Council Seeks More Transport Money

in Auckland Featured RWC 2011 Top Debate Trains by Jon C — February 24, 2011 at 10:31 pm | 8 comments

Auckland Council plans to tell the Transport Minister that Auckland’s transport system has suffered from under-investment over decades and Auckland’s contribution to the national gross domestic product needs to increase.

This includes major investment in rail, bus and ferry infrastructure and service improvements over the next 10 years and the need reduce the impacts of travel on the natural environment and communities.

The Government Policy Statement on Land Transport Funding (GPS) sets out the government’s priorities for spending from the National Land Transport Fund over the next 10 years.  The GPS is issued by the Minister of Transport every three financial years. The current Government Policy Statement on Land Transport Funding 2009-2019  is due to be replaced in advance of the expiry of the current National Land Transport Programme on  July 1 2012.

The council’s  proposed submission says:

“The allocation of overall transport funds to Auckland needs to reflect not only the funds collected from transport users in Auckland, but also Auckland’s important role in achieving the national economic and transport goals.

It is only in recent years that the principle of hypothecation has applied nationally and to Auckland, whereby funding received from transport users is applied proportionally to those transport users.

Auckland’s transport system has suffered from under-investment over decades and Auckland’s contribution to the national gross domestic product needs to increase.

It is recognised that the government is investing over $1 billion a year in the Auckland transport system with the aim of enabling efficient and effective use of the transport network.  Investment in major transport capital infrastructure improvements over the next ten years is largely committed, with a focus on completing the core motorway network, improving connections with Waikato and Northland.

Crown funds have also been committed to an upgrading and electrification of the passenger rail network.

The next GPS needs to provide for new funding arrangements in relation to rail which are expected to be agreed over the coming months.

If the National Land Transport Fund (NLTF) is to contribute to rail operational costs in Auckland, then the next GPS needs to ensure the allocation of funding to passenger transport is increased to take into account an agreed rail funding arrangement for Auckland. Auckland Council is also identifying options for funding in relation to the city centre rail link.”

The submission notes that discussions with central government will be needed to identify any funding allocation in the GPS towards aspects of that project, whether capital or operational.

The council says that alternative funding sources Auckland Council wishes to explore alternative funding sources for Auckland’s transport programme and work collaboratively with central government.

“The Regional Land Transport Strategy has identified a funding shortfall in order to deliver on the goals  and targets in the RLTS and a need to explore alternative transport funding arrangements.

If additional projects are brought forward into the first ten years, then this will be critical in terms of enabling those projects to proceed. There is an opportunity to achieve a greater transport programme and better outcomes through expanding transport funding arrangements.  There are likely to be some funding alternatives which require input from central government, such as a review of financial assistance rates, which Auckland Council wishes to work closely with central government on. It is accepted that investigations into alternative funding sources may not be done in time to affect the next GPS, but would be needed to affect subsequent GPS’s.”

The regional plan advocates the CBD rail link by 2021 and an airport rail service by 2031-40 with interim public transport improvements before then.

This graph contrasts the proposed expenditure in the first 10 years and the available funding in the current GPS:

One interesting figure: State highways in Auckland make up 6.2% of the network and carry 30% of the region’s traffic.

The submission notes the forthcoming Auckland Spatial Plan and the need to align Government / Auckland thinking and allow for flexibiliy in funding.

“For example, the Auckland plan may prioritise a programme to create an international city centre, which would include transport projects.”

Tags: Auckland council CBD rail loop transport minister