Government Issues RFI for Future Road User Charges System
The Government has begun advancing plans to shift New Zealand’s 3.6 million light petrol vehicles to a road user charges system, with the launch of a Request for Information on electronic payment options. Transport Minister Chris Bishop says the initiative aims to explore ways for people to pay road charges electronically.
Focus on Updated Payment Methods
According to Mr Bishop, the Government is seeking input from private firms and technology developers to identify approaches that could make paying for road use comparable to other routine digital payments. He says the existing framework is outdated and continues to depend on manual processes and paper-based licensing.
He notes that modernising the road user charges system could introduce a wider range of technologies, including features already available in many vehicles. Road users would be able to choose these digital tools or continue using manual options.
Privacy and Legislative Developments
Mr Bishop says data privacy considerations remain important. Any proposed technology must meet the requirements of the Road User Charges Act, which includes privacy protections and limits on information access.
He adds that the Land Transport (Revenue) Amendment Bill, currently under consideration in Parliament, is intended to enable new technologies and broaden competition in the road user charges market.
Potential Industry Participation
The Government is encouraging participation from a range of businesses. Potential contributors include technology companies that provide software, telematics, and electronic systems for managing road user charges, as well as organisations that could integrate payment with services such as banking, insurance, or utilities. Businesses that offer over-the-counter services, including fuel retailers and supermarkets, may also play a role.
Mr Bishop says new services could vary from tools that help vehicle owners monitor their odometer readings and receive reminders to purchase, to more comprehensive electronic systems that automate transactions.
Transport Funding Reform
He says the initiative forms part of a broader effort to adapt transport funding to changes in the vehicle fleet. Responses to the Request for Information will support Government decisions on the next steps toward a modernised and competitive road user charges system.