Finance Minister Nicola Willis discusses the sharp rise in diesel prices due to global supply disruptions from the Middle East conflict, the economic and inflationary impacts on New Zealand, and the limitations of policy responses like the ruck tax to mitigate the crisis.
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Well, here's the thing. If we took ruck away tomorrow, that wouldn't change the price at the pump. The price of diesel would still be at those internationally very high prices. And what is ruck? It's a fee that road users pay to reflect the wear and tear their trucks and machinery do on the road. And we use that funding to repair the potholes, to fix the roads when they break after weather storms. storm so if we were to take away the ruck we'd be creating an even bigger hole in the land transport fund which by the way is already growing a hole because people are using less fuel and so we're collecting less revenue not more revenue and so then we'd be in a situation where we didn't have the funds to maintain the roads then some people will say no worries Nicola just go and borrow
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limited relief for fuel users without funding risks
Nicola Willis: Finance Minister on the increase in fuel prices as a result of the Middle East conflictSpotted something wrong on this page? Report a correction.
