$3 billion discount at the bowser only helps oil companies, claims senior NSW Liberal
With the federal election just a fortnight away, a senior member of the Liberal party has blasted the federal government’s decision to halve fuel excise for six months.
The move, made in response to cost-of-living pressures across a number of sectors, will see the public sector lose $3 billion – and Infrastructure, Cities and Active Transport Minister Rob Stokes was unequivocal in his criticism of the move, telling a Committee for Sydney meeting that it was “absolutely nuts”.
“By lowering fuel excise we have actually made it inherently unsustainable,” he was reported as saying. “Ultimately, we’ll lose $3 billion worth of public revenue for what?”
NSW last year announced a half-billion-dollar plan to encourage zero-emissions vehicle uptake, which included a $3,000 subsidy on electric vehicles under $59,000 and plans to roll out charging infrastructure.
Minster Stokes (above) said the federal decision undermined this plan.
“Ultimately, while everyone likes a sugar hit, we’ll be back in the same position in six months’ time with nothing to show for it,” he said.
The minister also pointed out that a cut in the excise would not do anything to change Australia’s dependence on overseas oil, saying that the federal government should not just treat the symptoms, but the cause of cost-of-living pressures.
The ability to enhance the state’s transport networks has also been lost, he argued, which “would have been in everyone’s benefit.”
The NSW premier, Dominic Perrottet, said later that he held Minster Stokes in “the highest regard”, and reiterated that his ministers should be free to voice their opinions.
The news comes in the wake of a well-received Australian Labor Party proposal to aid the uptake of EVs and to build more charging infrastructure, should they win the upcoming election.
At a carsales EV webinar held this week, EV Council CEO Behyad Jafari said that government-led incentives in the space are the best way to increase EV penetration into the market, suggesting that five to 10 per cent of new car sales is the critical number for EV acceptance.
“Government initiatives in other markets is the recipe for success in these markets,” he said.
