Govt announces over $40 million for various Otago and Southland projects, including flood protection

July 15, 2020

Shane Jones says the investment will improve infrastructure and provide jobs.

The Government today is announcing more than $40 million in funding for the Otago and Southland regions for flooding prevention, a community centre and skills training. 

Shane Jones, as the Regional Economic Development Minister and Infrastructure Minister, has announced funding totalling to over $42 million from a $3 billion fund ringfenced from Budget 2020 and the Provincial Growth Fund.

Flood protection measures for Southland and Otago

Mr Jones has announced $30 million in funding for flood protection measures. Of the $30 million, Otago will receive $5 million and Southland $25 million.

“Projects proposed for funding in both regions include stopbanks and flood protection works in both Otago and Southland and the Outram flood remediation,” he said.

Mr Jones said the Government would be working with regional councils on a number of measures, including upgrading and creating stop banks, repairing flood damage, earthworks and flood management structures.

"In the event we're back, a bottom line is definitely the relocation," Shane Jones said.

The projects follow recent floods in the area.

The funding forms part of the $210 million set aside for “shovel-ready climate resilience” projects from the $3 billion tagged contingency from Budget 2020.

“This investment will provide immediate and much-needed jobs during construction for an economy recovering from the impact of Covid-19,” Mr Jones said.

“Most of those jobs will not require extensive training for new workers, so they are good to go.”

Jobs and skills training in Otago and Southland  

The Regional Economic Development Minister also announced funding of $1.85 million over four years to establish a Jobs and Skills Hub for Workforce Central Dunedin.

Mr Jones said it would help support the construction of the Dunedin Hospital and other construction projects in the region.

He said the project aimed to “upskill and support more than 300 local people into work on the hospital build”.

“At least a further 900 people will be engaged and supported into training, education or employment.”

Additionally, $1.86 million over two years will be put towards piloting the NZ Shearing Training Model programme.

“It will target school leavers, unemployed and underemployed people, career changers and those in the industry who would like to learn new skills," Mr Jones said.

He said the programme aimed to upskill up to 150 new shearers and 120 existing shearers.

“This programme will use micro credentialing, ‘earn-as-you-learn’.”

Two pilot schemes are planned in the Tairāwhiti/Hawke’s Bay and Otago/Southland areas. There are also plans to establish centres of excellence for expert training in shearing and wool handling.

Community facilities in Clutha and Arrowtown get support

The Infrastructure Minister announced funding for the Lakes District Museum and the Clutha Community Hub.

He said the funding, which comes from the $3 billion tagged contingency from Budget 2020, aimed to create jobs and provide a boost to the local construction sector.

The Lakes District Museum is set to receive seismic strengthening and restoration. The Government announced it would fund $2 million of its total $3.5 million cost.

Construction is planned to start in late October. 

The project was put on hold indefinitely due to a lack of funds when the museum had to close during the Covid-19 pandemic.

“On completion the new display areas will include an extended display of pre-European Maori history in the Southern Lakes and local geology,” Mr Jones said.

“Our support will mean about 13 jobs are able to be retained at the museum itself and new ones will be created in the construction sector."

“Given the specialist work involved, jobs will come from local contractors and contractors further afield, such as Dunedin and Christchurch.”

The $17 million Clutha Community Hub project will receive $7 million in funding from the Government.

Mr Jones said the project is estimated to create more than 150 direct and indirect jobs.

“The new community-owned community, business and visitor hub will address a lack of access to community services, cultural, arts and business sectors across the Clutha District.”

Construction is expected to be under way within three months.   

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