This is a brief introduction to the Transport Agency’s Investment Assessment Framework (IAF) for the 2018–21 National Land Transport Programme (NLTP) and the approach we are taking towards making investment decisions.
The IAF is the tool we use to assess and prioritise proposed activities for investment from the National Land Transport Fund. It helps to give effect to the Government Policy Statement on land transport (GPS). This means it makes sure investment in land transport infrastructure and services delivers the outcomes and priorities that the government has set out in the GPS.
We’ve developed the IAF with help from local government, the Ministry of Transport and our own Board.
In the IAF we’ve included two new activity classes – rapid transit and transitional rail. We’ve also added a new component demand management to the road safety promotion activity class.
The IAF applies the two-factor assessment profile of results alignment, and cost–benefit appraisal.
The GPS emphasises value for money which is partly determined through application of the cost-benefit appraisal. Cost–benefit appraisal takes account of the full range of benefits and costs over the life of the investment.
We determine the results alignment and cost–benefit appraisal for an investment based on our assessment of the business case. We combine these two assessment factors to produce an assessment profile for each proposal. This profile determines a proposal’s priority for inclusion in the NLTP.
We have continued our emphasis on the Business Case Approach, which means that all proposals must start out with a strategic case.
We hope you found this information useful and please remember to take a look at our other examples of how we apply the IAF.
More information on the IAF and the Business Case Approach can be found on our website’s Planning and Investment Knowledge Base.
If you have any questions about this information, or want to understand more about what we can invest in and how we can support your work, please contact your investment advisor, or Director Regional Relationships, or email us at email@example.com