Tolls and higher fuel tax needed to fix Selwyn’s roads, mayor says

Tuesday, 10 September 2024

A park and ride scheme in Lincoln will not be funded by the Government’s National Land Transport Plan. (File photo)

Toll roads and a higher fuel tax could be the answer to Selwyn’s road network woes, the district’s mayor believes.

The Government released its National Land Transport Plan for 2024 to 2027 last week, detailing what will be funded by the NZ Transport Agency Waka Kotahi’s $32.9 billion transport and roading investment, and what was excluded.

Selwyn, like other councils, was relying on 51% co-funding from NZTA for a number of capital projects.

But mayor Sam Broughton said that of the $30 million the council had requested, it was likely only to receive $3m.

In the wake of the Government’s funding announcement, Broughton told The Press projects such as the $4m Lincoln park and ride scheme and $540,000 of public transport improvements would not be funded in the next three years.

Minister of Transport Simeon Brown makes an announcement about the SH1 Belfast Woodend Bypass which has been made a Road of National Significance.

Selwyn may be the fastest growing district in the nation, but Broughton said it was “once again lagging behind the rest of the country” in funding, so he had another idea - to raise fuel tax and create toll roads.

“New tolls or higher fuel taxes are needed if we are to see the level of maintenance and improved intersections and safety that I hear our community ask for and need.

“Without the funding available we are pushed into a position of trying to decide whether we make safety improvements outside schools, or at dangerous intersections.”

Aotearoa has three toll roads that between them collected $23.29m in 2023.

However, that money was spent paying off the cost of building the highways, according to NZTA. Petrol excise duty, currently at its usual rate of 70.024 cents per litre, raised $1.05b in 2022, according to Stats NZ .

Concerns about road safety is a major concern for Lincoln locals, who say their rural roads have turned into main arterial routes.

The council’s long-term plan 2024-34 was one of the most expensive it has ever developed, with heavy investment in its transport network. The cost of the plan in its entirety increased 110% from the previous long-term plan to $1.44b.

Mayor Sam Broughton says Selwyn’s council will have to choose between safety improvements at schools or dangerous intersections. (File photo)

Staff knew there was a “high level of uncertainty” around funding when they committed to the transport projects, given the Government’s transport spending plan had not been confirmed when Selwyn’s long-term plan was adopted.

Christchurch City Council is also facing financial deficits, with staff needing to find another $30m to cover up to 20 transport projects under threat after the Government’s funding announcement.

Selwyn’s staff noted in the district’s plan that if the money was not approved the council had two options - ask the community if it should increase rates or take out more loans to continue with its plans, or defer the projects in the hope more money will be on the table later.

Over the next three years rates will increase on average by 48%. If a rates hike was needed to fund the $27m the Government declined to fund, that increase could be over 50%.

About 90% of the funding Selwyn District Council asked for to pay for road maintenance, operations and renewals costs approved ($73m), with the Government confirming improvements to Two Chain Rd and State Highway 1 from Templeton to Ashburton.

Waimakariri District Council’s mayor Dan Gordon is pleased with the funding approved by the Government. (File photo)

North of the Waimakariri River, mayor Dan Gordon said his council was pleased with the result of the transport funding plan.

Waimakariri District Council was yet to receive advice about everything it had missed out on in the Government’s plan, but it was no surprise the Woodend Bypass - which will be the first toll road in the South Island - had been given the green light.

“The community will be thrilled to hear the government has made a firm commitment to construction of the Woodend Bypass,” Gordon said.

“The bypass has long been campaigned for by the community and the council, and commitment for the construction to start within three years will be welcome news to locals.”

Gordon also welcomed funding for a business case for the $37.9m Rangiora Eastern Link Road.

“This is key infrastructure that will unlock growth and development in Rangiora and provide more efficient and reliable travel times for locals.

“Sadly, Skew Bridge hasn’t been included this time, but we will continue to advocate for this in the coming years.”