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Golden Bay’s planned redevelopment of Port Tarakohe has had a major financial boost with Winston Peters announcing up to $ 20 million in government funding for the project.
Peters, the deputy prime minister, revealed the investment, a limited recourse loan, during a visit to Richmond in the Tasmanian district on Thursday.
The port owned by the Tasmania District Council is earmarked for a $ 28.3 million redevelopment, in large part to cater for an expected increase in mussel production. Over the next decade, that production is projected to increase from 8,000 tons annually to around 41,000 tons, of which 32,000 tons are expected to pass through Port Tarakohe.
Just over a year ago, the council agreed to request a little over $ 22 million from the Provincial Growth Fund for the project. A combination of city council and industry funding is expected to cover the rest.
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* The Nelson-Tasman region requests $ 155.4 million from the government for 14 priority projects
* Projected growth of Golden Bay aquaculture requires ‘100 new hires’
* A $ 22 million grant will be requested from the Provincial Growth Fund for the Port Tarakohe plan
Braden Fastier / Stuff
Vice Premier Winston Peters registers with the Tasmania District Council office in Richmond prior to his announcement.
The proposed port upgrade received another boost in April when it was included in a series of projects from the Nelson-Tasman region submitted to a government-established industry group that was set up to find “shovel-ready” infrastructure projects to stimulate the economy and Reduce the economic impact of the Covid-19 pandemic.
Peters said the government’s investment in the Port Tarakohe redevelopment would provide a major boost to the region.
“The project will have significant flow effects on industry and the community, creating hundreds of additional long-term jobs, both on land and on board,” he said. “The remodel will open up access to commercial marine docks while creating more work dock space, a new food grade dock area and a main port building.”
Increased demand for support services, such as boat maintenance and marine engineering, as well as non-commercial benefits was expected.
Cherie Sivignon / Things
The New Zealand First leader said the remodel will have significant flow effects.
“Tourism is important to Golden Bay and the region, and its beaches and natural beauty are a magnet for visitors,” Peters said. “The new port will separate commercial and recreational berths and create a recreational marina.”
The redevelopment project, which is expected to take two years to complete, would also improve Golden Bay’s resilience in the event of a natural disaster or Civil Defense emergency, he said.
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The planned port redevelopment includes the protection of the nesting areas for little blue penguins and possible new roosting areas for shorebirds.
West Coast-Tasman MP Damien O’Connor said the government funding would mean “a lot to Golden Bay and the entire region.”
“This port has long been a very important asset to this region, it is a point of resilience and connectivity for Golden Bay,” O’Connor said. “The modernization of Port Tarakohe will improve the well-being of the region, economically in terms of job creation and wealth; socially, through better visitor and recreational services and infrastructure; environmentally, through better port facilities and practices on the water, and culturally through the provision of income for local iwi ”.
The Labor MP said he hoped the funding “also tells the community that the government believes in them and their potential.”
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Port Tarakohe has a concrete pier dating from 1977 and a wooden pier that is believed to date from around 1910.
“I’ve always believed that there is enormous potential to build a strong history of providence around its unique food offering from both aquaculture and agriculture,” O’Connor said.
After the announcement, Tasmania District Mayor Tim King confirmed that the original application to the Provincial Growth Fund was for a grant.
When asked if he was disappointed that the financing offered was a loan, King said, “It is what it is.”
A combination of grants and loans has been offered across the country, “so I guess it all comes down to the terms being negotiated, so we hope they are favorable.”
“This is a big step forward for us, but negotiating the terms of that loan will still have to lead to a decision in the future,” King said.
When asked if he was confident that taxpayers in the Tasmanian district could repay a loan of up to $ 20 million, King said the council would have to wait to see what the terms of the loan and repayments were along with interest rates.
“At this point, we are not engaged until we understand what those terms are,” King said. “The council has yet to make decisions on this project. This is a significant step forward, so having this $ 20 million available is of crucial importance, otherwise we would not go anywhere.”
BRADEN FASTIER / THINGS
A little blue penguin is being rehabilitated at Natureland in Nelson after being found ill in Mārahau. Video first published in 2017.
There was a lot of work to be done before construction could begin, including the loan, which was still up for negotiation.
“Ultimately, the board will still have to decide whether, when it looks at the financial information, the terms of this loan and the other funds, to go ahead.”
The anticipated increase in mussel production follows approvals for 2,200 hectares of new mussel farming space. These approvals came after a change to Tasmania’s Resource Management Plan and a publicly notified resource consent process that took place over several years, including Environmental Court hearings.
Both the commercial and recreational areas of the port will be updated and reconfigured under the remodeling plan. Protection of small nesting areas for blue penguins and possible new roosting areas for shorebirds are also part of the proposal.
