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Published by info, 2019-05-12 00:30:30

Mahi Tahi May 2019

A national journal written by economic development professionals, for economic development professionals.

MARLBOROUGH SMART+CONNECTED

For further information contact Alistair
Schorn, Economic Development Advisor
- Marlborough District Council -

[email protected]

arlborough Boys’ College, Blenheim, 21 February 2019

e The inception of the Labour
on, an and Skills Group coincided
used with two central government
ess of consultation processes, namely
cating the Immigration New Zealand
ers consultation on Employer-
ions. Assisted Work Visas and Regional
oping Workforce Planning, and the
king Tertiary Education Commission’s
CBD consultation on the Reform of
s and Vocational Education. For each
y, of these consultation processes,
the Labour and Skills Group
developed a submission on behalf
of all relevant stakeholders in
Marlborough.

Chef Annabel Langbein at the 2019 Havelock Mussel and Seafood Festival

51MAHI TAHI 2019

TE AHO TĀMAKA

TE AHO TĀMAKA
- AN INNOVATIVE
SOLUTION TO GROWING
MANAWATU

Regions around New Zealand Through sharing their stories, Four of Te Aho Tāmaka’s leaders at the lau
experiences, insights and expertise,
are all vying for additional skills Te Aho Tāmaka aims to put
and talent, new businesses, Manawatū on a national and
investment and residents to international stage and grow a
support their growth. Finding genuine sense of regional pride
a unique value proposition and to strongly promote all that is
ensuring Manawatū stands out happening here.
and appeals in an increasingly “Manawatū is home to world-
competitive and crowded leading research and education
national conversation has led institutes, businesses and
to the development of Te Aho expertise, and through our leaders’
Tāmaka, a unique approach to stories, we want to showcase the
regional growth. opportunities and environment
Te Aho Tāmaka is a Central that is Manawatū,” says CEDA’s
Economic Development Economic Development Manager,
Agency (CEDA) initiative that Sarah Gauthier. “We want to
intends to raise awareness of highlight to budding entrepreneurs
the opportunities that exist that Manawatū is somewhere that
in Manawatū, grow future you can build and develop global
leaders and create bigger companies and that you do not
and better opportunities for need to leave to accomplish great
the region. The programme things, because the support and
does this by establishing and inspiration needed is already here.”
growing a network of the most The initiative was identified
accomplished leaders across through the scoping of regional
all fields including academia, strategic growth opportunities
business, sports, arts, culture, with McKinsey and Company in
theology and more, who are 2017. While similar programmes
connected to Manawatū. Their typically exist within organisations
connections to Palmerston and educational institutes, an
North city, and Manawatū international example, albeit
district and region will be created within a more dire
different – but all would have situation, was driven by
been born, lived, studied or
worked here at some point in

52 MAHI TAHI 2019

TE AHO TĀMAKA

unch event (L-R) Sir David Moxin, Gerard Gillespie, Sir Brian Elwood, Colonel Helen Cooper.

Ireland’s Prime Minister Mary economy through investment and While the programme is managed
McAleese, who needed to turn partnerships of mutual benefit. by CEDA, the identification of
around the nation’s slumped “A programme like Te Aho Tāmaka leaders is shaped and guided by an
economy following the Global has not existed at a national or advisory group of local experts
Financial Crisis. To do this, regional level in New Zealand across civic institutions, business,
McAleese identified 50 of before, so CEDA’s development of sport, culture, academia and more,
Ireland’s most influential global this is an example of our strategic who assist in identifying and
connections and turned to them leadership and desire to test a approaching these leaders.
to help reinvigorate the national different approach for a regional
growth and connection initiative.” 53MAHI TAHI 2019

