Queenstown Lakes District Council (QLDC) has appealed a decision by the Environment Court ordering it to pay more than $120,000 in costs to local developer Tussock Rise - a move that reignites a dispute dating back nearly a decade.

The council confirmed it had lodged an appeal, challenging the Environment Court’s ruling, which found QLDC’s conduct justified a higher-than-normal costs award to Tussock Rise.

“QLDC’s appeal sets out a number of alleged errors in the costs decision,” a QLDC representative told the Wānaka App.

“The decision to appeal was taken after careful consideration of the issues, and the impact of such a decision on ratepayers and the PDP [Proposed District Plan] process.”

The Environment Court ordered QLDC to pay Tussock Rise in a decision issued in June, but the stoush dates back to 2016, centering over the zoning of a 9.3-hectare property owned by Tussock Rise.

After Tussock Rise purchased the land, it sought to rezone it from Industrial B to Business Mixed Use, but QLDC rejected that request. When QLDC later proposed General Industrial Zoning over the same site through the PDP, Tussock Rise appealed.

The council initially tried to have the appeal struck out, but the court disagreed and allowed the case to proceed, awarding $5,000 in costs to Tussock Rise at this stage. 

After a substantive hearing, the court ruled in favour of Tussock Rise again, leading on to the most recent decision to award the six-figure sum to Tussock Rise.

Environment Court Judge PA Steven said she was satisfied “there were special circumstances in this case that justify an award of costs”; agreed with Tussock Rise’s legal counsel that QLDC had “advanced arguments without merit and evidential support”; and said some of the council’s actions had demonstrated a “disregard for due process”.

Read more: QLDC loses case against developers - again

Tussock Rise part-owner Grant Bisset told the Wānaka App this week it was “disappointing but not surprising that the QLDC have appealed the costs award against them”. 

He said Tussock Rise was surprised that QLDC had chosen to lodge an appeal in the High Court instead of engaging with the company.

“Their budget for litigation doesn’t seem to have the constraints of the infrastructure one.”

Both parties said they could not comment further because the matter is now before the courts.

PHOTO: Wānaka App