Go Goff go

The Herald reports:

High level discussions are under way over the future of Ports of Auckland as mayor Phil Goff wrestles with how to fund the city’s ballooning infrastructure costs.

But Goff is refusing to be drawn on whether he plans to sell the council’s ownership stake, saying only he wants to address the port’s long-term future this term.

The Herald understands an IPO, or initial public offering, of the port is being discussed in merchant banking circles. Either a sale of the operating company or a part sale of the entire entity is understood to be under discussion.

Goff would only say he has had wide-ranging discussions on Auckland’s port but no specific proposal on ownership has been presented to him.

Auckland Chamber of Commerce chief executive Michael Barnett said last night he was aware of discussions around the port’s future.

It would make “real commercial sense” to sell the business and retain the land, Barnett said.

Selling some or all of the Port Company would be a great move. Ports of Tauranga has done brilliantly since being wholly Council owned. Auckland Council needs investment in infrastructure and freeing up capital is a much more sensible way to finance the infrastructure than further debt.

If Goff does go down this track, he’ll have my full support.