Greater Wellington Regional Council's new metro rail contractor Transdev will deliver savings of around $100 million over the next 15 years starting in July, according to chairman Chris Laidlaw.
Mr Laidlaw said the new performance-based contract will result in better rail services for less ratepayer subsidy in coming years and that rail commuters, including those from Wairarapa, will see a new look to rail services, including the move to one public transport brand, Metlink.
"Ratepayers can expect to see real lifts in value for money over the term of the rail contract," he said. "This is the first public transport contract in the Wellington region that is truly performance-based and drives true partnering.
"And it is just the beginning, the council will follow with new bus services and contracts over the next two years. We will continue to see improvements and real value for money."
General manager of public transport Wayne Hastie said, in 2016/17, the projected cost payable to Transdev by GWRC for running rail services is $56 million.