Business Case

The SkyPath proposal was initiated and developed by the SkyPath Trust to provide a privately financed walking and cycling facility on the Auckland Harbour Bridge, funded through an admission fee. Private funding is required for the project due to lack of available funding from central and local government agencies. The NZ Transport Agency advises they are unable to provide construction funding for the facility due to the budget limitations for walking and cycling imposed by the Government Policy Statement. NZTA may be able to assist with the funding of the completion of strengthening work to the AHB and the SeaPath link to Akoranga.

The intention is that Public Infrastructure Partnership Fund II (PIP) will provide the private investment for SkyPath, with the PIP Fund and Council participating in a PPP to construct and operate the SkyPath, at the end of the agreed term SkyPath will pass to Council ownership.  A special purpose vehicle (“SPV”) would be established by the PIP Fund to design and build SkyPath, initially own the SkyPath structure and associated rights, operate and maintain SkyPath;  receiving revenues from admission fares and meet all costs associated with SkyPath over that term (subject to the underwrite and sharing of any “up-side” arrangements).

The admission fare paid by SkyPath users will cover the costs and maintenance of SkyPath.  

In return for the partial underwrite, there are many potential benefits for Auckland Council and Aucklanders, including:

  • Aucklanders get a critical piece of infrastructure – a walking and cycling link across the AHB – that has been a missing link for more than 50 years
  • A share of the of up-side or “gain share” once the post-tax return of the project has reached a pre-agreed level.
  • At the conclusion of the PPP, ownership of SkyPath would pass to Auckland Council. 


Patronage estimates

An independent study by Angus & Associates for Auckland Council has provided the estimates in the table below.

 User Type     Year 1     Year 20

Tourist            112,811         222,517
Recreation    534,227     1,438,632
Commuter    134,346        475,364
Total Users 781,384  2,136,513

The Trust is a not-for-profit community organisation whose objectives are to construct SkyPath then use any future income to support other walking and cycling projects. The Trust is incorporated under the Charitable Trusts Act 1957, incorporation number 2477887.

5 Responses to “Business Case”

  1. 21 June 2014

    Janette Miller said:

    Very interesting breakdown. It seems approx 2142 people will use the Skypath each day which will generate an income of approximately on the generous side $100,000 per week in the first year.

    Most of the traffic in commuters will probably be from Shore to City approx 370 a day with a percentage of those will drive to the Bridge park their car because of the terrain and either ride or walk across.

    The tourist plus recreation numbers about 1772 a day split 885 each end means for year one at least 400 parks will be needed at each station to cater for these and in 20 years double that amount to 800. So even taking the lowest estimate both receiving ends will need to cater for at least 500 extra off street parks to begin and over 20 years a 1000 perhaps more.

  2. 9 January 2015

    Stu M said:

    The above assumes that everyone will drive – that’s hugely unrealistic. Keeping parking for residents only and don’t provide any more then people just won’t be able to drive and will be able to use the public transport connections that are planned.

  3. 5 September 2017

    Rchard Smedley said:

    What level of Government and Council funding would allow Sky Path to proceed without a PIP arrangement?
    There have been many election promises on funding for the Sky Path construction. If these land post election, why would the project have to be privately financed? Council funding can keep the project moving in the mean time, but will there still be an option to remove the PIP? If a PIP is locked in, how would the community then be involved in decision making? I am concerned that Sky Path will become a tourist attraction to gather revenue at the expense of commuting alternatives. I hope there is a balance, but will the PIP provide that balance?

  4. 5 September 2017

    Andy Smith said:

    The end game is that all will use the SkyPath free of cost.
    A government can out the PPP at any stage.
    So far National says it may get funded with the Urban Cycle Fund, Labour says they have $30 Million toward it. There are many methods to charge to toll. HOP cards for locals, bigger price for tourists. There is a maximum number of people allowed on SkyPath at any one time, so there will be control gates toll or no toll.

  5. 27 April 2018

    Phil Clark said:

    One important fact to contemplate is there will be a large percentage of people willing to commute, sight see from home or back packers/motel/ hotel. So “Stations” which have basically been born from 21st century laziness and poor infrastructure will hopefully not bloom as much as predicted. Auckland really is depending too much on what the Council can provide. It would be nice to have friendly “kiosks” set up around Auckland where people can hire bikes close to the home or work and perhaps this would create less “lazy Lemmings” to congregate at stations. We need some visionary thinking to create a system of overgrown car parks.

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