6 Aug 2020

NZTA gets $1bn from recovery fund to keep large projects afloat

8:24 pm on 6 August 2020

The government is spending over a billion dollars from its Covid-19 recovery fund on the Transport Agency, to make up for a drop in revenue.

New Zealand currency held fanned out in someones hand

File image. Photo: 123rf.com

It is providing a $600 million top-up to the national transport fund to help cover the lower-than-expected revenue from fuel taxes, road user charges and vehicle registrations due to the pandemic.

It also made $425m immediately available to Waka Kotahi New Zealand Transport Agency to be repaid over seven years, with the option to borrow $300m more.

Transport Minister Phil Twyford said that without the money large projects would have to be put off or cancelled.

This included completing the Waikato expressway, starting the Manawatū Gorge highway replacement and continuing its road maintenance programme.