Affordable options available for Waterview Connection

Transport Minister Steven Joyce says the NZ Transport Agency has identified more cost-effective options for the completion of Auckland's Western Ring Route, meaning the previous government's expensive debt-funded twin tunnel option will not go ahead.

In January the Minister asked officials to investigate alternative options for building the Waterview Connection after a business case prepared for the previous government released in December showed the total cost of the project would be $2.77 billion.

The $2.77 billion figure was made up of $1.98 billion for construction of the tunnels, $240 million for associated work on State Highway 16 and $550 million for finance costs during the project construction period.

"The NZ Transport Agency has reviewed all options and has found that the Waterview Connection, together with the same amount of associated work on State Highway 16, can be built for considerably less, at an expected cost of between $1 billion and $1.4 billion, depending which of the options is taken," says Mr Joyce.

"Given these numbers and the increased government commitment to state highway investment through the National Land Transport Fund, the government now anticipates the Waterview project being built using the fund. This means it won't be financed by borrowing, as envisaged by the previous government.

"In addition, all of the options being considered by the NZ Transport Agency would be built with wide enough shoulders to allow for easy widening to three lanes in each direction.

"An appropriate comparison, therefore, is between the top cost of $1.4 billion and the $3.16 billion price of the previous government's twin three lane tunnel option.

"The NZ Transport Agency's Board is meeting today to consider the three alternative options and will announce its preference tomorrow, once it has had the opportunity to make first contact with those directly affected.

"A thorough consultation process on the form of the selected option will then commence before a final decision is made."

Mr Joyce says he is sorry the people of Waterview face further uncertainty while the design of the road is decided.

"I am working with the NZ Transport Agency to provide certainty as soon as possible.

"My preference is for a Waterview Connection that can be delivered at a fair price to the country with minimal ongoing impact on the community."

The Waterview Connection is part of one of the seven Roads of National Significance the government has singled out as essential routes that require priority treatment. It is the last link to complete the Western Ring Route, linking Manukau, Auckland, Waitakere and North Shore while bypassing State highway 1 and the Auckland Harbour Bridge.