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Transport and Infrastructure Committee
08 August 2024
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Approval of
the Point Erin Tunnel Extension of the Central Interceptor Final Business Case
File No.: CP2024/06165
Te take mō te
pūrongo
Purpose of the report
1. To
approve the business case for the Point Erin tunnel extension of the Central
Interceptor and the transfer of the $131.8 million of budgeted costs, agreed
through the Long-term Plan, to Watercare through a funding agreement.
Whakarāpopototanga matua
Executive summary
2. The
Long-term Plan 2024-2034 has allowed for funding of up to $150.3 million from
the Healthy Waters and Flood Resilience budgets for the Point Erin Tunnel
Extension of the Central Interceptor (GB/2024/86).
3. This
report seeks Transport and Infrastructure Committee approval of the final
business case (Attachment A) and the transfer of up to $131.8 million to
Watercare for these works as the value is above staff delegation. This figure
is in addition to the $18.5 million that was allowed for in the Long-term Plan
2021-2031 and has already been spent towards the design and enabling works for
the extension.
4. The
extension of the Central Interceptor, and construction of a new Herne Bay
collector sewer as part of the extension works, will reduce direct discharges
of combined sewage to the to the Waitematā Harbour in line with the
Network Discharge Consent. It will improve water quality in the Waitematā
Harbour, increase the health of the marine ecosystem and increase the
resilience of the stormwater and wastewater network.
5. Several
options were considered to reduce combined sewer overflows and improve
beach water quality in the Herne Bay and Saint Mary’s Bay catchments. On
average, 250 million litres of untreated combined sewage is discharged into
local waterways in the Herne Bay and Saint Marys Bay catchments every year,
which poses significant public health risks and has a negative impact on the
environment.
6. Originally,
the Western Isthmus Water Quality Improvement Programme planned to separate the
combined networks in the Herne Bay and Saint Marys Bay catchments to achieve
these outcomes, but during investigations it was found that this would be more
expensive and disruptive than previously realised and would carry significant
delivery risks. In response to this, an options analysis for realising reduced
combined sewer overflows in the catchment was completed, which is included in
the attached business case (Attachment A) and in the options analysis below.
7. Two
other options were considered to achieve the desired water quality outcomes,
including:
· extension
of the Central Interceptor main tunnel and construction of a new Herne Bay
Collector Sewer (option two, the preferred option),
· extension
of the Central Interceptor as a smaller diameter tunnel and construction of a
new Herne Bay collector sewer (option three).
8. Doing
nothing (option one) was not considered a viable option as this would result in
non-compliance with Watercare discharge consent requirements and would not
deliver water quality improvement outcomes.
9. Through
the options assessment, it was concluded that the extension of the Central
Interceptor tunnel by from Tawariki Street to Point Erin Park and the
installation of a new Herne Bay collector sewer (option two) would be the most
cost efficient and effective way to improve water quality in the Herne Bay and
Saint Marys Bay catchments. This option would also provide the greatest
capacity for growth and increased stormwater/wastewater infrastructure
resilience for the western isthmus area.
10. The Point
Erin Extension to the Central Interceptor business case (Attachment A) details
the scope of the project, the development of the project and the strategic,
financial and commercial considerations that informed the project design.
11. The estimated
total cost for the Central Interceptor extension programme is $341.5 million,
which will be shared by Watercare Services Limited and Auckland Council.
Auckland Council will contribute 44 per cent of the costs (via the agreed
Healthy Waters and Flood Resilience budgets) with Watercare contributing 56 per
cent.
12. The Watercare
Board approved the Point Erin Tunnel Extension of the Central Interceptor, and
in May 2024 Watercare signed a contract with the current Central Interceptor
Contractor Ghella Abergeldie Joint Venture for the extension works, which will
likely begin in early 2025. Enabling works have already commenced at Point Erin
Park.
13. If the
transfer of funds is approved, it will be paid to Watercare over the next seven
years in staged payments as the works progress. A contribution of $18.5 million
towards design and enabling works has been made to Watercare as allowed for in
the Long-term Plan 2021-2031.
14. The Point
Erin Tunnel Extension of the Central Interceptor programme works are expected
to be completed by 2028, with significant water quality outcomes realised
through the project as early as 2026.
15. Updates will
be provided to the Transport and Infrastructure Committee alongside updates on
other water quality improvement projects.
Ngā tūtohunga
Recommendations
That the Transport and
Infrastructure Committee:
a) whakaae
/ approve the Point Erin Tunnel Extension of the Central Interceptor Final
Business Case as per Attachment A to the agenda report
b) tuhi
ā-taipitopito / note that $150.3 million has been allocated from regional
Healthy Waters and Flood Resilience budgets to the Point Erin Central
Interceptor extension in the Long-term Plan 2024-2034
c) tuhi
ā-taipitopito / note that $18.5 million has already been transferred to
Watercare as approved by the Auckland Council Chief Executive under delegation
d) whakaae
/ approve the transfer of the remaining $131.8 million to Watercare through a
funding agreement for the Point Erin Central Interceptor extension
e) tuhi
ā-taipitopito / note that $191.2 million for this project will be
contributed from Watercare budgets.
Horopaki
Context
There is a need for water quality improvement work in the
Waitematā harbour
16. Auckland’s
earliest sewage systems were largely ‘combined networks’ which had
stormwater and wastewater flowing in the same pipes. Combined networks result
in a mix of stormwater and wastewater known as combined sewage spilling into
the harbour during heavy rain.
