June 16, 2009
State budget no joy for motorists
The state budget is all pain and no gain for Queensland motorists, according to the state’s peak
motoring organisation.
RACQ’s general manager for external relations Gary Fites said the government’s push to reduce
debt was being done at the expense of Queensland families and businesses – particularly those
in rural and regional areas.
Mr Fites said the budget, which confirmed the scrapping of the state fuel subsidy and
unprecedented increases in vehicle registration fees, was extremely disappointing and
contradicted government statements that it involved no new taxes.
“By scrapping the fuel subsidy and hiking rego fees, the government has imposed an additional
$800 million a year in taxes and fees on Queensland motorists to help reduce debt,” Mr Fites
said.
“In one fell swoop, we have become the most expensive state to own and operate a vehicle.
“At the same time, the government will subsidise public transport in the south east of the state to
the tune of $850 million in the coming year. This is good for urban dwellers but does nothing for
regional and rural Queenslanders, who have no or limited access to public transport and have the
greatest distances to drive.
“Vehicle registration fee increases, combined with the new fuel tax, will leave most Queensland
motorists more than $220 a year worse off.
“The registration increases of 17 to 22 percent are more than the combined increases of the past
six years and have to be seen as a blatant cash grab.”
Mr Fites expressed disappointment at the government’s refusal to heed the club’s record-
breaking Fight the fuel tax petition. With more than 130,000 signatures, the petition supporting
retention of the state’s fuel subsidy was by far the largest in Queensland’s 150-year history.
“The decision to scrap the state’s unique fuel subsidy effectively adds 9.2 cents a litre to the cost
of every litre of petrol and diesel,” Mr Fites said.
“This not only increases the cost of motoring, it will produce a domino effect of inflating transport
costs, which in turn raise the price of other goods and services and lead to possible job losses.
Local government is also feeling the squeeze, and clearly their charges will rise as well – another
hit for struggling families and businesses.
more…..
State budget no joy for motorists…..2
Disappointingly, the higher costs for motorists didn’t flow through to equivalent increases in
spending on roads, with the $3.5 billion promised for 2009-2010 down $300 million on the
previous year.
“While the RACQ is pleased to see that the government is largely maintaining its investment in
building the road infrastructure our state needs, Queensland motorists have a right to feel
cheated because they have abandoned election commitments to maintain the fuel subsidy,” Mr
Fites said.
ENDS
Media inquiries:
Gary Fites, General Manager External Relations, ph 0418 743 094
Joe Fitzgerald, Media Coordinator, ph 0447 196 258.
NEWS 
