Govt announces SuperGold Card changes

Te Awamutu Supergold Card holders Doreen Kelly (right) and Phyllis Henderson discuss their options with GoBus driver Henry Hobson. Photo / NZME.

The Government is to lift a moratorium on transport operators entering the SuperGold Card scheme but will cap the funding it provides at current levels, increasing only by inflation each year.

The decisions follow a two-year long review of the scheme and include allowing tendering on the ferry service to Waiheke Island - a change that will allow new ferry operator Explore to tender for a share of the $1.6 million a year that Fullers currently gets in subsidies.

Associate Minister of Transport Craig Foss said the changes would ensure that entitlements were at least held at current levels as well as allowing new companies to seek a share of that funding. He said lifting the moratorium would allow more regional services to enter the scheme and a change to a bulk funding model for councils would also provide regional councils with more reliable cash flow.

Overall the changes include:

- lifting the moratorium on new transport services entering the scheme from September 1. New operators will have to meet certain criteria, and decisions made by regional councils.

- allow tendering on the Waiheke Island route but capping funding at the current $1.6 million overall with inflation adjustments. Auckland Transport is in charge of any tender process.

- capping Crown funding at $28.1 million for the next five years, with inflation adjustments only.

- replacing individual fare reimbursements for local councils with bulk funding

- capping Crown funding for commercial transport services such as the Waiheke ferry and inter-regional buses at current levels with inflation adjustments.

- require SuperGold card holders to purchase smartcards, such as Auckland Transport's HOP card, where available.

The Government ordered the review in 2013 after the cost of the scheme lifted from $18 million in 2009 to about $28 million a year now.

A moratorium which has prevented new transport operators entering the scheme has been in place since 2010. Mr Foss said a further review would take place in 2018.

A Select Committee is currently considering a petition for the new Waiheke ferry operator Explore to be allowed to enter the scheme. Only Fullers currently gets the subsidies for the Waiheke Island trip - its finding is capped at about $1.6 million a year. NZ First leader Winston Peters has called for Explore to be allowed a portion of that funding, and for the moratorium to be lifted.

During the Northland byelection, he also promised free ferry rides for seniors in the Bay of Islands and Hokianga - services which were unable to enter the scheme because Whangarei's bus service was allocated most of Northland's funding.