WC 002: transport model development

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

Introduction

The purpose of transport models is to provide a tool to understand, and plan for, change. This may relate to changes in population, industry, technology, energy and climate.

Transport models must be fit for purpose. They need to be strategic and identify future transport needs. Updates to existing models should only be undertaken when there has been significant change on strategic context or future projections.

You can find detailed guidance in the NZ Transport Agency Waka Kotahi (NZTA) Transport model development guidelines.

Transport model development guidelines

Qualifying activities

Work category 002 is available to the investment management activity class.

Investment management

Examples of qualifying activities

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

the building of new models where a model of a given level (macro, meso or micro) does not exist
the material upgrading of an existing model to provide new functionality or where there has been significant change in the strategic context such as land use or population growth – an example of new functionality is adding a mode choice capability to a simple demand model
access maps showing origins to key destinations.

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

Exclusions

Work category 002 excludes:

maintenance of the model, such as upgrades to the software platform promulgated under contract by the software provider
application of the model to transport planning or activity development; these are costs of delivering the relevant activity
routine updates to models where there has not been any significant change in land use and population projections, which would normally be carried out by the approved organisation at its own cost
models to identify preferred routes.

Expected outputs from models

Models will include the following outputs:

information (and/or projections) that will inform and respond to strategic documents (both national and regional)
information (and/or projections) that will respond to significant changes impacting on the transport network
information that can be used to evaluate alternatives and options that can be used for future planning and investigation activities carried out for state highway and/or local transport networks
clearly identified assumptions, limitations and tolerances embedded in the model
a process to ensure that the model is maintained and updated as required.

Conditions of funding

To receive funding assistance, the development or material upgrading of transport models must:

include a strategic case
include detailed terms of reference that comply with section 2.12 of the NZTA Monetised benefits and costs manual (June 2023) and gives effect to the NZTA Transport model development guidelines (September 2019)
Monetised benefits and costs manual
Transport model development guidelines
identify the purpose of the model or the upgrade of the model

include a schedule that specifies when the model will be completed
establish a process for peer review by a reviewer approved by us
identify a technical committee comprising approved organisations’ and our representatives to oversee the work
ensure a multi-party funding agreement is in place when there is more than one participant.
Multi-Party Funding Policy

Models terms of reference checklist

Checklist of areas to be addressed when developing or reviewing a model:

Issue	Criteria	Adequate (Y/N)	Suggested changes
Problem identification	Do the terms of reference clearly identify the reasons for undertaking or upgrading the model?
Context	Is the model being developed/upgraded in response to a significant change in circumstance or strategic direction or functional need? Does the model build on existing studies, strategies and other evidence? Does the model avoid simply updating and/or duplicating previous work?
Outputs	Will the model provide information that will inform and respond to national, regional and local strategic documents? Will the model provide information that can be used for future planning and investigation activities on the transport network? Does the proposal include a process to ensure that the model can be maintained and updated?
Funding	Does the study include indicative timing, funding plans and alternative sources of funding? Does the study represent value for money? Is there a multi-party funding agreement when more than one approved organisation receives benefit?
Technical review	Does the proposal establish a process for peer review by us? Does the proposal identify a process for developing a technical committee to oversee the development model?

Funding assistance rate

The usual funding assistance rate (FAR) is:

the approved organisation's normal FAR
Normal funding assistance rates

100% of the NZTA costs (for its own activities).

Submitting activities for National Land Transport Programme (NLTP) consideration and funding approval

Approved organisations and NZTA (for its own activities) submit these activities using the transport model template in Transport Investment Online.

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

Online services