NZX-listed Port of Tauranga is sandwiched between two formal processes in trying to extend its container terminal. Photo / Alex Cairns
Port of Tauranga, waiting six years for the official nod to expand its bulging container terminal wharf space, has been in a quandary over the Government’s invitation to apply for fast-track approval.
While New Zealand’s biggest port and its main export gateway seems likely to accept the invitation -RSVPs are required by Friday from those approached to apply - it is also in the middle of a sensitive Environment Court process for resource consent for the container terminal expansion project.
The NZX-listed port’s application to the court has attracted challenges from 11 iwi and hapū groups.
In December, eight months after an Environment Court hearing, the port received an interim decision granting resource consent for Stage 1 of the planned extension, subject to further matters being addressed to the satisfaction of the court.
The port was given six months to complete those matters before the court considered starting the process of making a final decision. This decision could then be subject to appeal to the High Court, creating further delay.
With the port due to report back to the court next month, it will be keen not to upset any progress made via the court process.
But the fast-track opportunity seems too good to pass up for the project, the estimated cost of which has risen from $68.5 million to nearly $90m in six years of regulatory delays.
With less than two days to respond to the Government invitation, chief executive Leonard Sampson isn’t giving much away.
“We’ve always maintained our project is nationally significant, and given the significant capacity constraints in the New Zealand supply chain, time is of the essence. Any pathway that can expedite the consenting and regulatory process, we’re open to exploring, but I probably have to leave it there.”
Sampson said if it wasn’t for the court process, applying for fast-track consent would be a “no-brainer”.
“We will absolutely look to see where [fast-track application] can fit and where it can support. But at the same time, we’re very mindful we don’t want to cut across [the court process].”
The wharf extension and associated work will take 18 months to two years.
The port was encouraged to apply for fast-track approval for the project under the previous government but was unsuccessful. That application process was one of many red-tape delays the project has encountered.
Stage 1 of the expansion project involves constructing 285m of additional berth to the south of the port’s existing container berths, and associated dredging.
Decisions on whether to grant consents for Stage 2 of the Sulphur Point wharf extension and proposed works at the Mount Maunganui wharves were reserved by the court in December pending the provision of further information. The further information required by the court includes environmental evidence, and discussions with tangata whenua and Bay of Plenty Regional Council. The council owns 54 per cent of the port company.
Eleven iwi and hapū groups associated with the greater Tauranga Harbour raised “unresolved concerns” about the port and its plans with the court, citing significant adverse effects on the coastal environment, marine species and diversity, and cultural values.
The port handles a third of New Zealand’s cargo, nearly 40 per cent of exports and nearly half of all shipping containers.
Andrea Fox joined the Herald as a senior business journalist in 2018 and specialises in writing about the dairy industry, agribusiness, exporting and the logistics sector and supply chains.