Limitoo News

Road User Charges bill passes, taking effect 21 April

A bill discounting road user charges by 36 percent has passed its third reading in Parliament.

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Photo: RNZ / Samuel Rillstone

Road user charges apply to drivers of light diesel vehicles and heavy trucks.

The Road User Charges (Temporary RUC Reduction Scheme) Amendment Bill legislation also allows Waka Kotahi to issue invoices if RUC licences are found to have been bought for excessive distances or otherwise abuse the three month long reduction.

It comes into effect in two weeks, on 21 April, and lasts for three months.

Those purchasing RUCs during the three months will be required to complete an online declaration form stating they are only purchasing charges required for that period.

The move is part of the government package to ease the pressure on fuel costs, impacted by the Russian war on Ukraine.

It sits alongside an equivalent 25 cent fuel tax cut, and three months of half-price fares on public transport.

Parliament went into urgency, sitting for about 10 minutes, to finish passing the legislation this morning.

In a statement, Transport Minister Michael Wood said the legislation would particularly benefit the road transport industry.

"As a nation, we are experiencing the impacts of pandemic induced inflation and a war on the other side of the globe. We know households are feeling the effects too, so we've taken swift action," he said.

"The reduced RUC rates will make it cheaper to transport goods and services and for families to get where they need to go."