$1 Billion Boost to Auckland Hospitals to Upgrade Critical Infrastructure

The New Zealand Government has announced a significant investment to modernise and reinforce critical infrastructure at Auckland City Hospital and the Greenlane Clinical Centre. Health Minister Simeon Brown confirmed the funding as part of the third tranche of the Facilities Infrastructure Remediation Programme (FIRP), a strategic initiative that seeks to enhance resilience and reliability in the country’s health infrastructure.

A Three-Year Plan to Reinforce Hospital Foundations

Over the next three years, this tranche will channel funding into essential upgrades that support the operational core of Auckland’s largest health facilities. Specifically, the investments will target:

• High-voltage power supply systems at Auckland City Hospital to increase power security and reduce the risk of outages affecting critical care areas.

• A complete overhaul of the ageing steam heating system, replacing it with a modern alternative aimed at reducing operational costs while improving environmental efficiency.

• Advanced electrical monitoring and building management systems will be installed at both Auckland City Hospital and Greenlane Clinical Centre to improve real-time system diagnostics, energy efficiency, and emergency preparedness.

• Detailed design work for the next phase of the hospital’s hot water pipe replacement project, a key component in ensuring consistent hot water delivery to critical services. The first stage of this replacement is already in construction.

Minister Brown emphasised the importance of this initiative in ensuring future-readiness of Auckland’s hospital system, stating:

“This Government is committed to investing in and upgrading critical infrastructure that supports our health system – and that includes ensuring the hospitals we rely on every day are safe, modern, and fit for purpose.”

Accelerated Timeline and Infrastructure Resilience

By funding design work now for future projects—such as the next stage of hot water pipe replacement—the Government aims to accelerate project delivery by up to eight months, enabling faster realisation of infrastructure benefits without compromising on planning or safety protocols.

This forward-looking approach aligns with the Health Infrastructure Plan, which has prioritised resilience in healthcare facilities amid increasing demand and ongoing infrastructure pressures.

Building on Previous Tranches

This latest tranche builds on the foundation laid by the first two stages of FIRP, which targeted the most urgent infrastructure repairs and upgrades across both sites. These earlier works are expected to be completed by the end of 2025.

Health New Zealand, responsible for overseeing implementation, is adopting a carefully phased approach to ensure minimal disruption to clinical operations during construction and systems integration. Measures are in place to safeguard patient care and staff operations as infrastructure is improved in parallel.

Strategic Investment for Long-Term Health Outcomes

According to Minister Brown, the upgrade is not just about fixing existing problems but positioning Auckland’s healthcare system to meet the challenges of the future:

“This is about investing in the future of Auckland’s health services – getting the basics right so frontline teams can keep delivering high-quality care to New Zealanders.”

The broader $1 billion investment through Budget 2025 includes similar infrastructure projects across the country, forming part of a nationwide strategy to future-proof hospitals and support long-term health outcomes.

By modernising Auckland’s hospital infrastructure, the Government aims to enhance clinical safety, operational efficiency, and the resilience of health services in the face of evolving demand and emergencies.