories. You make New Zealand an international destination of choice and you create the opportunities we all enjoy.
Thank you.  
And thank you to Chris Roberts and TIA for the invitation to speak today. Congratulations on a fantastic event.
The city of Dunedin and Mayor Dave Cull has really gotten in behind TRENZ.
The latest Mood of the Nation survey showed New Zealanders welcome visitors and are proud of New Zealand as a tourist destination.
96 per cent of Kiwis believe international tourism is good for New Zealand.
That said, many Kiwis are still question our capacity to sustain tourism growth. We can and we will. 
Visitor numbers are forecast to increase by 37% – reaching 5.1 million by 2024. I say bring it on.
Government, councils and the industry have work to do. It’s important work and do it we will.
The strong growth in visitor numbers has delivered many benefits to communities across the country, including better jobs, better transport links and better services and amenities.
That is the good that tourism does, for all parts of the country.
For growth to be sustainable we need to ensure the tourism system functions well and we must anticipate and meet the challenges head on.
The Government has a vision for successful tourism – we want to support the sector, councils and industry to succeed even further.
Vision of a successful tourism system
Tourism will enrich New Zealand through productive, sustainable and inclusive growth.
We need a flow of high-value international visitors throughout the year, from a wide range of markets, who visit more of our regions – because we want to spread the benefits from tourism across New Zealand.
We want the sector and regions to have what they need to make the most of our rising popularity – that is: the right funding mechanisms for infrastructure and services; and a workforce with the right skills, knowledge and attitude to work in tourism.
We want visitors to go away raving about their New Zealand experience, about our tourism sector; and about our environmental, social and economic successes.
Over the last decade the emphasis has been to welcome as many people as possible – and our infrastructure suffered.
We want quality as well as quantity. We can handle both, but we need to do it together.
We can resolve the issues that worry us. We can protect our environment, our communities, improve our infrastructure – and still deliver memorable experiences for our guests. But let’s do it together.
We are all part of the same team. We have different positions but we all believe in Team Tourism.
There are huge opportunities for Māori and non-Māori tourism businesses to flourish off our unique language, culture and stories.
Māori tourism operators should lead and innovate, and they should be a resource for other operators to partner with. The Government is keen to support this.
Current challenges
There is a lot of innovation and creativity in our tourism sector.
TIA has the Tourism Sustainability Commitment. This commitment encourages businesses to pay a fair wage, engage with their local communities, and minimise environmental footprints. I applaud the ambitious goal to get every local tourism business to commit to sustainability by 2025.
We still have challenges that prevent us from achieving our shared goals for tourism.
One public concern is the burden on communities and ratepayers to pay for tourism-related infrastructure.
The seasonal and regional travel patterns of our visitors mean that the gains from tourism are not spread evenly across the country.
Overcrowding, and the resulting environmental problems are the opposite of how we both see ourselves as a destination, and how we want to be seen and remembered by international visitors.
It’s a problem at peak times – but the negative perceptions persist and I don’t want our environmental and tourist reputation damaged.
Some of our policy settings, such as the Freedom Camping Act, were developed at a time when New Zealand was focussed on attracting more visitors, so need to be looked at in light of the high visitor growth we have experienced and our new reality.
The forecast growth in tourism will make the challenges more acute, and we risk a hardening of New Zealander’s attitudes towards tourism.
What Government is doing
The challenges to a sustainable tourism vision won’t go away on their own, but neither are they unsolvable. We are doing a lot.
To resolve infrastructure and funding issues, the Government is looking at options for a levy on international visitors.
There are several issues to figure out: who to include, who to exclude, how to collect, where to collect, how much, who it should go to, and so on.
A targeted levy is not straightforward to implement, but it’s our Government’s view that international visitors should contribute to the infrastructure and services they use, and to help maintain our Conservation Estate. We continue to work through the details and many of you in this room will be part of this conversation.
The Government is committed to continuing the Tourism Infrastructure Fund of $25 million a year for four years, with the second funding round to close next week. I have also directed officials to look at the criteria for the TIF. The purpose is for it to help, not restrict, infrastructure plans.
