As the economy slowly gains some momentum there are some positive signs from our East Tamaki members, although it depends very much which sector you happen to be in. Construction related businesses are seeing a lift, however, many service industries are finding it tough as are many exporters as the New Zealand dollar shows no sign of slowing its upward trend.

 

What was the government thinking even contemplating the application of fringe benefit tax on employee paid car parks in Auckland and Wellington CBDs? It was good to see the proposed laptop and iPad tax ruled out by the Prime Minister as well. It would have been just another business compliance cost!

 

On the other hand a positive recent government initiative is the Apprenticeship Re-boot scheme. Now underway it aims to rapidly increase the number of apprentices by providing some serious subsidy incentives and removing the age restriction criteria that previously applied. The first 10,000 new apprentices enrolling will get $1,000 towards their tolls and off-job costs, or $2,000 if they are in priority construction trades. The same amount will also be paid to their employers. It’s a very positive and welcome move.

 

Richard Poole

This year will be an interesting one with the government taking on some tough issues and pushing through changes which they hope will put them in good stead for 2014, election year.  State asset sales are a biggie.  From a business perspective, don’t expect a partially privatised power company to give you lower electricity prices.

 

On the home front here at GETBA, we have been busy on several issues: three in particular, being wastewater charges, transmission corridors and transport.

 

Wastewater – basically, the various previous charging regimes are being replaced by one new regime, and the proposed options have been communicated to members and a submission made to Watercare on behalf of members. Our calculations show that nearly all options result in increases, especially for high wastewater users, and Watercare is talking directly to them.  We have recommended phased implementation of the tariff changes, and the phasing out of the business differential within five years.

 

The Transmission Corridor issue involves new regulations for development under high voltage power lines, which will be included in the Draft Unitary Plan, due for release for consultation in March.  We have communicated the issue to members and outlined what actions can be taken, working with another business precinct to leverage their experience. More about this on the website.

 

Transport in Auckland is a large complex issue and Auckland Transport have developed travel planning initiatives aimed at reducing single occupancy vehicles commuting to and from work. These include car pooling and public transport, for example, and making best use of technology and the internet to develop these.  GETBA have taken these further and we are in the process of working with our members, particularly larger companies to facilitate the best application of these initiatives, tailored for each business and their staff.

 

Back to central government – an ongoing issue for many is the high NZ dollar, with no sign of relief.  Opinion on whether the government can or should intervene, varies widely, but it seems unlikely that they will and that the NZD will remain high for some time yet.

 

Don’t forget to visit our website regularly to keep up to date with all that is happening in East Tamaki and how we at GETBA can help you.

 

Richard Poole