This report outlines the insights and learnings gathered from the early development of a social leasing scheme to help more New Zealanders transition to low-emission vehicles.
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Buying and maintaining vehicles is a main cause of financial hardship for many people on low incomes. Many people in Aotearoa New Zealand face ‘forced vehicle ownership’; they risk being locked into high-emission vehicles due to cost barriers to obtaining low-emission vehicles.
In 2022, the Government identified the need for a:
As a result, Te Manatū Waka Ministry of Transport and Waka Kotahi NZ Transport Agency worked together to design and establish a social leasing scheme to test if sustainable vehicle leasing was a viable option to support people on low incomes to transition to low-emission vehicles.
The scheme was to be trialled in at least three locations across Aotearoa. This report outlines the insights and learnings gained prior to the scheme being stopped as a result of Government reprioritisation in early 2023.
A social leasing scheme would provide people in Aotearoa New Zealand on low incomes with vehicle cost certainty through the option of leasing a safe, low-emission vehicle at a weekly price they could afford.
Participants would lease a car, like renting a car, however, there would be an ongoing arrangement where a set fee is paid each week. This fee would include all costs to take care of the car (excluding fuel) ie registration, Warrant of Fitness, insurance and maintenance.
Time, resource and effort is required to stand up and run a social leasing scheme. This report details the following learnings we observed pre-trial:
The report also provides blueprints of an impact and operating model as a result of insights gained by Waka Kotahi through design workshops with community partners and potential participants in their community prior to the trial going live.
Due to Government decisions in early 2023, the social leasing scheme designed by Waka Kotahi was not trialled.