QTS-075 · Board or committee paper · 2022
New Zealand Upgrade Programme SH1/29, SH58, Canterbury Package and Queenstown Package project updates (BRI-2571)
Marked 'Commercial in confidence' by its author. Publicly released by NZTA / OIA-20263 on 30 Jan 2026.
Ministerial briefing BRI-2571 (2 November 2022) from Waka Kotahi to Joint Ministers (Hon Grant Robertson and Hon Michael Wood) on four NZUP projects. The Queenstown sections are released and the other projects' detail is removed as out of scope. For Queenstown it reports schedule delays, increased costs and scope change from the Frankton North land use change. The updated estimate is $180 million (P50) to $210 million (P95) against a $115 million allocation (the March 2021 baseline P50, allocated by Cabinet May 2021; P95 then $145 million). The breakdown is escalation $9m, scope change $23m, property $7m, and other cost changes including the cost of running Kā Huanui a Tāhuna $26m, plus contingency $30m. Main works were expected from August 2023, with completions by August 2026. A $95 million Treasury escalation claim had been submitted. Ministers are asked to note the estimate, approve the Frankton North scope change and note schedule changes.
What the document says
Context: BRI-2571, dated 2 November 2022, from Brett Gliddon (Waka Kotahi) to the Minister of Finance and Minister of Transport, covering the SH1/29 intersection, SH58, the Canterbury Package and the Queenstown Package (pp1-2). Te Manatū Waka and the Treasury could not comment in the time available (p2). Pages 3-7, 11 and 13 and parts of pp2, 8 and 12 are removed as out of scope.
Key point (p2): the Queenstown Package faces delays and cost increases, plus scope change because Frankton North land use was recategorised. The updated estimate is $180 million to $210 million, against a $115 million allocation.
Queenstown section (pp8-10): The package is described as for SH6/SH6A bus priority, SH6 bus lanes, Frankton bus hub, SH6A/SH6 intersection and pedestrian access (p8-9). Cabinet allocated the March 2021 baseline P50 of $115 million in May 2021; the baseline P95 was $145 million (footnote p9). The cost table (p9) shows baseline $115m, escalation +$9m, scope change (Frankton North) +$23m, property +$7m, other cost changes including running Kā Huanui a Tāhuna +$26m, giving a P50 of $180m, plus contingency $30m for a P95 of $210m. A more detailed estimate was expected in early 2023, and a $95 million Treasury Escalation Claim had been submitted (p9). Main works were expected from August 2023, with completions by August 2026, assuming no Environment Court appeals (p10). The Frankton North scope change ($23 million) replaces minor works and signalisation of two roundabouts with a conventional signalised intersection needing more land (p10). Key risks are reputational (partner and community expectations of full scope) and cost and programme certainty, as 30% design is due in early 2023 (p10).
Recommendations (p12): note the Queenstown estimate of $180 million (P50) to $210 million (P95); approve the Frankton North scope change; note the programme schedule changes. The ministerial decision boxes are not marked in the released copy.
Mass rapid transit: The briefing says nothing about mass rapid transit.
Key figures
- Queenstown Package estimate $180 million (P50) to $210 million (P95); allocation $115 million (pp2, 9, 12)
- March 2021 baseline P95 was $145 million (p9 footnote)
- Escalation $9m; scope change $23m; property $7m; other cost changes incl. running Kā Huanui a Tāhuna $26m; contingency $30m (p9)
- Frankton North scope change $23 million (p10)
- $95 million Treasury Escalation Claim submitted (p9)
- Main works from August 2023; completion by August 2026 (p10)
- Other NZUP projects (p2): SH1/29 $56-61m vs $40m allocation; SH58 $114-134m vs $105m; Canterbury Package $355m vs $300m
Files
- Open Main document (PDF, 1.1 MB) Opens in a new tab.
Main document
Actions recorded
Joint Ministers to note the current Queenstown Package cost estimate of $180 million (P50) to $210 million (P95).
Not assessed · Central government / Ministers
Note that the current cost estimate for the Queenstown Package is $180 million (P50) to $210 million (P95)
Joint Ministers to approve the scope change resulting from the Frankton North land use change.
Not assessed · Central government / Ministers
Approve the scope change as a result of the Frankton North land use change
Joint Ministers to note the programme schedule changes.
Not assessed · Central government / Ministers
Note the programme schedule changes
Prepare a more detailed cost estimate from more detailed design information.
Not assessed · Early 2023
Kā Huanui a Tāhuna is preparing a more detailed cost estimate
Continue partnership engagement with QLDC and ORC on any scope change; Alliance to explore cost and programme savings.
Not assessed
Continue to engage in a partnership approach with Queenstown Lakes District Council and Otago Regional Council
Study cost
Not separately commissioned. This is an internal or corporate document.
Citation
NZTA (Waka Kotahi). New Zealand Upgrade Programme SH1/29, SH58, Canterbury Package and Queenstown Package project updates (BRI-2571) (2022). BRI-2571.