Legislation to introduce a process for establishing a regional fuel tax, initially for the Auckland region, was introduced into Parliament on 22 March 2018 by Transport Minister Phil Twyford. The Land Transport Management (Regional Fuel Tax) Amendment Bill introduces a mechanism to raise funds for transport infrastructure programmes that would otherwise be delayed or not funded.  The Bill will help Auckland Council address the transport funding challenge in Auckland and meet the transport needs of its growing population and corresponding urban development.

  • The regional fuel tax applies to petrol and diesel and can be charged up to a maximum rate of 10 cents per litre, for a maximum of 10 years. It will be paid by fuel distributors when they deliver fuel to service stations and commercial users inside the region.
  • Rebates, similar to those available for fuel excise duty, will be available to those that do not use fuel on roads.

The Bill will go to Select Committee for public feedback. The law is expected to be passed in June, ready for potential implementation in the Auckland region from 1 July.

Under the Bill, Auckland Council must first consult with residents on the proposed projects it wishes to fund. It must then obtain Government approval before the regional fuel tax can be implemented. Initial consultation about a RFT is being held now by Auckland Council as part of its Long Term Plan consultation. Visit the Auckland Council page here(external link).

Regional Fuel Tax for Auckland a step closer – see Minister Twyford’s announcement
(external link)

See the Regional Fuel Tax Bill here and find out more about the Parliamentary process(external link)

Regional Fuel Tax Bill has first reading - See Minister Twyford’s release(external link)

Regional Fuel Tax Regulatory Impact Statements

Regional Fuel Tax Q&As [PDF, 122 KB]

Have your say: Submissions are now open for the Regional Fuel Tax Bill, until April 20th, see more here(external link).