Petrol levy could fuel North

The prospect of a regional fuel tax has a service station owner in Kaiwaka rubbing his hands in glee.
If Auckland introduces a proposed 10c-a-litre fuel tax, motorists are likely to stop en masse to tank up before leaving Northland.
But the joy at Shamrock Service Station, the last petrol pump before the Auckland boundary, could be short lived - Northland could end up getting its own regional fuel tax.
A regional fuel levy of up to 10c a litre of petrol and diesel, to pay for major roading projects, was one of the new initiatives in last week's Budget.
It is aimed mainly at Auckland, but any other region that can come up with a suitable project is entitled to its own levy.
Shamrock Service Station owner Glenn Teal said an Auckland fuel tax would mean people heading north would wait until Kaiwaka to tank up to avoid the levy.
Mangawhai Service Station manager Gaye Burt said he was also expecting increased sales to drivers and boaties - but said a regional fuel tax for Northland would be disastrous, because fuel at Mangawhai was already more expensive because of higher delivery costs. And just on the other side of the boundary, Go Gas owner Jaswinder Singh in Te Hana is dreading a loss in business.
"Customers will obviously opt for cheaper fuel and will go to Kaiwaka which is 10 to 15km away.
"I don't mind paying tax for a worthy cause but this will affect my business. I have a lot of customers who come here because they like our service and they may go for cheaper fuel."
But some business leaders back a Northland fuel tax if it will benefit the travelling public. Northland Chamber of Commerce head Jeff Smith said it should be seen as a user-pays levy rather than a unilaterally imposed tax. "Transport is one of the region's biggest priorities and if we've exhausted the avenue of getting funding from the central Government, then fuel tax could be pursued," Mr Smith said.
He said it was a fair tax in that only vehicle owners would foot the cost - a pensioner who did not drive would not pay.
Enterprise Northland head Brian Roberts has also welcomed having the idea of a fuel levy to pay for big roading projects that couldn't be covered by the public purse - as long as the public agrees.
"So if we need a lower Whangarei Harbour crossing or better access through the Brynderwyns, we have the chance to have the debate about raising money through a regional petrol tax," he said.
But Farmers of New Zealand says the trend of making district councils, instead of the Government, pay for essential infrastructure like roads has to stop.
"We'll oppose this tax unless there's equity and realisation that roads are a national asset and therefore have to be funded by the Government," president Ian Walker said.
In Northland, 65 percent of ratepayers' money went into road construction and maintenance, compared with just 18 percent in Auckland, he said.