PHEV owners want to remove plugs to avoid RUC

Some plug-in hybrid electric vehicle (PHEV) owners want to remove their car’s electric plugs to save paying road user charges (RUC) when they join EVs in paying RUC from April 1 this year.

Otherwise they will be paying twice – in fuel tax and RUC, says an RNZ report, also indicated in an earlier EVs and Beyond story.

Transport minister Simeon Brown has told AutoTalk some distortions remain as all vehicles will eventually transition to RUC and no longer pay fuel tax.

Brown didn’t give a timeline for the RUC changes  – other than the April 1 one for EVs and PHEVs, while commercial EVs with a gross laden weight of more than 3500kg are so far exempt until December 31, 2025.

It is understood some changes to the Road User Charges Act may be made before April 1, but that the Waka Kotahi NZ Transport Agency doesn’t yet include hybrids that don’t have a plug to recharge in the RUC mix from April 1.

“It’s the unintended consequence of the RUC changes and the challenge of the fast pace of technology change with all types of vehicles,” says Drive Electric chair Kirsten Corson of some PHEV owners wanting to remove their vehicle’s plug.

She says Drive Electric appreciates all vehicles need to pay RUC.

“However, there is definitely an opportunity to review the BEV and PHEV rates. 

“We are working with industry to support the government with some potential ideas.”