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Rental vehicles

Part of: Travel Vehicles All-of-Government

The general rentals and commercial rentals categories include nationwide rental vehicle providers and discounted fixed daily rates to ensure agencies continue to achieve the best possible value.

The less–than-one-day rentals category includes providers who have footprints in Auckland and Wellington with discounted fixed rates (right up to the minute) which will help agencies to reduce emissions profiles and achieve broader outcomes.

Key details

Status

Current View dates

Type

All-of-Government

Lead agency

Ministry of Business, Innovation and Employment

What's covered

The AoG Rental vehicles contract includes three categories.

  • General rentals: provides passenger vehicles which are no more than nine seats. Charged on a per day basis.
  • Light commercial rentals: provides passenger vehicles with more than nine seats but less than twelve seats. It also includes light goods vehicles. Charged on a per day basis.
  • Less-than-one-day rentals: provides passenger vehicles charged on a per minute or per hour basis.

Each category features:

  • booking and managing domestic rental vehicle hire
  • competitive and transparent pricing, applied at point-of-sale
  • competitively-priced insurance options
  • account management
  • reporting.

What’s not covered

All categories:

International hire rates.

Less-than-one-day rentals:

Commercial solutions requiring agencies to provide car parks and/or charging infrastructure to receive the service.

How it works

General rentals and light commercial rentals:

Agencies can rent vehicles from any provider on the panel that meets their travel needs. To enable full flexibility, agencies can complete a service order with each of the panel providers.

Where your agency requires a secondary procurement process, a pricing calculator and services comparison guide are available under the contract resources section to streamline this process. Where no secondary procurement process is required, a service order will need to be signed with every provider that the agency wishes to rent vehicles from.

Contract resources

Less-than-one-day rentals:

The less-than-one-day rentals category offers a mobility solution that provides minute/hourly vehicle rentals. It’s also referred in the market as car-sharing. It can be an alternative solution to taxi and a potential replacement to your fleet vehicles.

In this category the providers offer an all-inclusive rental vehicles solution with the rate including fuel/electricity charge, parking, and vehicle maintenance.

There are two main operation models for this category. One is a round trip model and the other is a free floating model. The round trip model means that hirers pick up and return a rental car from a designated car park. The free floating model means that a hirer picks up a rental car from point A and returns the car to point B. It’s essentially a one way trip approach.

Agencies can rent vehicles from any provider on the panel that meets their travel needs. To enable full flexibility, agencies can complete a service order with each of the panel providers. As it’s an emerging market, each provider’s offerings are different. Please refer to services comparison guide and agency guide which are available under the contract resources section to provide further support.

Contract resources

Features and benefits

The rental vehicles contract offers:

  • low emission vehicles priced comparably to petrol and diesel alternatives
  • increased savings for agencies compared to the previous contract
  • a wider range of light commercial vehicles through the four panel providers eg utility vehicles, minibuses, cargo vans, and trucks that require a car licence only.

Benefits of the AoG travel pricing model include:

  • pre-negotiated pricing, terms and conditions which means agencies do not have to run a full procurement process to determine a preferred provider or sub-panel
  • ability to book with one or multiple panel provider to best meet your agencies needs
  • removal or reduction of fees for airport-pick up, one-way hire, and delivery and collection for improved agency savings
  • no monthly membership fees for less-than-one-day rentals category
  • emission reduction program (available from select providers from less-than-one-day rentals category)
  • free consolidated invoicing for improved contract management and time savings:
    • opt for monthly invoicing with a breakdown of charges and services
    • or use a Travel Management Services supplier to handle invoicing.
  • a choice of booking methods:
    • direct with provider via website, mobile application or online booking tool
    • via a TMS supplier.

Savings and costs

Savings

Agencies who participate in the rental vehicles contract don't need to go through a full procurement process of their own, which saves time, effort and cost. Estimates show participating agencies save an average of 7-40% compared to market rates through the contract.

The calculators in the contract resources section (agency login required) provide high-level pricing comparisons across providers' AoG daily hire rates.

Contract resources

Costs

General rentals and light commercial rentals:

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.

Rates in this contract include an administration fee of 1.5% of the total daily hire spend. It is not applied to extras such as one-way fees, pick-up and delivery fees, refuelling or accessories.

Poviders collect the administration fee and pass it on to MBIE - agencies don't need to make any payments to MBIE.

Less-than-one-day rentals:

There is no administration fee from the launch of less-than-one-day rentals until 30 June 2020.

Dates and renewal details

Status:
Current
Start date:
Current term end date:
Renewal details:
Four years + two rights of renewal of two years each.
Renewals left: two
Expiry details:
If the rights of renewal is exercised, the contract will expire on 2 March 2027

Joining the contract

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AoG travel pricing model

The AoG travel pricing model is recognised as best practice and is followed by three AoG travel contracts:

Air travel services

Rental vehicles

Travel management services

AoG travel pricing model

Joining AoG contracts

To be able to purchase from this contract agencies and schools first need to join.

Joining AoG contracts

​​Roles and responsibilities

Each participant in this contract has responsibilities that they must meet as part of that contract.

Roles and responsibilities

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