Bishop said this morning, \u201cfuel excise duty has fallen in real terms by 21 per cent since 2020 when it was last increased, while construction costs have risen significantly over the same period, with the recent conflict in the Middle East contributing to that challenge\u201d. <\/p>\n
The sequencing of projects unveiled by Bishop provides little detail about when New Zealanders can expect to see construction begin on several Rons including the Northland Corridor – Te Hana to Whang\u0101rei (excluding Alternative to Brynderwyn Hills), the East-West Link, and SH6 Hope Bypass Stage 2. <\/p>\n
The investment case for these roads has been completed, but no timeframe has been given for when they may progress further. <\/p>\n
An infographic provided by the Government says their \u201cprogression is subject to funding availability\u201d, like various other listed projects. <\/p>\n
Phase one of the Government’s Major Transport Projects Pipeline. Photo \/ NZTA
Phase 2 and 3 of the Government’s Major Transport Projects Pipeline. Photo \/ NZTA<\/p>\n
Those Rons, as well as the Mill Road \u2013 Alfriston to Drury and Petone to Grenada projects, have been placed on a slow track as part of the phased pipeline. <\/p>\n
\u201cThe pipeline shows why a phased approach to delivering the Roads of National Significance is important,\u201d said Bishop. <\/p>\n
\u201cAs I\u2019ve said many times, not all projects can start immediately. It takes time to get projects ready for construction, with route protection (designations and consenting), detailed design, and property acquisition all needing to be completed before main construction works can begin.\u201d<\/p>\n
Speaking to media this morning, Bishop argued the public understood that not all roads could be built at once and phasing was necessary. <\/p>\n
However, he accepted the National Party\u2019s Rons promises at the 2023 election were \u201cvery ambitious\u201d. <\/p>\n
Bishop denied the phasing was a backdown, pointing to challenging economic headwinds from the United States imposing widespread tariffs and the flow-on effects from the Iran war. <\/p>\n
He reiterated the Government\u2019s commitment to the Rons programme, while noting the 2024 total cost estimate of $56b was unlikely to be accurate now. <\/p>\n
Labour\u2019s transport spokesman Tangi Utikere said the pipeline was a \u201cwishlist\u201d given that funding hadn\u2019t been tagged to future projects.<\/p>\n
\u201cNational promised communities these projects would be delivered. Now it\u2019s quietly admitting many have no funding to get built,\u201d he said in a statement.<\/p>\n
\u201cThey over-promised, under-budgeted and are now walking back the certainty they sold at the election.\u201d<\/p>\n
Utikere said that while the construction industry wanted certainty with a \u201cgenuine pipeline of work\u201d, National\u2019s plan came with many different \u201ccaveats, phases, and projects that may or may not happen\u201d.<\/p>\n
What is in each phase?<\/p>\n
The Government has broken the transport projects up into three phases, the first being those currently under construction and procurement. <\/p>\n
\u201cThe \u014ctaki to north of Levin Road of National Significance, the Hawke\u2019s Bay Expressway, Takitimu North Link Stage 1, and SH29 Tauriko West (Omanawa Bridge) are all under construction,\u201d said Bishop. <\/p>\n
\u201cThe first stage of the Northland Expressway is in the final stages of procurement and due to start construction before the end of the year, while procurement is also underway for the Cambridge to Piarere Road of National Significance. <\/p>\n
\u201cCambridge to Piarere will extend the Waikato Expressway, with construction of Stage 1 due to start in early 2027 and Stage 2 later in 2027.\u201d <\/p>\n
Bishop highlighted that other regional projects including the Melling Interchange, Brougham Street and the second Ashburton Bridge, are also underway. <\/p>\n
Phase two are those projects that are in preparation for construction and route protection. <\/p>\n
Bishop said provisional consent had been granted \u201cfor the Belfast to Pegasus Road of National Significance and early works are underway. <\/p>\n
\u201cTakitimu North Link (Stage 2) also recently received consent through the Fast Track Approvals Act. <\/p>\n
\u201cNZTA will continue to progress planning work for Mill Road (Stage One), the Northwest Busway (Stages 1B and 2), and the Hope Bypass (Stage 1) with intersection improvements prioritised at Lower Queen St. <\/p>\n
\u201cAs funding becomes available, these projects can progress to construction. <\/p>\n
\u201cNZTA will also progress route protection for the SH1 Wellington Improvements project, the Brynderwyns project as part of the Northland Expressway, SH29 Tauriko (Wider Scope), and Northwest Busway Stage 3. <\/p>\n
\u201cThe Northwest Alternative State Highway and Hamilton Southern Links are already designated.\u201d <\/p>\n
Then there are those in phase three \u2013 or \u201ccontuining more slowly\u201d. <\/p>\n
\u201cNZTA will continue work on the Hope Bypass Stage 2, Sections 2 and 3 of the Northland Expressway (excluding the Brynderwyns), Auckland\u2019s East West Link, Mill Road (Alfriston to Drury), and Petone to Grenada,\u201d said Bishop. <\/p>\n
\u201cWork on these projects will progress at a slower pace than those in Phase Two, with some projects continuing preparation for future route protection.\u201d <\/p>\n
Why the new pipeline was needed<\/p>\n
A re-sequencing of projects has not come out of the blue, as the Herald has been reporting on for months. <\/p>\n
Bishop in November delivered a significant speech<\/a> in which he said the Government faced \u201cchallenges\u201d in delivering \u201cbig new roading projects\u201d, hinting that \u201chard choices lie ahead\u201d and that many roads \u201cwon\u2019t be starting for many years\u201d. <\/p>\n The Rons programme was estimated at the time to cost $56 billion and described in an MoT paper as the \u201cmost complex and expensive infrastructure programme in New Zealand\u2019s recent history\u201d. <\/p>\n During the 2023 election campaign, National promised 13 new Rons<\/a>. The Government has expanded this to 17, including SH1 Whang\u0101rei to Port Marsden, the East-West Link in Auckland, Hamilton Southern Links, \u014ctaki to north of Levin, the SH1 Second Mt Victoria Tunnel and Basin Reserve upgrades, and the Hope Bypass. <\/p>\n The party said work would begin on the 13 roads within one to 10 years of taking office. Investment cases have been endorsed by the New Zealand Transport Agency (NZTA) board for all of them, while construction is underway on some, such as Takitimu North Link Stage 1. <\/p>\n Bishop said delivering all the roads over the next 20 years would cost $56b if funded entirely by road user charges and petrol taxes, these would need to go up by 70%, equivalent to a 49c a litre increase in fuel tax. <\/p>\n \u201cTo be clear, this 49 cent per litre increase would only allow the RoNS to be delivered. It would not provide any funding for other major transport projects, such as the Second Waitemat\u0101 Harbour Crossing or the North West Busway,\u201d Bishop said. <\/p>\n He said the Government was \u201ccommitted to the Roads of National Significance but delivering them all tomorrow is not realistic\u201d. <\/p>\nTransport Minister Chris Bishop has been discussing a new pipeline for many months. Photo \/ Mark Mitchell<\/p>\n