Wellington also wants fuel tax

The regional fuel tax for Auckland could spread, if other regions get what they want.

RNZ:  Wellington council offers to join fuel tax plan

Greater Wellington Regional Council would implement a fuel tax if legislation before the house is passed, it says.

Under the proposed law change the regional fuel tax can be charged in Auckland and, from 2021, councils in other areas would also be able to implement one.

Council chair Chris Laidlaw said the tax would be put toward transport infrastructure developments.

“We already have several business cases in front of the government under consideration for rail improvements through the region including the Wairarapa … there are a variety of projects emerging from the ‘Lets Get Wellington Moving’ exercise, which is nearing completion,” Mr Laidlaw said.

He said the cost of these projects meant the council needed all the help it could get.

“They have to be paid for and the local government sector simply doesn’t have the resources to do this and our rates rises are heavy enough as it is,” he said.

He said introducing a regional fuel tax was the most sensible way of raising money for the expensive projects.

Of course other regions would like to avoid direct responsibility for rates rises by instead using different sorts of taxes.