Save Kapiti Inc v New Zealand Transport Agency

In the case of Save Kapiti Incorporated and Alliance for a Sustainable Kapiti Incorporated versus the New Zealand Transport Agency, the appellants, two community groups, appealed against a decision of the Board of Inquiry that had granted resource consents for a proposed expressway between Mackays Crossing and Peka Peka north of Wellington. The appeals were dismissed by the High Court, with costs reserved. The New Zealand Transport Agency, as the successful party, applied for costs totaling $11,542, which were calculated on a category 2B scale. Save Kapiti Incorporated suggested a 50/50 split of any costs award between the two appellants, while Alliance for a Sustainable Kapiti Incorporated argued that they could not afford to pay any costs due to their limited financial means. The Board of Inquiry did not seek costs. The court found that the proceeding concerned a matter of public interest and that the appellants had a legitimate challenge to the public decision made by the Board. The court exercised its discretion under rule 14.7(e) of the High Court Rules and refused to award costs to the New Zealand Transport Agency, deciding that costs should lie where they fell.