This page relates to the 2024-27 National Land Transport Programme.

Introduction

Work category 540 provides for new or improved infrastructure on or directly related to key corridors designated as ‘rapid transit’.

Definition and further criteria

Rapid transit is described in the National Policy Statement for Urban Development as: ‘Any existing or planned frequent, quick, reliable and high-capacity public transport service that operates on a permanent route (road or rail) that is largely separated from other traffic.

National Policy Statement for Urban Development 2020(external link)

Rapid transit can be delivered through a variety of different modes, including bus rapid transit, heavy rail and light rail.

To determine whether to categorise infrastructure for rapid transit rather than for standard public transport requires demonstration that the targeted corridor meets the following criteria:

  • It is a strategic corridor that plays a critical role in an urban area’s public transport system, linking major parts of the urban area, enabling substantial numbers of people to access key locations, and enabling and supporting major growth and urban development opportunities.
  • It has a dedicated right-of-way that enables services to consistently meet critical performance criteria.
  • It enables a sufficiently high service speed to be competitive with travel by private car at peak times.
  • It has high capacity that can capture and sustain a material share of corridor trips that would otherwise be made by private car.

Qualifying activities

Work category 540 is available to the public transport infrastructure activity class.

Public transport services and infrastructure

To qualify for this work category, the activity must apply to an existing or planned rapid transit corridor identified in the region’s land transport plan (RLTP) or regional public transport plan (RPTP). This ensures that rapid transit delivery is integrated with land-use planning, as outlined in the National Policy Statement for Urban Development.

National Policy Statement for Urban Development(external link)

Examples of qualifying activities

Examples of qualifying activities include, but may not be limited to:

  • construction or retrofitting the designated corridor or right of way
  • property purchase (refer to further information provided below)
  • facilities directly associated with rapid transit infrastructure such as:
    • platforms, stations, interchanges, lighting on the corridor
    • level crossing upgrades, removals and renewals where these result in levels of service that align with rapid transit outcomes
    • rolling stock specifically designed for rapid transit corridors (including bus, light rail and heavy rail units)
    • rapid transit signalling on the corridor
  • stabling and maintenance facilities for rolling stock assigned to the rapid transit corridor(s)
  • provision of any traction and track infrastructure necessary
  • other interventions that enable a corridor to deliver public transport service levels consistent with rapid transit. – this may include upgrading key intersections to give priority to buses on a designated rapid transit corridor in the RLTP or RPTP.

You can discuss with us (NZ Transport Agency Waka Kotahi (NZTA) as investor) whether other potential activities not listed above might also be eligible for inclusion in this work category.

Exclusions

Work category 540 excludes:

  • operations of the rapid transit system – where any funding for the operational costs related to the services running on or linking to the rapid transit corridor are funded under the relevant public transport service work category
  • facilities not owned by an approved organisation, unless there is an executed agreement on its public use and charges for use
  • infrastructure provision to cater for commercial passenger transport services not captured in a regional public transport plan.

Property purchase

Work category 540 provides for funding of property purchases directly on or directly related to the corridor designated for rapid transit infrastructure improvements. The principles and conditions set out in the relevant work category below apply to property purchases for work category 540:

For supporting or peripheral infrastructure earmarked to be funded from other work categories or activity classes where property purchase is necessary, any funding necessary should be assigned to the corresponding work category.

Where the property purchase cost for a project exceeds $500,000, a property phase must be set up in Transport Investment Online (TIO). Where the property cost is up to $500,000, the cost may be included in the construction/implementation phase.

Transport Investment Online(external link)

Funding assistance rate

The funding assistance rate (FAR) is:

or

  • 100% of the NZTA costs.

Submitting activities for National Land Transport Programme consideration and funding approval

Approved organisations and NZTA (for its own activities) submit these activities using the improvement template in TIO.

Transport Investment Online(external link)

For guidance on using TIO, see the TIO learning and guidance page on our website:

Transport Investment Online (TIO) learning and guidance