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In the economic assessment of the Warkworth to Te Hana project, is toll revenue treated as an economic benefit or as a transfer payment between road users and the funder, and if any part of toll revenue is included in the benefit stream, what is the benefit-cost ratio when it is excluded?

Answered Question 35848 (2026)
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Asked by

Tangi Utikere

Member for Palmerston North · Labour Party

Question

  • In the economic assessment of the Warkworth to Te Hana project, is toll revenue treated as an economic benefit or as a transfer payment between road users and the funder, and if any part of toll revenue is included in the benefit stream, what is the benefit-cost ratio when it is excluded?

Answered by

Hon Chris Bishop

Member for Hutt South · National Party · Minister of Transport

Answer

When calculating the BCR with tolling, toll revenue is treated as a transfer payment, meaning the gross toll charges are subtracted from the project benefits and the toll revenue is subtracted from the cost. In the economic assessment for Warkworth to Te Hana the BCR is based on a non-tolled base scenario, and results in a BCR of 1.4 excluding WEBs (1.6 including WEBs). No decision has been made on tolling yet.