17. The older
areas of Auckland, close to the central city, are still serviced by combined
networks which do not have the capacity for today’s larger population.
Some of these older networks are in poor condition. On average, 250 million
litres of untreated combined sewage is discharged into local waterways in the
Herne Bay and Saint Marys Bay catchments every year.
18. The discharge
of combined sewage into local waterways and harbours poses significant public
health risks and is detrimental to the health of the environment. This impacts
native biodiversity and marine life and creates a risk of illnesses such as
gastroenteritis and skin infections from faecal contamination, when Aucklanders
swim in the area.
19. The Auckland
Council Safeswim programme provides a mechanism for giving the community
real-time advice on the level of risk associated with swimming at specific
locations. It allows beach users to make informed decisions on when and where
to swim. The Herne Bay and Saint Marys Bay catchments have several sites,
including Herne Bay, Home Bay, Sentinel Road Beach, Masefield Beach and Saint
Marys Bay. These five beaches are regularly signposted as having a high risk of
illness due to wet weather overflows.
The Central Interceptor and Western Isthmus Water Quality
Improvement Programme aim to reduce the discharge of combined sewage into the
Waitematā Harbour
20. Part of
Watercare’s wastewater network strategy to reduce combined sewage
overflows was the funding of the Central Interceptor programme. The Central
Interceptor has been in construction since 2019, with an estimated completion
date in 2026.
21. It will
provide a tunnel to convey combined sewage from Herne Bay to the Māngere
Wastewater Treatment plant, where the sewage is then treated. The interceptor
tunnel is 4.5m in diameter and will be over 14km long. It will provide a large
amount of storage space for when there is a heavy rainfall event and will take
pressure off of the constrained Ōrākei sewer. Sewage flows will be
controlled by pumps, and combined sewage will be held in the interceptor tunnel
to await treatment when the treatment plant is at capacity.
22. The original
design for the Central Interceptor main tunnel was for it to run from the
Māngere Wastewater Treatment Plant to Western Springs. This was revised in
2020 to extend to Tawariki Street in Ponsonby, as this would be less expensive
and less disruptive than separating the Grey Lynn catchment.
23. When the
Central Interceptor and the supporting connections have been constructed,
combined sewer overflows into the Waitematā Harbour will be reduced by
approximately 80 per cent.
24. The Western
Isthmus Water Quality Improvement Programme is a parallel programme which
focuses on reducing overflows and improving stream and beach water quality
across the city’s central western isthmus, including Motions Creek, Meola
Creek, Oakley Creek, Whau Creek, and the coastal waters around Point Chevalier
and the Waterview Inlet. Established in 2017, it is funded by the water quality
targeted rate and provides a coordinated approach to reducing overflows and
improving beach water quality by 2028.
There are combined sewage overflows and infrastructure
vulnerabilities in the Herne Bay and Saint Marys Bay catchments
25. There
are 14 active Engineered Overflow Points in the Herne Bay and Saint Marys Bay
catchments which overflow into receiving waterways almost every time it rains,
discharging approximately 250,000m3 (250 million litres) per annum
of untreated combined sewage. As growth and development continues, the
volume and frequency of the untreated combined sewage discharges will increase.
26. The Herne Bay and Saint Marys Bay catchments
currently drain into the Ōrākei Interceptor sewer which is in a vulnerable condition.
There is presently no ability to divert flows from this sewer in the
event of a critical failure. The recent sewer collapse on St Georges Bay Road, Parnell, resulted in about 150 litres
of sewage being discharged into the Waitematā Harbour every second.
27. To
reduce combined sewage discharges in these catchments, the Western Isthmus
Water Quality Improvement Programme planned two projects. The first was to
construct a tunnel at Saint Marys Bay to collect stormwater flows, screen them
and discharge overflows to a sea outfall under the Harbour Bridge rather than
directly onto beaches and into the Westhaven Marina where there is poor tidal
flushing. This tunnel was completed in 2020. Following this, the plan was to
separate the combined network in the Herne Bay and St Marys Bay catchments.
28. The
increased capacity provided by the Saint Marys Bay tunnel has reduced the
number of combined sewer overflows in this catchment significantly and has
ensured that all overflows now spill 500m out into the harbour, reducing public
health risk from swimming at local beaches.
29. During the
design stage of the separation programme significant challenges emerged
including forecast excessive cost increases, community disruption, and
uncertainty of achieving the necessary water quality improvement outcomes.
Progress towards a Central Interceptor tunnel extension to Point
Erin to reduce combined sewage overflows and increase the resilience of the
network
30. In early
2022, Watercare and Healthy Waters and Flood Resilience assessed the cost of
separating the Herne Bay and St Marys Bay catchments as originally planned and
compared this to the cost of extending the Central Interceptor main tunnel by a
further 1.54km from Tawariki Street to Pt Erin Park while the tunnelling
contractor is still on site.
31. As part of this assessment, four options for water quality
improvement in the Herne Bay and Saint Marys Bay catchments were compared
against several criteria, including cost, project complexity, risk,
environmental impact and the expected contribution of the project towards
reducing combined sewer overflows and improving water quality in the catchment.
The four options are expanded on in the Final Business Case (Attachment A) and
the analysis below.
32. The
assessment concluded that an extension of the 4.5m diameter main Central
Interceptor tunnel by 1.5km from Tawariki Street to Pt Erin Park and the
installation of a new Herne Bay collector sewer would be the most cost
efficient and lowest-risk option.
