New Southland highway network maintenance contract begins 1 March


A new $64 million, seven-year contract covering the maintenance and operation of the NZ Transport Agency’s Southland state highway network, will start on Tuesday 1 March.

“This Network Outcomes Contract (NOC) signals a new era in the management and maintenance of Southland’s diverse and challenging highways,” said Ian Duncan, Transport Agency Southern Business Unit Manager. The contract(external link) is being led by SouthRoads Ltd, a local firm of 20 years standing. The company has formed a partnership to deliver the contract with professional engineering services provider MWH and contracting companies Downer NZ Ltd, McDonough Contracting Ltd and Carran Scott Contracting.

 Network Outcomes Contracts are a new and smarter approach the Transport Agency is using to maintain and operate its highway network across the country. “Previously, there have been several contracts delivering maintenance work on the Southland highway network,” said Mr Duncan. “With one contract for the whole region except the Milford Road (State Highway 94 Te Anau to Milford), we are expecting savings and better outcomes for customers.

“It allows Southland to deliver on one of the Transport Agency’s key short term priorities of driving value through smart road maintenance. Essentially, this means giving our customers the best value and service for the major investment the Agency makes in road maintenance. These performance-based contracts are an important tool for delivering on this through teaming-up with our partners, and better management and procurement of highway maintenance services.” 

Mr Duncan said that SouthRoads has a good understanding of the Southland highway network, having done an excellent job previously of managing the Transport Agency’s northern Southland highway network. “With their solid understanding of the highway network in this area and their sound knowledge of the wider Southland region, there is every reason to be optimistic that this contract will deliver well,” he said.

Mr Duncan thanked the region’s previous state highway maintenance contract providers. Previously the work had been done by Fulton Hogan and SouthRoads in partnership, with professional services from Opus.

“Roading maintenance and emergency works are done in all weathers and often 24/7. We appreciate the efforts made in the past and the dedication of engineers and crews to keeping Southland’s highways open, safe and in good condition.”