Labour pledges to crack down on ‘unfair’ fuel prices, make care repairs cheaper and bring more competition to the pump

Labour says if elected, it wants to bring in more competition at the petrol pump, with plans to open up the fuel market so independent petrol stations get “fairer access” to fuel supplies and “stronger protection against restrictive contracts”.

Making the announcement on Monday, Labour leader Chris Hipkins says: “This election is about the cost of living. For most Kiwis, a car is a necessity, it’s how we get to work, drop the kids at school, and get on with life.”

If elected into government, Labour says it will: 

• Give drivers the right to repair by requiring carmakers to give independent mechanics “fair access” to the manuals, software, tools and information needed to fix modern cars
• Putting fuel prices under the microscope by requiring the Commerce Commission to report weekly on fuel prices and whether falling costs are being passed onto consumers
• Apply Labour’s price gouging law proposal to wholesale and retail fuel, allowing “unfair” pricing to be investigated and overcharges recovered
• Open up the fuel market by giving independent petrol stations “fairer access” to fuel supplies and “stronger protection against restrictive contracts”
• Make room for more competition by requiring the NZ Transport Agency to consider making surplus land available for independent unmanned petrol stations and Electric Vehicle chargers

Labour commerce and consumer affairs spokesperson Arena Williams says, “a right to repair means the mechanic down the road gets a fair shot at your business. It backs local workshops, supports skilled jobs and apprenticeships, and gives drivers a real choice”.

“Currently independent workshops have to turn away work because they can't access the information they need to make repairs - Labour will fix this. Australia already did this in 2022 and has led to independent mechanics there able to repair cars 25% cheaper on average than dealerships.”

And when it comes to wanting to bring more competition at the pump, Williams says: “The Commerce Commission found that fuel prices rise faster than they fall, costing Kiwi drivers around $15 million a year. When we were in government, Labour forced the big fuel companies to publish their wholesale prices and opened the market up to independent stations.”

Now the party is going further, she says, through its proposal to ban price gouging.

In September, Labour announced it was pledging to make it illegal for large companies to charge “excessive prices” for essential goods and services, or to pay “unfairly low” prices to suppliers.

This would apply to fuel prices too, Williams says, with the party wanting to give the Commerce Commission “the powers it needs to report fuel prices every week and make sure that when wholesale fuel costs fall, drivers see it at the pump”.

“Whether you’re buying your car, fixing it, or filling it up, Labour will make sure Kiwi drivers get a fair go.”

NZ First leader Winston Peters, last week, said he would keep the Government $50 a week fuel subsidy if prices stayed above $3, increasing the working for families credit, by possibly $120.