SuperGold Card public transport review FAQs

Frequently asked questions

Why is the SuperGold card scheme being reviewed?

At the time the SuperGold card scheme (the scheme) was implemented in 2008 it was announced a review would be undertaken after the first 12 months to identify any refinements that may need to be made to ensure it stays within budget.

The initiative is new to New Zealand and as there is little international data on similar schemes, projections on uptake have largely needed to be estimated based on available information.

After the first 12 months of operation it has become clear that in its present form, the scheme will not be financially sustainable.

To assure the scheme’s future, changes will need to be made to reduce costs.

The aim of the review process is to change the scheme in a way that is fair to all while delivering enough cost savings to stay within budget.

Who is conducting the review?

The Ministry of Transport is conducting the review in collaboration with New Zealand Transport Agency (NZTA).

When did the review start?

October 2009.

When will the review be completed?

Recommendations will be put to the Minister of Transport by May 2010 for decisions to be made.

What is the review covering?

The review is considering how a consistent national level of service can continue to be provided for the scheme within the available budget.

This includes looking at:

• the uptake of the scheme in each region
• how the definition of ‘off peak’ is used around the country
• how operators are being reimbursed for SuperGold card trips.

What work has been done on the review so far?

Review work has included analysis of patronage data collected since the scheme began, a survey measuring changes in travel behaviour and to determine benefits to users and the wider economy from the scheme and discussions with key user groups on the use of the scheme.

Who is being consulted as part of the review?

In conducting the review the NZTA has been talking to a number of key stakeholder groups, including regional and local authorities who have responsibility for planning and funding public transport, Local Government NZ, public transport operators, Grey Power, Age Concern NZ, and the Ministry of Social Development’s Volunteer Community Co-ordinators for the Office for Senior Citizens.

Since October 2009 the NZTA has held a number of meetings with users, operators and regional council representatives to inform them of the scope of the review as well as outlining trends in usage and cost of the scheme during the first 12 months it has been operating.

Key stakeholders have been asked to give feedback on a consultation document which outlines a number of options for keeping the scheme financially sustainable.

What does the consultation document cover?

A number of options for keeping the scheme financially sustainable have been outlined in the consultation document. These are:

• a reduction of the reimbursement rate to operators or councils for each SuperGold trip
• a cap on reimbursement payments
• removal or reduction of payments for administration costs.

Stakeholders have been asked to give their feedback on these options as well as any other suggestions they may have for making the scheme more sustainable.

How much funding has been committed to the scheme and for how long?

$18 million per year has been committed on an ongoing basis to cover the cost of concessions and administration costs.

How much has been spent on the scheme so far?

At the end of the first twelve months of the scheme (October 08 to September 09), $18.36 million had been spent on the scheme across New Zealand, including $17.55 million for SuperGold card trip payments and $800,000 on administration.

What is the average cost of a trip?

The regional average differs but nationally it is approximately $2.38 trip.

How many trips a year (on average) do SuperGold card holders make?

Approximately 15 return trips per person a year.

What regions account for the most SuperGold card funding?

Auckland followed by Wellington and Canterbury, because they are the larger cities and have extensive public transport networks.

How many SGC holders are there?

540,000 (as of October 2009).

How many more SGC holders are expected to come into the scheme each year?

20,000 (net).

Will the scheme be regularly reviewed?

The scheme will continue to be monitored on a regular basis to ensure its financial sustainability and to make any refinements.

Why is there no afternoon off peak cut off in Auckland?

Free afternoon/evening peak travel in Auckland has never been part of the government’s SuperGold card scheme and is not funded from the SuperGold card budget.

Senior citizens in Auckland with a valid Auckland Regional Transport Authority (ARTA) Senior Citizen ID card or SuperGold card have been travelling free during the evening peak due to a special funding arrangement to overcome technical ticketing issues and enable implementation of the scheme throughout Auckland. 

Without this arrangement it would not have been practical to introduce the scheme in Auckland, affecting approximately138,000 SuperGold card holders. ARTA and the NZ Transport Agency (NZTA) share the cost of funding SuperGold card trips during the evening peak period. The NZTA contribution for this comes out of National Land Transport Programme funding allocated for the Auckland region.