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Home / Waikato News

Fuel tax and road user charges combined not equitable for motorists

Dean Taylor
By Dean Taylor
Editor·Waikato Herald·
28 Mar, 2024 06:30 PM4 mins to read

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Collecting road taxes at the pump is inequitable.

Collecting road taxes at the pump is inequitable.

OPINION

Incentives to get motorists into “clean” cars cease in a few days, and already we can see the alternatives are contentious.

In my view there is only one clear and transparent solution — all vehicles should be subject to road user charges (RUC) based on the size and impact of the vehicle on the roading network, not the type and amount of fuel they use.

Apart from the obvious cost of administration, proceeds of RUCs should be directed where they belong — our roading infrastructure.

We can all agree our roading network needs serious work, and without an efficient public transport and freight transport system, road transport is still the best option for our small country.

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Better roads will make the use of vehicles more efficient. Less time will be spent crawling through roadworks or being held up because of bad roads, or broken down because of damage caused by the poor roads.

The list could go on, but none of those outcomes contribute to efficient driving.

Efficient use of any fuel in any vehicle is attained by a combination of factors. The vehicle needs to be running well, tyre pressures need to be optimum, weight needs to be minimal; but crucial also is how the car is driven — steady, smooth, minimal braking, use of momentum, these are all factors that help fuel efficiency.

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Good roads help drivers maintain those desired driving attributes.

Getting back to “taxes” — the Government should not mix road taxes with “green aspirations”.

In a country where we want fairness and transparency, the concept that someone driving an electric car should get “free” use of roads is simply wrong.

And in the same way, it is simply wrong that when I mow my lawns or go fishing using petrol power, I am contributing more to the pool for road repairs than an EV driver.

In a country where we want fairness, the concept that someone driving an electric car should get “free” use of roads is simply wrong, Dean Taylor thinks. Photo / Getty Images.
In a country where we want fairness, the concept that someone driving an electric car should get “free” use of roads is simply wrong, Dean Taylor thinks. Photo / Getty Images.

I also believe an equitable system would be more efficient at putting money where it is needed, if there is such a thing as government efficiency.

The RUC system is already in place, and adding petrol and electric vehicles to the mix is a matter of scale, not reinventing the wheel.

One of the inequities is around the various types of electric, plug-in electric, hybrid and serial electric vehicles now on the roads.

Trying to create a mix of petrol tax and RUC, to be fair, is simply not possible.

Hybrids have the potential to pay less than their fair share, while plug-in electric hybrid owners may pay more, even with the Government’s slip-up to agree to a lesser rate than planned.

With all of New Zealand’s fleet plugged into the RUC system, there is also the opportunity to bring about an improvement to the fleet and standard of cars on the road by monitoring other requirements.

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If a vehicle owner requires an RUC, it is fair to assume the car is being used on the road.

The system could preclude vehicles not registered or meeting WoF or CoF standards from having an RUC supplied.

The vehicle could be flagged in the system to prevent its illegal use.

In the same way, vehicles not displaying a current RUC could be failed for a WoF or Cof and prevented from being registered for on-road use.

Exemptions would need to be put in place for vehicles undergoing restoration or repair, but the overall effect should be better and safer cars on our roads and everyone paying their dues.

The matter of a cleaner and greener fleet is a different issue and should be dealt with incentives and fees that do not impact upon the standard of roads in New Zealand.

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Dean Taylor is a community journalist with more than 35 years of experience and is editor of the Te Awamutu Courier and Waikato Herald.

Stay up to date with the Te Awamutu Courier and Waikato Herald. Get the latest Waikato headlines straight to your inbox Monday to Saturday. Register for free today - click here and choose Local News.


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