Transporting New Zealand has welcomed the Government developing options to remove regulatory barriers to improve freight productivity and minimise diesel use, saying that urgent action is required to keep the economy moving and protect jobs.
Chief Executive Dom Kalasih says that Transporting New Zealand has been working with officials on many of the measures outlined, including reforms to the Vehicle Dimensions and Mass Rule and improved access for over-dimension vehicles.
“These are practical productivity gains that will deliver immediate relief to businesses and consumers around the country. Modest increases in payloads and more efficient routes mean fewer trips, lower fuel use, and reduced vehicle operating costs across the supply chain,” Kalasih says.
“Heavier trucks use more diesel, but increased payloads reduce the diesel intensity per tonne of freight moved, that is clearly established from the data we’ve been able to provide officials. There are also associated vehicle cost savings including road user charges, wages, tyre wear, and reduced repair and maintenance requirements.”
“Transporting New Zealand called for urgent freight productivity relief back in March, and we’ve been impressed at the engagement we’ve had from the ministers and officials to get these regulatory options prepared and help reduce pressure on freight costs.”
Kalasih says the focus must now shift to prompt implementation.
“We have members with trucks parked up, as high diesel prices start to impact energy intensive activities such as construction and log harvesting, and customers who are able to warehouse stock delay transport. Unless we get some downward pressure on transport costs this is going to seriously impact economic growth and jobs.”
“Diesel prices have more than doubled, with the cost of fueling a linehaul truck increasing by over $500 per day. That’s a huge cost for transport companies and their customers to meet.”
“These freight productivity measures are common sense improvements that can deliver immediate benefits. We encourage the Government to move quickly to put them in place rather than waiting to see if the situation will get worse.”
Kalasih says he hopes there will be bipartisan support for the productivity relief measures, and is encouraging all political parties to engage constructively with the proposals.
Transporting New Zealand says it will continue working with the Ministry of Transport and New Zealand Transport Agency to support safe and timely implementation.
