Urban Development News from the media | 1 July 2025 | Northland Expressway PPP Advances with Shortlist Announcement

Northland Expressway PPP Advances with Shortlist Announcement

A critical piece of national infrastructure, the Northland Expressway, took a significant step forward on June 22, with the government announcing the shortlisting of three consortia to deliver the project's first stage via a Public-Private Partnership (PPP). The shortlisted groups, comprising both local and international firms, will now move to the Request for Proposals (RFP) stage for the 26km four-lane expressway from Warkworth to Te Hana.

This section is the first and most advanced stage of the new Road of National Significance, connecting to the recently opened Pūhoi to Warkworth motorway. The project is technically complex, with an indicative design that includes an 850-metre twin-bore tunnel through the Dome Valley. The announcement follows the government's Infrastructure Investment Summit in March, which was designed to attract international capital to major New Zealand projects. A preferred bidder is expected to be selected in early 2026, with construction to follow by the end of that year. The project's progression signals the government's commitment to using PPPs and international investment to deliver on its large-scale infrastructure agenda, aimed at boosting regional economic growth and resilience.

https://www.beehive.govt.nz/release/investment-summit-drives-strong-bids-northland-expressway-ppp

Tauranga Council Locks in 9.9% Rates Rise to Fund Growth

Tauranga City Council this week provided a stark illustration of the fiscal consequences of being one of New Zealand's fastest-growing cities, settling on an average rates increase of 9.9% for its 2025/26 Annual Plan. While lower than the 12% originally proposed during consultation, the increase is necessary to fund a massive capital works programme valued at approximately half a billion dollars for the next financial year.

Mayor Mahé Drysdale stated the investment is essential to provide facilities for the city's growing population, noting many existing facilities are already at capacity. The council highlighted that it had achieved $38 million in savings during the annual plan process to balance the need for investment against affordability for ratepayers. The decision in Tauranga, which has faced intense community debate over rates, exemplifies the immense financial pressure on high-growth councils to fund the new infrastructure that growth necessitates, a cost ultimately borne by local property owners.

https://www.tauranga.govt.nz/transport/road-safety/travel-safe/artmid/12948/articleid/13645

Wellington to Decide on New Public Transport and Urban Growth Strategy

Greater Wellington Regional Council was set to meet on June 26 to consider a new Regional Public Transport Plan for 2025-2035, a key strategic document that aims to align public transport investment with urban development. The plan acknowledges the need to expand services in designated growth areas, an aspiration that committee chair Thomas Nash notes is not supported by current government funding levels.

Significantly, the new strategy empowers the council to explore additional funding mechanisms to bridge this gap. These include investigating a development levy and congestion charging, with the goal of securing sustained investment in public transport while incentivising more efficient land use. The plan also recommends studying the feasibility of new railway stations in Kāpiti, Horowhenua, and the Hutt Valley to support future growth. The outcome of the council's decision will be a key indicator of how the region plans to manage and fund transit-oriented growth in a constrained fiscal environment.

https://www.gw.govt.nz/assets/Documents/2025/06/Wellington-Regional-Public-Transport-Plan-2025-web.pdf

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