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September 29, 2024 6 mins

There's growing concerns about the future of small town New Zealand - with one expert warning 'tough conversations' are needed.

The closure of Winstone Pulp International's Ruapehu mills have cost the region 230 jobs, and the proposed shutdown of Alliance Group’s Smithfield meat processing plant in Timaru could cost over 600 more.

Regional Development Minister Shane Jones says the need to achieve certain climate goals is driving down key industries - and negatively impacting regional New Zealand.

"If we're not going to maintain access to gas and coal during a managed transition and we're going to continually make it more difficult for farmers to sustain production, we are going to see a contraction of the economy around some of our small towns."

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Speaker 1 (00:00):
Ized when it took office. Governing's about choices. Governing is
about choices, and in the eyes of those in the
Lower South, this choice will not be forgotten or forgiven
any time soon. Nine two ninety two is the text
number if you want to flick me a note. This afternoon,

(00:20):
Jacket Newstalk saidb dot co dot nz is the email address. Yes,
the focus continues to be on the future of small
town New Zealand regional New Zealand, with a leading academic
adding to the conversation this morning saying that quote, tough
conversations are needed. So we've seen Windstone Pulp close in
the u a Pehu district. We've now got Alliance proposing

(00:42):
to shut its meat works in Timurdo. That alone is
hundreds of jobs gone, potentially hundreds of people flying off
to Australia. Senior Lecturer of geography at Otago University, doctor
Sean Connolly says the towns can be built back up
if they're prepared to adapt to a new reality. So
is there anything the government can do to help with
the Shane Jones, as the Minister for Regional Development guild.

Speaker 2 (01:04):
Up Greetings, folks, are you worried.

Speaker 1 (01:07):
That we are going to lose some of our small towns.

Speaker 2 (01:10):
Well, we're going through a major structural adjustment, whether we
like it or not here in our economy. It's not
just to do it COVID, but land use changes are
taking place. Energy prices largely driven by the need to
achieve certain climate goals, sadly driving industry, if not to
a smaller size, potentially out of New Zealand. And I

(01:31):
don't like it.

Speaker 1 (01:31):
We're so hang on. You think that the decline of
regional populations is all down to the response to climate.

Speaker 2 (01:37):
Change, Well, if we're not going to maintain access to
gas and coal during a managed transition, and we're going
to continually make it more difficult through regulations for farmers
to sustain production, we are going to see a contraction
of the economy around some of our small towns.

Speaker 1 (01:58):
We've been experiencing a contraction in those populations for decades though,
haven't we.

Speaker 2 (02:04):
Well, what keeps those populations going though, is the local economy.
And one thing that we've been really good at in
New Zealand, or certainly in my lifetime anyhow, has been
the production of food. Like I just had the people
from the vegetable growers in my office last week. They
find that the regulations pertaining to their water utilization, the

(02:25):
application of fertilizer has become so restrictive that they fear
that we're going to go towards importing more food rather
than growing it ourselves. So it's time for a reset.

Speaker 1 (02:34):
So what else can the government do from a policy
perspective to keep those small towns thriving.

Speaker 2 (02:41):
Oh, I think they've I personally, I think I've delivered
because a lot of those small towns you're refering too
silly on the coast, they depend on aguaculture. And when
we take a pragmatic view about regulation, For example, I
extended all the marine farming purmoits through to twenty fifty.
That leaves more money in the business people have the
confidence to a vest and that's a growth industry for

(03:02):
New Zealand, and it is going to sustain a lot
of small towns that have been yeah in Strugglers Gully.

Speaker 1 (03:08):
Well, what other from a migration perspective, are there immigration
settings that you could tinker with that might help to
support regional New Zealand.

Speaker 2 (03:20):
Well, I don't know how many of the workers associated
with Alliance Networks. We're kiwis and how many were say,
not RC workers, but migrant labor. There is a need
in some cases for migrant labor. But my main point
is land use change is taking place. There is a

(03:43):
situation where a lot of dairy dislocated sheep farmers, some
forestry dislocated sheep farmers. But these are the owners of
land and property making decisions that they feel are in
the best interests of them and their families, and that's
having an impact on local industry. Okay, so what do
we do. Do we go through to a central planning

(04:04):
model or do we give more power to local government
to stop land use changes. One of the great gems
of genius in our system in New Zealand is that
you've been able to change the way in which you
use land to chase outcome that generate the best economic return.

Speaker 1 (04:21):
Hey, I'm not sure if you saw at the weekend
they had a couple of massive public meetings around one
or two and Quafina regarding the prospect of road tolling.
What is your response to that?

Speaker 2 (04:34):
Yeah, I got questioned on that during my using at Bulls.
All I'd say to your listeners is that I come
from Thai Torcido and every time we even Apolies, every
time we drive north, we pay a toll, and we've
been doing that for a long time. A toll was

(04:54):
never imposed on the Golden Highway and the Golden Triangle
when Stephen Joyce upgraded the roads in and around Hamilton
down towards Cambridge, and perhaps an opportunity was missed there.
But you know, I'd call for a bit of FeNiS here.
Obviously any toll has to be informed by equity, but
I'd remind the people of Munoa two, those of us

(05:15):
who live in Taytalkado in the North, we already pay
a toll every time we leave Auckland.

Speaker 1 (05:21):
And finally I saw you got into a bit of
a scrap this afternoon. Wow, not really a scrap, but
a bit of a barney on lambdon Key with some
climate protests. What happened?

Speaker 2 (05:30):
Oh, look, I went down to get a haircut. They
were originally they were originally in front of Parliament and
I missed them, so I was going down for a haircut.

Speaker 1 (05:38):
So you ended up giving one instead.

Speaker 2 (05:41):
Well, they were pretty keen to figuratively sculpt me. But
that was a bit of war of words, but nothing
nothing too damaging, but hey, you know, I'm a rhetorician,
so I should expect a bit of the return fire
from time to time.

Speaker 1 (05:55):
Fair enough, Thank you very much of your time. We
appreciate it. That is Shane Jones.

Speaker 2 (05:59):
For more from Hither Duplessy Allen Drive, listen live to
news talks it'd be from four pm weekdays, or follow
the podcast on iHeartRadio.
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