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Record transport investment to get New Zealand moving and save lives

Friday, August 31, 2018

Transport Minister Phil Twyford has announced a record $16.9b investment in the land transport system over the next three years to deliver a safer, better connected and more resilient transport system that will get New Zealand moving.

The planned investments are detailed in the 2018-21 National Land Transport Programme (NLTP), published today by the NZ Transport Agency. The $16.9b investment over the next three years marks an increase of 18% from the previous 2015/18 NLTP, and a 44% increase from 2012/15.

The NLTP comprises $12.9b from the National Land Transport Fund, generated through fuel excise, road user charges, and other revenue sources; $3.4b from local government, generated through rates and Auckland’s Regional Fuel Tax; and $557m in other Crown investments.

“This record investment in our transport system will help grow our regions, make it easier to get around our cities, and save lives on our roads. It will deliver the best results for our transport dollar,” said Phil Twyford.

“Our Government is making safety a priority. $4.3b of investment will go into programmes and projects that will save lives by preventing accidents or reducing their severity. This will include revamping intersections to stop collisions, installing median barriers in high-risk areas, and increasing road policing. Roads receiving safety upgrades will include Dome Valley, Drury to Paerata, Waihi to Tauranga, and the Hawke’s Bay Expressway.”

The planned $647 million investment for Manawatu and Wanganui over the next three years marks a 30% increase compared with the previous three yearly 2015/18 NLTP, and a 98% per cent increase from 2012/15.

Twyford said most roading investment would go to the regions, rather than the big cities. This reverses the situation in the past three years, when most of roading investment went to the metro centres.

“In total, our neglected regional roads will receive $5.8b of funding, a $600m increase. This compares with $5b for roading in metro areas. A further $300m will be invested in the regions in non-roading projects. This will create new economic opportunities and make travelling safer. Significant investment will be made to improve freight connections to ports, airports and distribution centres.”

To ease congestion and make our cities healthier places to live, Twyford said nearly $4b would be invested in public transport, rapid transit, and rail, with a further $390m for walking and cycling. This will fund projects like the AMETI busway, renewal work on Wellington’s rail tracks, the Skypath and Seapath walk/cycleways, and investigation of a new commuter ferry service in Queenstown.

“State highways continue to receive the largest share of funding with a total of $5.7b. We will invest $3.5b in new state highway projects like Puhoi to Warkworth, the Waikato Expressway, the Mt Messenger bypass, the Manawatu Gorge replacement, Transmission Gully, and the Christchurch Southern Motorway. A further $2.2b will be invested in state highway maintenance,” said Twyford.

Breakdown by activity class

National Land Transport Fund (NZTA)

Total National Land Transport Programme

$millions

Increase vs 15-18

$millions

Increase vs 15-18

Public Transport

$1,765

72%

3,079

53%

Rapid Transit

$468

new

468

New

Walking and cycling improvements

300

125%

390

33%

Local Road Improvements

740

51%

1,303

56%

Regional Improvements

405

74%

456

96%

State Highway Improvements

3,425

-11%

3,520

-18%

Road policing

1,063

10%

1,063

10%

Promotion of road safety and demand management

188

90%

230

79%

State highway maintenance

1,987

14%

2,212

-3%

Local road maintenance

2,019

14%

3,535

14%

Investment management

213

18%

237

21%

Transitional Rail

376

new

376

New

Total

,12,949

24%

16,871

18%

Note: State Highway Maintenance spending for the total 2015/18 NLTP included a Crown contribution of $538m related to Kaikoura Earthquake recovery.