Auckland's wealthiest get shared e-shuttles in trial funded from public purse

Friday, 23 November 2018

North Shore councillor Chris Darby and Auckland Transport executive general manager integrated networks Mark Lambert in front of an AT Local car.

Residents of wealthy Auckland suburbs will benefit from an electric-vehicle shuttle service in a one-year trial, subsidised by the public to the tune of almost a million dollars.

Auckland Transport launched the on-demand ride-share service, that will transport passengers to and from Devonport, Bayswater or Stanley Bay ferry terminals on the North Shore, on November 23.

The app-based service, branded 'AT Local', received funding of $475,000 from NZ Transport Agency (NZTA), under the National Land Transport Programme, with the remainder of the year's more than $945,000 subsidy coming from AT.

Devonport-Takapuna Local Board member Mike Sheehy was concerned about the cost of the subsidy to taxpayers and ratepayers.

**READ MORE:

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AT Local, an app-based ride-share service, launched on November 23.

AT predicted there would be 1400 rides with the service per week, according to information Sheehy requested at a local board meeting, which worked out as a subsidy of around $14 per ride. The subsidy would reduce if the service had greater uptake.

Sheehy questioned the level of expenditure for such a targeted group of potential users.

AT's group manager market and engagement, Kevin Leith said the service would be subsidised at a 'slightly higher' rate than buses or trains, but would be similar to ferries.

'It would really depend on the uptake and usage of the actual service of the service itself. We have some fixed overheads but, obviously, the more the service gets used, the lower the subsidy.'

Leith, said the wider Devonport area had been selected as the location for the trial of New Zealand's first on-demand electric vehicle ride-share service, due to congestion and parking issues.

'The Devonport peninsula is the perfect place to trial this technology as there are only two ways out of the area, via the very congested Lake Rd or on the ferry.

'We also expect that, by getting more people onto the ferry, we can reduce congestion in the area and, by giving people an alternative to driving to the terminal, we can free up parking spaces in the town centre.'

Within a 3 kilometre radius of the Devonport ferry terminal, the service would cost passengers $2.50 per ride from November to January. In February, the cost per trip would increase to $3.

To locations on the lower Devonport peninsula, other than the three ferry terminals, the cost was $5 per trip.

The fares were based on feedback from a trial in October 2017.

Bus services were available for passengers to and from the ferry terminals, but Sheehy said the bus service was out of sync with ferries, especially in the evenings.

He did not think the on-demand service was the answer.

'This [ride-share] doesn't make sense, just programme the bus to be the correct time.

'Or, if they want people to use public transport, they should reduce the cost of using the ferry, because in comparison to buses, ferries are more expensive.'

The vehicles cost more than $350,000, including three electric cars, purchased for AT's fleet earlier this year at around $50,000 each, and three new vans, bought for specifically AT Local at $69,000 each.

AT Local is based on Savy, a ride-share service which entered the Queenstown market in November 2017.

According to Savy's website, over the pilot period of 11 months, there were more than 30,000 rides made by almost 10,000 people.

Savy stopped the service on October 31.

'It was canned because it wasn't effective and cost too much money,' Sheehy said.

The technology team behind Savy, Via, was involved in the Auckland trial, and Via chief executive officer Daniel Ramot said the Auckland market would be more successful.

'I firmly believe this service will thrive in Devonport, and can be rolled out to other parts of Auckland,' Ramot said.

Leith said AT would consider introducing the service around other stops on the Northern Busway or as an alternative to buses in developing suburbs.

North Shore ward councillor, Chris Darby, was supportive of the trial and said AT Local provided another tailored transport solution for local residents.

'2018 has been a year for testing new technologies to support improved mobility. We've so far seen the success of dynamic lane-marking on Whangaparāoa Rd and smiles on faces of Lime e-scooter riders. AT Local is another innovative way of getting about without resorting to driving,' Darby said.