I have read of petrol reaching another all time high price in New Zealand today. This is on a commodity that in December 2017 New Zealanders were paying one of the highest pre-tax (i.e before tax added) prices in the world for. Due to some countries like the Netherlands having substantially higher taxes on fuel than New Zealand, we come in about mid field in the O.E.C.D. for total price after tax paid.
Do we need a goods and services tax (G.S.T.)on petroleum and diesel? I am not sure of the answer to that. The Automobile Association New Zealand has long called for a removal of G.S.T. on fuel, and says that it would lower petrol prices by 10c/L, and reduce pressure on already pressurized budgets.
Sure there is a petrol tax coming and petroleum companies do not want to have dollars shaved off their profit, but since when was that new? Sure the Middle East looks dicey at the moment – but that is the way it has been for most of the last decade. Sure there are costs incurred in refining product and getting it to the market, but again, that is the way it has been for yonks.
Basically it is theft and New Zealanders are blindly thinking “she’ll come right” eventually.
Well, no. It will not come right unless we kick this mentality that has cost us much as a nation, and is set to cost quite a bit more before long, to the curb. This notion that somehow the market will correct things and petroleum prices will come down is stuffed.
So, who is going to petition the Minister for Energy, Dr Megan Woods about the disgusting theft that petroleum companies are getting away with? There is no justification for any of the companies whose global parents hundred hundreds of billions of dollars (U.S.)per annum and are comparable in some cases to G.D.P.’s twice as big as New Zealand to not pay tax in full and on time.
Exxon Mobil NZ in 2017 made N.Z.$143 million profit, up 57% on the previous year. In the same year B.P. New Zealand increased its profit 65% to N.Z.$243 million and Z Energy increased their profit in the same time to N.Z.$263 million
It would cost me $100.80 to filll a 1.4 litre Hyundai Getz from completely empty at $2.24/L. A 3.0L Toyota Surf would cost $89.05 to fill its 65L tank with diesel at $1.37/L.
Yes, we need to be cutting down on carbon emissions, but until there is a serious uptake in electric cars, which still have a number of barriers in the way and hybrids, New Zealand is not going to make inroads on its Paris Accord obligations. But to get there, those vehicles must first become more affordable. Right now a hybrid or electric vehicle is simply not in the budgetary of many New Zealanders.