33. In
early 2023, Auckland Council approved $18.5 million funding from Healthy Waters
and Flood Resilience budget to contribute towards the design, consenting and
enabling works for the Point Erin Tunnel Extension to the Central Interceptor.
These works have now been completed. This was approved by the Chief Executive
under delegated financial authority.
34. Following the
completion of enabling works, staff are now seeking approval of the Final
Business Case, and transfer of up to $131.8 million for the completion of the
extension programme, as the programme cost is above staff delegation. This
figure is in addition to the $18.5 million that has already been spent towards
the design and enabling works for the extension.
Tātaritanga me ngā
tohutohu
Analysis and advice
Analysis of options to reduce combined sewage overflows in the
Herne Bay and Saint Marys Bay catchments
35. The
four options identified to address the issue of combined sewage overflows in
the Herne Bay and Saint Marys Bay catchments are detailed in the Final Business
Case and the analysis below. Option two was chosen as the preferred option as
it provides the highest water quality and network resilience outcomes,
alongside other project benefits.
Option 1: Do
nothing
36. Doing
nothing is not a viable option as this would result in non-compliance with the
Watercare discharge consent requirements and would not deliver water quality
improvement outcomes for the catchment area.
Option 2:
Extension of the Central Interceptor main tunnel and construction of a new
Herne Bay Collector Sewer (preferred option)
37. Under
this option, the Central Interceptor main tunnel would be extended by
approximately 1.5km from Tawariki Street to Point Erin Park. A new collector
sewer would be constructed in Herne Bay, which would then be connected to the
extended Central Interceptor. The existing Saint Marys Bay tunnel would also be
connected to the Central Interceptor. A diagram of the planned works under
option two in included in the attached business case.
38. Construction
of the Central Interceptor extension to Point Erin would commence when the
tunnel boring machine constructing the main tunnel reaches the shaft built at
Tawariki Street, which is expected to be in early 2025. It is estimated the
extension of the tunnel will take approximately 12 months, and the extension of
the interceptor is likely to be completed by early 2026.
39. Beginning
the extension works immediately once the Central Interceptor tunnel boring
machine reaches Tawariki Street will reduce the overall costs of the project,
as the tunneling machine will not need to be removed and replaced at the site
(which would require extra site preparation works). This option will also
minimise disruption to the community, as the site at Tawariki Street will not
need to be dug up twice.
40. The
Herne Bay collector sewer will run from Marine Parade to Point Erin Park and
will provide additional capacity and resilience to the combined network. The
construction of the Herne Bay sewer is estimated to cost $132.4 million. As the
new sewer is currently in the design process, it is too early to estimate a
construction start and completion date, though it is likely the construction
period may take 24 months. Construction on the Herne Bay collector sewer could
be undertaken concurrently with the interceptor extension works.
41. The
extension of the Central Interceptor and construction of a new Herne Bay
Collector Sewer will reduce direct discharges of combined sewage to the to the
Waitematā Harbour to two spills on average annually from Herne Bay
overflows. The Saint Marys Bay pumping station will discharge up to 10 times
per year on average through the sea outfall under the harbour bridge. Other positive outcomes of this option include:
· lower public health risk associated with recreational swimming at
beaches in this catchment
· increased resilience of the stormwater/wastewater network, and a
decreased risk of future infrastructure failure
· better protection for the Waitematā Harbour marine ecosystem
and restoration of environmental values as water quality issues are resolved
· reducing flows going through the Ōrākei main sewer, which
is in a vulnerable condition
· additional capacity for expected future growth and development, and
flexibility for upgrades to accommodate growth.
· positive impact on fishing, seafood gathering, recreational water
activities and tourism.
42. The
total cost estimate for this option, including money already spent on design
and enabling works, totals to $341.5 million.
43. The Watercare
Board have approved the Point Erin Tunnel Extension of the Central Interceptor,
and in May 2024 Watercare signed a contract with the current Central
Interceptor contractor Ghella Abergeldie Joint Venture for the extension works,
which will likely begin in early 2025.
44. A
shaft at Point Erin Park is now being constructed, where the tunnel boring
machine will be able to be removed from the ground when the extension is
complete.
45. A transfer of
$18.5 million towards design and enabling works has been made to Watercare
towards design and enabling works for this option.
46. The remaining
$131.8 million for the completion of the extension was approved in the
Long-Term Plan 2024-2034 and will be paid in instalments to Watercare over the
next seven years.
Option 3:
Extension of the Central Interceptor as a smaller diameter tunnel and
construction of a new Herne Bay collector sewer
47. This
option is similar to option two but considers constructing an extension of the
Central Interceptor with a smaller diameter and at a later date. This option
was investigated to determine whether a reduced-cost option could be identified
that would also be able to reduce combined sewage overflows to an average of
two spills annually. Scoping by both Watercare and Healthy Waters and
Flood Resilience determined that this option would both be
more expensive and increase disruption to the community.
48. Reducing
the size of the tunnel extension to be smaller than the rest of the central
interceptor tunnel would require the procurement of a smaller tunnel boring
machine. The smaller machine would also require an additional shaft to be built
at a point along the extension where the boring machine could again be reached.
This would lead to another area being dug up which would incur additional costs
and cause more disruption to the community. The larger extension tunnel (option
two) also enables more capacity for growth than option three.
49. Watercare
have already secured tunnel lining segments for a 4.5m diameter extension
(option two) and so option three would introduce a sunk cost of approximately
$37 million for the additional segments already purchased and other design and
consenting costs already incurred.
