The war in Iran and hike in fuel costs is hurting Nelson households and businesses. It has added uncertainty just as our economy was recovering. The main response rests with Government, albeit New Zealand has little control over international events. However, there are measures Council can take to help.
The Joint Regional Transport Committee made up of Nelson City Council, Tasman District Council and NZ Transport Authority has decided to expand our eBus service. We are introducing earlier services between Nelson and Richmond next Tuesday, 7 April, following Easter. This will enable people starting work at 7am in Nelson and 7:30am in Richmond, on both Route 1 (Waimea Rd) and Route 2 (Tahunanui) to use the eBus.
These new earlier services will cost about $80,000 per year, shared between the two Councils and NZTA. It’s a sensible response. It gives a choice to commuters struggling with fuel costs, reduces congestion, conserves fuel as the eBuses use electricity and it reduces our region’s greenhouse gas emissions.
We have also engaged with Government on helping Nelson families hurting most from cost rises. Last week it announced families earning less than $89k with one child, those earning less than $112k with two children and those earning less than $135k with three children will receive $50 more per week from 7 April 2026. This additional support will go to more than 3000 families in the region and will remain in place for up to a year or until petrol drops back below $3 a litre.
Some have argued these responses are insufficient, but the only money Councils and Government has is that taken in rates or taxes. Borrowing money or printing it just adds to future problems of debt and inflation. Council and Government also face the problem of higher costs from fuel and the impact on its contractors and suppliers.
The Government has established a four-phase National Fuel Plan to help manage New Zealand’s response and we are currently at Phase 1. Council will keep an open mind on what further local measures, in coordination with Government, may be needed as this crisis unfolds.
