Not just truckies, not just EV drivers, not just diesel users, every single one of us.
This is not really a surprise, the Government flagged this two years ago. But now the work is starting and Cabinet has agreed to start changing the law on it.
And generally, I think this is a good idea. It’s going to make it more transparent, as most of us have no idea how much we’re paying to use the road because it’s hidden in the petrol cost.
But once it’s stripped out, it’s going to smack us in the face every month - or however often - we pay that bill. And it’s actually a lot, tax makes up almost half the cost of petrol.
It’s also going to, if designed properly, change our behaviour for the better.
Heavier cars should end up being charged more - as they should - because they do more damage to the roads. For example, electric vehicles, which are enormously heavy, will be pot-holing the road more than a lighter Suzuki Swift.
That should, if we respond rationally to pricing, move us towards lighter vehicles and away from the trend of 'bigger is better' - which is better for road maintenance.
But everything hangs off on enforcement. Because this is ripe for gaming.
The same people who don't get a WOF and don't get a rego now won't get their RUCs. So if you’re going from a simple system where it gets taken at the pump to a more complex 'count the Ks and file the paperworks system', how will you be sure everyone does it?
In an announcement light on detail - that’s the question I have. But in theory, it's a good idea.
Heather du Plessis-Allan is a journalist and commentator who hosts Newstalk ZB's Drive show HERE - where this article was sourced.
5 comments:
It will be interesting to see how they propose to average it out, so that an average car doing average Kms costs the same in RUC's +GST as petrol tax + GST. What's the bet that very few of us find we are paying less.
There will certainly be a loss of revenue from the Far North.
At the moment about 10 supply agents send their money in each night I would think.
When it changes, 3.5 mill vehicles will account each month for there charges or not.
Just how many people will it take to follow up on that.
When they say it will be automatic registered to the vehicle, this can only happen to late model vehicle say less than 10 years old at best, the rest will be on an honesty system
i suppose when you get a new wof or sell the vehicle there will be a process of confirming ruc fees in accordance with the km driven have been paid. Or if you don't pay any fees in a reasonable period the same cars that issue parking tickets will send a ticket for this offence
Disclaimer: I drive a gas guzzling SUV but live in Wellington CBD so average about 3000km a year.
Weird, we have a system where the more you drive or the heavier your vehicle the more tax you pay at the pump. Simple and painless for most.
Enter Stage Left: EV’s and hybrids, they avoid the tax on petrol, bugger, how do we fix this? We slap a Road User Charge (RUC) on them, same as diesel. Problem fixed?
Enter Stage Right: Government, we can fix this nonexistent problem, we’ll make everyone pay RUC’s but instead of the current system where you pay in advance we’ll let you run up a debt and make you pay in arrears. Just like parking fines everyone will pay immediately. Yeah Nah!
Government, we’ll make you fit a gizmo to your car so we can track your mileage. This will be fair because we won’t track your location and we won’t disable your car if you don’t pay.
New government: Shit! We can track your location and calculate your speed! Great, we can fine you for speeding, running red lights and cutting in on other drivers!
Double shit! We can disable your car! Sucker!
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