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A record $13.9bn to be invested in New Zealand’s land transport system over three years


On 30 June 2015, the NZ Transport Agency announced a $13.9 billion programme of investment planned to be spent on the country’s transport system over the next three years.

The National Land Transport Programme (NLTP) for 2015-2018 is a significant one, with a 15 per cent increase on investment compared to the previous three years.

The investment is aimed squarely at improving economic growth and productivity, safety, and value for money. This reflects the strategic direction set by the 2015 Government Policy Statement on land transport.

Of the total, some $10.5 billion will come from the National Land Transport Fund by way of road user charges, vehicle registration and fuel excise duties.

Much of the remaining investment comes from local councils whose 16 regional land transport committees, work closely with the Transport Agency to shape priorities for funding through regional land transport plans.

These plans are a key building block in identifying activities which are aligned with the national priorities identified by the Government’s Policy Statement. They are then assessed by the Transport Agency to see whether they meet a range of investment criteria.

As a regionally responsive and nationally consistent programme, Transport Agency Chief executive, Geoff Dangerfield said the NLTP represented a true partnership with local government.

He cited the Funding Assistance Rates review as a positive example of closer collaboration and said the One Network Road classification also provided fair and consistent joint investment decisions for the funding of road maintenance and renewals.

Central Region Manager Planning and Investment, Lyndon Hammond, says it took a huge amount of work on the part of councils and the Transport Agency to bring the Regional Land Transport Plans together for the NLTP 2015-18, and now that the NLTP is in place, that partnership will continue across the Central region.

“In working with our partners to form the NLTP, we asked that programmes demonstrate that they have been developed and optimised as part of a whole-of transport system, one network approach,” he says.

“This includes applying the principles of the business case approach to demonstrate a clear strategic case for investment; and making sure that through testing and optimisation, programmes identify optimal activities, timing and price, and are aligned to the right level of service and standards to invest in.

“The NLTP is a ‘snapshot’ and includes some projects and activities that will need further development before being considered for funding. We need to continue to work together to ensure we deliver on the outcomes expected from the programme. It’s a challenge we all are looking forward to”.

You can find out more about the 2015-18 NLTP on the new Transport Agency website, including regional summaries of investment for the Central region: