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Fuel Tax a Farce

There is no reason why motorists should continue to pay more to fund Auckland's transport woes, says Federated Farmer of New Zealand Vice President Charlie Pedersen.

The Government says there is no end in sight to a petrol tax levy of 4.7 cents a litre which was imposed in February last year to fund improved transport facilities.

"Despite the extra revenue Government continues to siphon off close to half the fuel tax into the consolidated fund and divert a significant proportion of what is supposed to be left for roads into non-roading projects. Despite this increased funding little progress has been made in addressing New Zealand's transport problems.

"This is largely due to Government's piecemeal approach to transport funding and ideological rejection of roading. Shifting money to Auckland is much like shifting the deck chairs on the Titanic.

"The Federation strongly endorses the formation of dedicated levies for all taxes on fuel including a dedicated ACC fuel levy to pay for road accidents, so that all funds collected from motorists are used for motorists. Any moral arguments used by the Government in the past for siphoning off fuel excise into the Crown Accounts have long since disappeared."

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