Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Taxing Growth

28 February 2002

Additional funds for roading is welcome and long overdue, says Business NZ - but it is disappointing that only 41% of the $227 million revenue to be raised will actually go on roads.

Business NZ Chief Executive Simon Carlaw says it's also disappointing that road improvements should have to come by way of an increased petrol tax when the Government already collects hundreds of millions of dollars that are siphoned off into the Consolidated Fund.

"Importantly, petrol taxes are a very blunt instrument and have no long term sustainability as a revenue-raising option given the increasing fuel efficiency of modern vehicles.

"As well, the fuel tax increases announced today will impact most heavily on small and medium sized businesses, and on the economy as a whole.

"The Land Transport Funding Bill makes no attempt to address the most serious obstacle to improved road infrastructure - impediments caused by problems with the Resource Management Act. No amount of additional funding will help address planning hold-ups.

"The wider context of the Bill introduced today is a classic symptom of low growth and lack of resources for basic infrastructure. Effectively, the country is borrowing to invest offshore for superannuation and increasing taxes to prop up domestic infrastructure. This approach does not complement a balanced growth strategy," Mr Carlaw said.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Veronika Meduna: The Kaikoura Rebuild

A Scoop Foundation Investigation

Friday will be a big day for people north of Kaikōura – and for hundreds of construction workers who are racing to reopen State Highway 1 in time for the holiday season.

By the afternoon, the South Island’s main transport corridor will be open to traffic again, more than a year after a magnitude 7.8 earthquake mangled bridges and tunnels, twisted rail tracks and buried sections of the road under massive landslides. More>>


BPS HYEFU WYSIWYG: Labour's Budget Plans, Families Package

“Today we are announcing the full details of the Government’s Families Package. This is paid for by rejecting National’s tax cuts and instead targeting spending at those who need it most. It will lift 88,000 children out of poverty by 2021." More>>


Gordon Campbell: On Defence Spending, Alabama, And Dolly Parton

The spending lavished on Defence projects to meet the risks that could maybe, possibly, theoretically face New Zealand in future is breath-taking, given how successive governments have been reluctant to spend even a fraction of those amounts on the nation’s actual social needs. More>>


Members' Bills: End Of Life Choice Bill Passes First Reading

The End of Life Choice Bill in the name of David Seymour has been sent to a select committee for consideration by 76 votes to 44. It is the third time Parliament has voted on the issue in recent decades and the first time such a Bill has made it over the first hurdle. More>>


State Sector: MPI Survives Defrag Of Portfolios

The Ministry for Primary Industries will not be split under the new government, but will instead serve as an overarching body for four portfolio-based entities focused on fisheries, forestry, biosecurity and food safety. More>>


Gordon Campbell: On Vulnerable Kids, RNZ Funding, And Poppy

The decision to remove the word ‘vulnerable’ from the Ministry for Vulnerable Children could well mark a whole shift in approach to the care of children in need... More>>





Featured InfoPages