TE AHO TĀMAKA

I CARE ABOUT GIVING
BACK AND MAKING
THE WORLD A BETTER
PLACE.” SAID LINDA
JENKINSON

Eight leaders have accepted the There are no boundaries for Te Linda Jenkinson describes
Aho Tāmaka and as we connect herself as a farm girl from
invitation to take part in Te Aho with leaders and explore the Hiwinui and is one of New
Tāmaka so far, and the network ways in which they may give Zealand’s leading business
of ambassadors will continue back to the region, anything women, having built, scaled and
to grow. They are serial global is possible. Their involvement sold multiple tech companies
entrepreneur Linda Jenkinson, could be simply through worth more than $700 million
EziBuy co-founder Gerard inspiring others through their dollars and creating 8000 jobs, in
Gillespie, former Labour MP for stories, mentoring or internships her 30-year career.
Palmerston North and Massey in their companies, advocating Today she is a director on
University Vice-Chancellor Steve on behalf of Manawatū round several boards and dedicates
Maharey, Deputy Chief of Army the globe, or contributing to her time to working with
Colonel Helen Cooper, former projects or initiatives that are businesses to foster the next
Spark Managing Director Simon of mutual importance. On generation of multi-million-
Moutter, former Chief Financial accepting involvement, many dollar businesses through her
Officer of Adidas Global Robin of the leaders said it was their mentoring programme, Level
Stalker, former Palmerston North chance to give something back to Up. Her message to budding
Mayor and Chief Ombudsman Sir the people and communities that entrepreneurs: you don’t need to
Brian Elwood and New Zealand helped shape their success. leave Manawatū to grow a career
Anglican Bishop Sir David Moxin. or business.

54 MAHI TAHI 2019

“I am so delighted to have been Tāmaka means distinguished TE AHO TĀMAKA
invited to be part of Te Aho leaders and Te Aho Tāmaka
Tāmaka. I care about giving is symbolised by a round Palmerston North City
back and making the world a cord woven from four strands Pohangina Valley, Manawatu
better place,” she said in a media representing; whakapapa (a
interview on the launch of Te connection to the region and the
Aho Tāmaka. “I’ve spent 16 of people), whakanui (to celebrate
my last 30 years in Silicon Valley individual and collective success),
and one of the big reasons why whakamana (to empower, enable
there is such business success and endorse) and whakaawe (to
there is people build businesses, influence, develop and grow).
become successful and then they
give back to help other people CEDA’s vision is for Manawatū
come up.” to be New Zealand’s most
Through her involvement, she progressive region by 2025
wants to help people become and Te Aho Tāmaka is just one
more successful, in faster and initiative that will help to identify
smarter ways than she was and create pathways for growth.
able to. And while ideas and CEDA will continue to connect
money are an important part with leaders to explore ways in
of the equation, she says the which they’re happy to contribute
most important element is the to this growth, whether it’s
supporters that help to enable attracting, retaining or developing
growth. the right people with skills and
To encapsulate the aim of talent, supporting the growth of
the initiative and the lasting business, and attracting more
outcomes a legacy project like people, businesses and investment
this aims to achieve, the name to Manawatū .
was of utmost significance and “Te Aho Tāmaka requires a
with guidance from local iwi long-term vision, with wide buy
representatives, Te Aho Tāmaka in from multiple stakeholders
was chosen. including the wider community,
our ambassadors for the region,
For more on Te Aho Tāmaka, visit and our partners and shareholders
manawatunz.co.nz/te-aho-tamaka/ who want to see CEDA’s work
or email [email protected] and outcomes aligning with their
long-term plans. The prospects
and future opportunities and
possibilities are incredibly
exciting, and we are proud to have
launched this for Manawatū,” says
Sarah Gauthier.

55MAHI TAHI 2019

ROADMAP TO HYDROGEN ECONOMY

TARANAKI RELEASES
ROADMAP TO ESTABLISH
HYDROGEN ECONOMY

A report released in March has found that Taranaki has a sizeable The H2 Roadmap is a
component within the
opportunity from the move to a low-emissions economy by developing region’s broader response
its hydrogen industry. to the government’s
The H2 Taranaki Roadmap looks at the potential for Taranaki to announcement of no
leverage the skills and infrastructure honed by the region’s longstanding further offshore oil and gas
oil and gas and energy sectors to become a global leader in hydrogen exploration licenses and
production and utilisation. identifies opportunities to
“New Zealand is moving to a low-emissions future, and that means we apply the existing expertise
need to look at a wide range of options to support that transition,” says held in the region’s energy
Venture Taranaki’s chief executive Justine Gilliland. sector to the development
“As a region, we expect the global energy landscape to change, and of hydrogen production and
we want to be part of that change. The H2 Taranaki Roadmap is part utilisation.
of a plan to help ensure Taranaki’s skills, experience, knowledge and Hydrogen can be utilised as
infrastructure can maximise the opportunities this transition provides.” a fuel, particularly for heavy
vehicles, as a feedstock for
56 MAHI TAHI 2019 products such as urea or
methanol, or to store