50. The
total cost estimate for this option is $371 million, with a 90 per cent
probability that the project would be delivered within this cost estimate.
Option 4:
Full combined sewer separation of the Herne Bay and Saint Marys Bay stormwater
and wastewater network, the upgrade of the Herne Bay branch sewer and
construction of a large pumping station at Point Erin Park
51. This
option would separate the combined sewer systems in Herne Bay and Saint Marys
Bay, which would include the separation of all private properties that are
connected to the combined sewer system (estimated at over 1,000 properties). An
upgrade of the Herne Bay branch sewer would also be necessary to reduce
combined sewage overflows to meet the network discharge consent targets. A
large pumping station at Point Erin Park would also need to be built to direct
flows to the Ōrākei Sewer.
52. There
is a higher risk with this option that its completion may not lead to the
expected reduction in combined sewer overflows. This has been observed in other
separated network areas and is likely due to the difficulty in identifying all
of the properties that need to be disconnected from the combined network, and
that some residents may not allow access to their properties to complete the
necessary works. There is also a risk that new properties may continue to
connect to the combined system.
53. This
option would cause significant public disruption as most streets in the
catchment would need to be dug to install new pipes, and full separation could
take upwards of five years to complete. Option four would provide limited
capacity for growth and is the most expensive of the four options with an
estimated cost of $396 million.
Options analysis
54. Table
1 below compares each of the considered options against key project success
criteria and delivery considerations.
Table 1:
Analysis of options to improve water quality in the Herne Bay and Saint Marys
Bay catchments
|
Criteria
|
Option 1
|
Option 2
(preferred)
|
Option 3
|
Option 4
|
|
Option description
|
Do nothing
|
Central Interceptor extension, new
Herne Bay sewer
|
Central Interceptor extension with
smaller pipe, Herne Bay sewer
|
Combined sewer separation, upgrade
sewer and new pump station
|
|
Estimated cost
|
NA
|
$341.5m
|
$371m
|
$396m
|
|
Reduction of combined sewer overflow into Waitematā
Harbour
|
û
|
üüü
|
üüü
|
üü
|
|
Water quality improvement at local beaches
|
û
|
üüü
|
üüü
|
üü
|
|
Certainty of water quality outcomes
|
û
|
üüü
|
üüü
|
üü
|
|
Increased capacity for growth and
development
|
û
|
üüü
|
üü
|
ü
|
|
Increased stormwater and wastewater
network resilience
|
NA
|
üüü
|
üü
|
ü
|
|
Minimised community disruption during
construction phase
|
û
|
üüü
|
üü
|
û
|
|
Minimised delivery risk
|
NA
|
üüü
|
üü
|
û
|
|
Minimised carbon impact of programme
|
NA
|
üüü
|
üü
|
û
|
|
û
|
ü
|
üü
|
üüü
|
|
No outcomes
|
Low outcomes
|
Some outcomes
|
Highest outcomes
|
55. Assessments
performed by both Watercare and Healthy Waters and Flood Resilience have identified option two as the preferred option as it has the
least associated cost and delivers the highest water quality and network
resilience outcomes, alongside other project benefits.
Delivery of the Point Erin Tunnel Extension of the Central
Interceptor will be led by Watercare’s Central Interceptor delivery team
56. If
the transfer of funds is approved, Watercare’s Central Interceptor
delivery team will lead the delivery of the Point Erin Tunnel Extension. This
will allow the same equipment, including the tunnel boring machine, and
existing expertise, to be used during the Point Erin extension programme. This
will reduce duplication of costs and allow construction to commence sooner
(upon the completion of the main tunnel).
57. The
Central Interceptor delivery team have developed robust processes to support
regular communications with Healthy Waters and Flood Resilience and the affected public, and regular engagement and collaboration
with mana whenua (detailed in the Māori impact statement section of this
report).
58. If
the funding transfer is not approved, the extension would need to be procured
separately which would likely result in higher costs and more disruption
through transporting a tunnel boring machine away from, and then back to the
shaft site at Tawariki Street. The contractor currently constructing the
Central Interceptor main tunnel is the only contractor in New Zealand that are
currently using a tunnel boring machine of this size.
59. Healthy Waters and Flood Resilience will provide technical input
into the programme as needed.
Tauākī whakaaweawe
āhuarangi
Climate impact statement
60. The Western Isthmus Water Quality Improvement programme delivers on
actions identified in Te Tāruke-ā Tāwhiri: Auckland's Climate
Plan. Specifically, Action B2, “to ensure new infrastructure is planned
and designed to minimise climate risks and lifecycle emissions. It also
responds to the challenge identified in the Auckland Water Strategy of
“reducing exposure to water related natural hazard risk over time”.
61. This project
has considered the effects of climate change in both adaptation and carbon
reduction. All design and hydraulic modelling have incorporated increased
climate change rainfall intensities and sea level predictions.
62. Carbon
footprint and waste generation were one of the factors considered in the
multi-criteria analysis and the preferred solution has a lower carbon footprint
than other options considered.
63. The Central
Interceptor delivery team are working to Infrastructure Sustainability Council
of Australia standards, which measure total water use, carbon footprint and
energy/electricity use.
