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The Ministry’s 2009–2012 Statement of Intent outlined its programme of planned actions for the period covered by this Annual Report.

These planned actions were separated by mode and a likely indicator of success was provided. It is acknowledged that some of those indicators of success are long-term in their nature and the Ministry expects to be demonstrating their success by 2012, as indicated in the 2009 Statement of Intent. This Annual Report has, where possible, recorded the deliverables against each of those planned actions. A progress update has been provided for initiatives that span more than the single reporting year that this report covers.

Road

The planned actions and deliverables for 2009/10 as outlined in the Ministry’s 2009–2012 Statement of Intent for the road programme were:

2009/10 Planned actionsDeliverables
Investigate barriers to improve performance in public transport, including the degree of regulation required to improve competition and achieve better value for money. Public transport operating environment (previously public transport legislation): A model that outlines how the public transport system will operate was developed, and the key stakeholders were consulted and have agreed to the model in principle. A Memorandum of Understanding is in the process of being drawn up to set the operating agreement for the trial to resolve final details of the model. 

Overview of the review of the SuperGold Card transport off-peak scheme: This included a public discussion document and targeted consultation with councils and operators.
Review road safety initiatives and agree the key areas of focus to improve road safety over the next decade. Safer Journeys strategy: The Safer Journeys road safety strategy was launched on 3 March 2010. It sets a new direction for road safety, taking a Safe System approach with actions aimed at improving the safety of roads and roadsides, speeds, vehicles and road use. Since its launch, the government has agreed to actions aimed at improving the safety of young drivers and reducing the impact of alcohol on road safety. Work has also begun on the Cabinet paper covering motorcycles, the give way rule and additional young driver actions.

Several Acts
were passed, including the introduction of drug driving provisions as part of the Land Transport Amendment Act 2009 and the Land Transport (Enforcement Powers) Act 2009 to deal with illegal street racing. New rules affecting road user behaviour, tyres and wheels, work time and logbooks, traction engines, dangerous goods and steering systems also came into force on 1 April 2010.
Investigate options for reducing harmful exhaust and greenhouse gas emissions. Safe and Fuel Efficient Driving New Zealand: A programme targeting drivers of heavy commercial vehicles was developed with industry. The programme, Safe and Fuel Efficient Driving New Zealand (SAFED NZ), involved training senior instructors and providing supporting manuals, DVDs and a website. The programme leads to measurable fuel savings, as well as safety benefits.

Rail

The planned actions and deliverables for 2009/10 as outlined in the Ministry’s 2009–2012 Statement of Intent for the rail programme were:

2009/10 Planned actionsDeliverables
Establish a transparent funding framework for commercial and subsidised rail activities.

Implement new arrangements for metro rail services in Auckland and Wellington, and complete rail infrastructure upgrades.
Metro rail operating model: During the 2009/10 year the metro rail operating model for Auckland and Wellington regions was developed and agreed by Cabinet. Work has begun on implementing parts of the operating model, such as establishing track access charges for both metro rail operating contracts and assisting with the public transport revenue modelling project to determine appropriate fare and subsidy levels.

National rail network: The Ministry worked with the Treasury to conduct a due diligence exercise on the KiwiRail Group Turnaround Plan. A detailed monitoring framework for the Turnaround Plan and rail-related appropriation was developed. The Ministry developed, in conjunction with the Crown Organisation Monitoring Unit, a manual for the monitoring and accountability framework for the KiwiRail Group.

Auckland metro rail: During the 2009/10 year, Cabinet approved a $500 million appropriation to develop new infrastructure and purchase new electric multiple units. The Ministry worked with regional stakeholders to develop a financial model that will help determine metro rail costs and revenue forecasts. The electrification of the Auckland network will help reduce congestion by providing more frequent trains at peak times.
Establish appropriate governance, institutional and legislative frameworks for rail. Urgent changes to rail governance were progressed through the Infrastructure Bill. Having removed the immediate impediments, the remaining governance arrangements are now fit for purpose.

Resources were reprioritised to focus on the Turnaround Plan and metro rail.
Develop rail safety initiatives to improve the safety of those operate on or near the rail system. The Ministry began work on developing a draft rail safety strategy.

Aviation

The planned actions and deliverables for 2009/10 as outlined in the Ministry’s 2009–2012 Statement of Intent for the aviation programme were:

2009/10 Planned actionsDeliverables
Maintain and enhance international air traffic rights to support passenger travel and freight movement. Cape Town Convention: New Zealand’s accession to the Cape Town Convention and its Protocol on Aircraft Equipment in March 2010 has enabled New Zealand’s aircraft operators to access discounted finance or leases for future aircraft acquisitions. 

