An independent report into Auckland’s traffic management situation reveals current regulations allows providers to “overkill” projects, allowing them to “profit from having staff and equipment deployed for as long as possible”.
The Auckland Mayoral Office released the report this morning. Mayor Wayne Brown commissioned the report from Ernst and Young Global Limited (EY), after he said there was “a lack of action from the New Zealand Transport Agency and the Ministry of Transport”.
Brown’s office said the report found:
- Temporary traffic management contractors have little incentive to work cheaper and faster
- Existing rules and regulations incentivise contractors to cause maximum disruption to maximise profits
- Legislative change is needed to change this behaviour and minimise disruption
- Virtually every other comparable jurisdiction charges more, enforces more vigorously, and charges for time and disruption.
The mayor called the situation “road cone mania” and said the “nonsensical” use of cones was “hugely frustrating for people”.
“It’s embarrassing, and not what you’d expect from a world-class city.”
He said the disruption went beyond the amount necessary to make work sites safer, adding it caused stress and could cause disruptions that impact the city’s economy.
“According to EY, current legislation makes it virtually impossible for local councils to charge contractors for time and disruption,” the mayoral office’s statement read. “Contractors then profit from deploying staff and equipment for as long as possible.
“Auckland Transport, following direction from the mayor, is making significant changes in its approach to temporary traffic management.
“But legislative change is required to finish the job.”
The report’s findings
The report said the current model allows TTM providers to “overkill” solutions.
“The most common contract that temporary traffic management providers currently use is a time-and materials contract,” the report explained.
“This model allows for temporary traffic management providers to ‘overkill’ temporary traffic management solutions relevant to the size and scope of the worksite, as they profit from having staff and equipment deployed for as long as possible.”
The report found “little-to-no pushback” on this as “maximising safety is generally seen as the only priority”.
“It is ultimately residents who fund the ‘overkill’ of temporary traffic management services,” the report added.
What can be done about it?
Brown said he had taken a number of measures to improve the situation.
“We’ve reduced the amount spent on temporary traffic management by $1.27 million since February,” he said.
“AT is also making the most out of its current ability to charge contractors for the closure of lanes and footpaths, but this is very limited.”
A new “Disruption Assessment Tool” was also set to go live by the end of September, to “force better consideration of trade-offs between disruption for businesses and road works”.
But Brown called on central Government to improve the “complex web of overlapping legislation and NZTA rules that have allowed this appalling situation to occur”.
The Government’s role
Transport Minister Simeon Brown earlier this month announced measures to reduce expenditure on temporary traffic management, including a new risk-based approach for workers and mandated reporting of spending.
An NZTA review of 800 worksites across the State Highway network in February found temporary traffic management wasn’t needed at 145 of these sites.
Simeon Brown said some level of temporary traffic management was “essential” but the review showed the current approach was “out of control”. Wayne Brown welcomed the minister’s input – but he “wants to see action, not talk”.
“Just give us the power to set fees and fines that reflect the scale of disruption.”
NZ Transport Agency response
A spokesperson for NZTA Waka Kotahi said the agency “is working to reduce our spending on Temporary Traffic Management (TTM), including introducing new risk-based guidelines for our state highway worksites around the country”.
“We’re monitoring TTM on our sites closely and working with our contractors and TTM suppliers to help make TTM more efficient and effective,” the spokesperson said.
“By managing the risk with good planning and the right amount of TTM equipment, we can reduce some excess and cost, while keeping roadworkers and road users safe.
“We’re also working to improve the quality of our road maintenance and renewal activity in general, which will reduce the requirement for smaller fixes, and in turn reducing the need for TTM equipment and costs overall.”
Auckland Transport response
Tracey Berkahn, Auckland Transport group manager for road corridor access and coordination, said: “We were pleased to participate in the report and we welcome the findings.
“The report acknowledges our desire to improve the impact of disruption caused by temporary traffic management and highlights the mechanisms that need to change to address this.
“We look forward to working on the AT related recommendations, many of which we are already implementing.”
Ministry of Transport response
A Ministry of Transport spokesperson said: “The use of temporary traffic management measures in Auckland are operational matters for the NZTA on state highways and for Auckland Transport on local roads.
“The Ministry of Transport will support NZTA should it identify that any legislative or policy change is needed.”
