Rebuilding Christchurch, our second-biggest city
The Government is committed to standing beside the people of Canterbury and supporting the rebuild of Christchurch.
This is an unprecedented project - without doubt the biggest economic undertaking in New Zealand's history. The Treasury estimates the total capital cost at around $30 billion. The Government, on behalf of New Zealand taxpayers, is making a significant contribution to the rebuild.
Budget 2011 put aside $5.5 billion in the Canterbury Earthquake Recovery Fund and created a new government department, the Canterbury Earthquake Recovery Authority, to lead the recovery effort.
And the Earthquake Commission is expected to pay net claims of $7.5 billion which will contribute to the residential housing rebuild.
As Table 4 below shows, by 30 June 2013, Treasury estimates that $4.6 billion of the Earthquake Recovery Fund will have been allocated. After adding costs incurred by the Earthquake Commission, State-Owned Enterprises and other Crown entities, the total cost to taxpayers by that date is expected to exceed $12.5 billion.
|
Year ending 30 June
|
2011 Actual |
2012
|
2013
|
2014
|
2015
|
2016
|
2017 Forecast |
Total HYEFU |
Total BEFU |
|---|---|---|---|---|---|---|---|---|---|
| Local infrastructure | 160 | 721 | 214 | 152 | 152 | 100 | 50 | 1,549 | 1,643 |
| Welfare support | 220 | 23 | 35 | 23 | 6 | - | - | 307 | 233 |
| Southern Response support package | 355 | 156 | (98) | (41) | (33) | (37) | (2) | 300 | 148 |
| Land zoning | 653 | 258 | 199 | 10 | - | - | - | 1,120 | 1,067 |
| Other costs | 205 | 121 | 589 | 593 | (41) | (37) | 8 | 1,438 | 852 |
| Estimation contingency | - | - | 793 | - | - | - | - | 793 | - |
| Yet to be allocated | - | - | - | - | - | - | - | - | 1,564 |
| Canterbury Earthquake Recovery Fund | 1,593 | 1,279 | 1,732 | 737 | 84 | 26 | 56 | 5,507 | 5,507 |
| EQC | 7,471 | 662 | (164) | (255) | (68) | (114) | - | 7,532 | 7,445 |
| Other SOEs and CEs | 23 | (41) | 24 | (116) | 80 | 57 | 22 | 49 | 23 |
| Total Crown | 9,087 | 1,900 | 1,592 | 366 | 96 | (31) | 78 | 13,088 | 12,975 |
|
Year ending 30 June
|
2011 Actual |
2012
|
2013
|
2014
|
2015
|
2016
|
2017 Forecast |
Total HYEFU |
Total BEFU |
|---|---|---|---|---|---|---|---|---|---|
| Canterbury Earthquake Recovery Fund | 508 | 1,312 | 1,399 | 1,027 | 488 | 602 | 171 | 5,507 | 5,507 |
| EQC | 1,178 | 2,231 | 817 | 1,729 | 1,006 | 571 | - | 7,532 | 7,445 |
| Other SOEs and CEs | 23 | (18) | (2) | (142) | 28 | 79 | 31 | (1) | 23 |
| Total Crown | 1,709 | 3,525 | 2,214 | 2,614 | 1,522 | 1,252 | 202 | 13,038 | 12,975 |
The Canterbury reconstruction continues to gather pace, and this will help underpin economic growth and jobs over the next few years.
Land zoning is now complete. Residential repairs are accelerating and consents for housing rebuilds are encouraging. Demolitions are on track to make way for construction in the Christchurch CBD, and the infrastructure repair programme across the city has reached its monthly throughput target.
As the rebuilding grows, the demand for workers and materials in Christchurch will be huge. The Government's focus will be on removing roadblocks so that demand can be met.
