New Zealand / Infrastructure

Waka Kotahi back in court over claims of incomplete work on Transmission Gully

15:42 pm on 1 November 2023

Transmission Gully opened in March 2022, overdue and over budget. Photo: Mark Coote

The builders behind Transmission Gully are taking Waka Kotahi to court over a dispute about unfinished construction and quality checks.

Waka Kotahi general manager transport services Brett Gliddon said multiple areas of work had not been completed in line with the project's contracted standards.

These included footpath and road surfacing on the new State Highway 59 connection between Mackays Crossing and Paekākāriki, and near the Pāuatahanui (State Highway 58) interchange. A recreational track along parts of State Highway 1 as well as maintenance access tracks and other off-road works were also unfinished.

"CPB Contractors and HEB Construction Joint Venture (CPBHEB JV) have lodged legal proceedings against Waka Kotahi in response to our ongoing expectations that it complies with these obligations," Gliddon said.

Discussions about the work had been held over the last year, but the details were commercially sensitive and could not be disclosed.

"We will manage the Crown's interests and defend these proceedings while continuing to hold the contract parties accountable," he said.

"Waka Kotahi requires contractual obligations to be met by contractor Wellington Gateway Partnership (WGP) and its construction sub-contractor CPBHEB JV. There is disagreement about the outstanding work and the standards required to be met for the project to be finished in accordance with the contract."

Waka Kotahi's Brett Gliddon. Photo: RNZ / Angus Dreaver

Gliddon said required quality assurance, works completion tests, consenting and property agreement obligations with local landowners were also outstanding, but he said the road was still safe to use and public access to the highway would not be affected.

Transmission Gully opened in March 2022, after facing multiple delays and going hundreds of millions of dollars over budget.

The latest legal action follows an earlier dispute between the building and engineering contractors. In 2021, CPB Contractors claimed $75 million against engineering firm AECOM New Zealand, alleging "defective" bridge and drain designs led to the budget blow-out.

The matter was settled confidentially out of court earlier this year.

CPB Contractors and HEB Construction have been approached for comment.