Adelaide carparking tax legislation faces certain defeat in Upper House
The Government will concede defeat in its controversial bid to impose a city carpark tax. Source: News Limited
Story summary: •Parties state their positions on carpark tax
•Where to park in the Bay for free
•Operator passes tax on before being law
•Don’t pass levy on to customers
A PROMISED park ‘n’ ride at the popular Paradise Interchange will be the first project to be axed when a $120 million hole is blown into the State Budget with the defeat of the carpark tax.
Treasurer Tom Koutsantonis said a “whole series” of public transport projects were at risk now the State Government conceded the defeat of its controversial bid to impose a city carpark tax.
The Government will put the Transport Development Levy to a vote in the Upper House today where it faces certain defeat.
The tax would have imposed a $750-a-year charge per car park, which was expected to cost drivers up to $6 extra a day to park.
Mr Koutsantonis said it was fair to consider that everything the Government had promised under the levy was under threat including park ‘n’ rides, new trams, buses and trains.
Transport Minister Stephen Mullighan said the Government would also have to review its 30-year transport plan, which outlined a timeline for new tram lines, rail and road upgrades.
The Paradise park ‘n’ ride is the first victim of what looks to be a terrible decision by (Liberal MP for Hartley) Vincent Tarzia and (Opposition Leader) Steven Marshall,” he said.
“We also talked about other measures to reduce congestion around the city. The Deputy Premier late last year released the Integrated Transport and Land Use plan that spelt out many tram extensions, for example, and other upgrades around the city.
“These are the sorts of things now which become incredibly difficult for the Government to deliver. We’ll be looking at releasing the final plan as quickly as possible.”
Government modelling shows the tax was meant to raise $120 million over the next four years.
This was to help pay for five new trams, five three-car electric trains and 88 new buses.
Mr Koutsantonis told The Advertiser that without the levy, South Australians would face “major delays and gridlock”.
“We need to improve the way we commute by funding world-class public transport that will encourage more people onto our buses, trams and trams,” he said.
“It will decongest our roads into and through the CBD so the people who need to drive in still can.
“The Transport Development Levy, which exists in the other major capitals, will allow us to do this.
The Government had conducted preliminary work on building park‘n’rides at Parafield, Golden Grove, West Lakes, Bellevue Heights, Wayville, Crafers and Tambelin, which are now unlikely to go ahead.
The $160 million O-Bahn tunnel was the Government’s other major public transport commitment, but the project’s popularity in two marginal north-eastern seats means it is unlikely to get the chop.
“What we’re not going to do is throw the baby out with the bath water. What we want to do is improve public transport in the CBD - we can’t make North Tce any wider,” Mr Koutsantonis said.
“I don’t think it (the O’Bahn tunnel) is the type of project we would cancel because the public tranpsort outcomes out of it are exceptionally good for people in the north-eastern suburbs.”
The Labor Government announced its plan for a Transport Development Levy, known as the carpark tax, in December 2012.
Labor does not have the Upper House numbers to pass any Bill without the support of at least four of the six crossbenchers, or the Liberal Opposition.
Crossbenchers Dennis Hood and Robert Brokenshire of Family First, and John Darley, have publicly committed to stand with the Liberals to stop the introduction of the carpark tax.
It followed Mr Koutsantonis’ failed attempt to gain crossbench support.
The Advertiser revealed last week that he had offered to consider reinstating some emergency services levy subsidies.
The Opposition’s move to force the Government to back down on the tax breaks with parliamentary convention, which allows revenue-raising Budget measures to pass.
Mr Koutsantonis took aim at Opposition Leader Steven Marshall and said it was Mr Marshall who was ripping a $120 million hole in the State Budget.
Mr Marshall said the carpark tax would only increase the tax burden on ordinary families.
“This latest tax grab by the Weatherill Labor Government has nothing to do with improved public transport and everything to do with South Australia’s massive debt and deficit,” he said.
“It will do nothing to stimulate the economic investment South Australia so desperately needs.
“The State Liberals understand the pressures South Australian families and businesses are facing and will vote against this toxic tax.”
Property Council SA executive director Daniel Gannon said the organisation had made no secret of its belief that a car park tax would damage CBD vibrancy and the state’s economic growth.
“Right now, CBD business owners need to be encouraged to create jobs and grow our
state’s economy, not discouraged,” he said.
“On one hand the State Government is taking very positive steps to stimulate the
property and construction industry and make the CBD a more vibrant place to live and
work.
“However, on the other hand, the car park tax will only serve to stymie investment in
the CBD and would be a step in the wrong direction.”
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