Cash clash blocks Rugby Cup wharf plan

RWC Minister Murray McCully, seen playing for the Parliamentary rugby team, is trying to cement a deal for Auckland's waterfront. Photo / Getty Images

Big plans to turn Queens Wharf into a cruise ship terminal and open up more of Auckland's waterfront to the public before the Rugby World Cup in 2011 have hit a stumbling block.

Prime Minister John Key was to announce the plans at a tourism conference in Auckland today, but problems have arisen over who will pay for the publicly owned wharf.

Rugby World Cup Minister Murray McCully spent Tuesday in Auckland trying to nail down a deal with the local bodies that have interests in the project.

It is understood Mr McCully asked Auckland City Mayor John Banks for $20 million to pay for Queens Wharf and he refused.

Preliminary designs have been prepared for a cruise ship terminal and public spaces on the 3ha wharf. Construction has been tentatively scheduled to start in November.

The Government is keen to have a developed public waterfront as a focal point for the six-week Rugby World Cup.

It would be the site of a spectacular opening event that would show Auckland to a worldwide television audience of about four billion people.

It is understood the Government has also said it is willing to fast-track two Auckland City Council waterfront projects.

They are a $29 million marine events centre at the Viaduct Harbour and the $51.2 million Te Wero Bridge connecting downtown Auckland with the events centre and an entertainment strip proposed at the Tank Farm.

The Auckland City Council has brought forward plans to build the marine events centre on the Halsey St wharf extension, at the site of the old Team New Zealand base.

Moller Architects has done an open design with a wave-like roof and a 25m-wide promenade fronting the Viaduct Harbour.

The Government is also keen for the council to give Te Wero Bridge a higher priority, and is believed to have offered a bigger subsidy through the Transport Agency to reduce the council's share of the $51.2 million cost.

The council had deferred construction of the bridge to 2016.

It would be an opening bridge with a navigational width of at least 36m, and would cater for pedestrians, cyclists and public transport.

One source said the cost of strengthening Queens Wharf for a cruise terminal was about $20 million and the total cost could be more than $100 million.

The wharf belongs to Ports of Auckland, which is owned by the Auckland Regional Council through its investment division, Auckland Regional Holdings.

The ports company uses the wharf for parking imported used Japanese cars and stacking boxes of ripening bananas.

Critics and local politicians have long wanted it for a public space.

One source said the Queens Wharf deal was linked to a capital payment to the ports company by the Auckland Regional Council.

The Government has refused to get involved in the recapitalisation of the ports company, but is believed to be prepared to assist once Queens Wharf is off the firm's books and available for development.

* The plans

QUEENS WHARF

Conversion to a cruise terminal. Ports of Auckland wants $20 million for the 3ha site. Sources say the full cost of renovation could exceed $100 million.

MARINE EVENTS CENTRE

The city council has accelerated plans to build a $29 million marine events centre on the site of the old Team New Zealand base on the Halsey St wharf extension.

TE WERO BRIDGE

The bridge will link the marine events centre with downtown Auckland. The Government has offered a subsidy to reduce the city's share of the $51.2 million cost.