Government loosening transport purse strings for Waikato

Transport Minister Pete Hodgson has offered the Waikato the possibility of more money after admitting the region's share of a 5c a litre petrol tax rise will be too little.

The minister met mayors and other regional political leaders yesterday over their concerns that four key roading projects in the Waikato have been shuffled down the national pecking order of Transit NZ's draft 10-year plan.

Mr Hodgson acknowledged to the Weekend Herald that the Waikato's projected $187.3 million share of extra petrol excise and road-user charges for the period was "not enough" for the needs of a growing and strategically important region.

He said he had offered its leaders the possibility of more funding through a partnership process involving a proposed joint officials group from the Government and the region, once the Transit plan was finalised in July.

Such a group - similar to but smaller than an officials panel which led to a promise of $900 million of non-excise Government funding for Auckland transport projects over 10 years - could identify what more was needed in the Waikato.

Mr Hodgson expected safety to be a high priority, but said the meeting agreed that better traffic modelling was also needed to avoid congestion, especially around Hamilton.

He applauded Hamilton City's plan to raise $22 million from a 3.5 per cent rate rise this year for transport spending.