64. The tunnel
extension will utilise the existing procedures in place for the construction of
the for the main tunnel to remove the ground-up rock from the tunnel. The
ground up rock will be taken out of the tunnel at the May Road shaft where it
will be transported to Puketutu Island for disposal. Where practicable,
electric trucks will be used.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
65. Auckland
Council and Watercare are working collaboratively on this combined project to
identify opportunities for synergies and to ensure a ‘dig once’
approach. The project will be delivered by Watercare leveraging off their
existing Central Interceptor project.
66. Other members
of the Auckland Council group, such as Auckland Transport, will also be
impacted by the project and Watercare is working closely with these
stakeholders to ensure that they are aware of any potential impacts and that
these are minimised throughout the design and delivery process.
67. The preferred
option for this project will have significantly less disruption to the Auckland
Transport road system than separation as it relies on tunnels deep beneath the
ground rather than digging on local roads.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
68. This project
will have significant benefits for people living in the area in terms of
environmental improvement, increased growth and development capability,
increased capacity of the local stormwater and wastewater networks and
increased amenity. It will benefit beachgoers as it will lower the public
health risk associated with recreational swimming at beaches in this catchment.
69. The
Waitematā Local Board submitted comments in support of the Central
Interceptor Extension in Point Erin on 21 April 2023 during the public
notification period for the proposed work. The board recommended that Watercare
collaborate with other agencies that have pending works in the area to work in
tandem. They also asked that Watercare mitigate the adverse impacts of the
planned works on residents, businesses and park users as much as is
practicable.
70. Construction
of the Point Erin extension tunnel will result in less work being required on
private properties compared to full separation. The preferred option (option
two) will be significantly less disruptive to the community than options three
and four. Under option two, fewer areas of the catchment will have to be dug up
or occupied, and the upgrade will be delivered within a shorter timeframe
(likely within three years, with significant water quality outcomes realised
for the catchment as early as 2026).
71. Landowner
approval for Watercare to occupy Point Erin Park was provided by the
Waitematā Local Board on 17 June 2024. The park will likely be occupied to
complete the extension works until the end of 2026.
Tauākī whakaaweawe
Māori
Māori impact statement
72. The
Central Interceptor project has a specific Cultural Management Plan developed
under the guidance of the Watercare Cultural Outcomes Group and with the wider Watercare Mana Whenua Kaitiaki Managers’ Forum
membership. A number of procedures and initiatives give effect to the Cultural
Management Plan including:
· cultural
inductions
· karakia
for significant events
· economic
opportunities
· a
process of engagement for cultural monitoring for topsoil stripping activities.
73. Ngāti
Whātua Ōrākei, Te Ākitai Waiohua, Ngāti Te Ata
Waiohua, Ngaati Whanaunga and Ngāti Maru expressed interest in this
project at the October 2022 Watercare Mana Whenua Kaitiaki Managers’
Forum. Follow up hui and site visits to Point Erin Park were then held with
each of these iwi.
74. A cultural
induction for site establishment for the Central Interceptor project was
provided by Ngāti Whātua Ōrākei and Te Ākitai Waiohua
representatives on 18 June 2024.
75. Engagement
with interested mana whenua is ongoing and will continue through project
development and delivery phases, particularly in regard to the reinstatement of
Point Erin Park. In addition, regular updates will be provided to the Watercare
Cultural Outcomes Group monthly hui and to the Watercare Mana Whenua Forum
subject to their agenda availability.
76. The proposed
work avoids the identified extent of the scheduled places of significance to
mana whenua overlay, particularly Te Koraenga Oka – a former pā
site. It also minimises the amount of land being disturbed as far as
practicable.
77. The overall
objective of the project is to provide additional sewer capacity and network
resilience. The project will result in a significant reduction in the frequency
and volume of network overflows thereby reducing the quantity of wastewater
contaminants entering freshwater and the coastal environment. This contributes
to the restoration of mauri of these environments and supports cultural
well-being and health and safety.
Ngā ritenga
ā-pūtea
Financial implications
78. The estimated
cost of this option is $341.5 million. The cost will be shared by both Healthy
Waters and Flood Resilience and Watercare Services Limited, with Healthy Waters
and Flood Resilience contributing 44 per cent of the costs and Watercare
Services Limited contributing 56 per cent of the costs.
79. The Healthy
Waters and Flood Resilience share of the project cost is $150.3 million, which
has been allowed for in the Long-term Plan 2024-2034 Healthy Waters and Flood
Resilience budget over a period of eight years commencing 2023/2024. The
phasing of this spend over the next seven years is outlined in Table 2 below.
In 2023/2024, $18.5 million was spent as the Healthy Waters and Flood
Resilience department’s share of the design, consenting and enabling work
costs for the preferred option.
80. Ongoing
maintenance of the Central Interceptor tunnel and the Herne Bay sewer will come
from Watercare operational budgets.
Table 2: Breakdown of Healthy Waters and
Flood Resilience 44% share of total project costs (allowed for in
the Long-Term Plan)
|
Healthy Waters and Flood Resilience cost
contribution by financial year
|
|
|
2023 / 2024
|
2024 / 2025
|
2025 / 2026
|
2026 / 2027
|
2027 / 2028
|
2028 / 2029
|
2029 / 2030
|
2030 / 2031
|
Total
|
|
Healthy Waters and
Flood Resilience share of costs
|
$18.5M
|
$10.0M
|
$20.0M
|
$33.0M
|
$15.0M
|
$22.0M
|
$12.8M
|
$19.0M
|
$150.3M
|
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
81. A summary of
the key risks associated with the preferred option (option two) are outlined in
Table 3.
