The New Zealand Government lowered this Monday the fuel tax and public transport fares in response to the increased cost of living in the oceanic country as a result of the energy crisis caused by Russia’s invasion of Ukraine. “The global energy crisis has worsened rapidly and that is why the Government has taken a step forward to cut the fuel tax,” Prime Minister Jacinda Ardern said in a statement.
Fuel tax and tolls will be lowered by NZ$0.25 ($0.17 or €0.15) per liter over the next three months, saving about NZ$11 ($7.46 or €6.84) for filling a 40-litre tank, according to the Executive.
Also, the government will cut public transport fares in half during that same period as part of a relief package to respond to the increase in the cost of living that includes increases in family subsidies and contributions to pension funds, among others. “We can’t control the war in Ukraine or the continued volatility in fuel prices, but we can reduce the impact on New Zealand families,” Ardern stressed.
According to New Zealand Finance Minister Grant Roberson, the gas price of 91, very used by his compatriots, has increased, largely because of the conflict in Ukraine, by 15% from the beginning of the year to last week. Gasoline and diesel have exceeded their record highs for several weeks in the midst of the energy crisis caused by the Russian invasion of Ukraine, a situation that seems to have no end in sight after the embargo imposed by the US and the UK on Russian crude.
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