Three Ngāi Tahu rūnanga and global port operator DP World have proposed a partnership model for the future of Lyttelton Port, saying it would secure long-term investment while keeping the port’s strategic assets in public ownership.
The proposal, submitted to Christchurch City Holdings Limited (CCHL), has been put forward by Tōnui, a partnership comprising three rūnanga and a Dubai-based multinational logistics company, DP World.
“DP World is grateful to be able to partner with the three rūnanga that bring with them leadership skills grounded in cultural knowledge and with it a deep commitment to Lyttelton Harbour and the Canterbury region,” says Nicolaj Noes, Executive Vice President, DP World, Oceania.
Tōnui says the proposal would keep Lyttelton Port’s strategic land and port assets in public ownership while establishing a long-term operating partnership to fund future growth, improve port performance, strengthen supply-chain resilience and support the economic future of Christchurch, Canterbury and the wider South Island.
Under the proposal, CCHL would retain 100 per cent ownership of the port’s land and strategic assets, while a jointly owned operating company would be established under a long-term licence arrangement.
Lyttelton Port Company (LPC) is one of Christchurch City Council’s most significant assets and serves as a critical gateway for South Island trade.
According to Tōnui, the proposal was developed because Lyttelton Port will require substantial long-term investment to meet future freight, resilience, environmental and customer needs.
The proposal enters a debate already underway over the future role of DP World at Lyttelton Port.
Earlier this year, unions criticised what they described as a “backdoor privatisation push” involving DP World and Lyttelton Port Company, warning against any move that could reduce public control of one of Christchurch’s most strategically important assets.
“We believe the proposal will be able to protect public ownership and financial flexibility while bringing in the capital and expertise needed to strengthen the port for future generations. Critical for rūnanga is making sure the needs of the port, Whakaraupō–Lyttelton Harbour and the region’s environment are safeguarded so they can continue to be assets to Christchurch, Canterbury and Te Waipounamu for generations to come,” says Dr Liz Brown, spokesperson for Tōnui on behalf of rūnanga.
“We are focused on what is best for the long-term future of the region, the harbour and the environment.”
Tōnui says its proposal differs from a sale of the port, with Christchurch City Holdings retaining ownership of the land and strategic assets.
Details of the proposed operating company have not yet been publicly released. Questions remain about governance arrangements, ownership shares, decision-making powers, the length of any operating licence and how future profits would be distributed.
The proposal has now been submitted to CCHL for consideration and due diligence.