Review of passenger security charges (Avsec charges): From 1 April 2010 the aviation security charge paid by out-bound airlines was reduced. This followed a review of the Aviation Security Service’s passenger security charges, which commenced in September 2009.


Multilateral coordination: The Ministry successfully participated in an International Civil Aviation Organization high-level meeting on aviation and the environment. The Ministry produced an outcome where the United States agreed to pursue a global annual average fuel efficiency improvement of 2 percent until 2020.


Air services: The Ministry continued working through the issues outstanding in air services negotiations with the European Union. However, given the differences between our respective positions on significant issues, it was difficult to reach a mutually acceptable position. Further negotiations were put on hold pending further developments on either side.

Negotiations were also held with Papua New Guinea in March 2010 where an understanding was reached on liberalising some elements of the air services arrangements.


New Zealand–Japan air services agreement: An agreement was reached with Japan on amendments to the New Zealand–Japan air services agreement to permit the operation of Boeing B777-300 aircraft on the route.

Ensuring levels of aviation safety and security. Work was progressed, in conjunction with Air New Zealand and the Civil Aviation Authority, on evaluating the feasibility of flight deck barriers on 19-seat aircraft.
Manage the Crown’s interest in charging and capital expenditure initiatives at joint venture airports. Joint venture airports - management of Crown interests: The Ministry visited each of the six joint venture airports to meet with airport management and monitor capital developments. This assisted the Ministry to effectively manage the Crown appropriation for joint venture airports. Funding was approved for upgrade of the New Plymouth Airport terminal, the reseal of the runway at Whakatane Airport and operational losses at Whanganui Airport.

In addition to the programmes of action outlined in the Ministry’s 2009–2012 Statement of Intent, the following initiatives arose:

  • International air linkages: The Ministry supported the Ministry of Tourism on its work on international air linkages, including providing advice on air services agreements and data and information from the Ministry’s sources.
  • Levy on Australian airlines: Jetstar decided to relinquish its New Zealand safety certification, and instead operate using its Australian certification under the 2007 mutual recognition arrangement for aviation certification that New Zealand has with Australia. The Ministry worked with the Civil Aviation Authority to provide advice to the government on introducing a reduced per domestic passenger safety levy rate for Australian airlines operating on this basis.
  • Security: The Ministry undertook additional engagement with the United States Transport Security Administration and Asia-Pacific Aviation Regulators as a result of increased security requirements following the terrorist incident on an aircraft from Europe to the United States in December 2009.

Maritime

The planned actions and deliverables for 2009/10 as outlined in the Ministry’s 2009–2012 Statement of Intent for the maritime programme were:

2009/10 Planned actionsDeliverables
Address workforce shortages in shipping and related industries. Maritime New Zealand-led coastal shipping and qualifications review: Maritime New Zealand is developing a revised qualification and operating limits framework. The Ministry has participated in the steering group for this project. The proposed framework will be released for consultation later in 2010.
Facilitate improved port and harbour navigational safety. The Ministry worked on the drafting instructions for the Maritime Transport Amendment Bill, which includes changes to strengthen port and harbour navigational safety. Work also continued with Maritime New Zealand on changes to Part 90 of the Maritime Rules to improve New Zealand’s pilotage framework.
Review transport policy priorities to enable investment in port facilities and shipping services. Freight information gathering system: The information gathered through the freight information system will inform transport policy priorities regarding freight networks.
Examine barriers to competition, market entry and performance of shipping. The Ministry and Maritime New Zealand worked with the domestic shipping sector to identify ways to better accommodate operators’ needs within the regulatory safety framework through administrative practice and maritime rule changes.

In addition to the programmes of action as outlined in the Ministry’s 2009–2012 Statement of Intent, the following initiatives arose:

  • Obtained search and rescue and boating safety awareness funding under section 9(1) Land Transport Management Act from 2010/11 onwards.
  • 2010 review of the marine safety charge (MSC): A reduction in the marine safety charge paid by cruise ships was announced in May 2010. The charge will decrease from 1 October 2010.
  • Submarine Cables and Pipelines Protection Act 1996: The Ministry initiated two prosecutions under the Act and commenced investigations in a further three incidents.
  • Pohokura cable: The Ministry consulted on and analysed submissions on proposals for changes to the Pohokura cable protection order.
  • Carriage of coastal shipping by international shipping (S198): The Ministry processed three authorisation requests involving nine LPG tankers and two cruise ships.


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