One of the responsibilities that comes with local government is making decisions that will stand the test of time.

Environment Southland has sold 3.75 million shares in South Port, realising $30 million while retaining a 52% majority shareholding. The decision reflects a direction endorsed through our 2024-34 long-term plan consultation and is about securing the best long-term value for Southland ratepayers.

We held a 66% majority shareholding in South Port. That’s a lot of eggs in one basket and something I have been mindful of for some time. By diversifying, we reduce our risk and reliance on one type of investment, allowing us to build greater resilience in our financial portfolio.

It’s important to know that the proceeds from the sell down of the shares are protected as a strategic asset. They will be invested, and like all investment income, will be used to support key council reserves, such as our disaster recovery reserve, and to reduce pressure on general rates, as they do now.

Last week the resource management bills became law, initiating the start of a multi-year transition in which the Resource Management Act remains live. Much still needs to be developed, with national direction coming first, regional spatial planning and then land-use and natural-environment planning.

The government’s decision to pause Head Start reinforced our concerns. Councils acted in good faith committing staff time and ratepayer money to a process that left major questions about representation, regional functions and transition, unanswered. It was never a sensible way to design the future of local government.

Fortunately for Southland, the work we did will not be wasted because it can support the ongoing Local Government Commission investigation, which we will continue to constructively engage with.