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Bid to delay clean car laws fails

Bill to enact schemes offering discounts and penalties on new and used cars set for third reading at parliament.
Posted on 17 February, 2022
Bid to delay clean car laws fails

The National Party has failed in an attempt to get the introduction of the government’s clean car package delayed by six months to help the motor industry prepare for the legislative changes.

Politicians have been debating the Land Transport (Clean Vehicles) Amendment Bill, which will facilitate a feebate scheme and the introduction of a clean car standard, as the proposals make progress towards becoming laws.

The clean car discount, which has been in operation since July last year, is set to offer penalties and discounts based on a vehicle’s emissions from April 1, while the standard will be rolled out later in the year.

Simeon Brown, National’s transport spokesman, called upon MPs to push the commencement of these regulations back as the bill was considered by the committee of the whole house on February 15 and 16.

“The feedback is very clear from the sector in regards to whether this bill and the implementation is actually an appropriate timeframe,” he told parliament. 

“So, I have put a tabled amendment effectively saying it should be around six months from now to actually give officials and the industry time to be able to prepare for its implementation.”

The amendment was rejected in a party vote by 75 votes to 43, with National and Act supporting Brown’s call but Labour and the Green Party opposing it. Te Pati Maori did not vote.

Some slight amendments that were proposed by a select committee did pass party votes and the bill is scheduled for its third reading in parliament on February 17.

If the bill passes the third reading, which is likely to happen in the next day or two when parliament sits, it only faces the formality of royal assent before becoming law.

Earlier in the committee of the whole house debate on February 16, Brown, pictured, suggested the piece of legislation was titled incorrectly. 

“Currently, it has the proposed title of Land Transport (Clean Vehicles) Amendment Act 2021, and I would suggest to the member and to the House that, in fact, it should be called the ‘Land Transport (Ute Tax) Amendment Act 2021’,” he said. 

“Because … this legislation is going to punish our farmers and it's going to punish our tradies. It is going to increase the costs that they have to pay for their vehicles when they do not have an alternative for their vehicles. 

“The very clear evidence which came through from the select committee and from submitters, and from the manufacturers who actually make utes and make vehicles, is that they will not be able to provide electric utes to the market for a number of years in New Zealand. 

“So, in the meantime, the only alternative is that these people who have to purchase a ute for their work, for their farm, have to pay the tax, and that will mean paying 15 to 20 per cent more per vehicle instead of what they are currently paying.”

Brown predicted the bill is likely to see people hold on to the vehicles they already have for longer, “meaning our fleet in New Zealand doesn't actually improve over time as it should”.

His tabled amendment to exclude utes from the definition of a light vehicle in the bill was defeated in a party vote.

Michael Wood, Minister of Transport, told parliament during the second reading of the bill that the clean car discount policy was already working.

“The implementation as it will happen after this bill has passed, of the Land Transport (Clean Vehicles) Amendment Bill, will ensure that we keep up that momentum.”

Click here to find out more about the Land Transport (Clean Vehicles) Amendment Bill and watch videos from the parliamentary debate.