Auckland motorists will not have to pay to drive on the city’s congested motorways in peak-hour traffic any time soon, says Mayor Wayne Brown.
The mayor on Friday responded to the Land Transport Management (Time-of-Use Charging) Amendment Bill, which was passed into law on Tuesday with the unanimous support of Parliament.
The law allows for time-of-use charging, often called congestion charging, which encourages motorists to shift travel times or use alternative transport, reducing congestion and boosting productivity.
The council is on board with time-of-use charging, with Brown, who has earlier suggested charges on the Northwestern Motorway between Lincoln Rd and Te Atatū and the Southern Motorway between Penrose and Greenlane.
Transport Minister Chris Bishop hailed the law as a major step in tackling congestion and improving travel times on New Zealand’s busiest roads.
Auckland Council, he said, would be the first local authority the Government would partner with the New Zealand Transport Agency (NZTA) to introduce time-of-use charging, given the importance of Auckland to the national economy. Work by council and Government officials is already under way.
Brown welcomed the law change allowing the council to partner with NZTA, but signalled it would be “a long-term process” before a scheme comes into force.
Any work would involve extensive engagement with Auckland residents and businesses, he said.
One unresolved issue is the impact of congestion charges on low‑income earners, many of whom commute from the city fringes without alternative transport options.
Brown said the council’s transport and infrastructure committee will decide in 2026 whether to investigate a time‑of‑use charging scheme to ease congestion.
“Congestion won’t wait for central government election cycles. This works around the world, and it works here: we have lifted daily truck container collection charges at the Port of Auckland, and there has been a 50% increase in night traffic through the port; this is 50% fewer trucks on our congested daytime roads,” he said.
An Auckland Transport study released this year estimates congestion could cost the city about $2.6 billion annually by 2026.
Research from Auckland’s The Congestion Question project in 2020 found an effective time-of-use charging scheme could reduce peak-time congestion to levels typically seen during school holidays.
The same study estimated a scheme in Auckland could raise between $21 million and $261m per year, depending on the specific design and implementation.
There have been no recent costings for time-of-use charges. In 2020, officials suggested weekday tolls of $1.50 to $3.50 from 2025.
Automobile Association director Martin Glynn said the motoring body supported the legislation because congestion is such a big problem, particularly in Auckland.
He said time-of-use charging was the only realistic way to encourage motorists to drive at less busy times, but its implementation would depend on what was on the table.
“Are people going to have options? How much time will they actually save if they pay the charge? There’s a whole bunch of questions that need to be answered,” he said.
Glynn said the bill does not provide exemptions for people such as tradies or cleaners who have to travel in and out of a city throughout the day, he said.
“Emergency services vehicles and buses are exempt in the legislation – nothing else,” Glynn said.
Bishop said travel times in our major cities are up to 30% longer than in comparable Australian cities.
He said the legislation allowed local authorities to partner with NZTA on targeted time-of-use schemes that ease gridlock, improve freight flow and support economic growth.
“We know time-of-use charging works. For example, the Manhattan congestion-pricing scheme in New York City, which I visited earlier this year, has delivered measurable results.
“Since the congestion pricing scheme launched in January 2025, traffic delays within the Congestion Relief Zone are reported to be down by around 25%, average speeds during peak hours have reportedly improved by roughly 5-10%, and travel times by about 20–30% on key corridors.”
Meanwhile, projected net revenue for the programme is on track to hit about US$500m ($880m) for 2025, supporting major investment in public transport infrastructure, the minister said.
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