Brownlee Gerry: Road User Charges Bill — Third Reading 
Text is incorporated into the Bound Volume 
Brownlee Gerry: Road User Charges Bill — Third Reading 
[Sitting date: 09 February 2012. Volume:677;Page:300. Text is incorporated into the Bound Volume.] 
Hon GERRY BROWNLEE (Minister of Transport) 
: 
 I move  
That the Road User Charges Bill be now read a third time 
. This bill has undergone a rigorous examination both in the Transport and Industrial Relations Committee and here on the floor of the House. The amendments to the bill have resulted in a good bill becoming I think even better. I thank members in particular those on the Transport and Industrial Relations Committee of the last Parliament who did all of the work to prepare this bill and I would also like to acknowledge the work of the Road User Charges Review Group in conducting the initial review of the system.  
The background to this bill sees the Road User Charges Act 1977 replaced. The review of the road-user charges system identified a range of shortcomings within the system which can be summed up in two words: outdated and complicated. This bill is designed to modernise and simplify the road-user charges system reduce compliance costs for both industry and Government and reduce road-user charge evasion.  
In the contents of the bill there are a number of changes. The 1977 Act was passed when paper records were the practice—there was no other opportunity to record the information required. Mechanical hubodometers were used to measure distance travelled by vehicles. Electronic registries and electronic technologies are now the norm and the legislation has to reflect this reality. The Government supports the adoption of new technology and the bill enables this to occur. The bill will allow for further integration of new and emerging technology while ensuring that those providing these services are subject to a consistent statutory framework. In addition the bill contains provisions to safeguard electronic information.  
Industry has expressed concern that the road-user charges system is subject to evasion as it currently exists. The Government naturally shares this concern. Loss of revenue and the subsidising of the reluctant payer by the honest person brings the system into disrepute and deprives the National Land Transport Fund of revenue. When the bill comes into force we will see a new era in the management of road-user charges. Replacing the existing system of operator nominated weights with a system where all road-user charged vehicles will have a permanent road-user charge weight will help reduce the administrative burden on both operators and Government. It was interesting when we were in the Committee stage of the bill to see how that new charge will in fact advantage many users. The change will see the weight-based evasion of road-user charges virtually disappear.  
The bill will also look to further improve road-user charge compliance by introducing more stringent record-keeping requirements for transport operators. It will give the New Zealand Transport Agency more effective assessment powers to recover outstanding road-user charges. One of the consequences of having electronic registries is that it is no longer necessary to impose heavy penalties for forgetful behaviour—the occasions when people do not meet a date because they have simply forgotten to do so. However the new road-user charges system will have infringement fees for forgetfulness that are considerably less than the current system. That said for situations where there are deliberate attempts to defraud the system penalties have been increased.  
This bill lays the groundwork for developing a forward-thinking system that will continue to serve New Zealanders well for years to come. Although the bill contains the general framework for how the new system will function much of the practical detail will be covered off in the regulations. I am confident that the Government and industry will continue to work closely together on the regulations in order to make the most of the opportunities that this piece of legislation presents. I am confident that the bill will help to improve modernise and simplify a system that has been in place for almost 35 years. I commend this bill to the House.