Infrastructure

Infrastructure is a major enabling component for economic activity in New Zealand. The country’s transport system owes its characteristics not only to its dependence on external trade and remoteness from many of its trading partners, but also to New Zealand’s rugged terrain, scattered population and the division of the country into two main islands spanning 2,011km in length.

Infrastructure

Development of a comprehensive network of roads (around 93,000km) and railways (4,000km) linked to ports and airports, has involved capital costs that are high in relation to the size of the population. However, the efficiency of the country’s internal transport system has played a critical role in New Zealand’s economic growth.

New Zealand’s building industry is booming with work worth around $24 billion for new infrastructure in Auckland and the $40 billion rebuild required in Christchurch. Reconstruction following the earthquakes that caused extensive damage to parts of Christchurch city, and surrounding areas, will provide infrastructure repair, upgrade and new-build opportunities over the next few years. Many hotels were also destroyed by the earthquakes, creating an opportunity for investment in new capacity.

In July 2011, the New Zealand Government released a National Infrastructure Plan outlining its intentions for infrastructure development over a 20-year timeframe. Auckland needs investment to build new housing and the next generation of transport projects to support its growing population.

Significant demand and growth

Continuing population growth in Auckland and the after-effects of the Canterbury earthquakes are two main factors driving the sector. New Zealand requires both funding capital and technical support. As a consequence, there is significant demand for large-scale infrastructure development in Auckland and Christchurch.

Strong government support

The New Zealand Government has increased funding for infrastructure investment to lift the country's economic performance. Specific areas of focus include public-private partnerships and the Christchurch and Auckland regions.

Regions with strength in Infrastructure

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