A new $97 million roading project in Tauranga, known as the Tauriko West upgrade, is set to include tolls from 2028, according to Transport Minister Chris Bishop.
The Project
The project includes a new four-lane highway between Redwood Lane in Lower Kaimāī, joining Takitimu Toll Rd (formerly Route K), and encompassing the under-construction Takitimu Northern Link interchange that connects to 15th Ave. This new road will become State Highway 29, with a 110km/h speed limit. The existing stretch of SH29 through Tauriko Village will become a local road. The project also includes widening SH29a between the Tauriko/The Lakes roundabout and the Barkes Corner roundabout.
Tolls for Funding
Bishop stated that the new highway will likely be tolled when it reaches phase two in 2028, explaining that roads need to be paid for, including ongoing maintenance costs. He acknowledged that the tolling formula is complex but emphasized the government’s commitment to unlocking the potential of the Western Bay of Plenty, which is experiencing strong growth.
Economic Benefits
The new road is expected to support economic growth, increase productivity and connectivity to the Bay of Plenty, and boost housing and commercial development. Bishop cited the Tauriko Business Estate extension and the potential development of 30,000 new houses by 2063 as examples. He also highlighted the project’s positive impact on travel time reliability, reducing travel time on SH29 by 13 minutes and on SH29A by 6 minutes, and projecting a 50% reduction in deaths and serious injuries.
Project Phases
The project is divided into four phases:
- Replacing the Ōmanawa Bridge and improving nearby intersections.
- Protecting future routes through designation and land acquisition.
- Constructing the new four-lane SH29 to connect with Takitimu North Link.
- Widening SH29A with a new interchange at Barkes Corner (pending funding).
Impact on Tauranga
Tauranga City councillor Marten Rozeboom believes the new road and future residential development will allow Tauranga residents to live closer to their jobs, reducing congestion on SH29. He sees the project as providing people with more options for where they choose to live.
Local Businesses and Schools
Boerewors NZ owner-operator Elizabeth Smith, while acknowledging a recent power outage related to the construction, is optimistic about the new traffic light along the highway, which will make it easier for traffic to turn into her business. Tauriko School principal Suzanne Billington noted the school’s proximity to the construction and the new entranceway and rear carpark that NZTA has built. She acknowledged that the development will eventually necessitate the school’s relocation, but no decision has been made about when.

























