About funding assistance rates

This page relates to the 2024–27 National Land Transport Programme.

Introduction

Funding assistance rates (FARs) are the funding contribution, in percentage terms, that we (NZ Transport Agency Waka Kotahi (NZTA) as investor) make to an approved organisation for its eligible land transport activities. This section of the Planning and Information Knowledge Base provides information on the FARs that are applied in the 2024–27 National Land Transport Programme (NLTP). FARs are reviewed every 3 years, before each NLTP.

FAR policy

The FAR policy governs how we set the FARs, defines the criteria for adjustments and front-loading of FARs, and explains situations where we may agree to higher-than-normal targeted enhanced FARs. Section 20C of the Land Transport Management Act 2003 requires NZTA to set the rate of funding assistance from the National Land Transport Fund (NLTF). This currently averages 53% of the cost of local transport programmes.

Funding Assistance Rates (FAR) Policy

FARs for the 2024–27 NLTP

There are 2  categories of FAR:

1. Normal FARs apply to all approved organisations for most activities. The model used to set normal FARs may be viewed at the link below.
   Normal FAR 2024–27 model [XLSX, 1.1 MB]

2. Other FARs for specific activities. Examples of targeted enhanced FARs include:
   2. Special purpose roads (SPRs) maintenance programmes, including low-cost, low-risk improvements
   3. Total Mobility activities – the Ministry of Transport is conducting a full review of this scheme, after which we will review the FARs for Total Mobility activities, and so these FARs are subject to change .
   4. Emergency works under work category 141 for approved organisations
      Other funding assistance rates

The NZTA Board also has an established policy for considering the use of targeted enhanced funding assistance rates.

Targeted enhanced funding assistance rates