3 Jun 2010

No figure yet on cost savings for super-city

5:54 pm on 3 June 2010

Local Government Minister Rodney Hide is still unable to put a dollar figure on how much the new Auckland super-city will save, despite elections being less than six months away.

Mr Hide appeared before the Local Government Select Committee on Thursday.

He told MPs the cost of the transition will be $160 million, much of that for new information and technology systems.

Mr Hide said he could not put a specific number on how much would be saved, but insisted efficiencies would be made.

Opposition MPs put it to him that redundancies would cost about $45 million, including payouts to departing chief executives.

Mr Hide said those arrangements were the responsibility of the councils that negotiated them.

The new Auckland Council comes into being on 1 November.