Dispatch Desk

Government loan clears way for Tukituki water project design work in Hawke’s Bay

The Government has approved a loan of up to $18.13m to push the Tukituki water storage plan into detailed design, but any build will depend on the project stacking up.

Source: NZ Government
Government loan clears way for Tukituki water project design work in Hawke’s Bay
New Zealand Cash / Thomas Coker via Unsplash

The Tukituki Water Security Project in Hawke’s Bay will move into pre‑construction planning with the help of a Regional Infrastructure Fund loan of up to $18.13 million, Associate Regional Development Minister Mark Patterson announced at an event in Ongaonga.

The funding is for detailed design and engineering, and to confirm construction costs and overall commercial viability. It does not amount to a green light for construction.

If the project proceeds, officials say it could enable irrigation over as much as 22,000 hectares, support up to 300 jobs during construction and add up to $693 million to the region’s annual GDP. The proposed storage and distribution network is described as being capable of holding 104 million cubic metres of water — about 41,600 Olympic‑sized pools.

Patterson framed the proposal as an economic and resilience measure for a dry region. “Securing more water has been identified as a top priority for the Hawke’s Bay region,” he said, adding the scheme could support horticulture, seed production and higher‑value pastoral farming if delivered.

Tukituki Water Limited Partnership will receive the loan. A grant of up to $3 million was allocated in December 2024 to support early development work.

Key details — including total construction cost, loan terms, consenting pathway and timing for any build — were not included in the release. The pre‑construction phase is intended to clarify those points.

This article was originally written by AI. You can view the original source here.