Defence procurement led New Zealand's releases on 16 October, with the Ministry of Defence confirming an agreement with the United States Government to buy five MH-60R Seahawk maritime helicopters, a $1,648 million capital investment with deliveries from 2030. Ministers also announced KiwiRail funding of up to $37.5 million for Picton ferry works, lower Border Processing Levy charges for cruise passengers and around $40 million for resilience work on State Highway 94 to Milford. Stats NZ reported petrol prices up 6.4 percent and diesel up 7.8 percent in September.
Friday 16 October 2026 (Pacific/Auckland source-local date) · 5 releases · MediaRelease.co editorial digest
Resilience work will soon begin on State Highway 94 between Te Anau and Milford, funded by around $40 million from Budget 2026, South Island and Associate Transport Minister James Meager said. The road is the only land access to Milford Sound, expected to draw close to one million visitors this year. Work starts at Pop's Corner/View Lookout and Marian Hill, and the $150 million-plus package also covers SH60 Tākaka Hill and two SH6 sections.
Cruise ship passengers will pay a net $19.91 less per person in Border Processing Levy charges from 1 July 2027, Customs Minister Casey Costello announced. The levy for arriving cruise passengers will fall from $27.14 to $7.20, while the departing rate rises by three cents. Air travellers face a small overall increase of 32 cents per passenger. The levy is forecast to recover $124.3 million of Customs' border processing costs in 2026/27.
KiwiRail will fund up to $37.5 million of Picton rail yard upgrades and auto-mooring technology for the new wharf as part of the New Ferries project, Rail Minister Winston Peters announced. Peters said taxpayers would not pay more than the Government's $1.7 billion allocation. The works include upgrading the wagon stabling yard connection to the wharf linkspan and extending the southern backshunt, and analysis showed they could proceed without delaying the programme.
Petrol prices rose 6.4 percent and diesel prices 7.8 percent in September 2026 compared with August, Stats NZ figures show. In the year ended September 2026, petrol was up 24.3 percent and diesel up 55.8 percent, with spokesperson Nicola Growden linking earlier rises to supply disruptions that began in late February. Annual food prices rose 2.4 percent, while onion prices climbed more than 86 percent, the largest annual increase since the series began in 2008.
New Zealand has signed an agreement with the United States Government to buy five MH-60R Seahawk maritime helicopters, with associated systems, weapons, spares and equipment, the Ministry of Defence said. The helicopters, to be delivered from 2030, will be interoperable with Australia and partner forces and extend the surveillance range of New Zealand's frigates. Total investment is $1,648 million capital and $110 million average annual operating funding over 10 years, including temporary infrastructure at RNZAF Base Auckland in Whenuapai.
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