Gull takes strong stance against proposed regional fuel tax

Auckland, 22 March 2012 – Gull Petroleum today put forward its submission to the Auckland Council over the proposed regional fuel tax for the city.

David Bodger, General Manager for Gull New Zealand says they strongly oppose the tax.

“Some of the basic assumptions of this tax I believe are fundamentally flawed and it raises more questions than answers.

“It would be extremely disappointing for Aucklanders if the tax was implemented leading to Auckland motorists paying an exorbitant amount at the pump, but then it was later found that the tax revenue had been poorly estimated or lost through paying refunds and administration charges.

“A tax of this kind is likely to generate more red tape and bureaucracy essentially eroding the revenue generated from the tax.

“Central Government looked at this tax and I understand dropped it as it was not an efficient revenue gathering mechanism,” says Mr Bodger.

The regional fuel tax has come under criticism specifically from central Government calling the tax ‘economically inefficient’ and some media reporting that an increase in fuel tax of 30c a litre would be needed to cover 30-year loan annual repayments of more than $300 million for transport infrastructure development.

Gull supports the focus on tackling Auckland’s transport issues in the draft Auckland Plan discussion document. Mr Bodger says if Auckland’s economy is to thrive – the Auckland Plan needs to work towards reducing congestion, increasing efficiency and encouraging more sustainable transportation.

“It is encouraging to see the discussion document moving away from the argument of cars vs. public transport and towards planning a single integrated transport network for Aucklanders,” says Mr Bodger

Gull calls on Auckland Council to urgently consult with the Ministry of Transport and all other Government agencies to review their opinions of the previously proposed (and rejected) regional fuel tax.

About Gull
Gull New Zealand is the independent oil company that is credited with keeping the fuel market competitive and giving savings to the Kiwi motorist. It has become a serious player, offering a real choice for motorists in an extremely competitive market. The company remains today a family owned operation.

Gull New Zealand was founded in 1998 by the Rae family who saw the need and potential for an independent energy supplier. Adherence to a philosophy of low cost management, prudent investment decisions and a carefully planned marketing strategy commenced with the building of a state of the art terminal in Mount Maunganui in 1998. Tanks were relocated from Marsden Point by barge, a feat the opposition said was “impossible”.

Gull New Zealand made the first retail sales of petrol in 1999 and has grown the network to over 40 branded sites.

Gull has been a first mover in introducing innovative new products to the New Zealand energy market. These include low sulphur diesel bringing environmental benefits well ahead of the opposition, as well as New Zealand’s first biofuel, Gull Force 10 (a 10% ethanol mixed with premium gasoline giving higher octane and cleaner performance).

2010 saw Gull achieve another first and extend its environmental focus with release of Gull Diesel Max, a high quality bio diesel blend sourced from sustainable New Zealand vegetable oil.

Gull now has five service stations that only sell bio fuels which is another first for New Zealand.

For more information please visit www.gull.co.nz

ENDS

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