Nearly 12 months into his new role, Auckland Transport (AT) chief executive Dean Kimpton says the council-controlled organisation is on a firm footing and doing the basics “really well that allows us to kick on”.
“We addressed operating costs by reducing headcount [by 150 staff] and overheads including procurement and sub-leasing office space. We restructured ourselves to focus on delivery and this went live in December,” Kimpton says.
“We’ve seen our staff turnover come down significantly and we are retaining good people. The trust and confidence in us from Aucklanders has gone up because we have listened to better understand their issues.
“We delivered a capital programme funded to maintain roads. If you don’t do that, then you don’t deliver on ratepayer expectation.”
AT is one of the highest-performing capital programme delivery agencies in the country - “we hit 98 per cent of the programme last year”, Kimpton says.
“We’ve taken a strong view on temporary traffic management and reduced the number of road cones. We’ve worked closely with NZ Transport Agency [Waka Kotahi, aka NZTA] on a risk-based approach and agreed that the same state highway safety standard does not need to apply to local roads as the traffic drives slower.
“There was a disconnect [between the agencies] and we’ve been able to reduce the capital input into the budget for temporary traffic management by 10 per cent, compared with 20 per cent for the rest of the industry,” Kimpton says.
“We’ve looked closely at road safety infrastructure [traffic calming] and how you can make it safe for people to walk and cycle on local streets and in town centres. We’ve done the review and we don’t need one size to fit all - we will be reducing the number of raised pedestrian platforms by 30 per cent and creating other solutions.
“It could be as simple as the old-fashioned zebra crossing or island pedestrian refuge. We know raised platforms work - the average cost of them is $20,000 to $30,000 - but there is a range of solutions out there.”
Operational focus
Kimpton says Auckland Transport’s new operating structure will accelerate the changes that need to happen. The organisation will be focusing on five areas that take a long-term view and provide outcomes for the environment and climate change, community and social wellbeing, and affordability.
First, AT wants to take the public transport system from good to great. “We are focused on the quality and experience of the services [bus, train and ferry] - the reliability, punctuality, affordability and accessibility,” says Kimpton.
Auckland Transport is consulting on an open loop payment system where a credit or eftpos card can be used anywhere and is capped at $50 a week (even if the journeys cost more).
It has introduced Fareshare, which lets employers subsidise a proportion of their staff’s public transport travel to and from work - providing an employee benefit, reducing demand for parking, helping to reduce road congestion and helping businesses meet sustainability targets.
Businesses can elect to subsidise the travel cost by 25, 50 or 75 per cent and this request is loaded on staff members’ AT Hop cards. They are charged reduced fares on eligible journeys and the business is billed monthly for the remaining amount. Fareshare is exempt from Fringe Benefit tax.
Kimpton says Fareshare is attractive for employees because parking building charges are very expensive. “Corporates are required to report on reducing their carbon footprint and we can help them.”
Auckland Transport has a 10-year programme to electrify its bus fleet, with 175 electric buses, including the first double-decker, already operating this year. The first electric ferries will cross the Waitematā in 2025-26.
Auckland Transport’s second commitment is to take “a deeper approach to listening and understanding”.
Kimpton says Aucklanders didn’t feel listened to but recent surveys have shown the trust and confidence has improved. “We will continue to work with local boards and business associations to solve transport challenges. Every interaction counts,” he says.
“Town centres want traffic-calming so people feel safe to walk around. There are challenges around rail crossings at street level to get the best out of City Rail Link.”
Third, AT wants to reduce traffic congestion and improve network productivity. Kimpton says 30 per cent of Auckland’s land space is used by roads, the population is expected to increase 30 per cent over the next 10 years and the roading corridors need to be better utilised.
“If we get the equation right, we can deal with the congestion. We can have more bus lanes and introduce traffic lights phasing technology. The transport network can be managed in real time with cameras identifying bottlenecks and cars parked in the wrong place. We can get tow trucks out to relieve the situation.”
