Supermarket wrangle to continue

Published: 4:47AM Tuesday November 25, 2008 Source: ONE News/Newstalk ZB

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An 18 year North Shore supermarket battle continues between New Zealand's two sector giants, with Progressive filing yet another appeal in the High Court against Foodstuffs planned Pak'nSave on Wairau Road.

Three weeks ago, Foodstuffs was given the green light in the Environment Court to finish building the store, something Progressive Enterprises - owners of Woolworths and Foodtown - has tried to block.

Now Progressive has made an appeal in the High Court to stop the supermarket from opening.

General Manager Adrian Walker says allowing a Pak'nSave to open goes against the council's district plan. He says companies should be able to invest in areas, without fear of the district plan being remodeled to suit other businesses.

Walker says Progressive believes in competition, as long as it is on a level playing field, claiming the injunction the company seeks has little to do with retaining a local advantage over Foodstuffs. Six of seven supermarkets close to the Wairau Rd site belong to Progressive.

But Foodstuffs Managing Director Tony Carter says Walker, and Progressive, are talking rubbish, and denying locals both lower prices and employment opportunities.

He says the area is classed as a discretionary zone for large scale retailing, meaning the council has every right to give the supermarket the green light.

Carter admits the company is frustrated by the number of appeals from Progressive, but is confident the High Court will dismiss Progressive's appeal.

The Pak n' Save was due to open in August 2005 after first receiving consent to build on the site in 2004. It has been held that the site's zoning allows for retail, although it is outside a commercial centre in a district plan which has favoured centrality as a matter of policy. Retail is therefore encouraged to occur in identified existing areas.

To reduce concerns over traffic congestion and the change to the area, Foodstuffs downscaled their bid in terms of square metres, number of checkouts, and amenities until objections from the council and Transit NZ were satisfied.

The Environment Court decision Progressive are appealing against held that the opening of a new supermarket would ultimately be good for consumers.

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