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Chris Bishop opens door to delaying Wellington tunnels - but says he won’t cancel them

Wednesday, 18 February 2026

The Terrace Tunnell in Wellington.
The Terrace Tunnell in Wellington.

Transport Minister Chris Bishop has hinted that the Government could delay the Wellington tunnels project until after congestion charging makes clear that they are needed.

Bishop walked back an earlier statement that suggested one or both of the tunnels could be cancelled altogether.

He was speaking to media the day after the official Infrastructure Commission released a report criticising the huge number of unfunded transport “megaprojects” - and explicitly asking the Government to test whether they were all needed after “demand management” tools like congestion or time of use charges.

Infrastructure Commission chief Geoff Cooper told The Post the plan was “unequivocal” about a recommendation that governments make sure expensive infrastructure is actually needed before committing to fund it.

“Before you get to a world of doing big capital works, you should really exhaust the demand management tools you have first and then ask the question, you know: ‘Do we need this? Do we need this asset?’”

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NZTA has consulted on a $3.8 billion plan to build two new tunnels in Wellington to supplement the existing Mount Victoria and Terrace tunnels.

Bishop was asked about the commission’s recommendation on his way into the House on Wednesday and said the Government would have more to say soon on the sequencing of transport projects.

Asked directly if he was considering using time of use charging to test whether a tunnel was needed before committing funds to it, Bishop said that was “an option under consideration”.

Asked if he might delay any funding commitment to the tunnels until after congestion charging was introduced, Bishop repeated that he would have more to say soon, but confirmed that the general proposition of congestion charging impacting projects was correct.

“Your general proposition that time of use pricing affects the viability of projects, or at least the necessity of projects, your proposition is correct.”

National Finance Minister and fellow Wellington MP later told The Post the Mount Victoria tunnel was “all go”.

Bishop later issued a statement making clear he stood behind the Mt Victoria tunnel, and his office said this should be read as a backing for the Terrace tunnel too.

'The second Mt Victoria Tunnel is a Government priority and a project we’re committed to. We are not cancelling it,“ Bishop said.

Chris Bishop said the Government would have more to say on the impact of time of use charging on projects soon.
Chris Bishop said the Government would have more to say on the impact of time of use charging on projects soon.

“I've been clear for some months now that there is important sequencing and prioritisation work underway on the Roads of National Significance programme, and I'll have more to say about that soon.'

A spokeswoman for his office said that the Terrace tunnel was considered as part of the Mount Victoria tunnel “package”.

Mayor Andrew Little told The Post these had always been “Government projects” and it was up to the Government to decide if they would happen.

“From Wellington’s point of view, what matters most is we have good infrastructure that means people can move around and across the city.

“What we need most of all is certainty about what the Government is doing so that the council and residents can plan with confidence.”

Willis later told The Post geotechnical work on Mt Victoria had already started.

“Work is already under way on that project, which is to say there's around, I think, $150 million of geotechnical work under way already,” Willis said.

Asked about the Terrace tunnel she said “the Mt Vic tunnel is all go and that’s what we’re committed to”.

Rongotai MP Julie Anne Genter celebrated the apparent rethink of the tunnels saying it was a positive development.

“We would welcome an approach that would deliver better transport outcomes sooner, without destroying so much housing and causing years of disruption to communities like Hataitai and the central city,” Genter said.

“Congestion charging has huge potential to address bottlenecks much faster, however the revenue must be put into making public transport cheaper, more frequent and reliable.”

Bishop himself promised “spades in the ground” before the 2026 election on a second tunnel through Mount Victoria.

The Government passed a bill to allow time of use or congestion charging late last year. The bill will come into effect in November 2026.