Government sinks Interislander project after $1.5b blowout

Finance minister Nicola Willis discusses rejecting the KiwiRail funding request. (Image: BusinessDesk)

Wed, 13 Dec 2023

The Interislander replacement project is dead in the water after the new government declined a $1.47 billion funding request from KiwiRail.Finance minister Nicola Willis said Wednesday the KiwiRail board had told her that, as a result of the government decision, it would now oversee the wind down of the project and review its plans for the Cook Strait connection.The frailty of the connection, essentially an extension of State Highway 1, has been highlighted in recent years by a number of breakdowns, including a ferry issuing an SOS after losing...

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Transpower to spend $1.1b on Cook Strait link upgrade

Transpower plans to spend $1.1 billion on upgrading the electricity link between the North and South Islands.The state-owned power grid operator said it had applied to the Commerce Commission for approval to invest in the High Voltage Direct Current (HVDC) link.The proposal inclu...

Staff reporters 09 Sep 2025