Acceleration of expressway will be transformative for Northland economy says EMA

Wednesday 24th July 2024

The Employers and Manufacturers Association (EMA) says the Government’s decision to accelerate the delivery of a new expressway to Whangārei is welcome news for businesses across the region and will help transform the Northland economy.

EMA Head of Advocacy Alan McDonald says that for too long Northland has been hampered by poor infrastructure that has impeded growth in the region for decades.

"Northland businesses need to be able to move their goods and services to market quickly and that requires a high-quality and reliable roading network.

"The current road between Warkworth and Whangārei is too often closed, effectively cutting Northland off from the rest of the country. As a result, we have seen businesses and investors reluctant to put their money into the region," says McDonald.

"This is why Northland, despite its abundance of resources, has struggled economically. The new expressway will help address this, by fully integrating Northland into the country’s golden triangle, which is responsible for the majority of the country’s economic activity.

"The good news is that we won’t need to wait for the completion of the expressway to see a positive economic benefit. In anticipation of the new link, it’s likely we will see more investment into Northland’s economic activity."

McDonald says a report by NZIER, released this year, found an expressway between Auckland and Northland would lift national GDP by $2.1 billion and deliver more than $560 million in direct economic benefits to Northland every year.

"To understand the potential impact, you just need to look at the impact the Waikato Expressway has had on the Waikato and Bay of Plenty, which have grown rapidly in recent years as their connection to Auckland has improved," says McDonald.

"The new expressway will connect Northland to both Auckland and these high-growth regions, providing Northland business easier access to goods, services, markets and people. It will also allow Northport to play a greater role alongside the major port Ports of Auckland and Tauranga.

"There is no reason that Northland shouldn’t be a high growth region and that is what the new expressway can help achieve, unlocking the region’s potential and helping address some of Northland’s long-standing social and economic problems."

ENDS

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