Infrastructure is expensive, and often goes over budget. It is hard to deliver large projects on time and on budget. Any builder will tell you how often a simple house build goes over time and budget.
Crying about incompetency is silly when the alternative seems to be to throw away money that has been spent for no gain. We have lost all the money spent on the ferries, plus a penalty, for no fucking gain at all. All the money spent working on ALR has been flushed down the toilet. It's fucking insanity.
The answer is not throwing away projects because they cost more than anticipated, it is finishing projects and figuring out how to do it better next time. New Zealand has seriously terrible infrastructure problems and they can only be solved with money, and a lot of it.
Oh absolutely, sunk cost fallacy is a problem. No disagreement there.
However, my point is cancelling a project doesn't remove the need. We need better public transport, we need ferries, we need infrastructure upgrades. All of these things need to happen, and the longer they are put off usually the more they will cost. So it's not so simple as a sunk cost, as cancelling a project then doing it again later may very well end up costing more in the long run than the over run cost of the initial project. Case in point, the ferries.
I will admit, though, I know less about the wellington light rail project. I was under the impression that a lot of the cost being spent was paying for land that was needed for the project, but you can probably inform me more about this. I'll just say, rail is still needed (or some form of mass transit system).