Investigations have begun into an integrated ticketing system for public transport in Wellington, which will cost up to $39 million.
Wellington Regional Council system intends one smartcard for use on all buses, trains and harbour ferries Some railway stations will have gated barriers.
New Zealand Transport Agency has already spent $20 million on a computer system.
WRC transport committee deputy chair Peter Glensor said that while the system is very expensive to operate, it will pay dividends.
He said the investigation process will last for a year and tenders will be sought by 2016.