This page relates to the 2021-24 National Land Transport Programme.

Introduction

This section provides detail on demand management to complement work category 003 Activity management planning. Strategic demand management should be included in activity management plans and regional land transport plans.

Work category 003: Activity management planning

Plans that may be incorporated into activity management plans

The section also outlines the direction on demand management and how it is defined in the Government Policy Statement on land transport 2021 (GPS 2021). It also provides context for how the terms demand management, mode shift and urban mobility interrelate. Finally, it outlines at a high level the different aspects of demand management and how these might be funded.

Government Policy Statement on land transport 2021(external link)

Context from the GPS 2021

Defining demand management

The glossary of the GPS 2021 defines demand management as follows:

Demand management refers to interventions which change the demand for transport. These interventions may seek to influence how, when and where people travel and freight is transported. Demand management also includes interventions that reduce the amount of travel. The purpose of demand management is to ensure the transport system is utilised efficiently and effectively, and to reduce the negative impacts of travel and freight movement. Mode shift is one way of managing demand.

Travel demand management is an integrated – whole of system – approach to managing transport, using techniques designed to influence the way people travel. This includes how people travel [ie by what mode] when people travel, how often people travel, where they travel to, what route they take and if they even need to travel.

In practice demand can be managed by:

  • providing improved travel option choice through infrastructure / service improvements, and system optimisation
  • establishing incentives and disincentives to encourage people to change their time, mode or route they travel
  • land use management (eg focusing growth in areas with good options existing travel options and intensification near public transport
  • policies and behaviour change programmes – ‘soft’ methods (eg marketing and travel planning) and measures that reduce the need to travel.

Why demand management is important

Making the most of our existing land transport network

One of the GPS 2021 principles for investing is titled ‘making the most of our existing land transport network’ and explains:

Often existing networks and services could be used more efficiently, potentially delaying the need for major investment in additional capacity. This means applying an intervention hierarchy that considers integrated planning, demand management and optimisation of existing networks before constructing new infrastructure is a critical part of achieving value for money from transport investment.

Benefits of effective demand management

The GPS 2021 proceeds to explain the potential benefits of demand management noting that mode shift is a key indicator of achieving these benefits:

One potential benefit of these approaches is that if applied effectively (eg contributing to significant mode shift), some forecasted investments (eg extra road capacity) may no longer be required or can be delayed. For cases where investment in new infrastructure or services is necessary to increase the capacity of the transport network, additional supporting demand management interventions to encourage mode shift should be considered. An example could be when a new arterial road is being planned, separate cycle lanes be included into the plans to encourage non-car travel for some users.

Consideration of demand management tactics

Travel demand management is referenced in the GPS 2021 in the Statement of Ministerial expectations. This directs Waka Kotahi NZ Transport Agency to be innovative in its own business and in collaboration with others to deliver transport innovation including pilots, street design, travel demand management and testing new technologies where ‘they can make a meaningful contribution to the objectives of this GPS’.

The intervention hierarchy and demand management

The GPS 2021 provides an intervention hierarchy that considers integrated planning, demand management, optimisation of existing networks, encouraging agile work practices and access to online services, before constructing new infrastructure.

This hierarchy is also reflected in the Business Case Approach guidance, which suggests the following order for considering these when trying to solve transport problems.

Business Case Approach guidance

Demand management tactics noted in the GPS 2021 can be applied across the hierarchy.

    Intervention hierarchy  Demand can be managed by 
1  Integrating land use and transport planning Plan and develop an integrated land use and transport pattern that maximises use of existing network capacity, reduces travel demand and supports transport   Land use management, eg focusing growth in areas with good options, existing travel options and intensification near public transport  

2

 

3

 Demand management

 

Optimising current networks

 

Keep people and freight moving and reduce the adverse impacts of transport, such as congestion and emissions at peak times, through demand-side measures, eg supporting mode shift or road pricing

Through optimised levels of service across networks and public transport services, and allocation of network capacity

 

Planning transport networks and prioritising different modes in strategic locations to ensure permeability for a range of travel modes. This might include temporary or permanent traffic circulation plans, encouraging agile work practices and access to online services

Providing better travel options through infrastructure improvements for shared and active modes through better use of the existing transport network

Improving public transport services and infrastructure including mass rapid transit

Measures that encourage better travel choices (modes, timing, shared rides)

Tactical urbanism approaches to trialling and iterating change

Travel behaviour change programmes and ‘soft’ methods (eg marketing and travel planning) to encourage uptake of quality routes, measures that reduce the need to travel and services or to help manage disruptions and leverage longer term change.

Work category 421: Travel demand management and behaviour change

Establishing incentives and disincentives to encourage people to change their time, or route they travel, or increase car occupancy

Managing freight travel and timing in such a way it recognises the requirements of the wider logistics chain.

4  Constructing new infrastructure      

The GPS notes that where new infrastructure is provided multiple modes should be considered, eg

‘An example could be when a new arterial road is being planned, separate cycle lanes are included in the plans to encourage non-car travel for some users.’

Road space reallocation and better provision for shared and active modes is classified as supply side demand management

Scale and best practice travel demand management

Travel demand management programmes can target a range of projects and land uses – from singular small trip generators like schools to larger trip generators such as businesses, universities and hospitals, to even greater area city-wide programmes.

The most effective travel demand management programmes incorporate a wide range of demand management strategies in a coordinated way.

Demand management and Keeping cities moving

Waka Kotahi published Keeping cities moving in 2019.

Keeping cities moving

This plan outlines how Waka Kotahi, in partnership with others, will help address the causes of car dependency and contribute to key government outcomes through better balancing the transport system.’ It identifies three main ways Waka Kotahi can support the government’s objectives (eg as outlined in GPS 2021):

  • shaping urban form
  • making shared and active modes more attractive
  • influencing travel demand and transport choices

and recognises that these must be delivered together in a coordinated way to achieve significant outcomes.

Developing programmes and submitting activities for National Land Transport Programme consideration and funding approval

The planning aspects of demand management are eligible for funding as part of:

For further details about developing demand management programmes and submitting activities for NLTP consideration and funding approval, please see:

Developing demand management and behaviour change programmes