It's being described as the biggest change to how roading is funded in this country for fifty years.
The government intends to phase out fuel taxes and replace them with a uniform road user charge, or RUCs.
Transport Minister Chris Bishop made the announcement today -- saying petrol consumption is no longer an accurate measure of road usage, with the rise of fuel-efficient cars and e-vehicles.
Legislation is expected next year, with the new system where road users would pay their bill online, similar to a power bill in place by 2027.
Joining Emile Donovan to explain how it all works is economist Stuart Donovan a senior fellow at Motu Economic and Public Policy Research.
Photo: Marika Khabazi