Kimpton says time-of-use congestion charging will be part of the mix and is hoping legislation will be passed this year. “There’s still a fair bit of design to go and the model will focus on managing demand rather than revenue.”
The congestion charge could apply between 7am and 10am and people have the choice to drive earlier or later, pay a toll or catch public transport, Kimpton says.
He wouldn’t say which routes would be charged but “whatever we do will be in partnership with NZTA”.
Fourth, Auckland Transport is determined to create sustainable revenue growth and take the pressure off rates and funding.
“We need to take a more commercial approach to fares, parking infringements, advertising on bus stops, signage on roads and sponsorship,” Kimpton says.
“There are opportunities to consider over the next 10 years to leverage our assets and grow revenue. We are mindful of affordability and how revenue growth will impact the ratepayer, and we will walk through this carefully with council.”
Auckland Transport last month increased fares by an average 6.2 per cent. For standard adult fares, this represented a 6c to 40c rise per journey on buses, trains and ferries.
“We have held the fares for four years and we do need to keep in line with inflation,” Kimpton says.
Auckland Transport, funded half and half by Auckland Council and NZTA, has operating costs of $1 billion and 30 per cent or $300 million is offset with income mainly from public transport fares and parking including infringements.
The organisation is proposing a capital programme of $1.4b a year or $14b over the next 10 years.
Fifth, Auckland Transport wants to be a trusted adviser to the Government and the council on delivery outcomes and continue to engage and champion all public transport modes - bus, ferry and train services.
“I don’t think the organisation has stepped up as much as it could have,” says Kimpton.
“We need to be involved as Auckland Transport can provide a view on the impact of investment on services.
“Unless the investment integrates into the transport network and delivers strong outcomes, there is a significant missed opportunity.
“We can provide technical advice - for instance, we helped KiwiRail build its investment case for upgrading the rail network and providing a quality service.”
During the past 12 months, Kimpton has overseen an increase in public transport usage. When he arrived in the job, there were 80 million passenger boardings in a year on the buses, ferries and trains and by the end of February the patronage had increased 25 per cent year-on-year to 96m.
Kimpton expected the target of 100 million boardings to be reached this month as the universities reopen and students flood the city centre.
Auckland Transport, which operates 1350 buses, 72 trains and 29 ferries, recently counted 380,000 boardings in a day, and Kimpton reckoned the milestone of 400,000 boardings would soon be breached.
Between February 12 and 18, Auckland Transport recorded 1.9 million boardings, the highest since 2019 when patronage was at its peak.
“We now have a full complement of bus drivers and restored services [the bus services workforce totals 2600],” says Kimpton.
“The train and ferry trips cost less compared with driving the car, and all these things have combined quite nicely.”
Kimpton says Auckland Transport is “dancing in the middle of an interesting relationship between the coalition Government and the mayor and council. We need agreement on the long-term outcome for Auckland”.
He wants to see continued funding and investment for the Botany to airport rapid transit link and improvements to the northwest corridor. The 18km airport link will provide a reliable 35-40 minute journey from eastern and southern Auckland using electric buses and connecting with rail at the Puhinui and Manukau stations.
Even though the Auckland Light Rail project has been cancelled by the new Government, Kimpton still sees opportunities for surface light rail for the northwest, North Shore and even the airport. “The old project was in between heavy and light rail and if we can keep it as surface rail, then that is quite acceptable for Auckland and its transport options,” he says.
Formerly chief operating officer for Auckland Council and managing director of infrastructure consulting firm AECOM NZ, Kimpton joined Auckland Transport on an 18-month fixed-term agreement.
Asked if he wanted to stay on, he replies: “I have really enjoyed it; the job has been very challenging and interesting. I have told the board I am open to a conversation but not before the 12 months are up.” This occurs at the end of this month.
· AT is an advertising sponsor of the Herald’s Project Auckland report.