Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Govt Fuel Tax Policies Anti-Competitive

New Zealand's automotive LPG should be excise-free, just like diesel, the LPG Association said today.

Association executive director, Peter Gilbert said there is no reason why automotive LPG should incur an excise tax at the pump when diesel doesn't.

"It's anti-competitive," he said. "And it sends the wrong signals to the market."

Mr Gilbert said LPG offers advantages that diesel doesn't.

"LPG is a low emission fuels so it's better for the environment. It is also locally produced so we don't have to import it - this saves us valuable overseas funds. Nor is it subject to the same price hikes as petrol and diesel.

"Yet LPG is taxed at the pump when diesel isn't. As a result, motorists obviously prefer diesel to LPG.

"Surely this kind of markedly tilted playing field is anathema to a Government that supposedly espouses free market, competition-driven policies.

"One thing is certain, it is very hard to compete in a market which Government has rigged against you."

Excise tax was removed from diesel in 1991 to assist the primary production and rural sector.

Now New Zealand has the cheapest diesel in the OECD.


ends



© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Provincial Growth Fund: Backing Growth In Gore

“Today’s announcements are a $1.6 million investment towards the Maruawai precinct project, which involves the redevelopment of the Hokonui Moonshine Museum and creation of the Maruawai Heritage Centre...” More>>

ALSO:

Inflation: Cigarette Price Rise Offsets Cheaper Petrol

The consumers price index (CPI) rose 0.1 percent in the March 2019 quarter, due to higher prices for cigarettes, Stats NZ said today... In the year to March 2019, the inflation rate was 1.5 percent, down from 1.9 percent in the December 2018 year. More>>

ALSO:

Government Suppliers: MBIE Reinstates Fuji Xerox As A

The government has reinstated Fuji Xerox as a supplier despite an ongoing Serious Fraud Office investigation into accounting irregularities that led to losses of more than $300 million. More>>

ALSO:

PSI: Service Sector Growth At Lowest Level Since 2012

April 15 (BusinessDesk) - New Zealand’s services sector activity grew at its slowest pace in more than six years in March, potentially signalling a slowdown in the domestic economy. More>>

ALSO: