Which specific transport projects, if any, will be deferred, descoped, or cancelled as a result of the 31 August 2026 decision on fuel excise, and on what date will affected councils and delivery partners be advised? and 1 other question

Answer

The Government Policy Statement on land transport 2024 (GPS 2024) recognises the funding pressures facing the National Land Transport Fund (NLTF) and the need to increase revenue. GPS 2024, which informed development of the National Land Transport Programme (NLTP) 2024-27, was predicated on the Government returning to the previous practice of regular Fuel Excise Duty (FED) and Road User Charges (RUC) increases from 1 January 2027. The funding profile assumed a 12 cents per litre increase from January 2027, which was incorporated into NZ Transport Agency Waka Kotahi's revenue forecasts and investment modelling. As a result, the 31 August 2026 decision to defer the planned FED and RUC increases would only affect revenue assumptions for the final six months of the current NLTP period(January to June 2027). The Crown is providing additional funding to the NLTF to cover forecast expenditure during this period. Consequently, no transport projects are currently expected to be deferred, descoped, or cancelled as a result of the decision, and no activity classes within the current NLTP are expected to receive reduced funding. Accordingly, there are no affected councils or delivery partners to advise at this time. Funding decisions beyond 30 June 2027 will be considered through the normal Regional Land Transport Plan (RLTP) and NLTP development processes. These decisions will be informed by GPS 2027, which is expected to be released next year and will guide development of the NLTP 2027-30.