Time-of-use charging proposed in Auckland

In 2023, Auckland Council and the Transport Infrastructure Committee (TIC) endorsed the creation of a programme team to progress time-of-use charging as soon as possible.

Auckland Transport (AT) and Auckland Council are working closely with the New Zealand Transport Agency and the Ministry of Transport on what time-of-use charging could look like for Auckland and will be seeking public input as legislation develops.

Auckland’s congestion problem

Auckland has a congestion problem that costs our economy up to $1 billion annually (NZIER, 2017). International experience shows we can’t build our way out of it: we don’t have the space or property, and land purchases are expensive. Because our population is growing, we’re exploring time-of-use charging as a partial solution.

AT’s role is to improve, invest in and manage the transport system so that Aucklanders can travel to the places they want to, safely, reliably and in a way that meets their needs.

About time-of-use charging

Time-of-use charging is a form of congestion charging. Charging road users during peak times can help ease congestion by encouraging people to use public roads in the most productive way possible, resulting in better use of the road network.

Time-of-use charging has been rolled out successfully in cities around the world. We want to deliver a scheme that has Auckland’s issues in mind, developed by the people who experience congestion daily.

Benefits

Charging road users during congested times of the day encourages people to change when and how they travel or avoid unnecessary trips altogether. This puts less pressure on the road network and can improve overall traffic flow. 

For people who can’t or don’t want to change their travel patterns, for example, businesses and some commuters, the aim is to provide less congested roads to enable faster, more reliable journey times. For some, time saved on the road outweighs money spent on time-of-use charges.

As we optimise demand for Auckland’s limited road space, the volume of people and goods moving through the network can increase, improving the efficiency of our existing road infrastructure.

Previous studies

The work we’re doing now builds on The Congestion Question (TCQ) investigation, which considers whether there’s a case for introducing congestion pricing in Auckland.

TCQ recommended a city centre cordon as the first step before expanding into strategic corridors by sub-regional area. Their analysis indicates that implementing the right solution can contribute to an 8% to 12% network performance improvement, about the level seen during school holiday periods. 

Next steps

We will build on the recommendations of TCQ, along with studying other highly congested locations outside the central area.

Our analysis will determine the respective costs, benefits and impacts of each option. We will look at transport metrics like traffic volumes, average speed and volume of people and goods movement, journey time reliability and alternative transport options. We will also consider social factors, such as the positive and negative impacts on communities, residents and businesses.

On 6 June 2024, these options were presented to Auckland Council’s Transport and Infrastructure Committee for endorsement. Further approvals will be sought from Auckland Council and other regulatory bodies as the project progresses.

Note: Before any scheme can be implemented, central government must pass legislation. The New Zealand government is currently drafting legislation for time-of-use charging, which will direct our policy and shape the scheme for Auckland.  

Time-of-use charging is included in the 2024 Draft Government Policy Statement on Transport.

Your views

As the programme continues, we will be seeking input from Aucklanders to help us get a better understanding of your views.