What shock it was. Six out of 10 were surprised when told the country needs to manage 70 to 75 percent growth in freight volumes over the next 30 years. That’s just to cope with current growth rates.
Volumes will need to rise about 100 percent in the next 30 years if the country is to achieve two percent annual economic growth rate boost – and match Australian material living standards in 15 years. Freight volumes typically grow faster than the economy.
In freight’s “golden triangle” (Auckland-Hamilton-Tauranga) the hike in freight volume will be even greater.
When 2171 New Zealanders were polled by ShapeNZ in December last year and February this year, only 9.8 percent said they believe we have plan to manage the growth: 40.4 percent believe we don’t, and 49.9 percent don’t know.
Kiwis understand that an ability to efficiently move freight has great bearing on how the country performs, and on their jobs, future and quality of life. They know how traffic congestion, caused mainly by passenger vehicle growth, is hurting them now.
As freight volumes rise over the next 20 to 30 years, 84.2 percent of people polled say traffic congestion will worsen over that period. Just over 66 percent of these same people reckon private trips will take longer and almost 70 percent of them believe their travel times will increase.
Just over 60 percent of those whose main vehicle use is work-related believe their trips will take longer. Almost 77 percent believe noise pollution will increase and 73.5 percent predict air pollution will increase.
These people also believe that more freight will be delivered overnight instead of during the day (69.1 percent) and more freight will be moved at peak hours (35.4 percent).
The survey further demonstrated that just over 81 percent of respondents think our ports will expand, almost 72 percent of people reckon more roads and motorways will be built, and slightly fewer people believe rail will be used more for freight.
While most of us probably only think about freight when we overtake truck or wait at rail-road crossing, for New Zealand and our standard of living, freight really does matter. Our relative isolation from world markets further heightens the issue.
To get our products to overseas markets, we rely on the longest supply chains on the planet. Our closest significant market, Australia, is more than 2000kms away, Japan 8000kms, China 9000kms, the West Coast of the USA 10,500kms, and the EU more than 18,000kms.
Researchers tell us that the further you are from markets, the harder it is to achieve the same market share as producers based closer to them. We cannot do anything to physically reduce these distances. But by improving the freight supply chain we can effectively cut the ‘distance’.
For more than year now, 44 companies and organisations in the transport sector have been working with the New Zealand Business Council for Sustainable Development on possible long-term solutions. report is due out by mid-year. It will lead major discussion and be accompanied by congestion and mobility solutions, some of which may surprise.
We need to debate and discuss these issues and the possible answers. No one sector, interest group or political party can fix the issues. We need an agreed, co-operative approach from Government, local government and the private sector to deliver range of enduring solutions.
As you cut the number of deliveries possible each day, and crawl in peak hour traffic, be assured there are number of exciting opportunities to lift the freight sector and supply chain productivity while reducing congestion. M
Peter Neilson is chief executive of the New Zealand Business Council for Sustainable Development. Visited 7 times, 1 visit(s) today
