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Our tender process

Our 11,000 kilometres of state highway network is one of New Zealand's most valuable assets. We provide the strategic direction and oversee all activities on the network. To obtain best value for money we outsource all state highway improvement, maintenance and operations works on a competitive basis to private sector suppliers, including consultants and contractors.

Our approach to tendering

Our approach to procurement uses a range of delivery models, which have been developed based on international best practice and adapted to the New Zealand context. Our approach allows us to select the best model to deliver the best value for money based on specific project and market characteristics, and to:

  • develop strong, collaborative supplier relationships
  • develop a strong skill base and understanding of the supplier market, including competitive rates, capabilities and commercial processes and
  • avoid the potential for supplier manipulation of a single process.

Read more about how we manage maintenance on state highways

State highway procurement strategy

Our procurement strategy documents the procurement practices we use in procuring suppliers for work on state highways, and in the delivery of services and products to achieve best value for money.

Read the State highway procurement strategy

Our proforma contracts

View the different types of contracts used on most of our tenders in our proforma manuals:

Review of our tendering process

At the end of 2013 we commissioned an independent review of our procurement practice to compare us with other countries, such as Australia, and to identify opportunities where our practice could be improved.

The review endorsed our approach as representing best practice in New Zealand and found it rated strongly compared to Australian states. The report also identified opportunities for us to refine our approach to ensure that we continue to realise value for money outcomes into the future. We are currently developing a continuous improvement plan to achieve this over the next 12 months.

Read the review [PDF, 397 KB]