Northconnex

8 June 2017

Treasury

The processes used to assess NorthConnex adequately considered value for money for taxpayers, according to a report released today by the Auditor-General of NSW, Margaret Crawford. The report also found that the impact of tolling concessions on road users and the motorway network was consistent with policy objectives described in the 2012 NSW Long Term Transport Master Plan.

‘By the measures used to assess unsolicited proposals and public private partnerships in NSW, NorthConnex represents value for money for the NSW Government,’ said Margaret Crawford.

The audit identified two areas where there were deficiencies. The current Unsolicited Proposals Guide is not clear on the timing of key assurance stages. Additionally, record keeping for this project did not meet the standards for government record keeping.

‘Given the risks associated with unsolicited proposals, it is critical for NSW Government participants to keep complete and accurate records of their activities and decisions.’

NorthConnex is a nine-kilometre tolled motorway tunnel between the M1 Pacific motorway at Wahroonga and the M2 Hills motorway at West Pennant Hills. In March 2012, the M7 shareholders submitted an unsolicited proposal for NorthConnex to the NSW Government. Construction began in February 2015 and the tunnel is expected to open to traffic in late 2019.

Further information

Barry Underwood, Executive Officer, on 9275 7220 or 0403 073 664 and email barry.underwood@audit.nsw.gov.au.