NO END IN SIGHT FOR PAIN AT THE PUMP

Pinch from pump forcing many families to spend less on groceries and cutting visits

Inflated fuel prices throughout New Zealand are starting to hit home as taxes increase, the kiwi dollar weakens and crude oil costs jump.

The pinch from the pump is forcing many families to spend less on groceries and cut out of town visits. The transport industry is warning that rising fuel bills will shortly be felt across the economy as costs are passed on to consumers.

Prime Minister Jacinda Ardern yesterday said the Government would not bail out the nation and remove petrol taxes.

“We have seen an increase [in fuel prices] over the past year of almost 39c and in that period of time excise has been 6.8c of that,” she said.

“If we remove the 3.5c tomorrow, I cannot guarantee that would be passed onto consumers.”

On Monday Ardern declared consumers were being “fleeced” by fuel companies but refused to budge on easing the excise tax.

In an attempt to resolve the issues around fuel prices, the Government has prioritised the passing of the Commerce Amendment Bill.

This bill would amend the Commerce Act to enable the commission to undertake market studies.

But in the meantime, many New Zealanders have been forced to make significant lifestyle changes to avoid reaching into their back pockets.

Recently widowed and a solo parent, Lisa Cropp wrote she had driven from Auckland to Nelson to put a headstone on her husband’s grave and was now making her way back up the North Island with her children.

“Added gas costs mean we have had to miss out on activities we would otherwise have enjoyed and instead of cooking, I am serving up canned food to afford the trip home,” she said. “Also when school goes back, I go back to work and have to use my personal vehicle to get to the various schools around Auckland.”

With only 52c per kilometre reimbursement for vehicle use, she said it was a real struggle.

“Getting to work to make the money comes first, rent second and food third.”

Some motorists are taking drastic actions to avoid the economic sting, putting in fuel and driving away from stations before paying.

Over the last few weeks, Z Energy has witnessed a small increase of motorists getting behind the wheel instead of the cash register.

“At a high level we have seen a slight increase in the number of driveoffs,” a spokeswoman said.

In Northland the cost of fuel is forcing some midwives to turn down pregnant women living in rural areas.

College of Midwives Northland chair Nicole Pihema told Newstalk ZB midwives were not taking women in certain areas because they were unable to afford fuel.

She said she travelled more than 2000km in the past week and filled up her car three times. “Recently, I’ve had to not take a woman who lived quite a fair distance away, she had no transport so she couldn’t even meet me halfway,” Pihema said.

Yesterday, Gull in Taneatua near Whakata¯ ne boasted the cheapest fuel in the country, the station charging only $2.10 a litre for 91, $2.21 for 98 and $1.40 for diesel. Meanwhile, those living on islands like Waiheke and Great Barrier are paying up to $2.80 and $3.40 for 91 respectively.