QLDC property and infrastructure general manager Peter Hansby said in a statement the resort was experiencing "substantial and sustained growth" across several sectors, including tourism.
Given the scale and complexity of the infrastructure changes required, working together meant their collective resources would be used and ensure "the best possible overall response for Queenstown".
At an ORC meeting in Queenstown, corporate services director Nick Donnelly said the memorandum of understanding being drawn up was "not binding" but would "put us all around the table".
Cr Ella Lawton suggested the $2 Orbus network, launched almost a year ago, could be extended on the Arthurs Point to Arrowtown route along Malaghans Rd to create a "loop", at a cost of about $500,000.
"They're really asking for us to step up and help."
However, ORC chairman Stephen Woodhead said the regional council needed results from transport modelling work before it made further investment decisions.
As it stood, Orbus would increase its evening peak frequency to Lake Hayes Estate and Shotover Country this month and early next year a new ticketing system would be introduced.
"I just think we need to be very cautious and understand the demand before we react to whatever the next investment is," he said.
The memorandum of understanding between the three parties is due to be signed formally this month.
