Chapter 8 Infrastructure

Infrastructure underpins our society. It provides the services we depend on to live, work, learn and play.

These services include:

• energy – energy generation and distribution networks, including electricity, and liquid and gaseous fuels
• telecommunications – communication networks, including voice and data transfer and storage
• transport – land transport networks, ports and airports
• water – wastewater, stormwater, drinking water and irrigation networks, including sources of water (eg, dams, rivers, reservoirs and groundwater), and water bodies into which stormwater and wastewater are discharged
• waste – resource recovery and landfill assets for managing waste
• social – education and training facilities; health and aged care facilities; community assets such as libraries, stadiums and community centres; the Defence estate; justice assets such as courts, prisons and remand centres; and social housing (figure 8).

For Māori, cultural infrastructure is important and is represented in social and cultural systems such as iwi, hapū and whānau. Associated physical and spiritual structures such as marae and urupā are also important.

Just as physical infrastructures of roads, telecommunication systems and energy systems must be resilient, so must cultural infrastructure for Māori.

Figure 8: Types of infrastructure

* See Infrastructure under one roof: Standardising how we think about the shared services around us – Discussion Document [PDF, 1.4 MB]

Climate change will affect all of our infrastructure, directly and indirectly, including supply chain disruptions, physical impacts and changes in demand.

The actions for infrastructure in this plan are designed to achieve the three infrastructure objectives outlined in table 8 and address the built environment risks in the National Climate Change Risk Assessment 2020. In particular, they begin to address:

• B1: Risk to potable water supplies (availability and quality) due to changes in rainfall, temperature, drought, extreme weather events and ongoing sea-level rise.

Resilient infrastructure protects and enhances the wellbeing of all New Zealanders.

Table 8: Government objectives to build resilient infrastructure

Infrastructure asset owners include central and local government and the private sector, onshore and offshore (table 9). This means there is a range of drivers underpinning the sectors’ collective response to climate change.

Important drivers for action in the private sector include board fiduciary duty, NZX rules, and investor sentiment on corporate responsibility and non-financial risk management. For Crown entities, government priorities and policy, as well as board fiduciary duty, will help direct responses. Local government decisions reflect long-term plans and will be influenced by the ability and willingness of ratepayers to pay.

Many asset owners have existing duties as lifeline utilities (table 9) under the Civil Defence Emergency Management Act 2002 to “function to the fullest possible extent, even though this may be at a reduced level, during and after an emergency” (s. 60 (a)).* Many asset owners may be beginning to consider climate-related risks as part of fulfilling their responsibilities as lifeline utilities.

* See the Civil Defence Emergency Management Act 2002 [New Zealand Legislation website]

Table 9: Infrastructure governance

* The Civil Defence Emergency Management Act 2002 identifies the entities and sectors that represent lifeline utilities, which include many of the infrastructure classes that this section seeks to influence.

** Defence land and infrastructure includes Defence Force camps, bases, training areas, airfields and ports.

*** Includes energy generation and energy distribution.

**** Radio New Zealand and Television New Zealand, and telecommunications network providers.

All asset owners must begin the process of understanding and actively managing climate risk. Collectively, actions across this plan will support this process and help deliver on our objectives for the sector.

Chapter 7: Homes, buildings and places deals with many of the buildings and places defined as social and cultural infrastructure (figure 8), and that are included in other infrastructure types, eg, terminals and stations. Chapter 9: Communities contains adaptation of the health sector, including its built environment and the services it provides (social infrastructure).

Chapter 3: Enabling better risk-informed decisions, chapter 4: Driving climate-resilient development in the right locations and chapter 5: Adaptation options including managed retreat all include critical actions for infrastructure, as well as a number of supporting actions.

These include actions:

• that have been developed to support action at the system level, across all asset classes and geographies
• to develop adaptation plans by significant government infrastructure asset owners
• that support funding resilience activities in particular infrastructure sectors.

Additional critical and supporting actions for infrastructure are provided in this chapter. Table 10 illustrates how actions supporting the three infrastructure objectives are distributed throughout this plan.

Table 10: Actions related to infrastructure are located throughout the national adaptation plan

Addressing inequity

Understanding and managing risk at the asset level can result in a range of benefits, in addition to resilience – for example, making infrastructure services more reliable, providing better value for money and improving social cohesion. 

