PETROL TAX INCREASE

Wairarapa Times-Age, 16 August 1939, Page 5

PETROL TAX INCREASE

EFFECT ON TRANSPORT COSTS DISCUSSED AT CONFERENCE IN WELLINGTON. CONSIDERATION OF HIGHER CHARGES. • ~ (By Telegrapn—Press Association.) WELLINGTON This Day. The recent increase in petrol taxation had increased the cost of operation of motor transport by approximately 5 per cent, according' to a report presented to a meeting in Wellington yesterday of the councils and branch represent at i vos of the four national commercial transport organisations.

Mr J. B. Cullen, president of the New Zealand Road Transport Alliance, presided, and there were present representatives of the New Zealand Carries’ Federation, the New Zealand Passengers Services’ Federation, the New Zealand Taxi Proprietors' Federation, and the New Zealand Road Transport Alliance. The meeting was the largest and most representative of the interests concerned yet held in New Zealand.

The meeting considered that the increased taxation recently announced was not intended to be directly borne by the industry, and that in the absence of other considerations commercial transport as a whole would have no alternative but to increase its charges commensurate withe the increase in costs.

There were, however, other factors which had a great bearing on the immediate future of the industry which it desired to ascertain in assessing the incidence of the petrol tax in relation to the whole position. Of the greatest importance among those were legislation already contemplated to extend transport licensing control tq taxis and town carriers, with consequent stabilisation expected, and a decision by the Government on recommendations made at the request of lhe Minister of Transport, involving future transport policy; also a review of the regulations affecting operating conditions, with a view to elimination of all possible undue restrictions. It was resolved that in the event of an assurance being forthcoming that those matters would receive the attention of the Government the industry generally would not ask for any flat rate increase in charges. The industry. however, considered that certain sections with fixed charges would be unable to bear the increased cost due to the petrol tax. and required the right for all engaged to have consideration given to any application made for increased charges.

After discussion of transport policy and administration the following resolution was carried unanimously: “That this meeting, representative of the commercial motor transport industry, places on record its continued confidence in the Minister of Transport and expresses appreciation of his action in consulting the industry in regard to future policy."