Cut on way for petrol prices?

HAMISH RUTHERFORD
Last updated 12:12 20/05/2014

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ACC is consulting on changes to levies on motorists which could cut the cost of petrol by 4 cents a litre.

ACC levies costs motorists about 9.9c for every litre of petrol, but is proposing to cut this to 5.9c.

The Automobile Association says that based on driving 12,000 kilometres a year, the cut would save drivers about $47 annually.

The changes, which would also see a fall in the price of vehicle registration, would take place in 2015.

"On average, we're proposing a 40 per cent cut to motor vehicle levies, which are paid when relicensing a vehicle and through the petrol levy paid at the pump," ACC chairwoman Paula Rebstock said in a statement.

Public feedback will be sought on the proposals, with the final decision resting with the Government.

ACC also proposes introducing risk ratings on vehicles, rewarding drivers for buying safer cars.

"Risk rating would mean owners of safer cars pay lower levies, to reflect the fact their vehicle is less likely to cause injury if involved in a crash," Rebstock said.

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