Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Road User Charges Bill will mean higher costs for motorists



Media Release: 21 February 2012

Road User Charges Bill will mean higher costs for motorists

The Road User Charges Bill just passed by Parliament will mean higher costs for the majority of diesel vehicle owners, says the New Zealand Automobile Association.

“While the new Bill simplifies the Road User Charges (RUC) system and reduces compliance costs and fraud, most diesel users will have to pay more,” says AA spokesperson Mark Stockdale.

“A vehicle will now be charged for the maximum weight it can carry, which assumes that cars are always carrying a full load, which is rarely the case. This is expected to result in an increase of $1.56 per 1,000 kilometres for a diesel car, or about an extra $23 per year for the average motorist.

“While not a large increase, this amounts to an extra $5 million a year across the entire fleet of 217,000 diesel cars and utes. On top of that, RUC fees are expected to increase again later this year along with the petrol tax.

“The new Bill sends the wrong message to diesel car owners. The Bill is a missed opportunity to encourage people into buying more fuel-efficient, environmentally-friendly diesels.”

The AA says a minority of very heavy diesel vehicle owners will benefit from the changes, at the expense of the majority of owners who will end up paying more. Ninety percent of RUC users are not heavy freight.

“In addition to higher RUC fees for cars, owners of large motorhomes will pay over double what they do now. This is despite motorhomes not causing any more damage to the road, and will be hard for owners who are often on fixed incomes. Other vehicles that do not carry heavy loads, like courier and furniture trucks, tow trucks and fire engines will also pay more. This will have a negative impact on many businesses who will pass on higher costs to their customers,” says Mr Stockdale.

“The Bill has moved away from the principle of users pays, whereby those who carried more weight paid more road tax Under the new regulations, vehicle owners who carry light loads will be subsidising the heaviest vehicles, and that’s plain wrong.

“The AA is disappointed the concerns of the majority of diesel vehicle owners have been ignored in the drafting of this Bill. However, some of these unfair and unintended consequences can still be addressed by changing the consequential regulations.”

The AA made strong submissions on the draft Bill, proposing including a lower RUC weight class for cars, creating a new class for motorhomes, and permitting commercial vehicle owners to nominate a lower weight for certain vehicle sub-classes that better reflects their operating weight.

• Diesel vehicle owners contribute about $1 billion a year in Road User Charges, compared to about $1.45b from petrol vehicle owners in fuel tax. These funds are used to maintain the land transport network.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell:
On The Pakistan Schoolchildren Killings

The slaughter of the children in Pakistan is incomprehensibly awful. On the side, it has thrown a spotlight onto something that’s become a pop cultural meme. Fans of the Homeland TV series will be well aware of the collusion between sections of the Pakistan military/security establishment on one hand and sections of the Taliban of the other…

Reportedly, it was the breakdown of the relationship between the Pakistan Taliban and the Pakistan military – which for the first time, began bombing Taliban enclaves in the Tribal Federated Areas earlier this year – that led to this revenge attack on the school, which is attended by the children of the military. More>>

 

Parliament Adjourns:

Police: Phillip Smith Investigation Passport Charge

A 25 year-old man will appear in the Whanganui District Court today charged with the Passports Act offence of False Representations. The charges were laid on December 9 by the Auckland-based Phillip Smith investigation... More>>

Intelligence: Inspector-General Accepts Apology For Leak Of Report

The Inspector-General of Intelligence and Security, Cheryl Gwyn, has accepted an unreserved apology from Hon Phil Goff MP for disclosing some of the contents of her recent Report into the Release of Information by the NZSIS in July and August 2011 to media prior to its publication. The Inspector-General will not take the matter any further. More>>

ALSO:

Drink: Alcohol Advertising Report Released

The report of the Ministerial Forum on Alcohol Advertising and Sponsorship has been released today, with Ministers noting that further work will be required on the feasibility and impact of the proposals. More>>

ALSO:

Other Report:

Leaked Cabinet Papers: Treasury Calls For Health Cuts

Leaked Cabinet papers that show that Government has been advised to cut the health budget by around $200 million is ringing alarm bells throughout the nursing and midwifery community. More>>

ALSO:

Maori Party: Tribunal Report Confirms Iwi Ownership Of Lake Waikaremoana

“We are pleased for the claimants that eight years after the hearing began on Lake Waikaremoana they have some closure,” says Māori Party Co-leader Te Ururoa Flavell. “Most importantly, the report confirms freshwater is a taonga and identifies the ownership rights of Tūhoe, Ngāti Ruapani, Ngāti Kahungunu, and Ngāi Tamaterangi to the lake bed.” More>>

ALSO:

Climate Performance Report - Not Achieved: NZ Government Part Of Global Climate Problem

The New Zealand Government’s position on climate change is part of the global problem that we need to overcome if we are to avoid catastrophic climate change, the Green Party said. More>>

ALSO:

NSW Police Statement: Three Dead Following Martin Place Siege

About 2.10am (Tuesday 16 December), a confrontation occurred between police and a man who had taken a number of people hostage inside a café on Martin Place. Shots were fired during the confrontation. As a result, the 50-year-old man was pronounced dead after being taken to hospital. Another man, aged 34, and a woman, aged 38, were pronounced dead after being taken to hospital. More>>

ALSO:

Gordon Campbell: On The Sydney Siege (And DHB Budget Cuts)
Whenever the authorities bring a siege situation to an end, there will be criticism if – as has happened in Sydney – any hostages are seriously hurt, or killed... In the Sydney Morning Herald this morning, columnist Peter Hartcher raises a different point – that the initial public response had been noticeably different to the agitated reactions of politicians and the media. More>>

ALSO:

Gordon Campbell: On Income Inequality, And Yo Ho Ho Christmas Songs

As 2014 grinds to a close, we probably didn’t need one more reminder of this government’s ability to stare reality in the face and declare black to be a very fine shade of white... Yet on Wednesday, there was Finance Minister Bill English trying to tell RNZ that the OECD was (a) wrong (b) using old data and (c) somehow anti-growth and in any case (d) New Zealand allegedly already had a strongly re-distributive tax system... More>>

Werewolf: Public Health - The Silent Crisis

Gordon Campbell: New Zealand’s public health system has been in crisis for so long that its failings – and deteriorating performance vis a vis other developed countries – now tend to be treated as its normal mode of being. More>>

ALSO:

Parliament Today: House Adjourns For Summer

Parliament has risen for the summer break with the Adjournment Motion agreed just after 5pm on Wednesday. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news