Watch: Phil Twyford defends the more than $1 billion extra Kiwis will pay in new fuel taxes over next three years

July 24, 2018

Transport Minister Phil Twyford has defended the $1 billion in new fuel taxes Kiwis will be paying over the next three years, saying he took his cue from the previous National Government on fuel tax increases. 

In Parliament's Question Time today, National Party Transport spokesperson Jami-Lee Ross asked if Mr Twyford had taken into account "that fuel prices had already increased, on average, by 20c a litre since he took office?"

It comes after Mr Twyford released the expected revenue from fuel taxes until 2021 , which showed New Zealanders will pay more than $1b in new taxes over three years. 

"I take my cue on this from an earlier Government that increased fuel taxes in 2015 after petrol prices had gone up by 40c a litre between January and June 2015," Mr Twyford said, referring to the previous National Government.

"The Government then increased excise tax in July, as that decision had no impact on the economy and petrol prices later fell as international fuel prices moderated. I think Simon Bridges is a very good role model here."

Mr Twyford said the average family in Auckland would pay about $5 extra per week after the fuel excise duty increases, which includes the Auckland regional fuel tax. 

Mr Ross asked if the Government would be responsible for motorists paying 40 cents more per litre of petrol "than what they were paying a year ago".

"No," Mr Twyford said. "I don't believe that this Government or any previous Government is responsible for international commodity prices and their volatile fluctuations."

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