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PPP contract awarded for Pūhoi to Warkworth motorway project

In November 2016, the NZ Transport Agency awarded a contract to the Northern Express Group) for the project to be delivered as New Zealand’s second Public Private Partnership (PPP) for a state highway after the Transmission Gully motorway project in Wellington.

Under the PPP contract, the Northern Express Group will finance, design, construct, manage and maintain the Pūhoi to Warkworth motorway for the 25 years that will follow the expected six-year period to build the motorway. Full ownership of the highway will remain with the public sector. It is aimed to have the Pūhoi to Warkworth motorway open for traffic in late 2021.

The Northern Express Group is made up of firms with considerable experience in the design, construction, finance, maintenance and management of key infrastructure projects. The principal partners in the consortium include:

  • Accident Compensation Corporation
  • HRL Morrison & Co Public Infrastructure Partners
  • Acciona Concesiones S.L.
  • Fletcher Building Ltd
  • Acciona Infrastructure Australia Pty Ltd
  • The Fletcher Construction Company Ltd

 A PPP procurement means that the motorway is being delivered quicker than if funding was obtained through conventional channels.

PPPs have a proven track record for delivering great results for large-scale infrastructure, and using a PPP made good sense for the project. 

The size and complexity of the project means it will benefit from the innovation the private sector will bring to the task.

The 'availability’ PPP model adopted for the project also means that payments are not linked to the volume of traffic using the road. 

The PPP contractor will be paid for making a safe road open and available to traffic, and after achieving specified performance levels such as safety, customer satisfaction, reliability and journey times.

PPP agreement and schedules

Availability status of the agreement relating to the Pūhoi to Warkworth Public Private Partnership

The Project Agreement and the accompanying Schedules that form the contract documents relating to the Pūhoi to Warkworth Public Private Partnership have been made available for public viewing by the New Zealand Transport Agency. The table below sets out the availability status of each of the Project Agreement and the Schedules, being:

  • whether a document is available in its entirety; or
  • whether a document is redacted in part as it contains certain information that is being withheld to protect commercial sensitivity or privacy.

Document

Status

Project Agreement [PDF, 12 MB]

Redacted in part

Schedule 1 (Conditions Precedent) [PDF, 52 KB]

Available in full

Schedule 2 (Contractor Warranted Data) [PDF, 39 KB]

Available in full

Schedule 3 (Project and Ancillary Documents) [PDF, 27 KB]

Available in full

Schedule 4 (Financing) [PDF, 43 KB]

Available in full

Schedule 5 (Property) [PDF, 1.1 MB]

Redacted in part

Schedule 6 (Resource Management Act Requirements) [PDF, 2 MB]

Available in full

Schedule 7 (Governance and Service Management) [PDF, 7.9 MB]

Redacted in part

Schedule 8 (Review Procedures) [PDF, 68 KB]

Available in full

Schedule 9 (Operative Documents) [PDF, 490 KB]

Available in full

Schedule 10 (Completion) [PDF, 209 KB]

Available in full

Schedule 11 (Works Requirements) [PDF, 265 KB]

Redacted in part

Schedule 12 (Service Requirements) [PDF, 458 KB]

Available in full

Schedule 13 (Performance Regime) [PDF, 16 MB]

Redacted in part

Schedule 14 (Payment Mechanism) [PDF, 148 KB]

Available in full

Schedule 15 (Insurance) [PDF, 19 MB]

Redacted in part

Schedule 16 (Change Notice) [PDF, 56 KB]

Available in full

Schedule 17 (Change Compensation Principles) [PDF, 2.5 MB]

Redacted in part

Schedule 18 (Calculation of Compensation on Termination) [PDF, 148 KB]

Available in full

Schedule 19 (Disengagement) [PDF, 46 KB]

Available in full

Schedule 20 (Communication) [PDF, 71 KB]

Available in full

Schedule 21 (Reporting) [PDF, 99 KB]

Available in full

Schedule 22 (Hōkai Nuku) [PDF, 48 KB]

Available in full

Schedule 23 (Delegation Instrument) [PDF, 176 KB]

Available in full

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