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Driving the economy
Reintroduction of the RUC discount has provided some price relief for consumers.
Reintroduction of RUC discount the right decision T by Nick Leggett Chief Executive Ia Ara Aotearoa Transporting New Zealand
RANSPORTING NEW ZEALAND welcomes the Government’s decision to extend the Transport Support Package, including reinstatement of the 36% RUC discount. The Transport Support Package has been absolutely critical to help reduce costs for road transport operators and keep rising consumer prices in check, which is why Ia Ara Aotearoa Transporting New Zealand ran a campaign over summer to have it extended. The Treasury estimated that the combined impacts of the Transport Support Package reduced headline inflation by 0.5% in the June 2022 quarter so the impact of the policy right across the economy is pretty significant. Middle- and lower-income New Zealand families are already up against it with annual inflation sitting at 7.2% and a 11.3% year-on-year increase in food prices (which includes a rise in fruit and vegetables of over 23%). The removal of the RUC discount would have come right at a time when these communities could least afford it, particularly as transport operators have no choice but to pass increased input costs on. I’m not sure many New Zealanders actually understand the costs associated with RUC. Transporting New Zealand publicly released figures back in January that showed a 45+
tonne truck and trailer travelling 100,000 km per year would pay an additional $21,000 if the RUC discount was removed. Transporting New Zealand has strongly recommended to Government that the Transport Support Package remains until inflation falls below 6% and we are glad new Prime Minister Hipkins has at least pushed the current extension out until the end of June. The discounts can’t last forever but with domestic inflation forecasts remaining high through 2023, not to mention a General Election in October, it is hard to believe that the Government won’t extend them beyond the current June expiry. Trucks carry 93% of freight and the industry is the semiconductor of the New Zealand economy, so this decision will provide considerable transport price relief for a period to come. That will assist all Kiwis.
Roadside drug testing is here!
From March 11 Police will have the power to conduct saliva-based roadside drug tests on any driver, similar to how they currently conduct random alcohol breath tests. The change is a result of the passage through Parliament of the Land Transport (Drug Driving) Amendment Bill and means that roadside drug testing is to be another critical tool Truck & Driver | 41
