This page relates to the 2018-21 National Land Transport Programme.
This section describes the sources of funding available for investment in land transport activities under the National Land Transport Programme (NLTP).
These include:
Revenue collected from fuel excise duty (FED), road user charges (RUC), vehicle and driver registration and licensing, state highway property disposal and leasing and road tolling is credited to the NLTF. These funds are used to pay for investment in land transport activities under the NLTP.
Waka Kotahi NZ Transport Agency's policy on raising revenue from road tolling is available at this link.
NLTF funds comprise:
Land transport activities that are proposed and delivered by approved organisations, eg local road maintenance, local road improvements, public transport, are delivered by the local authority with funding assistance from the NLTF. The amount that Waka Kotahi co-invests from the NLTF in local activities is largely determined by the funding assistance rates (FARs) applicable to approved organisations.
Approved organisations raise their local share from rates revenue, debt, developer contributions or other financial contributions and revenue.
The Waka Kotahi own funding rate is 100% of the costs of any activity, or share of an activity, that it delivers, given that its only source of funding is the NLTF.
There are Crown funding outside of the NLTF, and Crown loans available for land transport investments.
Crown funding sources outside of the NLTF are described in GPS 2018(external link) and comprise:
The government has also provided Crown loans to Waka Kotahi to assist its NLTF cash-flow management in delivering:
Funding may, in certain situations and with approval of the Ministers of Transport and Finance, be raised from debt financing and public private partnerships (PPPs). Waka Kotahi policy on these can be accessed at this link.
Supplementary funds refer to contributions that are additional to NLTF and local share funding.
Where a third party benefits from a land transport investment, Waka Kotahi expects that the third party will contribute to the level of that benefit.
Main examples of supplementary funds are: