The Wellbeing Budget

Transforming the economy

Initiatives: Investing in rail and sustainable transport

Auckland City Rail Link: To Improve Access to Employment and Education in Auckland Central

$1.4 billion capital
The City Rail Link project is expected to improve access to the city centre; reduce travel times and reduce traffic congestion; double capacity on the Auckland rail network; and provide for commercial and residential development. This initiative includes $855 million for the original cost of the project (shared equally with Auckland City Council), $406 million for the ability to cope with cost pressures as a result of market conditions, and $134 million to increase benefits of the project through enabling the running of nine-car trains and increased station capacities.

Future of Rail: Begin the Process of Replacing the Interisland Ferries to Support a Resilient and Reliable Freight Rail System

$35 million capital
This initiative aims to ensure the ferries between the North Island and the South Island continue to support economic growth through the movement of freight and passengers, as well as reducing carbon emissions. The funding will begin the process of replacing the Interislander ships that are at the end of their serviceable and economic lives.

Future of Rail: Replacing Rolling Stock to Support a Resilient and Reliable Rail Freight System

$375 million capital
This funding is to replace rolling stock (locomotives and wagons) that have reached, or will soon reach, the end of their useful lives. It also provides funding for upgrades to KiwiRail’s mechanical maintenance facilities so they can be more effective and efficient in providing ongoing maintenance of the new rolling stock fleet.

Future of Rail: Working Capital to Support a Resilient and Reliable Freight Rail System

$1 million operating
$331 million capital

This initiative aims to ensure rail can continue to support economic growth through the movement of freight and passengers, as well as reducing carbon emissions.

Investigating a Green Transport Card to Make Public Transport More Affordable for Low‑Income Households

$4.6 million operating
This funding will enable the investigation of a Green Transport Card, which would entitle Community Services Card holders to public transport fare concessions. This funding will be used to establish operational systems for the card, which may be introduced in the future.

Rail – Maintaining an Electric Locomotive Fleet on the North Island Main Trunk Line

$35 million operating
This initiative ensures that electric locomotives continue to provide a significant portion of rail freight services between Hamilton and Palmerston North. The funding will be used to refurbish the electric control system and 15 electric trains that would otherwise need to be retired.

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