Lessons from New Delhi about infrastructure delivery – with Penny Kneebone

Infrastructure is not simply about building more – it’s about building well, building for the future, and building together, which is both a challenge and an opportunity for New Zealand. Tonkin + Taylor Chief Executive Penny Kneebone reports back from the global infrastructure conference in India.

Penny Kneebone sits on a panel of four people in India.

New Zealand is entering an important period for infrastructure. We need sustained investment to support economic growth, strengthen resilience, and meet the needs of our communities. But investment alone is not enough. The way we plan, procure and deliver infrastructure will determine whether it provides lasting value.  

These issues were central to the FIDIC Global Infrastructure Conference 2026 in New Delhi, which I attended recently. FIDIC is the global organisation for consulting engineering associations. Since 1930, it has brought together clients, governments, policymakers, engineers, contractors, lawyers, and financiers to share experience and tackle common challenges. Although the countries represented at the conference face different circumstances, many of the discussions were highly relevant to New Zealand.  

New Delhi was a fitting place for the conversation. India is investing in infrastructure at remarkable scale and speed. It is also asking an important question: how can that investment deliver lasting value for people and communities? India has shown it can build infrastructure quickly and at scale. The next challenge is quality: to make sure that what it builds is durable, well designed, and good value over its full life. 

Three themes stood out. 

Value means more than the lowest price 

Around the world, there is growing recognition that lowest price is not always the best value.  The cheapest option to build can become the most expensive to operate, maintain, or replace. Good decisions take account of quality, resilience, environmental impact, and the full cost of owning and operating an asset. 

New Zealand’s procurement guidance already supports this broader approach. The challenge is to apply it consistently, with clear requirements and the right expertise. If we want better infrastructure, our procurement processes must reward long-term value, not just short-term savings. 

 

Better preparation and fairer contracts are essential 

Many problems that arise during construction can be traced back to decisions made much earlier. Before a project goes to market, it needs a sound design, a realistic budget, and a clear understanding of the risks.  Those risks should sit with the party best able to manage them. They should not simply be passed down the contracting chain. 

This is especially important in New Zealand, where ground conditions and other uncertainties can be difficult to predict. Fair contracts and early conversations with the market can reduce the added cost of risk premiums, prevent disputes, and help projects get under way sooner. Good preparation does not hold projects up or slow projects down. It gives them a better chance of succeeding and running smoothly. 

 

We create more value when we work together 

The strongest theme at the conference was the importance of collaboration. Infrastructure projects are more likely to succeed when clients, consultants, and contractors work together early to solve problems, test ideas, and manage risk. 

Bringing consultants and contractors into the process earlier can improve design, construction planning, cost, and resilience. Collaborative contracts are well-suited to New Zealand’s practical, problem-solving culture. They also create more opportunity to use digital tools and artificial intelligence carefully and responsibly, while keeping professional judgement and public purpose at the centre. 

 

What this means for New Zealand 

These themes align with ACE New Zealand’s advocacy. New Zealand needs a steady, visible pipeline of infrastructure work, rather than stop-start investment.  It is encouraging to see that now appears to be understood and accepted across the political spectrum. Our next biggest opportunity to improve productivity is procurement that rewards quality and long-term value, uses fair contract terms, and brings the right people into the conversation early. 

ACE member firms benefit directly from ACE’s membership of FIDIC. It gives us access to guidance, training, case studies and contract knowledge from around the world. It also allows ACE to share ideas with peer associations in other countries.  FIDIC’s new guidance on selecting consultants based on quality (Qualifications-Based Selection) along with its work on collaborative contracting, is particularly relevant to New Zealand’s next phase of infrastructure delivery. 

The message from New Delhi was clear: infrastructure is not simply about building more. It is about building well, building for the future, and building together. That is both a challenge and an opportunity for New Zealand.  

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