The All-of-Government motor vehicles contract provides fit-for-purpose, safe vehicles, including electric vehicles, at the lowest possible total cost of ownership across the life of the vehicle.
A compulsory recall is in place in New Zealand after a global recall of vehicles fitted with Alpha type Takata airbags. We are working with our vehicle panel providers, and those providers affected by the recall will be in contact with agencies that have affected vehicles. More information can be found on the Product Recalls website or please contact us if you any questions.
The Motor vehicles contract covers passenger and light commercial vehicles split into 14 vehicle sub-classes and two restricted specialised sub-classes, covering a range of vehicle body style, transmission and fuel options to meet fit for purpose requirements.
| Passenger | Light commercial | Specialised |
|---|---|---|
| Sub-compact | 2WD Utility | Limousine |
| Compact | 4WD Utility or Wagon | Police Prime 1 |
| Medium | 4WD Large | |
| Large | Cargo Van - Small | |
| AWD/SUV - Medium | Cargo Van - Medium | |
| AWD/SUV - Large | Cargo Van - Large | |
| Minibus - Medium | ||
| Minibus - Large |
The contract includes the Electric vehicles supplier panel which is an open panel, meaning car manufacturers can apply to join when they have new, or near new, electric vehicles available to supply the New Zealand market.
You can purchase vehicles best suited to your needs from any or all suppliers on the panel. The vehicles available through this contract are listed in the vehicles catalogue.
Vehicles in the vehicles catalogue are ranked according to their Total Cost of Ownership (TCO). A vehicle's TCO looks at value for money across its whole-of-life costs.
Key elements of the TCO model are:
The TCO model does not include unscheduled servicing, accessories, replacement panel parts, servicing parts, depreciation, insurance or Fringe Benefit Tax.
It is a simple and flexible solution that reduces the complexity and cost of procurement for agencies and suppliers, while providing continuous improvement in technology, service delivery, cost-effectiveness and performance.
All suppliers offer:
The contract also provides the option to buy some related services such as service plans, light fit-outs etc.
Vehicles on the catalogue have been selected based on the best TCO over a 5 year/100,000km ownership period.
Passenger vehicles meet a minimum 5 star ANCAP (or equivalent) safety rating. For the light commercial vehicles the minimum safety rating is 4 stars, although 54% of on catalogue light commercial vehicles now meet the maximum 5 star rating.
If your fleet ownership model is to lease your vehicles, you can still benefit from this contract. While leasing services are out of scope, your contracted/preferred leasing provider can purchase vehicles at AoG rates on your behalf and you benefit through better monthly leasing costs.
Agencies who participate in the Motor vehicles contract don't need to go through a full procurement process of their own, which saves time, effort and cost.
The TCO for each vehicle is subject to a number of moving elements and as such we can’t accurately forecast savings based on the TCO. Reported savings is therefore calculated using the purchase price of the base vehicle (excluding On Road Costs (ORC) and accessories).
We have projected an average 7% savings (net of the administration fee) on the baseline market rate (the best rate available to agencies outside of AoG).
Agencies can further reduce their fleet costs by using the information and guidance provided to make informed, cost effective purchasing decisions.
Most AoG contracts include an administration fee. This fee is a simple, effective and transparent way of recovering the cost of developing, sourcing, implementing and managing AoG contracts.
An administration fee of 1.5% applies to the base vehicle cost (excludes ORC and accessories) and is detailed in a separate line within the vehicles catalogue for each vehicle.
Suppliers collect the administration fee and pass it on to MBIE - agencies don't need to make any payments to MBIE.
To be able to purchase from this contract agencies and schools first need to join.
Each participant in this contract has responsibilities that they must meet as part of that contract.