Overview
We are also making improvements in our investment decision making system. These changes are in response to a review that was carried out in 2015 by the Ministry of Transport, Treasury and the Transport Agency. This is not a complete overhaul of the investment decision making (IDM) system, but rather incremental changes to the way we make investment decisions.
Our philosophy for the upcoming 2018-21 NLTP is to begin with a redesign of our approach. We want to simplify our investment partners and stakeholders lives with innovative services and experiences. One of the components of this work is redesigning the Investment Assessment Framework (IAF) in time for the 2018–21 NLTP.
The redesigned IAF has been developed to give effect to changes signalled in the engagement draft of the Government Policy Statement on Land Transport for 2018/19 to 2027/28 (GPS). The IAF will provide greater clarity and transparency around investment criteria and decisions for everyone involved in the investment process. It will remove any overlap between investment assessment criteria and make the criteria, and how it is applied, easier to understand.
It will also provide greater clarity about how IDM / IAF and the Business Case Approach fit together.
Key improvements to the IAF include moving from a three to two factor assessment by removing the effectiveness factor which is more fully considered within the Business Case Approach. These are supported by the Transport Agency’s assessment of the business case, which considers the supporting evidence for investment proposals and how the principles of the Business Case Approach have been applied. We continue developing our assessment criteria and will provide further information on as it is developed.
We are using input from the sector to help shape the final IAF design. We expect a broad range of stakeholders, our Minister, the Ministry of Transport, and our investment partners and the sector, to benefit from these changes.
Current progress
On 13 March we shared the initial draft IAF and investment assessment criteria and guidance for road maintenance programmes with our stakeholders. We released the draft IAF to our investment partners to provide as much time and certainty as possible to enable our stakeholders to develop and deliver proposals and programmes that support the delivery of the 2018-21 NLTP.
The draft IAF gives effect to the GPS. The GPS is subject to further changes based on sector feedback, which we anticipate will be finalised in the second half of 2017.
To date we are pleased with the amount of constructive feedback that we have received on the draft IAF. We are now reviewing and analysing the feedback responses and we will be processing this over the coming month.
As part of the IAF we are developing supporting information and have now released the following documents:
- Applying the draft IAF to public transport
- Applying the draft IAF to improvements
- Supporting information and evidence for NLTP 2018-21
We will continue to develop supporting information that assists our Investments Partners and supports delivery of the 2018–21 NLTP. NZ Transport Agency will work with investment partners to understand the challenges and opportunities that exist in the transport system and how we can work better together.
As we continue to work together we will develop our documents and communicate these changes. In line with this approach we have also amended the set of frequently asked questions (FAQ) document to support practitioners through these changes.
Key documents
- Draft IAF for the 2018-21 NLTP
- Applying the draft IAF to road maintenance
- Applying the draft IAF to public transport
- Applying the draft IAF to improvements
- Supporting information and evidence for NLTP 2018-21
- FAQs – IAF for the 2018–21 NLTP
Contact us
Your feedback is important to us. If you’d like to know more or have some feedback let us know.