Fuel tax law passes, more price rises

Parliament has passed the regional fuel tax legislation, just in time for 1 July implementation in Auckland. TYhisn will bump petrol prices up 11.5 cents a litre, but there are claims the real increase in the near future will be double that.

RNZ: Regional fuel tax becomes law

The government’s regional fuel tax changes have become law this evening, ahead of its planned introduction in Auckland on Sunday.

The bill passed 63-57 last night with Labour, NZ First, and Greens in voting in favour, and National and ACT opposed.

It means Aucklanders will be paying another 11.5 cents at the pump, in order to pay for major transport projects.

Transport Minister Phil Twyford told the House he was excited about the possibilities for transport infrastructure, and coming solutions to congestion, once the tax is implemented in New Zealand’s biggest and most congested city.

Mr Twyford told the House that Auckland Council would be accountable for how it uses the money.

But wait, there’s more (increases). NZH: Auckland motorists face two new petrol taxes hiking pump prices by up to 15.5c a litre

The council’s regional fuel tax of 11.5 cents a litre is due to come into effect on July 1.

Weeks later, the Government looks set to increase the fuel excise tax nationwide by between 3c a litre and 4c.

Papers released to the Herald under the Official Information Act show the Government intends to increase the fuel excise tax on September 1.

A spokesman for Twyford today said the tax is part of a draft 10-year transport plan due to finalised shortly.

Raising the excise tax happens often. Over nine years the National government raised excise tax six times, once by 2 cents and five times by 3 cents (that’s a total of 17 cents).

Petrol prices rose to near record highs recently before settling back a little.

Auckland prices look set to rise by 14.5 to 15.5 cents soon, plus GST – this will be on top of normal fluctuations.

Other local bodies are lining up to also get their regional fuel tax, but areas outside Auckland may be hit regardless as petrol suppliers often shift price increases around. Regions with less price competition tend to get whacked with higher prices.

 

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27 Comments

  1. Blazer

     /  June 27, 2018

    needs to be in BOLD …’Raising the excise tax happens often. Over nine years the National government raised excise tax six times, once by 2 cents and five times by 3 cents (that’s a total of 17 cents).’

    Reply
    • PartisanZ

       /  June 27, 2018

      AND … planned to build toll roads all over the place … including to serve places like Northland who’s GDP doesn’t warrant it … and whose people are apparently poor and deprived …

      Reply
    • PDB

       /  June 27, 2018

      You mean it needs to be in BOLD that this govt will have raised petrol tax after 8 months to almost the same total amount the previous govt had over a nine year period?

      Reply
      • Blazer

         /  June 27, 2018

        don’t you know the difference between the Council and the..Govt?

        Reply
        • PDB

           /  June 27, 2018

          That’s a cop-out – the govt has introduced legislation in order for Auckland Council (and other councils down the track) to do this, otherwise they…couldn’t. another big mistake with long-term consequences by the accidental govt.

          Reply
          • Blazer

             /  June 27, 2018

            hey can you tell me about all the synergies and cost savings for ratepayers that National promised when the Super City was…created.

            Reply
            • PDB

               /  June 27, 2018

              Unfortunately we will never know if that was possible with the big spending councils led by Labourites Len Brown and Phil Goff having been in charge since inception.

      • PDB

         /  June 27, 2018

        To clarify – in Auckland.

        Reply
  2. David

     /  June 27, 2018

    And there will be another 10% rise in tobacco costs to really smack around low income families.

    Reply
    • Kitty Catkin

       /  June 27, 2018

      They don’t need to smoke and there’s enough help now for those who want to stop,

      Reply
  3. David

     /  June 27, 2018

    TBH I am all for the extra taxes for Aucklanders if it means i can get into town quicker from the airport. If more travelers get the tram my corporate cab journey should be even quicker, only took 24 minutes last time with the excellent National built waterview tunnel.

    Reply
    • Blazer

       /  June 27, 2018

      ‘ National built waterview tunnel.’….trying comedy…again David…Corporate cab!…my word you travel in…style.

