Standardised procurement processes are often used for probity purposes - and to speed up the time taken to procure. But do they deliver value for money? How would you know? Kalimena Advisory has put some thoughts together to help guide the procurement process.

The National Party flagged its intention to implement city region deals before last year's election. Since then, a number of parties including Kalimena have been thinking about how these might work.
The issue, however, is that Ministers - and the Department of Internal Affairs (DIA), as nominated advisor to Ministers on city region deals – have been taking their time to promulgate what is being described as a “policy framework” for city region deals. It is within this wait-and-see environment, this week Local Government New Zealand (LGNZ) released a document “What communities need from the framework for city region deals” , seeking to influence Ministers’ and DIA’s thinking prior to release of the framework. The document lays out LGNZ’s six requirements for “outcomes the framework must deliver”. In response to each of these six requirements, here are a few thoughts on what we’d like to see.

Central government has a key role to play in supporting the digital transformation of Aotearoa New Zealand’s economy, without which, gains in productivity, efficiency and economic growth are being left on the table.

As local government becomes increasingly squeezed financially, there is increasing discussion of city region deals as a new way of funding infrastructure. However, while a city region deal may well include new funding streams from central to local government, there will undoubtedly be an expectation that investments will not be solely financed by central government, and – further – that new and innovative financing models will be used.

The team at Kalimena has identified what economic outcomes we might expect to receive from successful City Region Deals in New Zealand.

New Zealand’s Road User Charges system, through which drivers of diesel-fueled vehicles help fund the operation, maintenance, and development of New Zealand’s roading system, was world-leading when it was introduced in 1978. While it has had some enhancements since, it remains largely unchanged. As alternative fuels – electricity and perhaps hydrogen – start to become commonplace, is it time for a technology upgrade and a shift to electronic road user charges (eRUC) for all vehicles to sustainably fund our land transport system?

In late 2023, LGNZ commissioned Kalimena Advisory to produce a paper for local government leaders to provide insight into international experience around city and regional deals, and how this might be applied in the New Zealand context. The paper, and accompanying set of slides, sets out background on the key elements of city and regional deals, different options that have been used in the United Kingdom and Australia, and considerations and key takeaways that could be applied when designing a city and regional deals framework for New Zealand.

A close ally to City Deals is the concept of congestion charging in urban environments as a means of supporting improved allocation of space across all transport modes.

This article proposes transformative ideas for a City Deal for Wellington, including a merged tertiary education structure, completing State Highway 1 upgrades for urban rejuvenation, and implementing a congestion charging scheme.