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Reduced speed limits through Luggate, 15km east of Wanaka, come into effect next month.
The speed limit on State Highway 6 through the township will drop at each end from 70kmh to 50kmh, connecting with the existing 50kmh limit through the middle of the town, the NZ Transport Agency has announced.
NZTA regional relationships director Jim Harland said Luggate residential developments had expanded in recent years.
In 2018, the average daily vehicle count was 2600 a day, up 40% on four years earlier, and many drivers also travelled to and from Wanaka from Cromwell.
Mr Harland said the agency consulted the community and transport partners at the end of last year on the proposed Luggate speed review, and 60 submissions were received.
"The new speed limit aims to improve safety and prevent needless deaths and serious injuries."The new speed limits come into force from Friday, November 13. Signs would be installed before the changeover date.