Why the Government has had to back down on RoNS
Friday, 10 July 2026
ANALYSIS: Transport Minister Chris Bishop’s “major transport” announcement on Thursday has been a long time coming.
Alongside answering when the City Rail Link will open and what the next Auckland Harbour Crossing will be, a question has been repeatedly asked of Bishop in many of his press conferences and public appearances: When and how are you going to build the Roads of National Significance?
Since November he has been answering that question by saying all would be revealed in the Major Transport Projects Pipeline, or MTPP. The follow-up question to that would always be - when is that going to be released? He would often answer “soon”.
On Thursday “soon” arrived showing only six of the Government’s RoNS had construction plans, with major projects such as the the $2.1b to 2.7b Petone to Grenada Link Road and Cross Valley Link based in Bishop’s electorate not likely to start construction for over 10 years.
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That example is a stark contrast to the National Party’s 2023 promise which said the road would commence construction within four to 10 years and cost $1.8b.
Another notable example in the plan was the State Highway One Wellington Improvements project which National said in 2023 would start construction in three to five years and cost $2.2b.
Current estimates put it at between $2.9b to $3.8b (although National’s original plan did not include adding a second Terrace Tunnel as currently planned).
In response to questions about this on Thursday Bishop said the 2023 promises made by National were “very ambitious” and that the world had changed a lot since the election, notably economic challenges caused by US President Donald Trump’s tariffs and the Iran War.
He also noted the party created the cost assessments in good faith based on only publicly-available information which opposition parties have to rely on.
Paving the path to Thursday’s announcement
Much like laying the first coat of bitumen down on a new motorway Bishop and his officials have been paving the way for a shake up of expectations for the RoNS.
If you look to a speech the transport minister made in November he said he’d been calling for the transport pipeline he delivered on Thursday and that some of the RoNS would not be “starting for many years”.
In the same speech he said “to deliver all of the RoNS, petrol tax and road user charges would have to rise by 70% or 49c per litre”.
He noted that would be on top of planned fuel tax increases set to come into force early next year, which he has signalled aren’t likely to happen.
The minister said that would not include other major projects such as the second Auckland Harbour Bridge crossing which will be more expensive than any of the RoNS, according to Bishop.
An important element of fuel taxes are that they are not tied to inflation, they are a flat rate and need to go up to meet the needs of roading expenditure. In recent years fuel tax hikes have been tinkered with - creating a funding headache for NZTA and the minister.
Documents released under the Official Information Act show that in July last year Ministry of Transport officials advised that all the roading projects have benefit cost ratios under 3.0 with some below one.
They said “the low value for money of the RoNS projects means that any benefits to economic growth and productivity would likely be outweighed by the financial burden placed on households”.
Its advice also said the increase in spending needed for the programme of work was counter to the then draft national infrastructure plan made by the Infrastructure Commission which recommended a decrease in state highway expenditure.
In April The Post reported another signal that the RoNS were not going to be built as originally pitched by former Transport Minister Simeon Brown as four-lane, grade-separated motorways with a report from the Ministry of Transport saying NZTA Waka Kotahi had sought its board’s approval to step away from the RoNS requirements when “appropriate” due to costs and constructibility purposes.
At the time Bishop confirmed that was the case, which was reaffirmed on Thursday when he said to the press pack the Government wants value for money for the roads, not “gold plated” ones.
He said Thursday’s announcement was not a back-down from promises previously made, including the second Mount Vic project given there have technically been spades in the ground.
Whatever the rationale, the recalibration is clear. The Government says it is committed to all the RoNS, some just might not start until after 2036, when it is likely the ministers in power will be out of the Beehive.