PETROL TAX

Southland Times, Issue 20225, 9 July 1927, Page 4

PETROL TAX

COUNTY COUNCIL UNFAVOURABLE. NO SECONDER TO MOTION. The imposition of a petrol tax as a means of securing revenue for reading works was proposed by Councillor Niederer at the monthly meeting of the Southland County Council yesterday who said the Government should be asked to impose the petrol tax as it would mean that the revenue would come from the right source —those using the roads. A tax such as was proposed would produce a revenue of something like £500,000. Councillor McNeill said the rates were at present very high but he was sure that motorists would raise no objections to the tax if they knew the money was being .devoted to the right ends. He thought the tyre-tax might well be abolished in favour of a petrol tax. One member asked if even then the local bodies, particularly in the South Island, would receive a fair share of the benefits from the proceeds. Councillor Bowmar said that before the resolution was passed the council should find out on what basis the allocation of the money would be made. The soundness of the principle of distributing highways funds between the two Islands on the basis of the number of motor vehicles in each Island had been proved and that principle might be put into execution with regard to local bodies. Councillor Golden advocated a petrol tax on the grounds that the user of the road would then be the party to pay for the benefits received. Councillor Wraytt spoke in agreement with Councillor Bowmar. Councillor Trapski advocated a direct allocation of the money according to the number of miles of metalled roads which each body had to maintain. After others had voiced their opinions Councillor Niederer moved: That this council request the Government to levy an additional tax of at least 3d per gallon on petrol. There was, however, no seconder to the motion which thus lapsed.