TRANSPORT

Wellington Transport Package (SH1 Improvements)

Waka Kotahi / Wellington City Council / Greater Wellington RC · Wellington

After cancelling the $7.4b Let's Get Wellington Moving programme, disestablished in March 2024, the Government is advancing a roading-focused replacement along SH1 through the city: a second Terrace Tunnel, extra lanes on Karo Drive and Vivian Street, Basin Reserve changes separating the state highway from local traffic, a second Mt Victoria Tunnel, and widening of Ruahine Street and Wellington Road. A $3.8b package being fast-tracked, with enabling works from 2026 and tolling proposed. Mass transit was dropped.

Mixed signals Data: High

Delivery Confidence Score, 0 to 100, higher is better: a ranking of how strong this project's delivery signals are, not a probability. It blends eight factors, including the election risk and policy alignment shown below.

Breakdown▾

Data current as at 13 Jun 2026, when the pipeline was last checked against its source.

Key facts

Region: Wellington
Sector: Transport
Status: Planning
Estimated value: $3.8b
Indicative completion: 2033
Funding status: Part Funded
Lead organisation: Waka Kotahi / Wellington City Council / Greater Wellington RC
Election risk: High

Election risk assessment

LGWM was disestablished in 2024; the roading-focused replacement (2nd Mt Victoria tunnel etc.) is government-fast-tracked but long-dated, and Wellington transport remains deeply contested.

Government priority alignment

MEDIUM: The PT-heavy LGWM was cancelled; the roads-focused replacement aligns better with the transport policy, though scope is contested.

Chronology

2018Let's Get Wellington Moving programme launched
2024LGWM disestablished (March); mass-transit and mega-tunnel scrapped
2025~$3.8B roading replacement announced: second Terrace Tunnel, Karo Drive and Vivian Street lanes, Basin Reserve changes, second Mt Victoria Tunnel, and Ruahine Street / Wellington Road widening
2026NZTA lodges the fast-track consent application for the SH1 improvements (Aug); $185m approved for design, consents and early works, major construction funding not yet committed

Source

NZTA: SH1 Wellington improvements ↗ · RNZ: Fast-track process begins for Wellington's second Mt Victoria Tunnel project (Aug 2026) ↗

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