A $154 million road maintenance contract is set to save ratepayers and road users and estimated $50 million over seven years.

The NZ Transport Agency and Western Bay of Plenty District Council contract, called West Roads Bay of Plenty, covers the maintenance, operations and renewal work on all Western Bay local roads and state highways within the Tauranga City and Western Bay of Plenty District boundaries.

West Roads Contract Deputy Manager Bryan Crean, Western Bay Mayor Ross Paterson, NZTA Acting Highway Manager Andrew Scott, Western Bay of Plenty District Council Group Manager Engineering Gary Allis, and Opus International Ltd Bay of Plenty Manager Scott Evans. Photo: Supplied.

Awarded to Opus International Consultants Ltd, the contract, which is cost shared 50/50 between the Council and Transport Agency, will run for seven years from November 1.

It replaces the Performance Based Contract (PBC) which has operated in the Western Bay for more than a decade.

Opus has formed a partnership with Downer New Zealand and a group of local contractors who were involved in delivering the PBC.

Western Bay of Plenty District Mayor Ross Paterson says the contract is good news for council and ratepayers, as it will continue the significant savings and high level of service achieved under the previous contract.

'The PBC produced a significant saving for Council when let 12 years ago and the new contract will produce further savings to Council over the next seven years.”

NZTA acting highway manager Andrew Scott says the new contract is based on a model that NZTA has adopted nationally to achieve major savings in road maintenance.

'This joint contract is a win-win for all concerned and it's a great example of what can be achieved through effective partnerships.

'Having one contract for the network will not only create savings to motorists and Western Bay ratepayers, it will also ensure consistent, safer and reliable journeys for our road users.”

Western Bay of Plenty District Council's Engineering Services group manager, Gary Allis, says the new contract retains the expertise and knowledge of the previous contractor within the district.

'This reinforces the benefits of the collaborative Council/Agency joint tender and using the skills of Bay of Plenty based organisations that have a good track record in managing performance based contracts.”

Opus regional manager Gary Dela Rue and Downer general manager Derek Robertson say the tender is keenly priced and an attractive contract due to its size, the one network approach and importance to local Opus and Downer businesses.

'Opus' professional asset management, engineering expertise and 12 years' experience on the current contract combined with Downers' experience in road maintenance and construction provided a compelling tender bid,” says Gary.

Derek says Downer is delighted to continue the company's excellent working relationship with the Western Bay of Plenty District Council and the Agency.

'We're certainly looking forward to the next seven years and continuing to serve the users of the Western Bay roading network.”