Construction Company Scolded For Backing Out Of M6 Project After Sinkholes

Construction Company Scolded For Backing Out Of M6 Project After Sinkholes
Image: Image: NSW Fire and Rescue

Premier Chris Minns has blasted construction consortium CGU for backing out of the trouble-ridden M6 motorway project, which has faced significant engineering difficulties after the emergence of two sinkholes last year.

In an email to staff on Monday (19 May), M6 Stage 1 Project Director David Jackson wrote that the consortium had advised Transport for NSW that the contract between the two parties had become ‘frustrated’, meaning it had been terminated.

According to Jackson, “unique adverse ground conditions” had hampered progress on the project, with tunnel excavation having been paused for nearly a year. These ground conditions, the email states, were caused by a “complex faulting zone, including a high angle reverse fault” the likes of which had not previously been identified in the nearly 36,300 km2 Sydney Basin.

As such, the consortium intended to wind up works by 30 June, pledging that it “remains committed” to working with Transport for NSW “in all matters related to the M6 project.”

The poor ground conditions which have delayed construction “could not have been anticipated by anyone,” Jackson declared, adding that they were only discovered following tunnel excavation.

However, the Sydney Morning Herald reported on Tuesday that lead contractor CPB chose a cheaper tunnelling strategy with the assistance of subcontractor PSM in spite of warnings from the primary subcontractor, WSP, about the risks.

CGU, which was contracted to build the motorway, consists of engineering firms CPB Contractors, Ghella and UGL. The companies have wide-ranging experience building public infrastructure including tunnels, highways and railways.

Troubles with M6 project

The M6 is to connect the M8 motorway in Arncliffe to Presidents Avenue – part of the national Highway 1 – in Kogarah. It will consist of four kilometres of twin tunnelling.

According to Transport for NSW, the road “will remove more than 2,000 trucks a day from surface roads, and help return local streets to local communities.”

However, a sinkhole measuring 10 metres in diameter emerged above one of the tunnels in March last year, heralding difficulties for the project. Another sinkhole emerged about 150 metres away shortly after.

The motorway was originally scheduled to open by the end of 2025. Its opening was moved backward to late 2028 following the sinkholes. It is now likely the opening will be delayed further.

Premier expects contractors to finish job

Minns advised the consortium to “send the lawyers home and bring back the engineers” to complete the project.

“The contractor took both a design and construct contract from the previous government, meaning they were responsible for the design of it,” Minns said. “And, they were responsible for the building the thing and we expect them to do it.”

“We don’t want this to go to court, but I’m not going to be in a situation where we rule out working with a different contractor to finish the project.”

“Ultimately, we can’t be put over a barrel and I’m not going to allow New South Wales taxpayers to be put a barrel over [sic] for these big projects given I’ve got more than just the M6 on the boil at the moment. What kind of message would that send?”

Earlier, roads minister Jenny Aitchison said she had “requested advice from Transport on all options to provide a way forward to complete this important piece of infrastructure for the community.”

“All aspects of construction delivery are the responsibility of the contractor. It is a reality of large infrastructure projects that issues will arise and need to be dealt with by the contractor according to the contract,” the minister added.

Transport for NSW said it was considering its “position in relation to the contract given the unilateral steps taken by CGU.”

Opposition roads spokesperson and deputy opposition leader Natalie Ward said that if allegations of the consortium’s actions were correct, “serious questions must be answered not just by the contractor, but by Transport for NSW and its procurement oversight.”

“It would be disappointing if Sydney is left with an unfinished tunnel that taxpayers have already invested significantly in.”

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