Petrol duties are going up by 2c a litre from August 1, adding an average of $30 a year to the average petrol bill.
Road user charges for freight operators are also going up but vehicle registration is coming down, Transport Minister Gerry Brownlee says.
Mr Brownlee says the petrol duty was going to rise 1.5c a litre in July 2011 but was deferred due to the financial crisis and the Canterbury earthquakes.
"This increase is effectively a catch-up to ensure there continues to be sufficient revenue available to meet the government's land transport expenditure targets," says Mr Brownlee.
He said the money raised would go towards the annual $1 billion investment in the state highway infrastructure.
Mr Brownlee estimates this increase would increase average running costs for an average petrol vehicle by around $30 a year, or 0.9 percent.
Road user charges for freight operators will go up an average of 4.1 percent, though changes to vehicle weight bands and exemptions means the increase, which also comes into effect on August 1, will not be uniform.
"Some individual vehicles will cost more to operate and some less than they do at present," says Mr Brownlee.
Meanwhile, Mr Brownlee says the cost of licensing and registering vehicles would come down slightly from October 1 following a NZ Transport Agency review.
Different fees will apply to different payment methods, with online payment cheaper than paying over the counter.
NZN