NZ election: Infra set to benefit

Labour’s historic landslide paves the way for more investment across the country

Infrastructure investment in New Zealand is expected to continue at pace following the election victory of Jacinda Ardern’s (pictured) Labour Parry over the weekend.

Labour received 49.1% of the vote which will give it an overall majority of seats in parliament, making it the first party to hold such a position of power since the Mixed Member Proportional representation voting system was introduced in 1996.

The victory means Ardern’s party will be able to enact its manifesto without compromising with other parties for their support and that could bring more investment in the infrastructure sector and potentially the use of PPPs.

In its 2017 manifesto, Labour had pledged to stop using PPP for schools and hospitals, but has been willing to consider their use in areas such as large transport projects.

While its 2020 manifesto makes no mention of PPPs, it does promise to “prioritise further investment in public transport” such as commuter rail, including a commitment to build a light rail connection from Auckland’s city centre to Māngere and the airport, subject to “advice from the Ministry of Transport”.