Share next steps

Should we shift to distance-based levying for motor vehicles?

We're investigating shifting away from paying levies through the rego to a distance-based levying system. Let us know your thoughts.

Our next steps

What we asked

In our proposal we asked if we should shift to distance-based levying for motor vehicles.

What you told us

  • More than half of submitters told us that the approach may be fairer, particularly for multiple vehicle owners and those who drive or ride infrequently
  • Supporters of a distance-based levy shared the sentiment that the more you drive, the greater exposure to risk, linking distance travelled with higher accident rates. They agreed that the Motor Vehicle levy should reflect accident risk and think that distance-based levying is the best method of capturing this
  • High volume drivers (people that spend more time on the road for work purposes, travel, or leisure) worried about how they'll be impacted. Many of these submitters felt their considerable driving experience and skill makes them safer drivers than those who spend less time on the road.

What next?

We'll consider all submissions received for this proposal to inform the exploratory work we'll be doing during the 2019 to 2021 levy period on a potential distance-based levy approach in the future. 

We'll share the findings of this exploratory work as part of the 2020 levy consultation.

Our original proposal

During the 2016 levy consultation period, we asked for your thoughts on how we can collect Motor Vehicle levies in the future. You suggested that you would prefer distance-based levying instead.

New workplace incentives and ACC proposals for future work
PDF 1.7 MB
Download Download
27 Sep 2018
Open for feedback

We were open for feedback from 27 September 2018 to 25 October 2018.

25 Oct 2018
Closed for feedback

We've reviewed your feedback. Thanks for telling us what you think!

Nov 2018
Share next steps

We've reviewed your feedback and based on what you've said we've shared our next steps.