ROADMAP TO HYDROGEN ECONOMY

electrical energy for long periods of time from weeks to years. There is “Hydrogen offers Taranaki an enormous
also potential for significant hydrogen export markets to be developed. economic opportunity to be extremely
“Hydrogen is already produced in Taranaki from natural gas, capturing well-positioned as we head into a low-
CO2 to produce what is known as blue hydrogen. The Roadmap emissions future. This Roadmap is a
forecasts that in future hydrogen will be increasingly produced using crucial first step, that builds on the
electricity to split water, with the only emission being oxygen,” says region’s foundations, to remain globally
Justine. competitive and meet the aspirations of a
When renewable electricity is used the outcome is green hydrogen. cleaner emissions future,” Justine says.
“Taranaki is perfectly positioned to leverage opportunities for the The report’s lead author, Andrew Clennett
production of hydrogen. We have significant water, wind and solar of Taranaki-based Hiringa Energy, is
resources, existing hydrogen production infrastructure and expertise, equally enthusiastic about the potential
and established energy generation and distribution infrastructure.” hydrogen could have in transitioning the
“The development of a hydrogen industry will be further supported regional economy.
by the region’s industrial, service and operational industries, strong “Taranaki is very fortunate with its
culture of health and safety, and deep-water port with easy access to natural resources, infrastructure, and
export markets in Australia and Asia.” the forward thinking and the leadership
shown by our regional officials and
industry.”
“Hiringa is enjoying working with
progressive partners to develop a
number of exciting projects that will help
future-proof jobs in the region while
contributing to New Zealand’s future
energy needs,” Andrew says.
“New Zealand is facing many challenges
with the energy transition ahead,
requiring the community, businesses,
regions and government to continue
to work together. It is important that
we act now to create and capture the
opportunities this transition offers,
ensuring we leave a positive legacy for our
children.”

57MAHI TAHI 2019

ROADMAP TO HYDROGEN ECONOMY

The Roadmap is the first of the projects released
under Tapue Roa, Taranaki’s Regional Economic
Development Plan, and signals a strong response
to future climate and economic challenges.
“Taranaki is the perfect region to lead from the
front in helping New Zealand transition to a
high value, low emissions economy, given our
decades of history with the energy sector and the
knowledge, skills and expertise we’ve developed,”
Justine says.

Hiringa Energy’s Andrew Clennett, Venture Taranaki CEO Justine Gilliland, Prime Minister, Honourable Jacinda Ardern, New Plymouth
Mayor Neil Holdom and Energy and Resources Minister Dr Megan Woods at the launch of the H2 Tranaki Roadmap report.

58 MAHI TAHI 2019

INTRODUCING THE NEW CE

INTRODUCING THE NEW CE
OF VENTURE TARANAKI -
JUSTINE GILLILAND

Venture Taranaki’s new chief executive “Over the last three years Taranaki has undergone
Justine Gilliland steps into a role held by a substantial work programme to redevelop its
her predecessor Stuart Trundle for over two regional economic development strategy, and the
decades but sees that as an opportunity to H2 Taranaki Roadmap came out of that process.
build on Stuart’s significant legacy with some The strategy – Tapuae Roa – spans a range of
fresh thinking. initiatives that are currently progressing.
The move comes at a critical time in the The government’s announcement in April last year
region’s economy, with the shift to a lower triggered the development of the Taranaki 2050
emissions economic future facing Taranaki, Roadmap, the draft of which was launched at the
in particular its oil and gas industry which Just Transitions Summit in New Plymouth on
Venture Taranaki found contributed almost 9-10 May. Venture Taranaki led the region’s work
$1.6 billion to regional GDP and supported on the Roadmap, running a co-design process
over 7,000 jobs. that directly engaged over 1,000 local residents to
“Venture Taranaki has got a really strong create the draft, and looks to involve many more
track record in terms of the work it does before the final version is completed later this year.
and the difference it has made to the region’s
economy,” Justine says. 59MAHI TAHI 2019
“There is huge opportunity to build on this
at a time when the economic landscape in
which the region sits is undergoing significant
change. I see Venture Taranaki as having
both leadership and significant operational
functions as we strategically respond to that
change.”
One of the most notable signs of that change
was the government’s announcement that
it will issue no further offshore oil and gas
exploration permits, a move which has
stimulated new thinking in the energy space.
You can read more about the region’s H2
Roadmap in this issue of Mahi Tahi, but it’s
important, Justine notes, to see that in the
broader economic development context rather
than a response.