The Government has a leadership role to make sure we manage freedom camping. To do this we are working with the tourism industry and local government to find solutions that work.
We have set up a freedom camping working group that includes industry and local Government representatives but is small enough to be nimble and work quickly.
And we need to work quickly. I intend to have some practical actions in place ahead of the next peak season.
The issues around freedom camping are complex and require a well-considered response – what works for one community doesn’t necessarily work for others. Some management strategies will take longer to implement and will require changes to legislation.
I know we all talk about it as “freedom camping” – I see it more as “responsible camping”. I think a name change is in order.
As Stephen England-Hall mentioned on Tuesday, Tourism New Zealand is starting a new stream of ‘destination readiness’ work that will provide guidance to industry and communities on how to prepare for growth so that tourism delivers more value for both visitors and New Zealanders.
This work includes telling tourism’s positive stories to New Zealand – and there are so many of them. Tourism NZ will also provide more visitor data to inform regional planning and investment decisions. These are kind of smart steps we must take to capture the exciting growth opportunity in front of us.
Our Government is committed to the regions.
Tourism represents a major opportunity to create sustainable jobs and economic growth. Tourism is the one industry that traverses urban and provincial New Zealand. 
$35 million has been invested in tourism related projects through the Provincial Growth Fund so far and that is just a start.
The funding includes infrastructure projects, attraction development and will promote our unique culture and heritage.
And there is plenty of scope for the Government to invest further in tourism through the PGF. Watch this space.
What local government and industry need to do
Central government works to support tourism but councils and the sector are also part of the team.
Together we must deliver the sustainable and inclusive growth we all want to see.
Local authorities and industry need to plan for visitor growth and manage their destinations – not just market them.
We need broader destination plans, which clearly articulate how a region will develop as a visitor destination, and which has the support of local communities. This will also inform us of how Government funding could be used more effectively.
Collaboration, not competition, between regions is also necessary.
For example, Tourism NZ has worked with the Wellington, Tasman, Marlborough and Nelson RTOs and operators to become more “China ready”. This involved the development of product and itineraries that interest Chinese free independent travellers to get Chinese to visit in the off-peak seasons.
This is a great example of how regions can work together and I understand that a number of operators have seen more Chinese visitors since the campaign started.
The Great Southern Tourism Opportunity is another example of regional collaboration and I was pleased to be able to speak to that group of mayors and operators in November.
Most of you will know that tourism is not seen as a viable career for many young people – due to low wages, irregular or unsocial hours and unclear career pathways.
This is something we need to work on.
A professional tourism workforce and quality jobs are crucial for our regions and the long-term sustainability of the sector.
It will be particularly important, given the forecast growth, to ensure businesses have the labour and skills they need to continue to deliver a high quality visitor experience.  
The Government will look to support industry initiatives to address these issues in partnership with the sector.
Tourism collaboration is essential for continued success.
We are fortunate to have providers like QRC’s Resort Colleges in Queenstown and Northland. The training and pastoral care for tourism and hospitality students, as well as paid internships, has been a success.
The opportunities that young Northlanders are now experiencing because of tourism would have been a pipe dream just a few years ago.
This is the power of tourism. It is the power of collaboration. It is the power of an industry that has people at its heart.  
Let’s all find ways to support young New Zealanders in tourism careers and change not just their lives but the lives of the visitors to our country they interact with.
Conclusion
We all have aspirations for tourism.
The impact tourism has on the social, cultural and economic wellbeing of our country cannot be understated.
The work you do creates opportunities for our visitors but equally for our communities and our tourism workforce.
My ambition is to work collaboratively with councils and industry to ensure tourism is sustainable and enriches the lives of New Zealanders – whether through creating quality jobs, providing development opportunities for Māori, and helping protect our natural environment.
Working together, I am confident we can achieve these goals.

