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Home / Rotorua Daily Post

5c petrol hike to pay for roads

By <b>ABIGAIL CASPARI</b>
Rotorua Daily Post·
7 Feb, 2008 12:59 AM3 mins to read

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Rotorua people could help pay for major roading projects proposed for the city through a fuel tax of 5c a litre.

About $117 million is needed to fund three roading projects in the city - the Victoria St Arterial, the Rotorua Eastern Arterial and the four-laning of Ngongotaha
Rd from Skyline Skyrides to the bridge just before the Ngongotaha village.

The projects are still some years away but Rotorua District Councillor Glenys Searancke who spoke at a Regional Land Transport Committee meeting at Mt Maunganui this week told the Daily Post about $75 million of the funding would come from various Government sources over the next 10 years.

However, the rest may need to come from a regional fuel tax.

There were about 20 people at the meeting at Mt Maunganui, including representatives of six local authorities, Environment Bay of Plenty and various Government transport organisations including Land Transport New Zealand.

The meeting was held to discuss how the new $470 million Eastern Motorway from Te Maunga to Paengaroa, which will bypass Te Puke, should be funded. About $100 million could come from tolls and a further $120 million could come from a regional fuel tax.

Rotorua people will have the option of using the motorway but will have to pay a toll or they can still drive through Te Puke.

A fuel tax provision is included in the Land Transport Management Act Amendment Bill, which is at the select committee stage.

Like tolls, the fuel tax will require a parliamentary order in council and it needs to go out for public consultation beforehand. The Bay is likely to be the first region in the country to make an application under the amended legislation.

Mrs Searancke said there needed to be more Government funding for roading projects but she was in favour of a fuel tax as long as Rotorua "gets our share of the cake".

She said it would be difficult to convince local residents in Rotorua to pay such a tax unless they saw some benefit from it.

If money from the regional fuel tax can be spread over the whole region, the Rotorua District Council could support it.

"What I'm afraid of is if the Tauranga Eastern Motorway gobbled up every dollar over the next 10 years then there would be no advancement, even in design, of some of the other projects. And that's not good planning."

She said the intent from this week's meeting in Tauranga was that money from any fuel tax would be shared out equally.

additional reporting BOP Times

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