New Zealand to Scrap Petrol Tax for Road-User Charges From 2026

The New Zealand government said it will move to abolish the nationwide petrol tax and replace it with a system of road-user charges. A bill enabling the change is scheduled to be introduced and passed in 2026, although officials have not yet committed to a start date for the new levy. Ministers described the shift as a multi-year transition, indicating the existing fuel excise duty will be phased down gradually while the mileage-based charges ramp up. The overhaul is intended to align transport funding with actual road use rather than fuel consumption, reflecting the rise of electric and more fuel-efficient vehicles.