Capital project work worth millions of dollars will be offered to the open market by the Queenstown Lakes District Council.
This follows a decision to enter into a one-year contract with seven panel contractors and reduce the allocation of work for it.
The panel was established in 2007 to carry out $125.5 million of capital works across Queenstown, Wanaka and the Lakes District.
The work accounted for about 70% of roading, water and sewerage capital projects planned over five years, while the remaining 30% of projects remained subject to an open tender process.
QLDC infrastructure services general manager Mark Kunath said yesterday while the arrangement had worked "very well", market conditions had changed.
Although the capital works programme was smaller than previous years the total budget sat at about $20 million.
Mr Kunath said that meant about $10 million of capital work would now be tendered.
It was anticipated the arrangement would enable local contractors to price more work and allow the council to take the best advantage of market conditions with contractors and panellists.
"There is nothing to prevent the panel from tendering for work on the open market but opening up more of the work will give us a strong indication that we are receiving best value for money," he said.
QLDC chief executive Debra Lawson said the decision held positives for the community on several fronts.
"It is also consistent with the council's push for value for money and efficiencies," she said.
Councillor Vanessa van Uden told the Otago Daily Times she was against the contract being renewed at all.
"I believe we would be getting better results by tendering for [all capital works projects].
"That's the way we [ensure] we are getting value for money for our community.
"They are good quality contractors, but we should be competing on the open market."
