The Government is taking on the "taboo" subject of road tolls to tackle the increasing chaos on Auckland roads.
The Government and Auckland Council have started a new project to investigate "smarter transport pricing in Auckland", three years after the council did extensive work on a tolling scheme that would have seen motorists pay $2 each time they used the motorway.
The Government rejected the scheme, which resulted in the council introducing a three-year transport targeted rate of $114 per household and business.
It is essential that we carefully consider the impacts of pricing on households and businesses.
In that time, Auckland has experienced rapid population growth, a further 120,000 cars on congested roads over three years and a realisation from the Government the city will need some form of congestion charging.
Transport Minister Simon Bridges said transport was possibly the top issue ahead of housing in Auckland, saying the Government was now seriously looking at something that had been a taboo in the past, and that was road pricing.
The Government and council have agreed on terms of reference for the project, which both Bridges and Auckland Mayor Phil Goff have said is years away.
Goff welcomed the joint project as a practical, long-term solution, but said the city needed new sources of revenue now to deal with a $7 billion deficit to fund transport.
Finance Minister Steven Joyce said alongside the Government's multibillion-dollar transport investment in Auckland, smarter pricing has the potential to be part of the solution to managing demand on the roads.
Bridges said smarter transport pricing could involve varying what road users pay at different times and/or locations to better reflect congestion. This could encourage some users to change the time, route or way in which they travel.
"It is essential that we carefully consider the impacts of pricing on households and businesses. A key factor will be the access people have to public transport and other alternatives," said Bridges, adding any charges would replace existing road taxes.
Labour's Auckland Issues spokesman Phil Twyford said with road pricing still years away, Labour will step up investment in public transport to ease congestion.
He said Labour believes Auckland should be able to decide for itself how it funds its share of transport investment. It is understood Labour will unveil a policy closer to the election to allow the council to introduce a regional fuel tax. National has ruled out a regional fuel tax.
The Green's Julie Anne Genter said Aucklanders need to have access to reliable, fast and affordable public transport before road pricing is introduced.
The Smarter Transport Pricing Project will undertake a thorough investigation to support a decision on whether or not to proceed with introducing pricing for demand management in Auckland. Officials from the Ministry of Transport, Auckland Council, Auckland Transport, the New Zealand Transport Agency, Treasury and the State Services Commission will work together and engage the public to develop and test different options.
The first stage of the project, which will lay the groundwork for assessing pricing options, is expected to be complete by the end of 2017.
Auckland Congestion Pricing Project Terms of Reference are available at www.transport.govt.nz/smarterpricing