Mycoplasma bovis update

Source: New Zealand Government

Headline: Mycoplasma bovis update

The tracking of cattle disease Mycoplasma bovis shows that more farms than previously expected are likely to be affected by the disease, says Biosecurity Minister Damien O’Connor.
“While we always expected to find more properties, officials tell me that the numbers will likely exceed their earlier modelling. That modelling work is continuing and we will have a clearer picture in the next couple of weeks. 
“MPI is continuing an intense programme of work with farming sector groups about the next best steps in the response – including containment and phased eradication.
“Testing to date shows all infected properties are connected in some way.   
“The tracing of Mycoplasma bovis is made harder by the poor use of the national animal tracing system (NAIT).  
“We could have tracked this more quickly if the system had been used properly. The previous Government’s inaction, lack of enforcement and promotion of NAIT has created major issues for hunting down Mycoplasma bovis. 
“We will make changes to the NAIT system.
 “A cull of 22,000 cows is currently under way, with nearly half, 11,000 animals, destroyed.
“That cull is necessary to reduce the disease’s spread through the national herd. I know farmers whose properties are under control restrictions face a difficult time. I’m working hard to ensure the Government and sector make the best possible decision with the best possible information regarding Mycoplasma bovis. I expect that decision will come in the next few weeks. 
“Farmers should ensure any compensation claims they make related to Mycoplasma bovis are accurate, as it makes the process quicker. MPI and Dairy NZ have boosted the number of people working directly with farmers to assist in that process.  
“As of close of play Wednesday 9 May, 38 farms were active infected places and another 40 were under Restricted Place Notice (i.e. considered highly likely to become infected). Nearly 1700 properties are of interest because of risk events such as animal movements, the supply of milk for animal feed or because they are adjacent to infected properties,” says Damien O’Connor.

The modernised social security legislation gets its second reading

Source: New Zealand Government

Headline: The modernised social security legislation gets its second reading

Social Development Minister Carmel Sepuloni is pleased the long-awaited rewrite of the Social Security Act 1964 will have its second reading in Parliament today. 
“The Social Security Act 1964 is one of the most important pieces of New Zealand legislation,” Carmel Sepuloni said.
“It sets out the financial supports available to people who are unable to support themselves and their families through paid work.”
Minister Sepuloni has released a Supplementary Order Paper (SOP) to ensure a policy-neutral rewrite of the legislation underpinning New Zealand’s welfare system.
“This Government had objections to the Rewrite Bill in its previous form. Under the previous Government the Bill included significant policy changes and there were major concerns raised during Select Committee. The SOP removes all of the policy changes the last Government tried to sneak in so this can now be truly policy neutral.
“This is a landmark Bill rewriting a piece of legislation that is more than 50 years old,”
“The 1964 Act is long overdue for a rewrite. When it was first passed it had 135 sections. It has since grown to well over 500 sections and, of those, only four remain unchanged, with other sections repealed or amended, sometimes hundreds of times.
“Fifty-four years of amendments and repeals have resulted in this important legislation being a very disjointed and confusing Act. There have been many calls for it to be completely rewritten.
“This Bill provides a solid legislative framework. An enormous amount of time and effort has gone into developing this plain, simple to follow legislation which is easier to read, and logical. 
“I want to thank the members of the public, advocates and non-government organisations who took time to make submissions, both in writing and at Select Committee.
Editor’s notes:
The 1964 Act includes legislation for people in long-term residential care and people who need artificial limbs. It is proposed in this Bill to separate out the particular relevant parts in their own small, contained and user-friendly Acts for these vulnerable clients.
The resulting new Acts will be:
Residential Care and Disability Support Services Act
Artificial Limb Service Act
Social Security Act.

Fairer deal sought for defrauded Ponzi Scheme investors

Source: New Zealand Government

Headline: Fairer deal sought for defrauded Ponzi Scheme investors

Commerce and Consumer Affairs Minister Kris Faafoi announced today the beginning of public consultation on a new regime to provide fairer outcomes for victims of Ponzi schemes.
A Ponzi scheme is a fraudulent investment scheme in which investors are paid false profits from the amounts invested by new investors.
“Ponzi Schemes don’t happen often in New Zealand but when they do, real harm is caused. Many of the people who become involved in Ponzi schemes are small investors unaware of the risks of the schemes, and many are likely to be investing savings or retirement funds they can ill-afford to lose.
“We can’t allow this to continue so I want to see if we can create a better way to liquidate where we need to in order to get fairer outcomes for all involved.”
The current corporate insolvency regime treats investors differently based on legal tests designed for business creditors, not investment fraud.
“Specifically, insolvency law isn’t designed to address investment schemes that are deliberately designed to defraud,” Mr Faafoi says. “Recent decisions in the courts have also raised wider issues about whether insolvency law provides an appropriate framework for resolving Ponzi schemes so it is timely to look at better ways to treat all investors fairly.”
Mr Faafoi says the updated regime will align to his aim of ensuring honest New Zealand business can thrive, and consumers are protected.
“Dealing with Ponzi schemes is not easy given the complexity – even deciding whether a scheme should be treated as a Ponzi is a consideration. How to treat different investors is also challenging – a boundary will have to be drawn and this will have an effect of creating winners and losers depending when different investment actions, withdrawing or investing for example, were taken.
“These challenges make it particularly useful for us to hear from the insolvency sector and anyone interested in how Ponzi schemes should be treated. I would urge anyone who has experienced a Ponzi Scheme or its effect to give us their view.”
The discussion paper and related documents are available here. Information on the work of the Insolvency Working Group is available here
 

