Driving the economy
The rapid rise in fuel costs has been eye-watering. New Zealanders are now paying three times what they were in the early 2000s, with much of that increase taking place over the last year.
Extension of RUC reduction would help struggling Kiwis I by Nick Leggett Chief Executive Ia Ara Aotearoa Transporting New Zealand
T IS WITH SOME CONSIDERABLE RELIEF to learn that the Government has decided to roll over the temporary reduction in fuel excise and RUCs until January 2023. One look at the state of the economy and the rising cost of living clearly shows that the last thing kiwis could afford was a 25-cent jump in petrol prices and a 36 percent hike in RUC rates. Since June Ia Ara Aotearoa Transporting New Zealand has been publicly advocating for an extension to the RUC and fuel excise reduction and I am pleased that the Government has listened and chosen not to impose this further cost pressure on families and businesses. Many
kiwis are only just keeping their heads above water as it is. The Prime Minister, when asked by media, did not initially commit to any continuation of the scheme beyond the winter and pointed to the $350 cost of living payment declared in the Budget as a reason for that. I never considered that a tenable position given that half the $27 per week payment would have been wiped out straight away as fuel excise and RUC rates returned to their full amount. In many ways consumers end up paying for fuel hikes twice – once as they fill the family car and secondly every time they pull out the eftpos card to make a purchase. Extending the RUC reduction will help temper freight Truck & Driver | 41