Table 3: Key
risks associated with the Extension of the
Central Interceptor main tunnel and construction of a new Herne Bay Collector
Sewer (option two)
Ngā koringa ā-muri
Next steps
82. If the
transfer is approved, funding will be transferred to Watercare to manage delivery
of the Point Erin Tunnel Extension of the Central Interceptor programme works
detailed in the business case over the next seven years.
83. Enabling
works for the extension have begun and the Point Erin Park tunnel shaft is
expected to be completed in April 2025. The tunnel boring machine digging the
main Central Interceptor tunnel is expected to reach Tawariki Park in May 2025,
which will then enable the machine to begin extension works from this site.
84. Point Erin
Tunnel Extension of the Central Interceptor programme works are expected to be
completed by 2028, with significant water quality outcomes realised through the
project as early as 2026.
85. Updates will
be provided to the Transport and Infrastructure Committee alongside updates on
other water quality improvement projects.
Ngā tāpirihanga
Attachments
|
No.
|
Title
|
Page
|
|
a⇨
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Point Erin Extension to the Central Interceptor
Business Case
|
|
Ngā kaihaina
Signatories
|
Author
|
Chris Stumbles - Head of Design and Delivery, Healthy
Waters and Flood Resilience
|
|
Authorisers
|
Craig Mcilroy - General Manager Healthy Waters and
Flood Resilience
Parul Sood - Acting Director Resilience and
Infrastructure
|
|
Transport and Infrastructure Committee
08 August 2024
|
|
Auckland
Council feedback on proposed Order in Council for Māngere flood resilience
works
File No.: CP2024/10862
Te take mō te
pūrongo
Purpose of the report
1. To
recommend that council support the proposed Order in Council for Māngere
flood resilience works to enable feedback to Ministry for the Environment.
Whakarāpopototanga matua
Executive summary
2. The
Making Space for Water programme, as part of the wider Tāmaki Makaurau
Recovery Plan, includes a range of initiatives to reduce flood risk to
Aucklanders. Part of this is the construction of blue-green network projects
which involve enhancing stormwater assets and green spaces to deliver increased flood management.
3. Rapid
action to recover from the 2023 storm events and to reduce flood risk to
properties is a priority for Auckland Council and central government.
Recognising the frequency and severity of flooding in the Māngere
catchment, Auckland Council has prioritised Māngere for early flood
resilience project delivery.
4. It
is proposed that these works be enabled by an Order in Council, which is a mechanism provided for under the Severe
Weather Emergency Recovery Legislation Act 2023. It would allow legislation to
be temporarily changed to enable rapid delivery of projects that will help
communities continue to recover from the severe weather events in early 2023.
For these projects in Māngere this Order in Council would amend the
Resource Management Act (1991). Further detail on this process has been
provided by the Ministry for the Environment in an ‘Auckland flood
works’ fact sheet on the proposed Order in Council as Attachment A.
5. Staff
began discussions with mana whenua and the Māngere-Ōtāhuhu Local
Board on the physical works and proposed Order in Council process in May 2024
and have held several hui and site visits. They have all advocated for rapid
reduction of flood risks to their communities and requested to be involved
going forward. The Māngere-Ōtāhuhu Local Board provided formal
support for the project and for a proposed Order in Council at its 19 June 2024 business meeting (MO/2024/71) (Attachment B).
6. The Transport and Infrastructure Committee also supported the
comprehensive catchment upgrade, including flow enhancement at Te
Ararata Stream and Harania pipe bridge construction, as well as the proposed
Order in Council, at its 4 July 2024 committee meeting (TICCC/2024/74) (Attachment C).
7. Cabinet
approved the Ministry for the Environment to undertake public engagement on the
proposed Order in Council on 29 July 2024. This engagement period will be open
from 30 July to 23 August 2024. Formal feedback from affected parties,
including Auckland Council, is requested for the Ministry for the Environment
to consider and advise the Minister on the proposed order. Information is
available on the Ministry's website.
8. In addition to this official engagement period, council staff will
undertake further project engagement with the local board, affected
communities, and iwi Māori through communications
activities and working groups.
9. Based on current timeframes, construction on these projects could
begin in summer 2024/2025 if the proposed Order in Council is made.
10. Relevant stakeholders will be advised of the
outcome of the Order in Council, including any changes, and will be involved in
the public engagement processes and ongoing updates on the works as they
progress.
Ngā tūtohunga
Recommendations
That the Transport and
Infrastructure Committee:
a) whiwhi /
receive the fact sheet produced by Ministry for the Environment on the proposed
Order in Council included as Attachment A to the agenda report
b) tautoko
/ support the proposed Order in Council which will shorten the resource consent
process for, and enable timely delivery of, the Te Ararata and Harania
catchment projects to reduce flood risk.
Horopaki
Context
An Order in Council allows rapid response to flood impacts
11. The
scale of damage to public and private assets following the 2023 storms and
cyclone has created a demand for urgent physical works to repair damage and
build more resilient infrastructure.
12. The
Order in Council mechanism is a type of secondary legislation provided for
under the Severe Weather Emergency Recovery Legislation Act 2023. It allows for
flexibility to enable recovery through quick regulatory changes responding to
issues as they arise.
13. It
enables the temporary amendment of the Resource Management Act (1991) and other
legislation and has been used mostly in Auckland, Tairāwhiti, and
Hawke’s Bay.