ACC Bill to provide better support to Kiwis abroad and superannuitants

Source: New Zealand Government

Headline: ACC Bill to provide better support to Kiwis abroad and superannuitants

The Accident Compensation Amendment Bill, which has passed first reading in Parliament today, will provide greater support to New Zealand families and working superannuitants, says the Minister for ACC Iain Lees-Galloway.
“The Government supports ACC as a national taonga and it has, for the most part, provided tremendous support to generations of New Zealanders,” says Mr Lees-Galloway.
“There is a small number of gaps in the scheme which currently mean that some people may miss out on cover, and this Bill addresses a range of issues to help uphold the high expectations that New Zealanders have for ACC’s support.
“This Bill addresses the gap in coverage for families of employees who are posted overseas in the course of their employment. It proposes to extend ACC cover to the spouses or partners and dependents of New Zealand employees posted offshore.
“This is an important change to make as we do not want to discourage people from representing New Zealand’s interests offshore if they feel that they cannot keep their families together without risk.
“The Bill also removes the requirement for ACC claimants to choose between weekly compensation and New Zealand Superannuation after receiving a year of both.
“This aligns with the Government’s manifesto commitment to review the restrictions on superannuitants being able to receive both weekly compensation and New Zealand superannuation, given the changing nature of the over 65 workforce.
“Many New Zealanders today continue to work after the age of 65 and are able to receive superannuation alongside any earnings from work. The current restrictions disadvantage our most vulnerable Kiwis, injured at work after the age of superannuation eligibility, meaning they are not getting the weekly compensation they need while recovering from injuries.
“This change will ensure that the income they receive will be a closer reflection of their financial situation had they not been injured.
The historic Accident Compensation Appeal Authority will be disestablished. Maintaining it is no longer cost effective or efficient, given the low number of appeals to the Authority. This amendment is in line with this Government’s intentions to remove the complexity and cost that arises when it is not clear whether the Authority or the District Court should hear an appeal.
“Following the disestablishment of the Authority, all new appeals under the repealed 1972 and 1982 Acts will be heard by the District Court,” says Iain Lees-Galloway.
Other amendments proposed under the Bill will:
clarify the current transitional provisions to ensure that all claimants who are close to, or above, superannuation qualification age receive up to 24 months of weekly compensation;
allow surviving spouses and dependents to receive up to five years of weekly compensation, regardless of age;
move from an annual review to a biennial review of the Accident Compensation (Liability to Pay or Contribute to the Cost of Treatment) Regulations 2003;
automatically update the maximum and minimum liable earnings to the minimum wage and the Labour Cost Index respectively to improve the workability of biennial levy rounds; and
“These changes will help create a fairer social insurance scheme for New Zealanders,” Mr Lees-Galloway says.

All existing charter schools apply to become state schools

Source: New Zealand Government

Headline: All existing charter schools apply to become state schools

All existing charter schools have submitted an application to become a state school, Education Minister Chris Hipkins announced today.
“Of the 12 applications, sponsors have submitted applications for 10 to become designated character and two to become state integrated schools. 
“The Ministry of Education will now take some time to consult on and assess the applications and will report to me by the end of June.   
“I expect to be in a position to make my decisions on all of these applications by the end of July.
“I would like to thank the charter school sponsors for their efforts in getting these applications in. 
“I have also re-convened the advisory group to monitor the schools’ performance while they remain charter schools. 
“The group will now be chaired by Bruce Adin, with Bernardine Vester as Deputy Chair.  The other members are Murray Jack, Te Rau Kupenga, Moe Milne, and Jason Swann.
“The group replaces the previous Authorisation Board, whose members completed their terms in March 2018.  An advisory group is required under section 158C of the Education Act 1989.”