      Reply
      • Gezza

         /  June 27, 2018

        A Corporate Cab driver taking me to the airport early after a business trip to Aucks once turned the meter off & took me up One Tree Hill, when I said I’d never been up there, to point out various suburbs. Their drivers were mostly pakeha, but a mix of of other ethnicities. They were unfailingly courteous. Their contract rates were exceptionally good, much cheaper than most local taxis at the time, so my Department used them for that reason.

        Reply
        • Kitty Catkin

           /  June 27, 2018

          Do you remember that nasty little show, Target ? One of their things was to dob in taxi drivers who turned off the meters in traffic jam detours and so on. How pathetic ! I couldn’t believe how mean-spirited that was.

          Reply
          • Gezza

             /  June 27, 2018

            Was that on tv three? I hardly ever watch it. Lot of shite on that channel.

            Reply
            • Kitty Catkin

               /  June 28, 2018

              I can’t remember. I didn’t see many, but do remember the taxi one, which landed taxi drivers in trouble over a good deed !

          • Alan Wilkinson

             /  June 27, 2018

            Yes Kitty, Target was vile sanctimonious crap. Didn’t they eventually fall flat on their face and get canned?

            Reply
            • Kitty Catkin

               /  June 28, 2018

              I can’t remember. I hope so. I only remember the taxi one, them dobbing in a jeweller who did a quick repair on a watch and didn’t charge for it…but didn’t give some sort of advice. Also they sent ‘actors’ into pubs, pretending to be drunk. As one pub owner said, the staff were experienced enough to know whether someone was drunk or not. I can’t remember the presenter/just the nastiness.

  4. Zedd

     /  June 27, 2018

    IF folks in Akld really want to get rid of their congestion & gridlock on the roads.. then they need cash to pay for; more trains, buses, cycleways etc.
    Building a few more roads just wont cut it anymore..

    When I lived in Aust. one thing was certain, if they did not have good train systems etc… they would not be able to move in cities like Sydney. They understand that people move faster & more efficiently on public transport & other options, not just more cars, on more congested roads.
    Its 2018, not 1968.. time to ‘get with the program’ folks :/

    Reply
    • PDB

       /  June 27, 2018

      The fact is a fuel tax hits the poorest the hardest. Now a Labour-led govt is in place & allowing Councils to implement regional fuel taxes your attitude has changed from ‘look after the poor’ to ‘every Aucklander should just suck it up and pay’.

      Funny that…

      Reply
      • Kitty Catkin

         /  June 27, 2018

        Isn’t it ?

        Tax the poor to help the rich.

        Reply
      • Zedd

         /  June 27, 2018

        maybe.. but methinks the poorest are likely the ones, who will gain most from better public transport.. the rich snobs, ‘just dont lower themselves.. to catching trains/buses’ ?

        Reply
    • Gerrit

       /  June 27, 2018

      But New Zealand does not learn from the Sydney experience. All train/bus/ferry terminals have large multi storied and secure car parks to make the last mile in any public transport system easy for commuters. Here you get a muddy yard to park in, no security and one needs to be really early to get a space.

      Build car parks for the final mile and people may use public transport.

      Reply
      • alloytoo

         /  June 27, 2018

        I have repeatedly asked Auckland transport representatives about the “Park” bit of “Park n Ride”, uniformly they look at me like deer in the headlights. Their masters have no desire for practical solutions.

        Reply
        • Kitty Catkin

           /  June 27, 2018

          Public transport needs to be frequent and reliable or people won’t use it. The train between Hamilton and Auckland will never succeed because it will never be economic to run them often enough. When it was done before, it took people longer to travel because they had to go to a suburb rather than use the central railway station, stop all the way along and then travel to work when they arrived in Auckland. Not to mention the fact that the time suited very few people.

          Reply
  5. Traveller

     /  June 27, 2018

    I saw 91 at $2.20 in Gt North Rd

    Reply

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