INTRODUCING THE NEW CE

“The Taranaki 2050 work builds on the
projects identified in the Tapuae Roa
strategy, but with a far broader lens, and in
a context of more ambitious goals for our
region,” Justine says.
“It’s very much focused on continuing to
sustainably grow the region’s prosperity,
for all the businesses and residents in our
communities right around the mountain.”
“We absolutely recognise the need to
respond to the transition to a low-emissions
economy of the future, but we also have
an opportunity to think beyond a purely
economic viewpoint and consider all
aspects of living and working in Taranaki,
what that means, and what we want to
preserve for future generations.”
“It’s moving beyond what might be
traditionally considered pure economic
development, but Venture Taranaki is more
than up for the challenge, and the level of
engagement we’ve received throughout
the 2050 process shows we’re on the right
track.”
“Everything we’re doing is aligning towards
growing the region’s momentum as an
inclusively prosperous region, so that
we can benefit all in Taranaki, including
communities that may have been less
prosperous in the past,” says Justine.
For more information on Tapuae Roa and
the Draft Taranaki 2050 Roadmap, head to
www.about.taranaki.info.

Mount Taranaki totem pole

60 MAHI TAHI 2019

61MAHI TAHI 2019

INFRASTRUCTURE

INFRASTRUCTURE
INVESTMENT AND
INCLUSIVE GROWTH

62 MAHI TAHI 2019

INFRASTRUCTURE

THE NEED FOR MORE INVESTMENT IN
INFRASTRUCTURE IS AN ISSUE FOR ALL
COUNTRIES - GLOBALLY THE INFRASTRUCTURE
GAP IS GROWING.”

Infrastructure investment is a topic that The infrastructure sector is an important
employer, providing jobs and supporting
is currently front and centre in the mind deep supply chains that create further
of New Zealand’s economic development opportunities for large and small
community. The creation of the New businesses alike.
Zealand Infrastructure Commission as Infrastructure investment clearly has
the recently announced Construction an important role to play in facilitating
Accord highlights the critical role that inclusive growth. However, inclusive
infrastructure has to play in improving the growth outcomes cannot be taken for
nation’s long-term economic performance granted and economic development
and social wellbeing. practitioners have a critical role to play in
In addition, as regions across New fostering the conditions that will support
Zealand continue to explore opportunities these outcomes.
associated with the government’s
Provincial Growth Fund, it is apparent that A GLOBAL ISSUE
in many parts of the country there will be
new investment that offers the potential to The need for more investment in
bolster economic growth and unlock new infrastructure is an issue for all countries –
jobs. If the benefits of this investment are globally the infrastructure gap is growing.
fully captured, this investment can deliver In 2016 the McKinsey Global Institute
more inclusive growth that benefits all (MGI) estimated that there was a need for
communities. an average investment of $3.3 trillion a
Infrastructure takes many forms, year through to 2030 to support economic
including transport, technology and growth projections, and that there was an
telecommunications, housing and annual shortfall of some $350 billion.1 In
accommodation, commercial and America, it has been suggested that traffic
industrial land, energy and utilities, congestion alone accounts for a loss of
education and health. Together, these $120 billion a year and that addressing the
key assets are enablers of all economies. overall infrastructure deficit would require
Without them, sustainable long-term an investment of almost $2 trillion over 10
growth is a challenge. years. 2

Infrastructure is also critical to enabling 1 McKinsey Global Institute, Bridging Global
trade and building resilient towns and Infrastructure Gaps, June 2016
cities. 2 ASCE, Infrastructure Report Card, 2017

