Port of Tauranga 'extremely frustrated' over Environment Court hearing delay

Port of Tauranga says supply chain congestion being prolonged. Photo / Supplied

Covid put the kybosh on the Port of Tauranga's long-awaited Environment Court hearing this week for clearance to build an urgently-needed container wharf extension, with the port failing in a bid to get it held virtually.

An "extremely disappointed" port chief executive Leonard Sampson said with the New Zealand supply chain already under severe strain, the further delay in getting a resource consent hearing will only prolong congestion impacts.

Sampson said some of the other parties to the hearing, due to start on Monday, were affected by Covid and requested the deferral. The port company's preference was to hold the hearing virtually due to the increasing urgency of the berth extension project, he said.

An Environment Court spokeswoman told the Herald "a rapidly forming Covid cluster" led to the adjournment. The court would formally outline the reason for the adjournment decision "in due course". The court did not respond to questions about what parties to the hearing were affected by Covid or when the hearing might now be held.

"It is extremely frustrating after years of consultation and planning to be put 'on hold' once again," said Sampson, who'd had indications the new hearing won't be until next year.

The port company warned more than a year ago that imports and exports risked being severely constrained with consequences for the economy if the two-year construction project wasn't started soon.

Sampson said the cost of the project, put at around $68 million in 2020, had since inflated by $20m.

The port is New Zealand's biggest and the main gateway for exports. With the main imports port at Auckland under-performing during the Covid-driven supply chain crunch of the past two years, the Tauranga port has also been called on to handle diverted import vessels.

It asked for the Environment Court hearing in May last year. The request was accepted in December.

The hearing, which has attracted objections, was due to last 10 days.

Detailed planning and consultation for the wharf extension started in early 2019.

The port's May 2020 application for the extension to be considered a "shovel ready" project was knocked back by the Government in March last year.

Its application in October 2020 to the Government for "fast track" status under the Covid economic response was also rejected six months later.

The Ministry of Business Innovation and Employment suggested in April last year the port take the direct referral route to the Environment Court.

Sampson said the application to the shovel-ready scheme was made in 2020 "because of the urgency and capacity constraints we were facing".

"Had we been successful, we would be finishing construction now for a cost of around $68 million.

"Yet here we are, having had no success in even getting an Environment Court hearing."