Fixing up after the cyclone will take a concerted effort
It is clear that in the wake of Cyclone Gabrielle, the cost of cleaning up, fixing both infrastructure and people’s lives, and providing resilience for the future will be a mammoth and expensive task involving all sections of our community. With damage likely in the billions of dollars and thousands of people displaced, it is such a vast task that it may either make our break the Government.
The most immediate task is clearly to assist the homeless and destitute, with a particular focus on Hawke’s Bay and Taira¯ whiti. Apart from the role of wha¯ nau, friends and the community, major involvement of central and local government, iwi and social service voluntary organisations is key. Our excellent defence forces have led much of this.
The scale of the devastation in
Hawke’s Bay in particular is so great that the Government will need to consider whether a special government recovery agency is needed – and possibly for also for Taira¯ whiti, Coromandel and Te Tai Tokerau.
Urgent economic recovery assistance is needed for farms, vineyards and other businesses which have been, at least temporarily, ruined. Central government will have to lead this, but our highly profitable banks also have a role to play, as do insurance companies.
In the longer term this catastrophe will likely lead to:
Greatly increased central government expenditure, both on infrastructure and social support services. We are fortunate that the Government’s books appear to be in good shape.
Higher local council rates and greater local body borrowing. Rates, as we all know, are under great pressure in all local bodies.
Higher user charges for electricity, telecoms and (where meters are used) water.
Increased charges for a range of consumer goods and services.
Shortages and higher prices of some foodstuffs, particular those from agriculture.
Yet more increases in insurance premiums.
A big part of the job of fixing up will relate to roads and bridges. For state highways this is the responsibility of Waka Kotahi (NZTA) and, for local roads and bridges, it is local councils. This massive cost will defer other projects.
Local councils will need to closely review stormwater systems and the extent to which waste water is entering stormwater systems. Costs of upgrading are likely to be significant and central government may need to come to the party – particularly for local bodies which lack a sufficiently wide rating base.
Hindsight is a great thing but clearly some of this damage was preventable. Forestry debris should have been cleaned up by forestry owners and farmers. Damage to and destruction of bridges appears to have been caused as much by the accumulation of this debris as by the water. Stormwater drains could have been regularly checked for blockages. Trees overhanging powerlines should have been proactively trimmed – and there should have been more ambitious programmes for undergrounding powerlines.
Building homes on steep slopes is more complex given the unanticipated scale of the rainfall, but local councils will need to look at existing consenting policies. The problem of rising seas has been well understood by local councils but their action here has been light-handed.
Transpower will need to thoroughly review whether its bulk electricity distribution system is fit for purpose. This is likely to result in increased charges. Likewise for our electricity lines companies, which is also likely to result in increased charges or drawing on reserves.
Telecommunications providers will need to review the robustness of their networks given the many failures and this may result in increased charges.
Our housing stock will have taken a massive hit, just as housing consents and builds have looked like keeping up with demand. This is a major task for central government to coordinate.
Perhaps we should welcome this clear demonstration of climate change after advance warnings in Westport and Nelson. Have we taken adequate notice?
The scale of the devastation in Hawkes Bay in particular is so great that the government will need to consider whether a special government recovery agency is needed.