Rotorua mayor Steve Chadwick and MP Todd McClay said they welcomed the announcement, both saying it was a positive step forward and the road was essential to Rotorua's future economic development.
Mr Wilson said the NZTA had been working closely with iwi, businesses and the community to review possible solutions to the movement of freight and people into and around the region for some time. "We are focused on continuing those conversations and working together moving forward.
"These projects have been signalled by local councils as high priority for some time.
"However, most of the projects were unlikely to go ahead under normal transport funding settings for a number of years."
The NZTA had stated that no work would begin on the project until between 2020 and 2025.
Mr Wilson said he did not know at this stage when the new investigation and design phase would begin. "Following investigation and design the project could then be considered for funding under the proposed regional improvements activity class in the next Government policy statement on land transport, which is currently out for public consultation.
"Moving forward, the agency is focused on listening to iwi, businesses and the local community to find the best long term solution."
The Automobile Association has also come out in support of the project.
Bay of Plenty District chairman Barry Benton said they believed the route would reduce congestion on Te Ngae Rd and reduce travel times for freight. "Which will be good for businesses."
Editorial, p10
