The flyover would have carried motorists between the Mt Victoria and Arras tunnels.

Wellington's most controversial highway project, the Basin Reserve flyover, appears to be dead and buried after the High Court threw out a bid to overturn its failed resource consent.

Justice Brendan Brown on Friday delivered what could be a fatal blow to the proposed $90 million elevated highway when he added his support the board of inquiry that declined its consent in July 2014.

The decision leaves the Transport Agency's plans for a two-lane highway flyover, 20 metres north of the country's most famous cricket ground, virtually dead in the water.

1 of 11 NZTA An aerial perspective of how the proposed Basin Reserve flyover would look in central Wellington. 2 of 11 NZTA An artist's impression of what the proposed Basin Reserve flyover would look like from the top of Cambridge Terrace, looking towards the cricket ground. 3 of 11 NZTA What the proposed Basin Reserve flyover would look like from Hania St, looking towards the Mt Victoria Tunnel. 4 of 11 NZTA How the proposed Basin Reserve flyover would look from the southern end of Kent and Cambridge terraces, looking east. 5 of 11 FAIRFAXNZ What the proposed Basin Reserve flyover would look like from the top of Kent Terrace, looking towards Buckle St and the National War Memorial. 6 of 11 NZTA A computer simulation of how the proposed flyover would look from the median between Kent and Cambridge terraces in central Wellington. 7 of 11 NZTA A computer simulation of how the proposed flyover would look from Ellice St. 8 of 11 NZTA A computer simulation of how the proposed flyover would look from level three of Grandstand Apartments on Kent Terrace in central Wellington. 9 of 11 NZTA The proposed new pavilion that would be built at the northern end of the Basin Reserve to block views of the flyover from inside the cricket ground. 10 of 11 NZTA How the proposed new pavilion would look from within the Basin Reserve. 11 of 11 NZTA How the proposed new pavilion would look from within the Basin Reserve.

The Supreme Court is still an avenue for the agency. But taking the case that far could further delay a solution to the peak-time congestion afflicting the Basin roundabout, which frustrates thousands of motorists each day in central Wellington.

The agency has been considering a Basin flyover since 2001 but only seriously began developing the project in 2012.

Its failed plans have already cost taxpayers about $11 million, in addition to the unknown cost of its latest appeal.

NZTA A concept design of how the proposed Basin Reserve flyover would look from Hania St in central Wellington

Jenny Chetwynd, the Transport Agency's acting chief executive, said it was too early to speculate on its next steps.

"We note the High Court's decision, and will take a closer look at the full findings over the coming days," she said.

"At the heart of the project was a desire to improve journeys for motorists, public transport users, pedestrians and cyclists throughout the Wellington transport network, and congestion at the Basin remains a real constraint to achieving this."

Transport Minister Simon Bridges said the High Court's decision would make it difficult for the Government to fully deliver on its commitment to build Wellington's road of national significance from the airport to Levin.

"The decision is disappointing but the NZ Transport Agency is working its way through it."

The Transport Agency went to the High Court in July arguing the four-person board of inquiry made several errors of law when it rejected resource consent for the flyover 12 months earlier.

Central to its argument was that the board failed to recognise that the flyover would enable other important roading projects in central Wellington to be built, such as a second Mt Victoria Tunnel and a new bus rapid transit system.

Construction of these projects is already thought to have been delayed by two years because of the flyover saga.

But in his decision, Justice Brown agreed with the board of inquiry's view that other congestion-relief solutions could be applied to the Basin roundabout in order to pave the way for a second Mt Victoria Tunnel.

The agency also felt the board put too much value on the Basin Reserve heritage area, which does not technically exist in Wellington's District Plan. But Justice Brown did not buy that argument.

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* $90m for 90 seconds worth it - NZTA

* Transport Agency hits back at flyover critics

* Heritage argument no excuse to stop flyover

* Get ready for another flyover fight

Several anti-flyover community groups were present at the agency's High Court appeal hearing to argue the board of inquiry's original decision should stand.

Tim Jones, spokesman for the Save the Basin Campaign, said he hoped the Government would now "see sense" and not spend any more taxpayer money on further appeals.

"However, if they do try to pursue further legal avenues, we'll be ready for them," he said.

"We hope the Transport Agency and the Government will finally take the message on board that a Basin Reserve flyover would be ugly, unnecessary, outdated and inappropriate."

Wellington City Council supported the flyover during its mammoth four-month board of inquiry hearing in early 2014, on the condition that the Transport Agency did everything it could to block the flyover from view inside the Basin Reserve.

In return, the agency agreed to build a new three-story cricket pavilion at the northern end of the ground to act as a visual shield.

However, some city councillors remained personally opposed to the flyover, including Wellington Mayor Celia Wade-Brown.

Wade-Brown said on Friday she was glad the "ugly" flyover would not happen, but clearly some traffic improvements were still needed at the Basin.

"The flyover was an ugly solution and I consistently voted against it," she said.



"Congestion at the Basin needs a more attractive solution, including consideration of tunnelling, trenching or a [street level] modification."

City councillor Iona Pannett, who helped found Save the Basin, called on the Transport Agency to end its "flyover fixation".

"This project was doomed to fail from the start," she said. "It is time to permanently bin the flyover and instead focus on restoring the Basin and facilitating 21st-Century solutions like light rail for the city."

Wellington-based Labour MPs Grant Robertson and Annette King said it was time for the Transport Agency to work with the community on other options for the Basin.

The flyover's costs simply did not match the benefits, Robertson said. "NZTA has only itself to blame for being in this position."

Green Party transport spokeswoman Julie Anne Genter said the proposed flyover was an old-fashioned, expensive engineering solution that would not have solved any of Wellington's traffic woes.

"Cities around the world are investing in transport that supports people-friendly places as it is better for reducing congestion, for the economy, and for the climate."