$14m more to keep up motorway progress

The New Zealand Transport Agency (NZTA) will pay $14 million to the builders of Transmission Gully as the beleaguered project looks to get back on track following the coronavirus crisis.

The $1 billion road is a publicprivate partnership between the transport agency, the contractor, Wellington Gateway Partnership and the builder, CPB-HEB Joint Venture.

NZTA is currently negotiating the full cost of Covid-19 on the project and the $14m payment is an advance interim payment on that final settlement.

The payment is meant to ensure work continues on the project over the winter while a final settlement is negotiated with contracting and construction companies.

The road is likely to open some time next year.

NZTA transport services general manager Brett Gliddon said he was keen to keep work on the road going over the winter months.

‘‘We understand that people are keen to know when the road will be finished, and we are committed to seeing it open at the earliest possible date, and the winter works programme will help minimise further delays,’’ he said.

NZTA has managed to get Wellington Gateway and the builders to agree to a ‘‘winter construction programme’’ that will keep people working on the project over the next six weeks while a new completion date is agreed to, along with costs.

‘‘However, Waka Kotahi [NZTA] must take a considered approach to making any decisions that involve taxpayer money and that is why an agreement on the new opening date and associated costs is taking time,’’ Gliddon said.

This isn’t the first additional payment the transport agency has made for Transmission Gully.

Earlier this year the agency settled claims made by CPB-HEB over previous unavoidable costs and delays, which saw the agency agree to pay an additional $190m. The opening deadline, already pushed back from April to May, was pushed back again to November 2020.

It’s now expected the road will not open until 2021 at the earliest.

Gliddon said the project was particularly hurt by the loss of valuable summer construction time.

‘‘The Covid-19 stand-down period and subsequent work restrictions has caused longer delays than the five weeks of level 4 due to the loss of valuable summer construction and some of that work can’t be resumed until the weather improves again,’’ he said.

The winter works programme would ‘‘ensure the builder sources and brings onto site critical materials to allow the project to progress through the winter construction season’’.

‘‘If materials, such as aggregate, are not sourced now there is a risk the materials may not be available later in the season.’’

Gliddon said reduced staff numbers at the site, which had been the subject of some speculation, were a result of fewer staff being required over winter, and not related to Covid-19.