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What's the difference between driving in New Zealand and Australia?

By Travel Insurance Direct | March 28, 2025

Reading time: 5 minutes

Across the ditch lies an island nation crowned by soaring mountain ranges, sweeping rivers and lush rainforest. Where thongs are jandals, bathers are togs and the national sporting colour is black. 

This intriguing land, also known as New Zealand, is a holiday destination for many an Aussie, and for good reason. Inhabited by just 5.2 million people, there is one thing that unites the country, from Cape Reinga to Bluff – 96,000 kilometres of road. If you're planning on exploring some it, we've put together few pieces of New Zealand driving advice to make your journey a smooth one.

Bring your Aussie licence

With Australians making up 44% of all visitors to New Zealand, it's a good thing we can use our drivers licences over there. You are legally allowed to drive on your Australian licence in New Zealand for up to 12 months. You are permitted to drive only the class of vehicle you are licenced for back home. If  you have a Provisional Driver’s License, you will need to adhere to all the conditions of your Australia license, but you won't need to display "P" plates on your car.

You will need to have a current licence with you at all times when driving.

Planning on hiring a car? You'll need to be at least 21 years old and have a Full Drivers Licence (not a Provisional license).

The rules of the road

New Zealand's road rules are very similar to those in Australia. In addition to driving on the left-hand side of the road and giving way to all oncoming traffic from the right, you must adhere to the speed limit at all times and not drive under the influence of alcohol. 

We advise avoiding drinking altogether before driving, as drunk driving laws are strictly enforced

On the open road, it is common courtesy to stay left and allow faster vehicles to pass you. Some highways also have designated 'slow vehicle lanes', suitable for those towing caravans or driving motorhomes. 

For more details on Kiwi road rules, check out this booklet or test your knowledge with this driving quiz.

Road signs in New Zealand

Worried about reading the road signs in New Zealand? Don't be! New Zealand actually uses the same green and white destination road signs as Australia, making it fairly straightforward to make your way around. 

However, if you are driving from Auckland to the capital city of Wellington, don't expect to see signs for Windy Welly from the start of your journey. Rather than indicating the final destination, New Zealand's road signs tend to advise drivers of the next closest major hub. So don't worry if you only see signs for Hamilton, Taupo, Palmerston North for the majority of your journey – you're on the right road!

Driving in New Zealand

Photo credit Getty/Georgeclerk

When it comes to driving in New Zealand versus Australia, one key difference is that it is easy to underestimate how long it can take to drive from one destination to another. This is especially true heading out of the main cities and into the countryside. 

Due to rugged, often mountainous landscapes, roads can be narrow and steep, meaning you'll have to travel more slowly for safety reasons. This is the same for winding or coastal roads – don't be fooled by the map, as towns that look relatively close can take quite a while to travel between. 

If you’re driving in the South Island during winter, you may need to adjust your driving to suit the conditions and possibly attach snow chains to your tyres. Your car rental company will be able to supply you with some if necessary and demonstrate how to fit them.

Fuel in New Zealand

One thing to note if you're coming in from Australia is that New Zealand fuel prices in general tend to be slightly higher than back home. 

To keep up to date with trends in petrol and diesel prices and budget for your trip, keep an eye on average fuel prices through Gaspy.