Hon Simeon Brown
Minister of Transport

The Government has agreed key policy changes to enable tolling of roading infrastructure, helping bring forward critical investment in New Zealand’s transport network, Transport Minister Simeon Brown says.

“Tolling is a tool used around the world to accelerate investment in roading infrastructure, and the changes the Government is making will allow this approach to be applied in New Zealand more effectively.

“These reforms ensure that those who benefit from new and improved roads share in the cost of building them, making it possible to deliver infrastructure sooner and more efficiently.

“The Government is taking a user pays approach which optimises toll revenues to build the modern roading infrastructure which will improve economic productivity by helping Kiwis get to where they want to go quickly and safely.

Key changes include:

• Enabling tolling of an entire corridor, including existing roads that gain capacity or are extended by new projects.
• Automatically increasing toll prices by inflation, ensuring users contribute fairly over the lifetime of the road.
• Requiring a free viable alternative, while enabling tolling schemes to require heavy vehicles to use toll roads where the toll road is designed to divert traffic away from built-up or suburban areas.
• Making it more efficient to set up and collect toll revenues.

“These changes will enable the New Zealand Transport Agency (NZTA) to consider tolling in circumstances beyond what is currently possible. This approach is designed to bring forward investment in critical new roading projects across the country,” Mr Brown says.

“For example, corridor tolling could help deliver extensions to key roads sooner, with those who benefit contributing directly to the cost of building the extension or additional capacity on those roads.

The Government has also agreed on clear principles for NZTA when proposing toll roads and set clear expectations for consultation processes. This will give communities clarity of the benefits of toll road proposals, consider wider impacts on local roads, and examine how toll revenue may support maintenance of free alternative routes.

NZTA is also updating its tolling infrastructure and systems to reduce processing costs. Changes include upgrading internal software and adjusting the law to toll the vehicle owner rather than the driver to make it easier to collect toll payments.

“These changes will help New Zealand build future-focused roading infrastructure, improving connectivity and supporting economic productivity.

“The Government has made it clear we expect NZTA to consider tolling for all Roads of National Significance to help deliver this roading programme across New Zealand.

“With users contributing to the new roads they use, existing National Land Transport Fund resources can be protected for maintaining existing state highways and local roads.

Legislation giving effect to these changes will be introduced next year.

The Government has also agreed to toll three new roads following public consultation:

• Ōtaki to north of Levin
• Takitimu North Link
• Penlink

“Tolling on these roads will support the ongoing cost of delivering these roads and maintaining and operating them. This will help motorists in Auckland, Tauranga, and Greater Wellington gain faster, safer, and more reliable journeys. Each of these routes retains a free, viable alternative route.

“The Government has also confirmed that tolling will not be applied to the new Manawatū – Tararua Highway, as late consultation and timing constraints mean it would not be cost-effective to implement tolling until well after the road’s completion, placing it outside the Government’s expectations for new road tolling.”

Notes:

Tolling rates:

Tolling Principles NZTA must consider when proposing a toll road:

•  Supporting Investment: Tolling supports an efficient, productive roading network.
• Customer Pays: Those who use the road contribute to infrastructure they benefit from.
• Clear Benefits: Users gain travel time savings, safety benefits, and more reliable journeys.
• Free Alternative: A free alternative route is always available.

 Changes to tolling consultation processes:

•  Clearly explain the benefits of the proposed toll road and how customers will benefit.
• Outline wider impacts on local roads and how toll revenue may support maintenance of free alternatives.
• Ensure all relevant information is available at the start of the consultation process.

 Heavy Vehicles & tolling

 In other jurisdictions there are requirements for most heavy vehicles to use tolled roads unless they have business on local roads (such as deliveries and accessing worksites).

 This is the case in Sydney, where most heavy vehicles are required to use the Northconnex tolled tunnels, rather than the untolled Pennant Hills Road, as a key goal of the tunnels was to remove trucks off local roads.

There will not be a blanket requirement for heavy vehicles to use tolled roads. These requirements will be made on a case-by-case basis, where the toll road is designed to divert traffic away from built-up or suburban areas.

© Scoop Media