John MacDonald: Ditching fuel tax increases would be shortsighted

After pretty much telling us to calm the farm over the fuel situation, I can’t believe the government is getting all antsy about its fuel tax increase - due to kick-in at the start of next year. 

Yesterday, when Finance Minister Nicola Willis gave her regular fuel update, she said it is “very unlikely” that the Government will go ahead with the 12 percent-per-litre increase in January. 

Why’s that? Because the Government doesn’t think people can afford it. Due to the increased costs caused by the war in Iran. 

But I don’t think the country can afford not to increase the taxes.  

Because, as the finance minister said herself yesterday, no increase in the fuel tax is going to mean less money for road maintenance and road construction. 

Anyone who thinks this would be a good idea obviously has a very short memory. 

Because it was only two months when the automobile association released the findings of its most recent research survey of motorists, which found that more than half of us think our roads are rubbish. 

Fifty-four percent of people surveyed by the AA said they were frustrated by the state of our roads. 

South Canterbury was one of the areas where people were most unhappy. More than 60 percent of people there said they thought the roads were in cruddy condition. 

And, at the time, aa spokesperson Dylan Thomsen said his organisation had been pushing for better maintenance of roads for years. 

Two months ago, he said: “We are very pleased that there has been a big increase in funding and focus on maintenance with initiatives like the government’s pothole fund. Hopefully we’ve turned a corner and we'll see aa members happier with their roads in future surveys.” 

That’s not going to happen if the government does do what Nicola Willis was talking about yesterday and does press pause on fuel tax increases. 

As Chris Bishop has said previously about fuel taxes. He says they “go into the roads, maintenance, public transport, the new projects we want to build, the new public transport projects we want to build, all of those things have to be paid for.” 

Adding that the Government “doesn't have an unlimited credit card”. 

So the Government, if it’s totally honest, obviously thinks that increasing fuel taxes is a no-brainer. Which it is.

So why is it saying now that it’s probably not going to? 

Because it doesn’t think it would be fair and reasonable to make us pay more for fuel when we are already, because of what’s going on in the Middle East.     

I get that. But it’s just politics.

Because, if you think beyond the here and now and think about the state of our roads, then you too will, hopefully, see that this move - over time - would be a major step backwards. 

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Episode Transcript

Speaker 1 (00:06):
You're listening to the Canterbury Mornings podcast with John McDonald
from Newstalk Z'B.

Speaker 2 (00:12):
After pretty much telling us to Calmber farm over the
fuel situation, I can't believe the government's getting all antsy
about its fuel tax increase, which isn't even due to
kick in until the start of next year. Because yesterday,
you want to pick this up, when Finance Minister Nikoler
Willis gave her a regular fuel update, she said it
is quote very unlikely that government will go ahead with

(00:37):
the twelve percent perly to increase in January. Very unlikely.
Why is that answer? Because the government doesn't think people
can afford it due to the increased costs caused by
the war in Iran. Do you know what, I don't
think that the country can afford not to increase the
taxes because, as the Finance Minister said herself yesterday, no

(01:01):
increase in the fuel tax is going to mean less
money for road maintenance in road construction. Do you hear that?
Less money for road maintenance and road construction. Now, anyone
who thinks this is a good idea. Anyone who thinks, oh,
you're brilliant, bring this on, obviously has a very short memory,

(01:21):
how short, very short, because it was only two months ago.
This is February this year, when the Automobile Association released
the findings of its most recent research survey of motorists,
which found guess what that more than half of us
think our roads are crudd More than half of us
fifty four percent of people surveyed by the AA said

(01:45):
they were frustrated by the state of our roads. I'm
sure they used some more colorful language than that, but
more than half of us think the roads are rubbish.
South Canterbury was one of the areas where people were
most unhappy. You know, more than sixty percent of people
there said they thought the roads were hopeless and cruddy
condition and wanted something done about it. And at the time,

(02:07):
AA spokesperson Dylan Thompson said his organization had been pushy
pushing for better maintenance of roads for years and two
months ago, so what eight weeks ago? He said, quote,
we are very pleased that there has been a big
increase in funding and focus on maintenance with initiatives like
the government's pothole Fund. He said. Hopefully we've turned a
corner and we'll see AA members happier with their roads

(02:30):
in future survey. So we'll tell you end of quote,
that is not going to happen. That's not going to
happen if the government does do what Nikola Willis was
talking about yesterday and does press paws on its fuel
tax increase. You know, as Chris Bishop has said previously
about the fuel taxes, he says they go into the roads.
He's another quote. He says, they go into the roads, maintenance,

(02:51):
public transport, the new projects we want to build, the
new public transport projects we want to build. All of
those things have to be paid for, adding that the
government doesn't have an unlimited credit card. So the government,
if it's totally honest, obviously thinks that increase fuel taxes
as a no brainer, which it is. So why is

(03:11):
it saying now that it's probably not going to do it,
Well because it doesn't think it would be fair and
reasonable to make us pay more for fuel than we
are already because of what's going on in the Middle East.
I get that, but it's still just politics. Because if
you can, if you can, if you think beyond the
here and now, and if you can think beyond something

(03:33):
close to four bucks a later, all of that stuff,
if you can think beyond that and think about the
state of our roads, then you too will hopefully see
that this move over time would be a major step backwards,
just at a time when investment in our roads has
finally been starting to improve.

Speaker 1 (03:52):
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