Vehicle licensing is the regular process through which you pay a fee to use your vehicle on public roads.

Where your licensing fee goes

$43.50 goes into the National Land Transport Fund to fund the development and operation of the land transport network. The remainder is mostly an ACC levy.

If you want more information:

There are a number of fees that make up the total Annual Vehicle Licence fee.

  • $43.50 from each fee goes to the National Land Transport Fund (along with fuel excise duty and road user charges) to fund the development and operation of the land transport network.
  • Each fee includes an Accident Compensation Corporation (ACC) levy, depending on the vehicle type and fuel type
  • The remainder of the fee is made up of GST, administration fees, and other fees (such as the cost of the label itself).

Diesel vehicles pay a higher ACC levy, This is because there is a 9.9 cents per litre ACC levy on every litre of petrol, which does not apply to diesel or road user charges.

ACC levies are set so that a diesel vehicle travelling the average distance per year is subject to the same ACC levies per year as a petrol vehicle.

The table below shows a breakdown for passenger vehicles (3.5 tonnes and under)

 

Petrol

Diesel

Contribution to the NLTF

43.5

43.5

ACC levy

198.65

321.59

NZ Transport Agency

1.64

1.64

Label

0.17

0.17

GST

36.59

55.04

Total licensing fee

280.55

421.94