The Chairperson of the Transport and Infrastructure Committee is calling for public submissions on the Road User Charges (Light Electric RUC Vehicles) Amendment Bill.

Road User Charges (RUC) contribute towards the cost of maintaining roads and apply to all vehicles used on New Zealand roads. However, owners of light electric vehicles (EVs) have been exempted from purchasing RUC licences since 2009 to encourage people to purchase EVs. The exemption was put in place until EVs reached 2 per cent of New Zealand’s light vehicle fleet. This point has now been reached so the Government has decided to end the exemption.

This Bill would require owners of light EVs and plug-in hybrid electric vehicles (under 3.5 tonnes) to pay RCUs from 1 April 2024. Owners would need to buy a RUC licence and display it on their windscreen. There would be a two-month transition period to allow for people to register their vehicle without being penalised for unpaid RUC.

The Bill would amend the Road User Charges Act 2012 to:

• require light EVs to have a RUC licence when the RUC exemption expires on 31 March 2024;
• allow for a reduced RUC rate for plug-in hybrid vehicles. Plug-in hybrid vehicles, unlike other light EVs, pay fuel excise duty on any petrol purchased and, without a reduced RUC rate, would face higher taxation for their road use;
• exempt very light EVs (that have a gross vehicle mass of 1,000 kg or less) paying RUCs.

The Bill would also amend the Road User Charges Regulations 2012 to add a new vehicle type (type 12) for plug-in hybrid electric vehicles and amends the Road User Charges (Rates) Regulations 2015 to apply a reduced rate of $53 per 1,000 kilometres for plug-in hybrid electric vehicles.

Tell the Transport and Infrastructure Committee what you think

Make a submission on the bill by 12.00pm on Thursday 7 March 2024

Making a submission: what you need to know

• Submissions are publicly released and published to the Parliament website. Only your name or organisation’s name is required on a submission. Please keep your contact details separate, as if they are included on the submission they would become publicly available when the submission is released.
• If you wish to include information of a private or personal nature in your submission you should discuss this with the clerk of the committee before submitting.

If you wish to speak to your submission, please state this clearly.

For more details about the bill:

• Read the full content of the bill

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