New tax will not hurt fishermen

Press, 29 July 1977, Page 12

New tax will not hurt fishermen

PA Wellington Fishermen are not affected by the sales tax on marine diesel oil announced in the Budget, according to the president of the Nelson Fishermen’s Association, (Mr N. Johnson). A 1.5 c a litre levy on marine diesel fuel was included in the budget, and it was thought that this would affect the fishing industry. However, Mr Johnson said that fishermen in Nelson and most other districts used automotive diesel fuel in their boats and this was not affected by the levy. The diesel fuel referred to was a coarse grade of ship’s bunkering fuel used mainly in cargo ships. An oil industry spokesman, who did not wish to be named, said that most fishing boats were fitted

with high-revving engines which required the highergrade automative diesel. Although cheaper, marine diesel was not available in Nelson as it was not possible to stock it. After the Budget announcement last week, the fishermen’s representative on the Fishing Industry Board (Mr R. Brown, of Motueka) said the increase had been expected and the levy would become a costly item for fishermen. Mr Brown corrected this statement yesterday, however, saying there had been some confusion over the details of the levy when it was announced and it was then thought that it applied to fuel used by the fishing industry. He said he had received official notification that this was not the case.