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Land Transport—Investment

Thursday 13 September 2007 Hansard source (external site)

Gallagher2. MARTIN GALLAGHER (Labour—Hamilton West) Link to this
to the Minister of Transport

How much is the Government expecting to invest in land transport in the 2007-08 year?

KingHon ANNETTE KING (Minister of Transport) Link to this

This Labour-led Government is forecast to invest over $2.7 billion in land transport in the coming year, which is about $300 million more than we expect to collect through fuel excise duty, road-user charges, and motor vehicle registrations over the year. That compares with 1999, when the then Government collected $1.7 billion yet invested only $1.1 billion.

GallagherMartin Gallagher Link to this

What reports has she seen about the dedication of all land transport revenues, such as fuel excise duty, into the National Land Transport Fund?

KingHon ANNETTE KING Link to this

I have seen the Hansard of 5 April 1995, which documents the debate on the Rt Hon Winston Peters’ Road Transport Revenues Fund Bill, which aimed to dedicate all petrol tax to roading. Labour and the Alliance voted for that bill. However, all except one National member voted against it, including the current spokesperson on transport, Mr Williamson. Mr Williamson did not want the petrol tax paid by the people of New Zealand to go into roading, and he doubted whether the Labour Party would support the bill, which it did. Mr Williamson went on to say it was unlikely that the Labour Party, if it came to power, would dedicate all that revenue to land transport. How wrong he was!

DunneHon Peter Dunne Link to this

How much of the spending is to be allocated to the most dangerous stretches of road or traffic black spots, to make them safer and to lower the road toll further, in light of the fact that the Government now seems unwilling to increase the driving age from 15 despite widespread support for such a measure?

KingHon ANNETTE KING Link to this

A sizable proportion of the National Land Transport Fund is dedicated to improving roading and addressing black spots. I would say to the member that he ought to test this House as to whether it wishes to raise the driving age of young New Zealanders. I think it is probably timely that this House was tested to see whether it would like to see the age raised. It is a question that this House could decide on.

FitzsimonsJeanette Fitzsimons Link to this

Has the Minister seen the International Energy Agency report of July this year, which I have raised previously in the House and which is now featured on the cover of the Listener, saying that demand for oil is expected to exceed supply by 2012, leading to shortages and price rises; and is she not concerned that the billions of dollars planned for motorways might be better spent on less oil-dependent alternatives?

KingHon ANNETTE KING Link to this

There does need to be a balance of expenditure between roads, whether they are State highways or local roads, and other alternatives, including passenger transport. I am proud that this Government has, to a very large extent, taken that issue on board and put its money where its mouth is. I know that the member appreciates that, including the investment we have made into rail, which was badly neglected in this country. We are committed to investing further funding into passenger transport, because we do need to ensure that more people shift off the roads and into public transport. I believe we will see that over the years to come.

GallagherMartin Gallagher Link to this

What further reports has she seen about the dedication of all land transport revenues, such as fuel excise duty, into the National Land Transport Fund?

KingHon ANNETTE KING Link to this

On 25 July this year I announced the full hypothecation or dedication of all fuel excise duty to land transport activities. This decision ensures that the funds collected from road transport users will be used to fund activities that benefit those same users, whether it is in roading or in passenger transport. I saw, however, in the Wanganui Chronicle this week that the doubter Mr Williamson said that National now supports this policy, so I presume that is another policy flip-flop.

BrownPeter Brown Link to this

Noting that answer and the answers to the earlier questions, does the Minister accept that by transferring all the petrol tax across to the National Land Transport Fund now, instead of next July, the need for a regional tax in Auckland could very well be negated?

KingHon ANNETTE KING Link to this

The short answer, I am sorry to tell the member, is no.

FitzsimonsJeanette Fitzsimons Link to this

Has the Minister seen the 3 News poll from Sunday night that shows that 55 percent of New Zealanders believe that this Government is not doing enough to combat climate change, and is that not a really strong mandate for her to shift more money out of unsustainable roading and into—

FitzsimonsJeanette Fitzsimons Link to this

—more choice for the travelling public, like better public transport, ride-sharing, facilities for cycling, and yes, I say to Winston, even walking?

KingHon ANNETTE KING Link to this

That is exactly what this Government has been doing, and maybe one day the member will even give us credit for the big changes we have made to the investment into public transport and into roads and cycleways, and for the commitment we have made to ensure that the new roads that are built take account of those issues. Unfortunately, we mainly get the brickbats.

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