Wednesday, June 24, 2009

Government Investment in Cycleways

If you want to check out how cycleways can make a huge difference to regions, have a look at PM John Key’s (successful) case to Cabinet for $50 million to be invested in the Great Rides of New Zealand.

He lists the economic benefits as:
Short-term jobs (eg construction, design)
Long-term jobs (eg accommodation and services)
Stimulating regional economic development
Tourism diversification
Attracting a high spending and fast growing bunch of tourists
Leveraging events
Creating recreational assets

The PM’s paper says the number of domestic cycle tourists has increased 76% since 2004. On average they spend almost 20% more than other domestic tourists.

For international tourists, they spend on average 49% more than the average trip spend for all international tourists. The international cycle tourists also stay twice as long in New Zealand as the average international tourist.

A 2005 survey of Otago Central Rail Trail (OCRT) users showed each rider spent about $350 locally and that the trail had generated 200 additional full and part time jobs among accommodation businesses and other services.

The OCRT expects to have about 11,000 users this year which equals a cash injection into the region worth (on the 2005 figure) of $3.85 million.

I don’t see why the bay2bay can’t be generating at least as much for the Hawkes Bay and Poverty Bay region after a couple of years.

To see the full PM’s paper go to http://www.tourism.govt.nz/Documents/Policy%20Website/Documents/CyclewayProject/CyclewayCabinetPaper.pdf

No comments:

Post a Comment