Creaky infrastructure adds to natural disasters' 'staggering' cost

Creaky infrastructure adds to natural disasters' 'staggering' cost
Some people were trapped without power during Cyclone Gabrielle when a substation failed and roads were closed. (Image: NZME)
Jem Traylen
The new head of the prime minister’s department is surprised by how much natural disasters cost the nation.The chief executive of the Department of Prime Minister and Cabinet (DPMC), Ben King, recently told MPs scrutinising his budget he was “staggered” to discover that over the past 20 years, the average cost of responding to disasters such as earthquakes and weather events was about 4% of New Zealand’s economic output.According to major insurer IAG, the figure is about 4.3% of GDP, which, in a briefing note to the...

More Policy

Gas contract for schools and hospitals ending with no replacement
Policy

Gas contract for schools and hospitals ending with no replacement

No one is interested in supplying gas to govt agencies in a tight market.

Inflation outcome shores up the view RBNZ will cut by November
Finance

Inflation outcome shores up the view RBNZ will cut by November

Economists say even earlier rate cuts are possible. 

Tom Raynel 17 Jul 2024
Up next on social investment, big data steals the show, and more...
Policy Business of Government

Up next on social investment, big data steals the show, and more...

Our weekly roundup of public sector news and analysis.

Jem Traylen 17 Jul 2024
Holidays Act: Our 21-year-old problem child
Economy In-depth

Holidays Act: Our 21-year-old problem child

Successive governments have taken more than 20 years to fail to fix the Holidays Act.

Nikitin Sallee 17 Jul 2024