Dairy – Fonterra, The Picasso Project
Case Study

Dairy – Fonterra, The Picasso Project

Case Study

Dairy – Fonterra, The Picasso Project


“These wide reaching, complex and multi-faceted works required watchful coordination between multiple construction companies, regulatory bodies and the local Edgecumbe community as well as an operating dairy production site”

Fonterra plays an integral part in the dairy industry in New Zealand, therefore they regard protecting the environment as critical to safeguarding all communities. Picasso was an environmental project that formed part of the social responsibility plan at Fonterra, focused on improving water quality. 

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    Client Information


    Fonterra plays an integral part in the dairy industry throughout New Zealand, their operations impact both the environment and communities, therefore they regard protecting the environment as critical to safeguarding all communities. Picasso was an environmental project that formed part of the social responsibility plan at Fonterra, which focuses on responsible dairying and improving water quality.

    Goal


    This project was to progress the establishment of wastewater and stormwater management systems at Fonterra Edgecumbe to meet environmental regulatory requirements. 

    The scope was to include significant capital work on discharges of low strength, medium strength and high strength wastewater. In particular the diversion of high lactose wastewater previously discharged to the Rangitaiki River to land based irrigation, thus improving overall river water quality and ecology. 

    Other significant works included upgrading the factory site stormwater network and installation of a storage tank for diversion of potential non-conforming storm water.

    The project budget was outlined as $55 million, with 4 contracting parties and a total of 400 people engaged over the course of 18 months.

    Why TEG Projects


    TEG Projects is a preferred supplier for Fonterra, working across multiple sites and projects. Our team is also well versed in multi-contractor projects, and in the area of wastewater management.

    Solution


    To deliver the initiative our team provided project management services for all phases of  Picasso. Working alongside Fonterra’s capital project manager and engineers, TEG staff helped prepare concept designs, procurement strategies, work package budgets, technical specifications, contracts and managed construction through to commissioning for many work streams. 

    In the early stages of the project TEG was tasked to prepare concept designs for the waste water management works, which included an 8 million litre storage facility, two irrigation pump stations and the associated irrigation network across 280ha of local farmland. These works were spread across the wider Edgecumbe area, with most work fronts experiencing disruption caused by soil contamination issues and unseasonal weather patterns resulting in major flooding in the district.

    Challenges


    The challenges were to mobilise contractors in a relatively short time and deliver major civil works on many fronts. These wide reaching, complex and multi-faceted works required watchful coordination between multiple construction companies, regulatory bodies and the local Edgecumbe community as well as an operating dairy production site.

    Results


    TEG accomplished this by methodical project management and flexible resourcing which ensured that the implementation of the project works had minimal impact on the Edgecumbe community and manufacturing operation with zero significant harm injuries.

    The project was delivered in full, progressing the establishment of wastewater and stormwater management systems at Fonterra Edgecumbe, and meeting all environmental regulatory requirements. It was delivered on time and on budget, meeting the business case objectives.

    Fonterra received a Project Management Institute -Overall Best Project award in 2019 for this project and the TEG Team was delighted to have contributed to the great outcome.