Actions in this outcome area have the potential to reduce inequity and improve affordability of, and access to, infrastructure services – for example, investment in public and active transport, and consideration of future energy needs through the National Energy Strategy.

Development of system-level guidance, tools and methodologies, and adaptation plans, provides the opportunity to specifically consider the needs of all groups who may be disproportionally impacted by climate change, or who are least able to adapt. These include Māori, people of lower socio-economic status, disabled people, women, older people, youth and migrant communities. The guidance for assessing risk and impacts on physical assets and the services they provide will specifically include these considerations to encourage asset owners to undertake this analysis as part of their adaptation planning.

Consideration of disproportionate impacts of climate change on infrastructure services, and the implementation of actions to create resilience and build adaptive capacity, can also support giving effect to the principles of Te Tiriti o Waitangi. In addition, there is the potential for system-level guidance, tools and methodologies, and adaptation plans, to create space for mātauranga Māori to be integrated and expressed as part of adaptation planning.

Critical actions

Action 8.1: Develop and implement the Waka Kotahi Climate Adaptation Plan

Timeframe: Years 1–6 (2022–28)
Lead agency: Waka Kotahi
Relevant portfolio: Transport
Primarily supports: Objective INF3
Status: Current

In 2022, Waka Kotahi will publish and begin applying an adaptation plan. This will outline how Waka Kotahi will adapt to climate change through the design, delivery, operation and use of the land transport system.

The plan will address exposed existing assets and new investment in infrastructure. It will also explore adaptation in maintenance programmes of the roading network, including renewals.

Waka Kotahi will consider multiple risks to the land transport system from climate hazards, including sea-level rise, flooding and landslides. It will lead, collaborate on and support land transport adaptation to enable climate-resilient transport networks and journeys, connecting people, products and services for a thriving Aotearoa.

By 2024, a reporting framework on the implementation of the adaptation plan will be developed.

Supporting actions

Action 8.2: Develop the National Energy Strategy

Timeframe: Years 1–3 (2022–24)
Lead agency: MBIE
Relevant portfolio: Energy and Resources
Primarily supports: Objective INF2
Status: Current

The Government has committed to developing an energy strategy by the end of 2024, fully collaborating and engaging with Māori and working with energy system stakeholders. The vision is for a net-zero economy in 2050, where energy is accessible and affordable, secure and reliable, and supports New Zealanders’ wellbeing. The strategy addresses challenges in the energy sector and signals pathways away from fossil fuels.

Action 8.3: Manage dry-year risk through the New Zealand Battery Project

Timeframe: Years 1–6 (2022–28)
Lead agency: MBIE
Relevant portfolio: Energy and Resources
Primarily supports: Objective INF1
Status: Current

The New Zealand Battery Project will assess the options for managing dry-year risk in a highly renewable electricity system. The current focus is on the feasibility of pumped hydroelectricity at Lake Onslow. The feasibility study will be completed by the end of 2022. The aim is to increase the resilience of the electricity system when hydro lakes have low inflows for long periods.

Action 8.4: Provide for regulated network revenues to reflect the prudent and efficient costs of resilience

Timeframe: Years 1–6 (2022–28)
Lead agency: Commerce Commission
Relevant portfolio: Commerce and Consumer Affairs
Primarily supports: Objective INF1
Status: Current

In the Commerce Commission’s next reviews of regulated price-quality paths – from 2025 for electricity networks and from 2026 for gas networks – it will consider the extent to which revenue limits should provide for different expenditure levels from the current period. This will include if expenditure levels need to change due to any increased costs of resilience to climate change, where these are based on robust forecasts. Regulated suppliers can also apply for changes to their revenue limits to better meet their particular circumstances, which could potentially include the prudent and efficient costs of resilience initiatives.

Action 8.5: Progress the Rail Network Investment Programme

Timeframe: Years 1–6 (2022–28)
Lead agencies: MOT; Waka Kotahi
Relevant portfolio: Transport
Primarily supports: Objective INF2
Status: Current

KiwiRail’s Rail Network Investment Programme (RNIP) is a 10-year programme of investment in Aotearoa New Zealand’s rail network, to restore it to a resilient and reliable state. Mitigating climate change is a key focus within the RNIP when considering resilience projects for investment. Restoration of the national rail network to a reliable and resilient state will also reduce its vulnerability to climate hazards and provide a platform for future investment to support growth. In addition, mode neutrality (using a range of transport modes) supports resilience within the national supply chain.

