An update on the situation for the remainder of today and overnight is expected at 3pm.
The QLDC earlier said the slip was large with lots of debris.
"Despite working hard to clear a lane through the slip, a severe blockage of the culvert means a significant amount of water and debris continues to run across the road.
"In addition, there's a lot of material along the potential cleared route which has a risk of slumping on to any vehicles passing through," the spokesperson said yesterday.
The huge storm also cut power to residents in the Queenstown Lakes area yesterday.
Aurora Energy says a lightning strike at the Frankton grid exit point caused the power to go out in Queenstown, Glenorchy, Frankton and parts of Arrowtown.
Comments on social media described the "loudest thunder ever", and "blinding lightning, heavy rain and thunder shaking the house", the Otago Daily Times reported.
All weather warnings in the South Island have been lifted this morning.