PETROL SUPPLIES

Wanganui Chronicle, Volume 75, Issue 117, 20 May 1932, Page 8

PETROL SUPPLIES

TAX AND MONOPOLY FARMERS CRITICAL DE RATING FARM LANDS WELLINGTON, May 19. Protests against tho Government appropriation of £51)0,000 from the petrol tax, and against tho monopoly of petrol supplies, were made at a meeting of the Dominion executive of. the New Zealand Farmers’ Union today. The following remit was under discussion:—■ That all funds collected by way of benzine tax should bo utilised for the purpose of roading and reduction oi rates, and not for any other purposes. Mr. W. J. Polson, M.P., the president, said it was most unfortunate that all the farmers’ efforts for derating, and the prospect of getting derating, should have disappeared for some considerable time because of the depression. He hoped that as soon as things got a little better they would be able to proceed again along the old lines. There was a very strong feeling in tho House for dc-rating, a group being of opinion that tho whole business was being tackled from the wrong angle, and that a sum could be raised from petrol taxation that would go a long way towards de-rating farm lands, provide for the maintenance of roads, and at the same time benefit the petrol consumers in the country.

There was no doubt that the country was in the hands of a monopoly, continued Mr Polson. New Zealand was closer to the petrol supplies than Great Britain, yet in the Old Country petrol charges were Is 3d and Is 4d a gallon, while New Zealand had to pay 2s or more. The Government could easily prevent exploitation and could insist that the product be sold at a. reasonable profit. If it did that, it could put the petrol tax up another 4d a gallon to-morrow morning and at the same time reduce the rate t othe consumers.

Mr H. O. Mellsop (Auckland) sug f 'sted that the executive should pass a resolution backing up the Parliamentary group. Mr N. Campbell (Manawatu): “What about circularising every member of Parliament, asking him for a reply?” He suggested that if revenue w-is necessary it should be taken from monopolies. Mr W. Morrison (Wanganui), a member of the Highways Board, said that in justice to the motorists it should be recognised that the motorist realised that the country was in a serious need of money. The board had increased subsidies from £2 to £1 to £3 to £1 for maintenance, which was a relief to rural ratepayers, and the Government took £250,000 from the petrol tax in direct relief to rural ratepayers. “Wo have been getting quite a long way to dc-rating,” he said. The remit was carried.