Drivers face leap in Route K tolls

The future of the toll road has been reached after three years of discussions. Photo/Thinkstock

ROUTE K tolls could rise under a council proposal. Tolls on Route K for two-axle vehicles would rise from $1.50 to $2 and from $4 to $5 for four-axle vehicles from 2015/16 to align with those proposed for the Tauranga eastern link.

The proposed changes to the Route K bylaw would go out for public consultation.

The news came after it was revealed the NZ Transport Agency could take over ownership of Route K next year but the debt would remain with the Tauranga City Council for 20 years.

The toll road would officially become a state highway from July 2015, under the agreement in principle approved by Tauranga Mayor Stuart Crosby and the majority of councillors yesterday.

An associated risk-share deal would see the council receive a monthly set payment from lost toll revenue for 20 years.

Tauranga's debt would be repaid if the Transport Agency decided to remove the toll in the future.

Mr Crosby urged his fellow councillors to accept the offer, which came after three years of discussions with the agency. "I believe it is a serious way of de-risking Route K for this council. The main focus for us has been on reducing future risk. This is a significant step in that right direction and ultimately it means the remainder of Route K debt will be off our books entirely. Overall, it also provides financial security for the city with regard to the future of Route K."

Cr Bill Grainger and Cr Catherine Stewart voted against the agreement.

Cr Grainger said the Route K debt remaining on council books until 2035 did not "wear" with him. "This is a significant road which will become a state highway and it is already a major gateway to the Port of Tauranga and we still have all this debt. This is election year and I think there is no better time to stand strong and go back to the Government."

Transport agency regional director Harry Wilson said Route K would remain a toll road until all debt was repaid.

The transport agency planned to move Route K to a new electronic tolling system from July 1 next year, identical to the system to be used on the Tauranga eastern link when it opens next year.

Mr Wilson said Route K provided a strategic connection for traffic from Auckland and Waikato heading towards the Port of Tauranga. "The change to an electronic tolling system will ensure users have a consistent tolling experience within the region and beyond. Vehicles will no longer be required to stop or slow down to pay the toll, providing time savings on every journey."