48145 (2024). Helen White to the Minister of Transport

48145 (2024). Helen White to the Minister of Transport: Can the Minister provide the rationale for changing NZTA's standard cost-benefit analysis methodology when performing a cost-benefit analysis of speed limits, beyond the statement in Proposal 1 concerning 'simplify[ing] the approach for RCAs', and is the Minister confident that this modified methodology will accurately capture the costs and benefits?

Hon Simeon Brown: The draft Land Transport Rule: Setting of Speed Limits 2024 does not propose to change NZTA's standard cost-benefit analysis methodology in its Monetised Benefits and Costs Manual. Rather, it proposes to use the approach recommended by the Treasury in its Guide to Social Cost Benefit Analysis which assesses the trade-off between costs and benefits to society rather than a return on investment. I sought feedback on the proposed approach through consultation on the draft Rule and will carefully consider feedback received before making decisions on the final Rule.