7. Hon TAU HENARE (National) Link to this
to the Minister of Transport
What reports, if any, has he received on the Civil Aviation Authority’s accommodation costs?
Hon STEVEN JOYCE (Minister of Transport) Link to this
I have received advice that the Civil Aviation Authority has decided to move from its present accommodation in Pētone to brand new premises in Wellington’s central business district, just down the road from Parliament, at the end of next year. The cost of the relocation will be about $8.5 million and will result in rentals much, much greater than the current accommodation. This move was decided before the election and supported by the previous Minister of Transport in the previous Labour Government.
What action did the Minister take after learning that the Civil Aviation Authority’s costs were going to increase so much?
I told the Civil Aviation Authority that I felt that spending so much money on relocation and increased rentals was not acceptable. I have tested the options—to make changes to these arrangements, or to not go through with this move—over a period of time with the chair of the Civil Aviation Authority. Unfortunately, commitments have been made, with the support of the previous Government, that are unable to be changed. Roughly 90 percent of the Civil Aviation Authority’s revenue comes from industry fees and charges. I am not impressed that these costs are being incurred to this level and at this time when all New Zealanders are having to tighten their belts in the current global economic recession.