High Court decision on Victoria's road user charge

The High Court has ruled that Victoria's RUC amounts to an excise, which only the Commonwealth has the constitutional authority to levy.

Today's ruling could see drivers of non-electric vehicles as the only road users making a contribution to road maintenance.  This raises significant questions about the fairness of existing tax arrangements during the transition to net zero.

The NSW Government will also begin discussions with the other states and territories on the matter.

Treasurer Daniel Mookhey said:

“The NSW Government will study today's High Court decision. The implications need to be carefully considered.

“The transition to net zero is only possible if the rules are applied fairly and are seen to be fair.”