14. There
are currently seven Orders in Council administered by the Ministry for the
Environment and two in development. These cover temporary accommodation, waste
management, planning processes, water permits, timeframes extensions, and flood
protection works. One Order in Council enabling burning of cyclone and flood
waste has expired.
15. A
factsheet on the proposed Order in Council for Māngere flood resilience
works, produced by the Ministry for the Environment, is included in Attachment
A.
Te Ararata and Harania catchments were
among the most affected by the 2023 weather events
16. Two
specific areas identified in the proposed Order in Council are the urban
Harania and Te Ararata catchments, located in Māngere. These catchments
were amongst the worst affected in Auckland in the early 2023 weather events,
and are frequently affected by heavy rain events.
17. Of
the 376 dwellings with flood risk in the 850-hectare catchments, there are at
least 56 where there is an intolerable risk to life. A package of works has
been proposed for each area to mitigate the risk to life and property in this
area, and to increase resilience for Watercare’s Eastern Interceptor pipe
and for the wider community. Detail on the project options and outcomes was provided in the 4 July 2024 Transport and Infrastructure Committee report. The committee approved the project business case
(TICCC/2024/75) in the confidential section of the 4 July 2024 meeting.
18. Based on the scale of this flood impact during the 2023 weather
events, the proposal is an appropriate candidate for an Order in Council. The
proposed Order in Council would take effect from 8 November 2024, after Royal
Assent, and expire on 1 October 2028.
19. Te Ararata and Harania flood resilience projects are co-funded by
the Crown’s National Resilience Plan funding. The Crown has emphasised
the importance of delivering work that will reduce intolerable risk to life as
quickly as possible.
Tātaritanga me ngā
tohutohu
Analysis and advice
20. Orders
in Council are made by the Governor-General on the recommendation of the
relevant Minister. In this instance it would be on
recommendation of the Minister for the Environment. Orders in Council are
secondary legislation that can temporarily amend specific legislation to
implement decisions that need legal force. The Ministry for the Environment is
enabling Orders in Council to allow laws to be temporarily changed to help
communities continue their recovery from the severe weather events in early
2023 under the Severe
Weather Emergency Recovery Legislation Act 2023.
21. The Order in Council will be subject to final consideration and
approval by Cabinet.
22. General
advice on the function and purpose of an Order in Council was provided to the Māngere-Ōtāhuhu local board on 19
June 2024 and to the Transport and
Infrastructure Committee on 4
July 2024.
23. The
projects that will be enabled by the Order in Council are scoped to reduce
blockage risk and increase conveyance capacity at Walmsley Road, Mahunga Drive,
Te Ararata Stream, Tennessee Avenue and Blake Road. The
estimated project cost is $53.84 million.
24. The
proposed Order in Council would reclassify the project works as controlled
activities under the Resource Management Act (RMA),
overriding certain rules in the Auckland Unitary Plan. A controlled activity
resource consent also cannot be declined under the RMA, which gives Auckland
Council certainty that the works will get consented.
An Order in Council would enable flood resilience projects to be
expedited
25. The
proposed Order in Council would provide certainty that the consents will be
granted as a controlled activity that will not be notified. The normal consent
process typically takes at least 12 months, or 24 months if there are
variations or appeals. This would slow the delivery of the proposed flood
mitigation work in Māngere and would delay the reduction of flood risk in
this community. The proposed Order in Council would allow works to start
immediately, once the controlled activity consents are granted.
26. Auckland
Council and Ministry for the Environment will agree conditions through the
proposed Order in Council to manage any adverse impacts of the projects. The
council will make assurances through this process that
the best environmental practices will be implemented during the construction
phase. The proposed Order in Council would only apply to the Te Ararata and
Harania catchments.
27. Staff
recommend that the committee support the proposed Order
in Council to provide regulatory certainty and shorten the resource consent
process to enable the timely delivery of Te Ararata and Harania flood
resilience projects. This will benefit hundreds of properties through reducing
flood risk, reflecting advocacy from elected members, mana whenua, and
communities, without compromising environmental effects management
requirements.
Communities
and partners can provide feedback throughout the process
28. The
Ministry for the Environment will promote engagement and feedback through a
number of channels including: meetings with key decision makers, a public
webinar on 15 August, and sharing of collateral.
Feedback received during this period will inform the proposed Order in Council
and conditions for the physical works to be undertaken. Feedback can be
provided online
or via email from 30 July to 23 August 2024.
29. To
enable public participation in the project which would normally be sought in a
consent process’s public notification, Auckland
Council intend to introduce an alternative and ongoing consultation process in
relation to applying this order, drawing from the process in section 9 of the
Severe Weather Emergency Recovery Legislation Act 2023.
30. The conditions of any consent associated with a proposed Order in
Council is expected to specifically set out expectations for working with mana
whenua representatives, establishing a stakeholder
advisory group, a project engagement lead, and communications plan. This work
is already underway through existing staff work programmes and has been
supported in principle by those parties who would be engaged.
31. This proposed consultation process includes mandating the
requirement for engagement with mana whenua entities
(as defined in the Resource Management Act 1991), and specifies that the
Consent Authority (Auckland Council) must notify mana whenua that an
application has been lodged and advise them where they can find a copy. As an
applicant, Auckland Council must also seek input from mana whenua regarding
cultural impacts of works, any identified cultural values and culturally
significant land.
32. There will be provisions to enable council to invite other input
from government agencies, asset owners, and landowners. This means that
targeted input can be sought from those directly affected by the physical
works.
