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Petrol prices the result of cosy political duopoly


Both major parties are barking up the wrong tree over high petrol prices, according to ACT Leader David Seymour.

"Labour blames fuel companies and National blames Labour. The evidence shows they’re both wrong.

Motorists pay more than 69 cents in tax for each litre of petrol they buy. Figures revealed by Newshub show Labour governments have been responsible for 35 cents of those taxes, and National governments 34 cents.

"Energy Minister Megan Woods wrongly believes so-called 'market studies' will fix petrol prices.

National introduced market studies which give the Commerce Commission the power to force businesses to hand over information that would help identify competition issues.

"There is no lack of competition in the fuel market. Rather than trying distract Kiwis with red herrings, Ms Woods should speak to her Cabinet colleagues about repealing the Government’s crushing new taxes.

"National believes Labour’s taxes are responsible for high fuel prices, but the evidence shows they are just as much to blame.

"Kiwis are being fleeced at the pump because both major parties have conspired since the 1970s to hike fuel taxes.

"We’re often told that supermarket or telecommunications duopolies are harmful to consumer welfare. The most dangerous duopoly facing New Zealanders is political.

"ACT would cut taxes for hardworking New Zealanders by eliminating billions in government waste."

http://www.act.org.nz/


ends

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