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

 


Govt plans borrowing and tax hikes to fund unneeded highways

16 November 2012

Govt plans borrowing and tax hikes to fund unneeded highways

The National Government’s reckless plan to build unneeded highways has created a huge budget hole that taxpayers will be forced to pay for with higher taxes, Green Party transport spokesperson Julie Anne Genter said today.

The Green Party has obtained an internal New Zealand Transport Agency document which states there is a $1.7 billion shortfall between the cost of the Government’s transport plans and the projected revenue as a result of the huge cost of National’s pet highway projects and stagnant traffic volumes resulting in lower than projected fuel tax revenue.

The briefing outlines three options to close the gap: delaying the so-called ‘Roads of National Significance’ by up to five years (which is marked as “not acceptable”); borrowing the money and using Public-Private Partnerships as a form of borrowing, which would only shift the cost to the taxpayer into the future and constrain future transport budgets; or increasing petrol tax by nine cents a litre.

“Kiwis will be paying more to fund National’s unneeded and uneconomic highways, and they will have few options to avoid rising fuel prices.

“The mammoth $1.7 billion funding gap in the transport budget has been created by uneconomic projects like the Kapiti Expressway that will cost over half a billion dollars for $120m worth of value. Lower than expected traffic volumes just further prove these expensive highways should not be the priority.

“National has created a fiscal timebomb and its plan is to either foist the cost on to future taxpayers by borrowing the money or increase petrol tax by nine cents a litre.

“We have an opportunity right now to invest in better buses and trains, and safer walking and cycling – this frees up the roads for those who are driving and gives Kiwis more options to avoid rising fuel prices. But the Government is planning to spend 85% of the money available for new capital projects over the next decade on a few state highways, and less than 5% on smart, green alternatives.

“The best option is to defer indefinitely the Holiday Highway and the other low value highway projects and, instead, direct the transport budget to passenger transport, walking, and cycling as suggested by the latest Pure Advantage report.

“This would reduce our $8 billion a year bill for imported oil, lower our greenhouse gas emissions, and create more jobs,” said Ms Genter.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Spy Update: Appointment Of GCSB Acting Director

GCSB Chief Legal Advisor Lisa Fong will become the Acting Director of the Government Communications Security Bureau (GCSB) from 15 February 2016, Minister Responsible for the GCSB Christopher Finlayson announced today. More>>

Protests Close Roads: TPP Signed In Auckland

“TPP was signed by Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Viet Nam.” More>>

ALSO:

Emails Behind 'Diplomatic Immunity' Case: Whitehead Report Released

“As previously indicated the conclusions reached by Mr Whitehead’s investigation are not unexpected but they are very disappointing,” Mr Mccully says. “At the heart of the matter is a single email, along with procedural shortcomings, which gave Malaysian officials the impression it would be acceptable for Mr Rizalman to return to Malaysia." More>>

ALSO:

Gordon Campbell: On The Treaty/TPP Overlap, And Iowa

The fears about the ISDS provisions in the Trans Pacific Partnership deal are well-founded. The reality is that there is a sharp uptick in the occurrence of ISDS litigation in developed countries, and even the right wing likes of The Economist have been souring on the process for some time. More>>

ALSO:

Christchurch Red Zone Offers: Fresh High Court Proceedings

Grant Cameron, Solicitor for the Quake Outcasts said “the action seeks judicial review of the Crown’s recent decision to make a fresh offer to purchase properties from uninsured property owners in red zones. More>>

ALSO:

PM's Post-Cabinet Press Conference: Waitangi And TPP

Prime Minister John Key on Tuesday said his office has received an invitation for him to visit the Lower Marae on Waitangi Day, but was waiting for a meeting of the Te Tii Marae Trustees. More>>

ALSO:

Flagged: 'Wrong Colour' Bridge Flag To Change

NZ First: Only 13 days after National trumpeted its legally questionable flag on Auckland Harbour Bridge, it is now coming down because it is the wrong colour... “Mr Key’s latest flag fiasco is another waste of taxpayers' money. Given it is coming down, down is exactly the location where it should remain. More>>

ALSO:

School's In: Children Head Back To School

“Across the whole of this year we expect 61,820 five year olds will begin their primary schooling for the first time,” says the Ministry of Education head of sector enablement and support Katrina Casey. More>>

ALSO:

Dog & Lemon: FBI Disagrees With NZ Government Over Police Chases

Multiple studies, quoted by the FBI, show that once suspects realise they're no longer being chased; they tend to slow down to normal driving speeds and therefore become far less of a risk. The FBI report also categorically rejected the argument that abandoning police chases meant ‘giving in’ to offenders. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news