33. To
manage any perceived or actual conflicts of interest, the proposed Order in
Council would require an independent commissioner be the final decision maker
to hear from local landowners, communities, iwi and others before making their
decision and imposing conditions.
34. By establishing opportunities for feedback and communication with
people who will be affected by the physical works in
the Mangere area, staff establish their commitment to deliver a flood
resilience project that delivers community, environmental, and cultural needs,
as well as resolving the core flooding issue.
Tauākī whakaaweawe
āhuarangi
Climate impact statement
35. By using the
proposed Order in Council as a regulatory control, the work can be delivered
faster, to recover from the impacts of the 2023 severe weather events and to
reduce the community risk of future severe weather events.
36. More
information on the climate impacts of the Māngere flood resilience
projects was provided in the 4 July 2024 Transport and Infrastructure Committee
report.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
37. Healthy
Waters and Flood Resilience has worked with Resource Consents, Environmental
Monitoring, Plans & Places, Legal Services, Tāmaki Makaurau Recovery
Office, Watercare, Auckland Transport, and Parks and Community Facilities in
preparing the proposed Order in Council. These teams have supported the intent
of the Order in Council process and provided feedback on the project design.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
38. A full
assessment of local impacts and local board views relating to these projects
was provided in the 4 July 2024 Transport and Infrastructure Committee report.
Local impacts
39. The Order in
Council process has included identifying and communicating with all directly
affected residents and asset owners. A range of community hui have been
arranged, and collateral has been developed to support this.
Local board views
40. The Māngere-Ōtāhuhu
Local Board provided formal support for the physical works and Order in Council
process (resolution
MO/2024/71) on 19 June 2024. The local board advocated for prompt action
to safeguard lives and properties, and supported the engagement period
providing opportunity for meaningful community input. The local board’s
resolutions are included as Attachment B.
Tauākī whakaaweawe
Māori
Māori impact statement
41. A full
Māori impact statement was provided in the 4 July 2024 Transport and
Infrastructure Committee report. At that stage, specific engagement with iwi
had not yet been undertaken regarding the proposed Order in Council, although
they were made aware of it and supported the principle of accelerating
delivery.
42. Since then,
staff have met with Te Ahiwaru and Te Ākitai on several occasions. This
has included identifying opportunities to deliver Māori outcomes in the
physical works and discuss how they wish to be involved in the project as it
progresses. The Order in Council has been raised in these hui but has not been
the focus of discussions.
43. During the
Ministry for the Environment engagement period, opportunities have been created
to receive feedback from mana whenua. This includes a letter sent to Te
Ahiwaru, Te Ākitai, Ngāti Tamaoho and Ngāi Tai ki Tāmaki,
seeking direct feedback on the Order in Council, and Ministry for the
Environment staff attending the council’s operational Mana Whenua Forum
on 9 August 2024.
Ngā ritenga
ā-pūtea
Financial implications
44. The Order in
Council application process will be accommodated through existing regional
staff resources. There is a cost saving associated with following an Order in
Council process, compared to the usual resource consent process, mostly in
reduced staff time.
45. The estimated
project cost for the Te Ararata and Harania flood resilience projects is $53.84
million. The projects will be co-funded by the Crown’s National
Resilience Plan funding and Auckland Council. The council portion of this
funding was approved as part of the overall Making Space for Water budgets
through the Long-term Plan 2024-2034.
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
46. The projects
delivered by Making Space for Water have a high level of public interest. The
main risk associated with using an Order in Council is a perception that it is
being used to short-cut opportunities for communities to provide feedback. This
risk is mitigated by the feedback approach outlined above for the proposed
Order in Council, and additional engagement on the projects that the council is
undertaking.
47. Staff
consider the risks of not using an Order in Council process, and instead
following the usual resource consent, to be greater than those identified
above. The most significant risk is the substantial time delay associated with
a complex resource consent and any associated variations. Initial planning
assessments estimate that completing the consent could take 12 to 24 months.
Delays in the consenting process would leave an intolerable flood risk to life
in place for longer than the recommended approach.
Ngā koringa ā-muri
Next steps
48. Feedback for
the proposed Order in Council is open from 30 July to 23 August 2024. Decision
making is likely to be made in late October 2024.
49. Following
engagement, if the Order in Council is made, staff plan to begin procurement
and contracting processes in November, in order to begin construction during
the 2024/2025 summer earthworks season.
50. Elected
members, mana whenua and relevant stakeholders will be advised of the outcome
of the Order in Council, including any changes, and will be involved in the
public engagement processes and ongoing updates on the works as they progress.
51. Project
updates will be provided through quarterly reporting to the Governing Body and
local boards, and regular reporting to the Transport and Infrastructure
Committee.
Ngā tāpirihanga
Attachments
|
No.
|
Title
|
Page
|
|
a⇨
|
Ministry for the Environment, Order in Council
Auckland flood works factsheet
|
|
|
b⇨
|
Māngere-Ōtāhuhu Local Board resolution
19 June 2024
|
|
|
c⇨
|
Transport and Infrastructure Committee resolution 4
July 2024
|
|
Ngā kaihaina
Signatories
|
Author
|
Elizabeth Johnson – Principal, Wai Ora Strategic
Programmes, Healthy Waters
|
|
Authorisers
|
Craig Mcilroy - General Manager Healthy Waters and
Flood Resilience
Mace Ward - Group Recovery Manager
Mara Bebich - Executive Officer Resilience and
Infrastructure
Parul Sood - Acting Director Resilience and
Infrastructure
|
