The Land Transport Management Act (LTMA) 2003 allows tolls to be used as a way of advancing some projects that might otherwise be delayed because of funding and other restraints. Tolling can be used to fund new roads as outlined in Sub-Part 2 of the LTMA, which includes the availability of alternative non-tolled routes. Roads may be entirely funded by tolls, or toll revenue may be just one element of the project’s funding alongside money supplied from the National Land Transport Fund (NLTP).
Toll roads previously required specific legislation but the LTMA now enables toll roads to be approved by an Order in Council.
Under the Land Transport Management Act (LTMA) 2003, tolls cannot be introduced on existing roads unless the existing road is physically or operationally integral to a new road.
New Zealand has a small population to pay for roading network improvements, which mean roading projects need to be prioritised for funding and completion. This means many worthwhile projects endure serious delays or never proceed at all.
Allowing tolls to help pay for some projects means motorists and communities are able to enjoy the benefits of some new roads sooner than would otherwise be possible under the current criteria for public funding of roads.
Toll charges will vary for individual projects, depending on the level of toll required to encourage people to use the toll road while still meeting the costs of building and operating the road and repaying debt finance.
The toll system will use a fully electronic toll collection system with the ability to be interoperable with future toll projects.
An alternative non-tolled route will be available for motorists who don’t wish to pay the toll fee, though free routes are unlikely to offer the time and distance advantages offered by the toll road. The alternative route will be clearly signposted to allow motorists to make a choice before entering the toll road.
Emergency services vehicles will not be required to pay the toll fee.
Under the current criteria used to prioritise the allocation of public funding for roading projects, ALPURT B2 in previous years received lower priority than other Auckland motorway projects, meaning its construction would not have been completed for many years, if at all. The LTMA 2003 enables Transit to bring forward the completion of ALPURT B2 by funding its construction through debt finance repaid by tolling.
On 5 April 2005 a Cabinet decision was made approving tolling of ALPURT B2. This was made after wide consultation with the local community on the proposal to bring forward the construction of ALPURT B2 by tolling.
On 11 April 2005 and Order in Council by the Governor General finalised the decision to toll ALPURT B2, enabling the project to move from preliminary works to full construction.
The toll tariff for ALPURT B2 will be around $2 for cars and $4 for heavy vehicles, which is the amount Transit consulted on in 2004 adjusted for the CPI
If all goes according to plan, Transit hope to have the toll road open by mid-2009.
Yes, under current legislation, Transit was required to consult with major stakeholders and the affected community on the design and operation of ALPURT B2 as a toll road. Formal consultation is now complete and a Cabinet decision has been made approving tolling of ALPURT B2.