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Monday, May 1, 2023

Point of Order: The Govt puts the brakes on its spending....



.......in one part of the country, at least – by introducing a road toll

Taxpayers who increasingly are being pressed to hand over the readies for the Government to provide “free” services will have noted two articles in the newly launched The Post this morning. In one article, the $5 prescription charges fee is described as “inhumane”; in another, the newspaper delves into why some women get free pregnancy scans while others face hefty bills.

If the Government buckle, those services will become “free”.

There is news today, too. that more than 1 million New Zealanders will receive further cost-of-living relief as the Winter Energy Payment kicks in for people receiving New Zealand Superannuation, a Main Benefit or Veteran’s Pension.

Oh – and Government investment in research and development has increased by $2.11 billion under Labour.

It’s somewhat surprising, therefore, to learn that a charge will be imposed on motorists. Or rather, some motorists.

Transport Minister Michael Wood has announced users of O Mahurangi Penlink will be required to pay a toll.

He has posted this (alongside the energy and science spending statements) on the Government’s official website –

Latest from the Beehive


Transport Minister Michael Wood has announced the decision to toll O Mahurangi Penlink to futureproof the vital connection in Auckland’s transport network.


Over one million New Zealanders will receive more cost of living relief from tomorrow, with the Winter Energy Payment kicking in once again for people receiving New Zealand Superannuation, a Main Benefit or Veteran’s Pension.


The Government’s level of investment in research and development is paying off with new figures showing total expenditure in R&D hit record levels last year and has increased by 67 per cent since 2016.

Verrall’s statement was triggered by data showing total expenditure in R&D hit record levels last year and has increased by 67 per cent since 2016.

Total R&D expenditure reached over five billion dollars in 2022, covering the business, government, and higher education sectors. Government investment has increased by $2.11 billion since taking office.

Verrall mentioned the White Paper published last year which sets out the Government’s aim

… to build a modern, future-focused research, science and innovation system that equips New Zealand to meet the complex challenges ahead.

She didn’t spell out the extent to which government funding of science is becoming race-discriminatory. Earlier this year she announced the Government is investing in initiatives “to unlock Māori and Pacific resources, talent and knowledge across the science and research sector”.

Two new funds – He tipu ka hua and He aka ka toro – are to provide up to $10 million per year to Māori organisations to build Māori research capacity, capability and aspirations over the next five years.

“Through Te Ara Paerangi – Future Pathways, the New Zealand Government has committed to building a future-focused research, science and innovation system that understands and responds to Te Tiriti obligations and opportunities, enables mātauranga Māori and gives life to the research aspirations of Māori and Pacific Peoples.”

The new funds, fellowships and internships are being funded in part from the “Expanding the Impact of Vision Mātauranga” initiative, from Budget 2020, where $33 million was allocated “to attract and grow Māori talent in the research, science and innovation sector”.

In her statement about the energy payment, Social Development and Employment Minister Carmel Sepuloni said that from 1 May to 1 October this year, single people with no dependent children will receive an extra $20.46 per week while couples and people with children will receive an extra $31.82 per week.

This is on top of the increase to Superannuation and the Veteran’s Pension in the past month, which saw those over 65 receive $102.84 more in total a fortnight and a single person living alone an extra $66.86.

The Winter Energy Payment, part of the Government’s Families Package in 2017, was designed to provide older New Zealanders and many of our low and middle income families with more money to meet the cost of heating their homes over winter, Sepuloni said.

When the Government is being so generous, it is no surprise that the toll to be paid on the new $830 million highway north of Auckland has rankled residents who say it’s unfair they have to pay a toll on top of a regional fuel tax.

O Mahurangi-Penlink is a two-lane connection between the Whangaparāoa Peninsula and State Highway 1. It is projected for completion in late 2026.

Hibiscus Coast commuters will pay $3 per trip during peak traffic, from 6am-9am and 4pm-7pm, and $2 outside rush hour.

They are unlikely to be mollified by Transport Minister Michael Wood’s statement that:

“O Mahurangi Penlink is more than just a road, it is a vital connection for north Auckland, linking the Whangaparāoa Peninsula with the wider Auckland region.

“The road will not simply support the surrounding community through more lanes for cars, it will provide safer and more sustainable transport choices – becoming a key public transport route while also promoting walking and cycling on a separated shared path.

“This additional route will reduce travel time to North Auckland by about 20 minutes during peak hours.”


The Government recognises the importance of this transport corridor and funded the construction through $8.7 billion of capital investment from the New Zealand Upgrade Programme, Wood said.

“However, beyond the Government’s upfront investment the road will cost $3 million each year to maintain.

“The road will mostly serve specific communities, and so the Government has decided the fairest option is for drivers who will use the road to contribute through its ongoing maintenance costs through tolls.

“By using a tolling model the community can be assured the road will be maintained to a high level as there will be guaranteed income that will only be used to maintain this road,” Michael Wood said.


The initial toll for a light vehicle that passes through both tolling points will be $3 during peak congestion periods and $2 during interpeak periods. Heavy vehicles will pay double this rate.

Public transport operators and cyclists will not be tolled. This price is aligned with other toll roads in New Zealand

Toll camera points will be installed at two locations, one near State Highway 1 and the other just east of the Weiti Bridge.

Point of Order is a blog focused on politics and the economy run by veteran newspaper reporters Bob Edlin and Ian Templeton

1 comment:

Anonymous said...

The point is if you choose to live in Auckland - on top of a live volcano system, sprawling and overcrowded, with horrible humid weather and wind for sailing- such that everyone else in NZ ends up subsiding Auckland, then only fair you pay a road toll. No reason for Invercargill to chip in on that, for example. Oh, and by the way, please stay in Auckland- NZ is better off that way with the anthill of the north freeing up the rest of the country.