Under the proposed changes, on-street fees would increase from $2.80 to $3.30 an hour and off-street parking would increase to $2.60 an hour.
Infrastructure and growth committee chair councillor Alex Crackett said the cost of maintaining parking infrastructure had increased and its pricing needed to reflect that.
“This decision was made to reduce the required rates increase to our whole community and to ensure that those using the service were paying an appropriate portion of the costs associated with providing the service, in line with [the] council’s revenue and financing policy,’’ she said.
Associated costs included compliance, parking buildings, road marking, safety features such as kerbing and bollards as well as general inflation-related costs.
Corporate overheads — including customer service, managing queries and appeals finance, payment systems — that were once covered by general rates were now being recovered through parking fees.
Cr Crackett acknowledged the increases would see parking fees increase to more than some other centres, but encouraged ratepayers to submit their feedback through the council’s forum.
“Council is seeking the community’s feedback on whether we’ve got the balance, between user-pays and rates, right.
“If council opts to reduce the proposed changes to parking fees, then a proportionate increase in rates will be required to cover the shortfall,’’ she said.
In December 2021, the council spent $800,000 to retire 750 lollipop, coin-operated parking meters in exchange for 85 digital kiosks across the city centre.
However, in the first year of operation, income from the new meters was down by $122,643 and it 12,074 tickets were issued.
By May 2022 parking complaints had risen 144% and there was confusion about fines being issued on vehicles whose drivers claimed they were entitled to park for the first 30 minutes free under the city’s bylaw.
The council eventually refunded 12,272 infringement notices issued between July 1, 2022 and February 29, 2024 worth a total of $490,880 — after it lost a challenge in court over its 30-minute bylaw.
Council finance and assurance group manager Patricia Christie said on-street parking revenue at December 31, 2025 was ahead of the previous financial year, while off-street parking revenue was in line with the 2025/26 budget — indicating a 5% drop in off-street demand.
Between October 2024 and June 2025, revenue collected from fines jumped to $1.14m from 16,504 infringements – up from $547,024 collected between June 2023 and 2024 and $520,059 the previous year.
The government increased infringement fines further by an average of 70% in 2025 prompting the city council to temporarily deploy wardens in pairs after staff reported an increase in abuse incidents.
Submissions on the proposed fees and charges schedule can be made in person at Splash Palace, Invercargill Public Library, the Bluff Service Centre, the Civic Building or online at letstalk.icc.govt.nz.
- Toni McDonald
