Govt targets RUC and licensing in new plan

In News2 MinutesBy NZ Trucking magazineApril 11, 2025

Road User Charges and driver licensing are under renewed focus in the Government’s latest quarterly action plan.

The Government this week unveiled 38 actions it intends to take in the three months ahead as it looks to grow the economy and make “life better for Kiwis”.

The plan includes actions from both the National-ACT and National-New Zealand First coalition agreements

“There are positive signs of the economic turnaround this Government was elected to deliver, and our latest quarterly plan lays out more of the actions we will take to rebuild the economy, reduce the cost of living, and make Kiwis better off,” said Prime Minister Christopher Luxon.

“We know the cost of living is still tough but with GDP rising, interest rates falling, and inflation back in its box, our plan is working, and we must push ahead on going for economic growth.

“A bigger economy means more jobs, higher incomes, and more money in people’s back pockets. It also means we can afford the health and education services Kiwis deserve,” he said.

The second quarterly action plan for 2025, covering April to June, includes initiatives to reform the driver licensing system and transition all vehicle types to a fleetwide RUC system.

Luxon said the government will begin public consultation on proposed changes to the driver licensing framework. The aim is to gather feedback from the public and stakeholders to inform potential reforms.

Cabinet decisions are also expected on transitioning all vehicle types to the RUC system. Currently, RUCs apply primarily to diesel and heavy vehicles, as well as electric vehicles.

The proposed transition would expand this system to include all vehicles, potentially replacing the existing fuel excise duty. ​