Waka Kotahi shaking up fees
Dealers will soon be forking out extra cash to register cars and face a new charge to access the Motor Vehicle Register (MVR) under a package of changes announced by the government.
Michael Wood, Minister of Transport, says the adjustments to regulatory funding, fees and charges are designed to bring in an extra $66 million in revenue for Waka Kotahi New Zealand Transport Agency.
Included on the agency’s new fee schedule, which was approved by cabinet on April 3 and will come into effect from the start of October, is a set flat charge of 19 cents per access of the MVR.
The current $7.40 fee for registering a vehicle with VIN (MR2A) is going to jump 94 per cent to $14.38 if done through an agent, or 17 per cent to $8.64 if arranged through an industry agent.
Registering a vehicle with exempt VIN (MR2B) will increase from $7.40 to $14.70 at an agent, a jump of 99 per cent, but drops seven per cent to $6.88 if using an industry agent.
The administration fee for motor vehicle licence registration renewals is also increasing by between 67 and 374 per cent, depending on where the transaction is conducted.
If done through an agent, it will climb from $7.20 to $11.99, while if renewed through an industry agent the fee goes from $2,79 to $7.94.
Renewals by mail cop the biggest increase, rising from $2.99 to $14.17, and online transactions will go from $4.10 to $8.66.
Waka Kotahi is lifting the administration component of road-user charges (RUC) transactions. Those fees, which do not impact the RUC rates themselves, currently range from $2.10-$8.63 but will be $6.30-$14.87 from October.
Vehicle certifiers are also facing changes to regulatory fees, with border inspection organisations (BIO) to pay $9.35 per inspection, a rise of 48 per cent from $6.33.
Meanwhile, entry certifiers will soon be paying a $37.30 fee per inspection, up 1,823 per cent from the current range of $1.55-$1.94.
On the flip side, application fees that can be up to $1,644.50 to become a border inspection, heavy vehicle, low-volume vehicle or repair certifier organisation, or a warrant and certificate of fitness inspector have been abolished.
The announcement by Wood on April 18 of the changes also included lowering the average cost of obtaining a learner driver licence, restricted licence and a full licence – a move that has been welcomed by the Motor Trade Association.
The new measures follow the release of a consultation document last year following an independent review by consultant MartinJenkins that found Waka Kotahi’s funding situation was “unsustainable”.
Feedback on the proposals was sought between March and May 2022 and besides industry workshops and meetings with key service delivery partners, the agency says it received 144 written submissions.
Wood adds: “The new funding model will allow Waka Kotahi to deliver its regulatory functions to a high standard to ensure our road network is safe and efficient.”
The agency notes some of the fees and charges outlined in its consultation document have changed due to changes in inflation assumptions, changed in projected volumes, calculation errors and changes to the way the core regulatory loan will be paid back.
For a full list of the funding and fee changes, click here.
