The innovative infrastructure funding model approved by Government this week will help unlock some of the key infrastructure projects for Tauranga, the Western Bay of Plenty Infastructure Forum believes.

Through the Special Purpose Vehicle and the Infrastructure Funding and Financing Act, Tauranga City Council will be able to raise about $175m for infrastructure projects.

Tauranga and the Western Bay of Plenty has grown rapidly in the past two decades and its infrastructure lags far behind current and future requirements.

The lack of suitable infrastructure is a major barrier for future growth of the regional economy and affects local businesses as well as nationally strategic assets such as the Port of Tauranga.

Tauranga City Council will be the first local authority in the country to utilise the IFF mechanism and the approval will cover up to thirteen projects included in the Western Bay of Plenty Transport System Plan.

Projects that could get part-funding include: Hewletts Road/Totara Street/Hull Road improvements; an upgrade of the Fifteenth Avenue/Turret Road connection to Welcome Bay; and stage 2 of the multi-modal upgrade of Cameron Road, between Seventeenth Avenue, Barkes Corner and beyond.

While the WBOP Infrastructure Forum welcomes the funding support for crucial projects, it stresses urgency in getting work underway.

Nigel Tutt, Chair WBOP Infrastructure Forum says announcements like this provide confidence for businesses around provision of infrastructure in key corridors.

'Enabling transport infrastructure also unlocks the ability to enact development in housing, which is severely constrained in the Bay of Plenty.

”The Western Bay of Plenty's transport network needs billions of dollars in investment. While the IFF announcement is very positive, work must continue to happen at pace as delays will simply cost businesses and funders more – we must fast-track projects where possible.

'Infrastructure investments in this area unlock better inter-regional transport, and crucial housing and commercial property development.”

The Forum is particularly concerned with congestion and future capacity on key transport routes into Tauranga as the city and its importance to New Zealand grows, and it notes the strong contribution of the businesses to funding base for infrastructure via commercial rates.

'While it's great that this new mechanism for funding can support some of the infrastructure gaps in Tauranga and the Western Bay of Plenty, there is still more work to be done, especially in government contribution to the region's transport network, connecting the Port of Tauranga to the rest of the golden triangle", says forum member Greg Pert, Director of Tranzliquid.