Road user charges (RUC) in NZ

Short version: if you drive a light diesel vehicle or an electric car, you pay $76 for every 1,000 km in road user charges (RUC). Plug-in petrol hybrids pay $38 per 1,000 km. Petrol cars don't pay RUC, because their road tax is collected at the pump instead.

What RUC is

Road user charges are how diesel, electric and heavy vehicles pay for the roads. Petrol drivers pay fuel excise duty every time they fill up. Everyone else buys RUC instead, in advance, for the distance they're going to drive.

The money goes into the National Land Transport Fund, which pays for roads, public transport and road safety.

RUC rates for light vehicles

These are the rates for vehicles up to 3,500 kg, which covers almost every car, ute and van. NZTA lists them in RUC rates and transaction fees. All rates include GST.

Plug-in petrol hybrids pay half the usual rate because they already pay fuel tax on the petrol they use.

Heavier vehicles

Above 3,500 kg, the rate depends on the RUC vehicle type (the number of axles and tyres) and its RUC weight. A few common ones:

Trailers, cranes and motor caravans have their own rates in NZTA's full table.

Admin fees

Each RUC licence also carries an administration fee:

• $12.44 online or in the NZTA app
• $13.71 at a counter agent

The fee is per licence, not per 1,000 km. Buying more distance at once means paying the fee less often.

Who has to pay

You must buy RUC if your vehicle is:

• over 3,500 kg gross vehicle mass, whatever it runs on, or
• 3,500 kg or under and powered by diesel, electricity, or another fuel that isn't taxed when you buy it.

You don't need RUC for a light vehicle that only runs on petrol, CNG or LPG. That includes petrol hybrids that don't plug in.

Some electric vehicles are also exempt. You don't pay RUC on an EV that weighs 1,000 kg or less, or on a heavy EV over 3,500 kg. The Ministry of Transport says the heavy EV exemption has been extended until 1 July 2027.

How RUC works in practice

RUC is prepaid. You buy a distance licence in units of 1,000 km, and it shows the odometer reading you're allowed to drive up to. You have to buy a new licence before you reach that number.

A rough example: a diesel ute doing 15,000 km a year needs 15 units. That's 15 × $76 = $1,140 a year, plus an admin fee each time you buy. Want your own figure? The RUC calculator works it out from your kilometres.

Buying a licence

• Online or in the NZTA app. NZTA says this is the fastest way. You can buy up to 6 licences at a time online, and you get a temporary label by email that's valid for 21 days while the real one is posted.
• At an NZTA agent. Counter agents sell RUC too, with the higher admin fee.

For a light vehicle, the label goes inside the windscreen on the passenger side, with the plate number facing out. Light vehicle licences don't expire, so unused distance stays on the car.

Distance recorders and hubodometers

Every RUC vehicle needs a distance recorder. For light vehicles, the odometer does the job. Vehicles over 3,500 kg need an approved hubodometer (a meter on the wheel hub) or an approved electronic distance recorder, often called eRUC.

A hubodometer has to be fitted to a non-lifting axle on the left-hand side. If it's lost, damaged or stops working, you must replace it and buy a RUC licence for the new one. NZTA charges an application fee of $8.77 for that change.

If you fall behind

NZTA can tell when you've driven past your licence. Your odometer reading is recorded at things like a warrant of fitness. If you're behind and NZTA has your email, it sends reminders. If you still don't buy RUC, it sends an invoice, called a RUC assessment.

Buying a used diesel or EV? Check its RUC is current. If it isn't, you become responsible for any distance driven without a licence.

What's changing

The government plans to move all vehicles onto RUC, including petrol cars, and to replace petrol tax with electronic road user charges. It hasn't set a date for petrol vehicles to switch.

The first step is the Land Transport (Revenue) Amendment Bill, introduced on 13 November 2025. The select committee reported back on 18 May 2026, and as at October 2026 it is still a bill. The changes it's working towards include:

• electronic licences, so you no longer display a paper label
• private RUC providers that can sell licences and collect charges
• more types of electronic distance recorders, including ones already built into many cars
• monthly or post-pay billing instead of paying upfront
• tolls and other road charges bundled into one payment.

The Ministry of Transport says the timing for petrol vehicles will be decided after these changes are in place.

Running a diesel or EV? Your rego costs more than a petrol car's too, because the whole ACC levy is in the licence fee.

Common questions

Sources: NZ Transport Agency Waka Kotahi, RUC rates and transaction fees, About RUC, Buying a RUC licence, RUC distance recorders and Replacing fuel tax with road user charges; Ministry of Transport, Road User Charges system; NZ Legislation, Land Transport (Revenue) Amendment Bill. Checked October 2026. General information, not legal advice.