Rural, regional and outer metropolitan drivers who use LPG fuel will suffer a blow from the start of December with the introduction of a new Liquid Petroleum Gas (LPG) tax, Queenslands peak independent motoring body has warned.
RACQ Executive Manager Technical and Safety Policy, Steve Spalding, said the implementation of the new tax came just days after the first win for an LPG powered car the Ford Falcon EcoLPi in this years Australias Best Car Awards.
Queenslands regional drivers and fleet operators have demonstrated a long-standing preference for large sedans, which have been made more economical through use of LPG fuel that until now has not been taxed, Mr Spalding said.
As of December 1, service stations can charge excise of 2.5cpl on LPG once they have received a new delivery from a manufacturer or licensed bulk supplier. From 1 July 2012, the excise on LPG will go up to 5cpl and then increase by 2.5cpl annually to a maximum 12.5cpl on 1 July 2015.
This compares with the 38cpl fuel excise charged on petrol and diesel.
Motorists who use LPG can expect to pay an extra $2.00 when filling a 75-litre LPG tank. Over a year, it could mean hundreds of dollars for motorists in regional areas and in the outer suburbs who often drive hundreds of kilometres each week.
This new tax is yet another example of the Federal Government milking motorists.
Mr Spalding said it was anticipated that the Federal Government would receive an extra $518.5m over four years by taxing LPG and other gas fuels.
As we have consistently argued, the Federal Government should allocate all of the revenue it gains from fuel taxes to building roads, he said.
The Government rakes in around $13 billion from motorists in fuel taxes every year, but only half of that goes back into funding roads.
The implementation of this new tax further emphasises the need for the Government to use this revenue for the benefit of motorists, through funding the building and maintenance of our road network.