Action 8.6: Invest in public transport and active transport

Timeframe: Years 1–6 (2022–28)
Lead agency: MOT; Waka Kotahi
Relevant portfolio: Transport
Primarily supports: Objective INF3
Status: Current

Investment in multi-modal infrastructure can increase the resilience of the transport system and help manage the vulnerability of existing assets. More use of public transport and active modes will help reduce reliance on private vehicles. It will increase system redundancy, improve equity and support sustainable growth. Safe and attractive alternatives to driving create a more resilient transport system, support sustainable growth and reduce emissions.

Action 8.7: Embed nature-based solutions as part of the response to reducing transport emissions and improving climate adaptation and biodiversity outcomes

Timeframe: Years 1–3 (2022–25)
Lead agency: MOT
Relevant portfolio: Transport
Primarily supports: Objective INF2
Status: Current

Nature-based solutions involve sustainable management and natural features and processes to tackle socio-environmental challenges such as climate change. At a local, regional and national scale these measures can reduce transport emissions and improve climate adaptation as well as biodiversity. Key initiatives include:

• considering the role of nature-based solutions in reducing transport emissions and contributing to other benefits
• ensuring transport policy and investment encourage nature-based solutions, including protecting existing carbon sinks and supporting new long-term carbon sequestration opportunities.

Action 8.8: Support knowledge sharing and the implementation of adaptation actions across the sector

Timeframe: Years 1–6 (2022–28)
Lead agency: Te Waihanga
Relevant portfolio: Infrastructure
Primarily supports: Objective INF1
Status: Current

Te Waihanga will convene a regular event for local government, central government and private sector asset owners to share information on the implementation of actions in the national adaptation plan and to support alignment across the sector.

Initially, the focus may be on the scope and content of the actions on adaptation guidance that Te Waihanga has committed to in the national adaptation plan, but may also provide a forum for updates on other policy matters relevant to infrastructure asset owners.

Other actions across this plan will contribute to resilient infrastructure

Many government work programmes will help build the resilience and adaptive capacity of new and existing infrastructure assets, and include the following actions.

• Action 3.5: Support high-quality implementation of climate-related disclosures and explore expansion. This may require or encourage infrastructure asset owners to understand the risks and develop a management response, including decisions on where, when and how investment in new assets takes place. Currently scenarios are in development for the energy, transport and telecommunications sectors.
• Action 4.1: Reform the resource management system. In particular, the National Planning Framework will contain climate action measures for infrastructure. This will influence the development of new assets, as well as maintenance, upgrades and major works on existing assets, in the new resource management system.
• Action 4.5: Reform institutional arrangements for water services. Over the next 30 to 40 years, an estimated $120 billion to $185 billion upgrade of water assets will be required to meet drinking water and environmental standards, and the needs of future population distribution and land-use choices. The aim is to significantly improve the safety, quality, resilience, accessibility and performance of the three waters services in a way that is efficient and affordable for New Zealanders.
• Action 6.6: Implement the Water Availability and Security programme. This also has implications for infrastructure planning and development. Taking a strategic approach to supply and demand at the catchment level will raise understanding of future water supply and distribution needs, and expose vulnerabilities. This will help water services decide where, when and how they deliver new assets, as well as reinforce when demand management will become critical.
• Action 9.1: Modernise the emergency management system. Legislative work may include strengthening the duties and obligations of lifeline utilities to support continuity of services before, during and after emergencies, and may therefore influence where, when and how asset owners invest in new assets. Guidance to support understanding and managing risk (action 3.8) will support lifelines utilities to meet their obligations under the Civil Defence Emergency Management Act, as well as create adaptive capacity.
• Action 10.1: Deliver the New Zealand Freight and Supply Chain strategy. This will present a long-term and system-wide view of the freight system that also considers climate adaptation. It will inform the Government, councils and private sector players when investing in freight infrastructure.