National Party leader Simon Bridges is calling on the Government to axe its fuel tax increases to provide immediate relief to motorists, saying the Prime Minister's response to record high fuel prices is to announce yet another inquiry.
Jacinda Ardern yesterday said Kiwis are being fleeced at the pump, and the Government will rush through a law change to compel fuel companies to give the Commerce Commission information for an inquiry into how the market is functioning .
She said in the last year petrol prices have risen roughly 39 cents, of which 6.8 cents could be attributed to taxes and levies, 22 cents to importer costs and 9.8 cents to importer margins. "I do not see that as acceptable," the Prime Minister said.
Mr Bridges says fuel tax rises should be scrapped.
"She's saying consumers are being 'fleeced' while her Government is driving up fuel prices and taking hundreds of dollars from Kiwi households through higher taxes on fuel," he said.
"The inquiry will take months and any resulting changes could be years away. Meanwhile New Zealanders are paying record prices for petrol and the Government is collecting hundreds of millions of extra tax from them.
"Unlike petrol, talk is cheap. And the Government is a big part of the reason why petrol prices are so high.
"The importer margin, the profit petrol companies make on every litre of fuel sold and which the Prime Minister wants more information on, is 31 cents per litre and around the same as it was last year. The amount the Government makes is $1.25 - and that keeps increasing," he said.
Mr Bridges says the average New Zealand household is now paying $200 a year more in petrol taxes than this time last year, with Auckland families paying $324 extra as a result of higher petrol prices and the Government's decision to hike fuel taxes.
"It's pricing Kiwis out of their cars."
Mr Bridges said there are a number of other reasons behind record petrol prices and National supports another look at the practices of fuel companies, "something we also looked at in Government, but the Government should also be looking in the mirror".
"While the Government passes new legislation and waits for yet another report it should provide immediate relief to motorists by putting a stop to its relentless imposition of new taxes," the National leader said.
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