Kiwis could soon be paying up to $25 more per tank of gas as the Government’s tax relief comes to an end.
The Government is ending its cheap fuel policy, which will add almost 30 cents per litre from Saturday morning including GST.
On Thursday, AM revealed Kiwis could be paying anywhere from $10 to $25 extra per tank of gas, based on the average cost of Unleaded 91 at $2.34 per litre.
A small car like a Suzuki Swift, with a 37-litre petrol tank, will cost almost $11 more to fill up.
For family SUVs, like a Toyota RAV4, the cost of filling up the tank will be just shy of $16 more.
And for those who drive a big petrol Ute, that 80-litre tank will cost just over $23 more to fill.
Gaspy New Zealand director Mike Newton told AM Kiwis would have likely already filled up their cars before the prices go up this week.
And if Kiwis haven’t, Newton revealed where the cheapest fuel in the country is, which he warned could be quite the distance for some.
“Southland is actually the cheapest region in the country at the moment, which might be surprising.”
He said historically the South Island generally has been quite expensive for fuel but right now Southland is the place to go at $2.21.
Alongside Southland, the Bay of Plenty and Hawke’s Bay both have “pretty good prices”, Newton said.
“The Bay of Plenty has traditionally been cheap because Gull distributes all their petrol from here.”
He said the reason behind Hawke’s Bay’s lower prices could be “anybody’s guess”, but the region has been one of the cheapest “for some time”.
Newton, who is constantly monitoring fuel prices across the motu, said he sees fuel prices change in line with the provider’s competition.
“At some of the outlets that run discount days, for example, where they actually lower the cost of the fuel, their nearby competitors will adjust accordingly,” he said.
“In general price changes within a day are not common, but you normally see stations changing their prices two or three times a week, just little tweaks or as I said, adjusting to what their competitors are up to.”
Alongside the removal of the fuel subsidy, changes to the clean car subsidy also come into play from Saturday.
The subsidy has dropped a little, with people buying a new all-electric car getting a rebate of just over $7000, or about half of that for a used EV.
With the cost of fuel going up, Autolink EV director Henry Schmidt told AM “a lot of people” have been asking about electric cars over the past couple of weeks, despite it being a “very slow” year.
“Two percent of cars in New Zealand are electric, so we’re very slow on uptake.”
Schmidt told AM Kiwis know how the rebates work but a lack of charging stations across the motu is holding people back.
Watch the video above for more.