The Queenstown Lakes District Council strategic project manager, Martin O'Malley, said at its utilities committee meeting yesterday, an opposing submitter had lodged an appeal to the Environment Court on the grounds of insufficient detail on odour mitigation.
The council was granted 10 resource consents by the Otago Regional Council in March to build the plant on the Shotover delta.
Of the 11 submissions, seven were opposed, one neutral and three in support.
The council would enter into mediation talks in Christchurch on July 17 and a pre-hearing was set down for July 31 in Queenstown, he said.
The council was also appealing the consents to the ORC to get clarification on their start dates and to correct wording errors.
Mr O'Malley said the appeals meant the plant could be delayed beyond 2012, when the current pond system would be past its expiry date.
Meanwhile, Mr O'Malley told the committee, the council was "struggling to make progress" to rectify problems with the beleaguered $21 million Project Pure in Wanaka.
Mr O'Malley said there were still "serious concerns" about the plant's ability to function as designed. He said there had been a series of mechanical issues at the beginning of the year.
As a result of these issues, the defects liability period had been extended and a certificate had still not been issued to the contractor.
The contractor, United Group New Zealand Ltd, was refusing to take material from septic tanks (septage) because it was "too strong" for the plant's design. Septage is still being sent to the Queenstown oxidation ponds.
Mr O'Malley said the council was seeking legal advice because it believed septage was in the contract but the contractor was still refusing to accept it.
He said the council wanted more fail-safe systems to ensure the plant could operate in the event of mechanical problems. The council was trying to work with the contractor to rectify the deficiencies.