Media statement | 26 June 2007

Record investment in land transport infrastructure and services

Land Transport New Zealand has announced a record $2.4 billion of spending for land transport infrastructure and services in this year’s National Land Transport Programme (NLTP), a four percent increase from last year.

The 2007/08 NLTP sets out a programme of activities that integrates different forms of transport to improve New Zealand’s land transport system.

A record level of funding  is being allocated for an ambitious range of projects that will improve the country’s roads and passenger transport services, says Land Transport NZ Acting Chair Paul Fitzharris. 

Mr Fitzharris said that as the country’s economy grows, so too will demands  from the commercial transport and business sectors, putting pressure on the land transport system and on the environment through increased vehicle emissions.

“Good funding and policy decisions made now will contribute to an integrated transport system which allows users to  make   choices that have lasting benefits for public health, the economy and our environment. The 10–year NLTP funding forecast provides for growth in public transport services, walking and cycling,” he said.

• A large part of the 2007/08 NLTP represents continued funding for ongoing activities such as road maintenance and passenger transport services, as well as funds committed to projects approved in previous years. Funding comes from the Crown account contributed by government for specific regions’ land transport needs.

Key features of this year’s NLTP include:

• Continued funding for ongoing activities such as road maintenance and passenger transport services and funds committed to projects approved in previous years.
• Maintenance funding for local roads and state highways. This accounts for 40 percent of the NLTP, and has risen by $44 million to $847 million for 2007/08. The increase in maintenance funding is being driven by growth in heavy vehicle traffic, the use of higher quality road surfacing materials and a greater provision for emergency works.
• Funding for state highway construction has increased by $43.6 million from last year to $664 million in 2007/08. Funding for local road construction rises by $5.4 million to $211.8 million in 2007/08.
• Community focused activities, previously known as the Community Road Safety Programme (CRSP), have been integrated into the NLTP for the first time. This brings the planning and funding of community focused land transport activities alongside other projects that are delivered through approved organisations and alongside other NLTP activities. Funding for community focused activities totals $17 million for 2007/08.
•  Passenger transport investment from the NLTP will be  $262.8 million in 2007/08. The allocation to passenger transport services increases by $23.7 million to $165 million.  
• Mr Fitzharris says there is a significant increase in funding for public transport from 2006/07 to cover recent cost increases and to allow for growth in services. Future NLTP funding allocations incorporate an allowance of two percent per annum for growth in public transport services.

The NLTP also includes funding for education and enforcement activities delivered nationally by Land Transport NZ, NZ Police and local communities. Funding for road policing activities totals $259 million in 2007/08.

A full research education and training programme forms part of the NLTP for the first time this year, and has been allocated $25.7 million.

Mr Fitzharris says the activities funded through the NLTP reflect Land Transport NZ’s objective of contributing to an integrated, safe, responsive and sustainable land transport system.

‘New Zealand faces huge transport challenges. The $2.4 billion allocated by this year’s NLTP will help us meet those challenges.’

Regional newsletters, a fact sheet and the NLTP book, which details all projects in the 2007/08 NLTP, will be available at www.landtransport.govt.nz from 6pm today.

For more information:

Andy Knackstedt
Land Transport NZ Media Manager
(04) 931-8829 or 0212 763 222

Regional NLTP media statements:

• Tourism, log transport and route security Land Transport NZ's focus for Northland
• Reliable travel times Land Transport NZ's focus for Auckland
• Safe and efficient roads Land Transport NZ's focus for Waikato
• Reducing congestion Land Transport NZ's focus for Bay of Plenty
• Road maintenance and improvements Land Transport NZ's focus for Taranaki
• Safe and efficient roads Land Transport NZ's focus for Gisborne and Hawke's Bay
• Innovative Palmerston North public transport project gets continuing Land Transport NZ support
• Route efficiency and public transport upgrades Land Transport NZ's focus for Wellington
• Safety and efficiency Land Transport NZ's focus for Nelson, Marlborough and Tasman
• Safety and maintenance Land Transport NZ's focus for the West Coast
• Safety and improved traffic flow Land Transport NZ's focus for Canterbury
• Safety, improved traffic flow and passenger transport form Land Transport NZ's focus for Otago and Southland