Kerre Woodham: Enforcement looks to be the main concern with National's road user charges

We've also got an election coming up in five weeks, haven't we? So it was another weekend and another presentation of party policies coming thick and fast, wasn't it?

Health targets from National, the scrapping of building consents from ACT, our ocean policy from the Greens, disagreements between National and ACT and Labour when it comes to the impending shake-up of our scientific research sector, and the proposal to introduce road user charges on all cars from National.

Let's start with the road user charges. National will make electric vehicles subject to road user charges after March and funding for roads will eventually be obtained through pay per kilometre charges.

At present, light EVs are exempt from road user charges until the 31st of March 2024, although there are murmurings from this Government that they may extend that exemption again. No hard and fast rules.

Under National, there would be no extension to the exemption, and EVs would have to pay similarly to diesel vehicles, which have to purchase road user charges based on the number of kilometres they travel.

As things stand, this would see owners begin to be charged $76 per 1000 kilometres, to add to the $2 billion in road user charges raised from other motorists, mostly truckers and diesel car owners.

The suggestion to that all vehicles will eventually roll out to road user charges and will get rid of the fuel excise tax.

However, recent stories in the media say officials have been investigating what to do next as they struggled to modernise the regulatory system and how they deal with problems like compliance. A May 2023 Waka Kotahi document said ‘I see trouble’.

What are we going to do when people just say I'm not going to pay? They said there'll be an increase of non-compliance and debt for customers entering the road user charge system.

Current resources they say are set up to manage the existing RUC system. There will not be enough resources to cope with the increase in education, engagement and enforcement needed. Basically, it's enforcement.

Surely every idiot knows that when they say right you have to buy kilometres to drive your car, that's what you have to do. It's not rocket science.

They're not asking you to explain how an electric engine works. They're simply saying if you want to drive on the road, you have to buy kilometres. So it's the enforcement really that will be the issue.

Another document said a work program to look at the entire RUC system had been set up to bring together strategy and improvements.

Key strategic choices about road user charges are inherently linked to long-term revenue challenges including non-compliance and debt management. Basically what they're saying is that they're worried that the road user charges won't bring in as much dosh as the fuel tax does. Change would have to involve the Ministry of Transport, Treasury and police, it said.

So those are their concerns. We move to road user charges, people won't buy them. They'll stick two fingers up. They'll say okay, you find me?

You find me and charge me. The Nat’s say moving away from fuel excise and road user charges is a fairer way to charge for road use.

As New Zealand has more and more electric vehicles and hybrids on the road, there's less of a contribution being made through the form of excise, despite those cars using the very same roads. So, what is fair and what is not?

I know we get a lot of people who are grumpy, that EVs are not paying their way. They're heavy. Wear and tear on the roads is caused just as much by electric vehicles as it is by your normal combustion engine.

More and more of them are on the roads, which means less fuel tax going into the coffers to help pay for the roads.

Are the Nat’s right? Should we all be moving to road user charges? Is that the fairest way to ensure that those who use, pay?

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