Labour, National, Act New Zealand and the Green parties have staked election campaign signs along the grass verge at the intersection of Puddle Alley and Dukes Rd, all outside the Dunedin City Council's designated triangle in Appendix 19A of the District Plan.
Dunedin City Council resource consents manager Alan Worthington said he was concerned about their placement because they may affect vehicle visibility and drivers' concentration as motorists travel through the intersection.
"It's quite a fast intersection. This is more of an issue than other areas where signs are placed on straight roads in slower speed zones because the signs are a visual distraction.
"The area is designated for a very good reason."
Nearby resident Graeme Bremner said there had been many accidents at the intersection in the past, but did not believe they were related to diminished visibility.
"People just don't seem to give way at the intersection."
Mr Worthington said the intersection was not the only one to have caught the council's attention recently for election campaign signs.
He said there had been several complaints from residents about signs placed near the intersection of Caversham Valley Rd and Barnes Dr.
"That was a misunderstanding. The boundaries had changed since the last election, which caused a little confusion."
While the signs in North Taieri were illegally placed, Mr Worthington did not believe the political parties were trying to gain an advertising advantage.
"I'll give them the benefit of the doubt - it could be a genuine mistake."
The council contacted the political parties yesterday and asked them to "correct their mistake within 24 hours or we will remove the signs", Mr Worthington said.
Labour Party Dunedin South campaign manager Glenda Alexander said the Labour Party sign was one of the last to go up on the site, and because the person erecting it was not certain exactly where the boundaries were, he put it in the middle of the other signs in the hope it would be within the boundaries.
"It is of concern that we may have got it wrong. Our hoarding team is very careful about the placement of signs," she said.
National Party Dunedin South candidate Conway Powell acknowledged the error as soon he was contacted by the Otago Daily Times, and believed it occurred as a result of a misunderstanding.
During the last election, the signs were allowed right across the grass triangle, he said.
"We thought it was in the correct place. As soon as it was pointed out that it was not, we moved the sign," he said.