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The National Infrastructure Advisory Board Demand Management & Optimising Infrastructure Investment Speaker: Lindsay Crossen Chair NIAB

Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

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Lindsay Crossen delivered the presentation at the 2014 NEW ZEALAND INFRASTRUCTURE SUMMIT. The New Zealand Infrastructure Summit brings you the most up to date infrastructure news combining case studies and key presentations, addressing developments in the some of the main infrastructure hubs, such as Auckland and Christchurch. For more information about the event, please visit: http://www.informa.com.au/nzinfra14

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Page 1: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Demand Management & Optimising

Infrastructure Investment

Speaker: Lindsay Crossen

Chair NIAB

Page 2: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

• The National Infrastructure Unit & Advisory

Board

• Context: Direction of travel, the National

Infrastructure Plan, and the Evidence Base

• Demand Management: The Challenges

• 2014: Next Steps

Content

Page 3: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

The National Infrastructure Unit &

Advisory Board

• NIU was established 2009, located within Treasury.

• Work with central government, local government and private sector.

• Steered by the National Infrastructure Advisory Board.

• Focused on supporting delivery of “High performing infrastructure

supporting higher living standards”.

• Look across all the infrastructure sectors to facilitate and co-ordinate.

• Promote common understanding / consideration of future challenges.

• Work with sector experts.

• Additional focus on transport, telecommunications,

LG and Auckland.

Page 4: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Context: Current direction of

travel

4

New ZealandNational

Infrastructure Plan

ContextStrategicdirection

Evidence Story Response

2010 2011 2012 2013 2013 2014 20152014 2015

Page 5: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

The 2011 National Infrastructure Plan

Vision

By 2030 New Zealand’s infrastructure is

resilient, coordinated and contributes to

economic growth and increased quality of life

Outcomes

Better use of existing

infrastructure

Better allocation of

new investment

Principles

Investment analysis Accountability/ Performance

Resilience Regulation

Funding mechanisms Coordination

Page 6: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Expectations of the next Plan

1.Reinforce the current strategic direction (the vision and

outcomes)

2.Mature the debate around future needs and responses

3.Be a collective infrastructure plan by NZ Inc across the

private sector, central and local government

4.Have increased specificity about the action plan and future

investment programme required to achieve the strategic

direction

5.Be underpinned by a more robust evidence base of

future need and current performance

Focus shifting from 3 and 5 2 and 4.

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Page 7: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Evidence Base

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Evidence Base Overview

Resilience Assessment

10yr Capital Intentions Plan

Sector Specific Narratives

Scenario / Trend Analysis

Performance Indicators

Page 8: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Summary of findings

• The overall state of New Zealand infrastructure is positive.

• New Zealand has broadly the right infrastructure, in the

right place, providing the right quality of service.

• However, there are a number of challenges ahead and

traditional systems will not be sufficient to meet these.

• It will not be possible to address these challenges with supply

side options alone; infrastructure sectors will need to

consider new ways to manage demand, deliver alternative

sources of funding, & optimise investment where it is made.

• Changes in behaviour and technology will be crucial to

delivering infrastructure services efficiently.

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Page 9: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Demand Management: The Challenges

• Optimising existing infrastructure for desired Levels

of Service.

• Taking a network approach to future investment

• Moving away from supply-side solutions alone by

considering new ways to manage demand

Page 10: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

Demand Management: Many Forms

Action to influence demand on services & assets

could include;

Education & Awareness Spatial Planning

Using Alternatives Pricing & Charging

Emerging Technology Time/Cost Incentives

• An opportunity for “demand management options”

to be more explicit in BBC process for new

infrastructure.

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Page 11: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

2014: Next Steps

• Evidence Base Response Work

• Publishing Case Studies on

Demand Management

• Improve Industry knowledge

and awareness of demand

management potential

Page 12: Lindsay Crossen, Chair, National Infrastructure Advisory Board - Planning for efficient infrastructure development in New Zealand

The National Infrastructure Advisory Board

We always welcome feedback. Please contact us through:

The National Infrastructure Unit

The Treasury

1 The Terrace

PO Box 3724

Wellington

New Zealand

www.infrastructure.govt.nz

[email protected] 12

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