Record transport investment NZ$54million announced   19 Mar 2020

Hon Phil Twyford

$54 billion to be invested in transport over 10 years.
No petrol excise or road user charge increases proposed.
Record investment in roads, public transport, rail, coastal shipping and walking and cycling.                            

Transport Minister Phil Twyford released today the Draft Government Policy Statement (GPS) 2021 on land transport which confirms that the Government will invest a record $54 billion in its balanced transport policy over the next decade.

The GPS is how the Government guides Waka Kotahi NZ Transport Agency to invest more than $4.5 billion a year raised through the National Land Transport Fund; and how it expects them to allocate funding towards roads, rail, walking and cycling infrastructure, coastal shipping and public transport.

“This GPS shows our Government is putting the pedal to the metal on our balanced transport policy while committing to a massive infrastructure spend over 10 years,” Phil Twyford said.

“Alongside the historic $12.1 billion COVID-19 economic response package and the $12 billion NZ Upgrade programme, this transport investment will make a real difference to New Zealand’s economic recovery.

“The Draft GPS 2021 signals that we will make a record investment in transport of $48 billion on top of our $6.8 billion from the NZ Upgrade Programme, which will help give the transport construction industry certainty during the current global economic headwinds.

“We are not proposing to raise petrol tax as we are making good progress addressing the infrastructure deficit the last government left with the revenue from GPS 2018.

“Safety remains our Government’s top priority and we’re planning to invest $10 billion in our strategy to reduce the number of deaths and serious injuries on the road by 40 per cent.

“In the first three years alone, Road to Zero will invest nearly $3 billion in safety infrastructure like median barriers, safety campaigns and road policing.

“The regions will get an extra $1.2 billion in road upgrades through Road to Zero in the first three years, more than double the amount for regional improvements under GPS 2018.

“We’re taking climate change seriously through unprecedented investments in public transport and walking and cycling improvements. Compared to the previous government, public transport investment is up 163 per cent and walking and cycling is up 227 per cent.

“Given how both rail and coastal shipping help take pressure off our roads and produce less emissions, we are looking to fund both in GPS 2021. Building alternative transport options for people and freight is a vital part of achieving the Government’s goal of net zero emissions by 2050,” Phil Twyford said.

The draft GPS 2021 outlines four strategic priorities for land transport; Safety, Better Transport Options, Improving Freight Connections and Climate Change.

The draft GPS 2021 supports investments being made through other Government investment programmes, such the New Zealand Upgrade Programme and the Provincial Growth Fund.

GPS 2021 covers the period 2021/22 - 2030/31, setting out the Government’s priorities for land transport and guiding the allocation by Waka Kotahi NZ Transport Agency of over $4.5 billion a year from the National Land Transport Fund.

The Government is now seeking feedback from local government, the transport sector, community groups and the wider public on the draft GPS 2021.

To read the draft GPS 2021 and give your feedback go to:

Engagement on the draft GPS closes 27 April 2020.

The previously released Draft Rail Plan will become final when this GPS is finalised in the second half of 2020.

Record investments in transport across New Zealand are already happening under this Government, including:

  • The record $6.8 billion NZ Upgrade for transport infrastructure to help future proof the economy, get our cities moving, and make our roads safer.
  • $88.25 million on State Highway improvements around regional New Zealand from the Government’s $300 million funding for Regional Improvements Opportunities.
  • Allocating $100 million for the initial work on the $620 million Manawatu Gorge replacement highway – geotechnical work is already underway.
  • $92.37 million to start the Hamilton to Auckland commuter service on 3 August 2020.
  • Budget 2019 provided a $1 billion funding boost to support a long overdue revitalisation of rail.
  • The $6.4 billion Let’s Get Wellington Moving package agreed last year will help ease congestion in our capital city.
  • The $29 billion Auckland Transport Alignment Project is unlocking Auckland’s potential after this Government filled a $5.9 billion funding hole left by the previous government.
  • $130 million is being spent on the upgrade of SH20B the Puhinui rail and bus interchange to allow a 10-minute bus connection to Auckland Airport starting next year.
  • Work has already started on the $196 million Wellington commuter rail upgrades, which will mean better services and fewer breakdowns. 
  • The $1.4 billion Safe Network Programme is upgrading 3,300kms of state highways and local roads with proven safety upgrades to save lives.
  • $240 million is being spent on stage one of the Auckland Manukau Eastern Transport Initiative (AMETI) Eastern Busway which will finally give a congestion-free public transport option for east Aucklanders.
  • The $37.5 million Awakino Tunnel bypass project to improve safety on SH3 started construction last year after being funded under this Government.
  • The $137 million Tairawhiti Roading package from the Provincial Growth Fund is being rolled out to boost the region’s economy.
  • The $18.4 million He Ara Kotahi pathway and bridge over the Manawatu River was completely built under this Government and opened last year.
  • $80 million has been allocated through the Provincial Growth Fund for the KiwiRail’s TranzAlpine and Coastal Pacific trains to develop this successful tourism service further.
  • $164.5 million on essential works and improvements to enhance freight movements on the rail line between Auckland and Whangarei.
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