63MAHI TAHI 2019

INFRASTRUCTURE GRASPING THE CURRENT

The need for investment is clear, as are Despite the challenge of under-investment
there are some signs of progress. The coalition
the potential benefits that could be realised. government has committed to investing an
The MGI report for example estimated that estimated $129 billion in capital projects
“every dollar of infrastructure investment between 2019 and 2029. For a country of only 5
can raise GDP by 20 cents in the long run million people this is a significant amount. The
by boosting productivity”. We also know establishment of an independent Infrastructure
that infrastructure investment creates new Commission is a welcome addition and also
jobs, both directly and indirectly, and spurs through New Zealand Trade & Enterprise
further economic growth at the national and there is active promotion of regional and sector
local level. opportunities to overseas investors. On their
Despite this, we continue to under-invest in own, however, these initiatives will not be
the very thing that will make our economy enough.
more competitive and resilient. Across Globally, there is also an increasing need to look
New Zealand the infrastructure deficit at alternative forms of infrastructure provision,
is recognised as a brake on economic and at business models that could be deployed
growth and a dampener on productivity to enable and accelerate the development of
improvement. The costs of insufficient critical infrastructure to support inclusive
or inefficient infrastructure are driving and sustainable growth. Across the world,
up transportation and housing costs, governments have variously implemented
reducing quality of life, driving up wages, different models that seek to spread the cost
and generally increasing the cost of doing and accelerate the delivery of infrastructure
business. Look at just one dimension, projects. There are opportunities to learn from
congestion, in one city, Auckland – in 2017 these experiences, sharing what works and being
it was estimated that congestion was costing conscious of the challenges and risks.
the city up to $1.3 billion in lost GDP each
year. 1

1 NZIER, Benefits from Auckland Road Decongestion, July
2017

64 MAHI TAHI 2019

INFRASTRUCTURE

In particular, there is a need for a considered
conversation about how central and local
government can partner effectively with
the private sector. Much has also been said
about the fact that global capital is actively
seeking investment opportunities and that
global growth, and particularly ongoing
urbanisation, is creating new investment
opportunities in urban infrastructure, real
estate, consumer goods and services, and
agriculture supply chains.
We are also in danger of ignoring lessons
from overseas and considering how they
might support inclusive and sustainable
economic growth at both a national and
local level. The City Deal model, which has
often been discussed but never adopted
in New Zealand, has coupled increased
investment in infrastructure with measurable
commitments to job growth and productivity
improvements. The model has been widely
used in the UK and has become an increasing
feature of the Australian infrastructure scene,
with seven City Deals already in in place and
a further two under development.

UNLOCKING MOBILE CAPITAL

Given the acknowledged infrastructure deficit, it is also clear that there is a need for ongoing private sector
investment in our cities and regions. However, to unlock mobile capital there is a need to consider the investor
perspective and what makes any location attractive to them.
There is evidence that investors see these four factors as most important:
• A strong and growing economy, with a skilled labour force and a track record of growth and resilience
• A well-functioning transport system, with excellent connections and plans to improve and

maintain investment
• Leadership that is pro-growth and pro-investment, with credibility and a good reputation with industry
• Local partners and organisations who are focused on delivery, with the right skills and experience and

with supportive planning systems that are open to growth.

65MAHI TAHI 2019

INFRASTRUCTURE

These are critical issues that In planning for infrastructure and in
ensuring that the benefits accrue to all
deserve more attention when we are communities, we need to take active
considering how to address the global steps to train workers for future jobs,
infrastructure deficit. However, in to open up procurement, and to better
unlocking private capital, governments connect with those communities that
also need to strike a balance between have not necessarily benefited from
attracting private capital on the one previous economic growth. This needs to
hand, and on their other their wider be a shared challenge for the public and
wellbeing objectives, recognising private sectors, for communities and for
that one of the key outcomes from New Zealand’s economic development
new infrastructure should be more community.
sustainable, resilient and inclusive
economies. Patrick McVeigh is MartinJenkins’ Lead for
People and Places. MartinJenkins advises
MEANINGFUL clients in the public, private and not-for-profit
EMPLOYMENT OUTCOMES sectors. Our work in the public sector spans
AND BUSINESS a wide range of central and local government
OPPORTUNITIES agencies. We provide advice and support to
clients in a wide range of areas including:
If we are interested in inclusive public policy; strategy and investment;
growth outcomes, addressing the organisational improvement, economic
infrastructure deficit also needs development and financial and economic
to include the creation of more analysis. Our aim is to provide an integrated
meaningful employment outcomes, and comprehensive response to client needs
as well as market and supply chain – connecting our skill sets and applying fresh
opportunities for local and small thinking to lift performance
businesses.

Across New Zealand, as we embrace
the current commitment to investment
in infrastructure and addressing the
structural and regulatory challenges
across the construction sector, we must
also remain focused on leveraging
this investment to create long-term,
sustainable and inclusive growth.

66 MAHI TAHI 2019

67MAHI TAHI 2019

YOU CAN ADVERTISE AN EVENT, ORGANISATION OR INITIATIVE HERE

68 MAHI TAHI 2019

MAHI TAHI

Brought to you by Economic Development NZ
[email protected]

69MAHI TAHI 2019


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