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Photo: RNZ House prices are likely to stay flat through this year but increase 7 percent over 2025, BNZ says. In an update on Tuesday, chief economist Mike Jones said demand and housing activity would pick up from here as interest rates fell. But at first, that demand would just soak up some of the increased number of houses for sale and avoid further price falls. Real Estate Institute data shows there were almost a third more properties listed for sale in July than the same time a year earlier. But Jones said towards the end of the year, there would be a "modest upswing" in prices. Although the labour market might deteriorate for another year or so, he said, sharp falls in mortgage rates would probably boost the housing market as other economic activity improved. "Anecdotal evidence poi...

(File image). Photo: 123RF Building inflation was at pre-Covid-19 levels, rising 0.3 percent in the past three months Supply chain disruptions and shortages have eased Builders have cut margins to get jobs in a slow market Building cost inflation is back to pre-pandemic levels as some material costs falls, supply chains normalise, and builders cut margins to get work. The latest QV CostBuilder showed the costs of building a standard three bedroom house in the main centres rose 0.3 percent in the latest quarter, the same as the previous two quarters. Changes in data collection meant there was no annual rate, but in June it was 1.8 percent, and peaked at nearly 21 percent in 2022. QV CostBuilder spokesperson Simon Petersen said higher prices caused by supply chain disruptions have eased...

(File image). Photo: RNZ/Sally Round A Crown-owned investment vehicle is putting $78 million towards new solar, hoping to boost renewable electricity generation. The deal between government-owned New Zealand Green Investment Finance (NZGIF), and solar developer Far North Solar Farm, would connect five solar sites to the national grid. The five planned sites the NZGIF financing was available for would generate around 1.13 GW of new clean electricity, enough to power about 178,000 homes a year. NZGIF's chief executive Sarah Minhinnick said the deal reflected its mandate to accelerate investment that decarbonised the country's economy. "The Connection Facility Agreement is a tailored solution, designed by NZGIF, to introduce a new pool of capital to accelerate renewable energy generation i...

One of the Winstone Pulp International forestry products mills that is in danger of being shut down. Photo: Hundreds of people packed into Raetihi's community hall to voice their concerns over the closure of two mills. Winstone Pulp International was proposing to close both its mills in the central North Island because it could not afford the skyrocketing power prices, which would result in 230 jobs being lost. It was standing room only at the meeting as mill workers, their families and local community addressed the crowd, which included Winstone's chief financial officer Glenn Whiting, mayor Weston Kirton and MP Sue Redmayne. The crowd at the meeting discussing the closure of Winstone Pulp International at Raetihi's community hall on 27 August, 2024. Photo: RNZ / Alexa Cook One ...

Photo: RNZ / Cole Eastham-Farrelly TSB Bank has been hit with a near $2.5 million penalty for overcharging customers. The High Court imposed the penalty after the Commerce Commission took legal action for historic breaches of the Credit Contracts and Consumer Finance Act. The New Plymouth-based bank reported itself for overcharging customers about $3.6m more than allowed through unreasonable credit and default fees between 2015 and 2021. "TSB's breaches were serious given the large number of customers affected, the level of harm from overpaid fees, and the extensive duration of the breaches," Commerce Commission deputy chair Anne Callinan said. She said lenders covered by the Act were not allowed to charge fees more than the cost of the transaction. The judge described the long term over...

Officials, including Energy Minister Simeon Brown (centre), marked the start of the solar farm's construction with a sod-turning ceremony. Photo: Anna Sargent Construction has begun on a $300 million solar farm by Christchurch Airport. Officials, including Energy Minister Simeon Brown, marked the milestone with a sod-turning ceremony on Tuesday morning. The airport partnered with Contact Energy and international solar developer Lightsource bp to develop the solar farm, which would span 230-hectares on land just beyond the runways. It would hold about 300,000 solar panels, and was expected to generate enough renewable energy to power close to 36,000 homes. Contact Energy chief executive Mike Fuge said once completed, the 162 megawatt (MW) solar farm would be the largest in the country. "...

Photo: 123RF The Civil Aviation Authority has released a proposal to increase aviation safety and security levies, fees, and charges, to re-establish a sustainable funding model, and is seeking submissions on the proposal from 27 August until 8 October 2024. It said the levies, fees and charges support regulatory activity ensure the aviation system is safe and secure. The last review was in 2017, with some passenger levies revised in 2019. A review of levies, fees and charges in 2020 was suspended due to the impacts of the Covid-19 pandemic. The government has confirmed it will no longer provide financial support to the Civil Aviation Authority beyond 30 June 2025. Director of civil aviation and chief executive Keith Manch said an increase in funding was needed to undertake regulatory ac...

A public meeting has been called in Raetihi over concerns for the community's bleak future if the district's main employer shuts shop. Photo: LDR / Moana Ellis Residents in the small central North Island town of Raetihi are calling for support as the community faces uncertainty over the threat to its mills. Mayors, councillors, politicians and government agencies were expected at Tuesday night's community meeting in Raetihi, called after Winstone Pulp International (WPI) announced plans to shut its Karioi operations with the loss of 230 jobs. Rangitīkei mayor Andy Watson said both the Karioi Pulpmill and Tangiwai Sawmill employed a significant number of workers from Taihape. Photo: A number of Rangitīkei companies also provided services for the mills. "We're affected, and will b...

Manapōuri Power Station on the western arm of Lake Manapōuri in New Zealand. Photo: 123rf Recent heavy rain and strong winds are easing the pressure on the power supply and providing a much needed boost to hydro lake levels, Meridian says. In the last three months, Meridian's two catchments in Fiordland and the Waitaki had received the least amount of inflows into the lakes that the company has ever seen. But the weekend's rain has meant storage at Lake Manapōuri was now above average for the first time since mid-June and storage at Lake Pūkaki started improving. Meridian Wholesale general manager Chris Ewers said it was a welcome boost. "The weekend saw some moderate rainfall to help lift lake levels and it's good to see more rain in the forecast across the week," Ewers said. "It's a ...