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04-07-2006, 05:37 AM
RURAL FUEL PRICES SET TO RISE
The death knell had sounded for two vital fuel subsidy schemes and petrol prices were set tor rise in regional and rural Queensland as a result, Premier Peter Beattie said today.
Mr Beattie said as of Friday night the Howard Government had scrapped the Fuel Sales Grants Scheme and the Petroleum Products Freight Subsidy Scheme.
"Petrol prices are already through the roof and this is another whack for families struggling to make ends meet," Mr Beattie said.
"We are the most decentralised State in Australia and this cold hearted decision by the Howard Government will hit us the hardest.
"Scrapping these schemes will result in petrol prices in rural areas of our State jumping by at least another two or three cents a litre."
The Fuel Sales Grants Scheme provides a rebate of one to two cents per litre to compensate for the impact of the GST. The scheme was put in place because fuel prices in regional and rural areas are higher resulting in a higher GST charge.
The Petroleum Products Freight Subsidy Scheme provides grants to fuel companies to reduce the cost of freighting petrol products to remote areas and assists in reducing the price differential between city and country prices. If business costs go up, such as increased freight costs due to the price of fuel, then the business will need to offset that by passing on the increase to consumers.
Mr Beattie said he had been calling on the Howard Government to reverse this hard hearted decision but the pleas had obviously fallen on deaf ears.
He said the RACQ had also warned that fuel price increases would be inevitable if the schemes were scrapped.
"I understand the RACQ wrote to all Queensland senators and Members of Parliament urging them to vote against the abolition of the Fuel Sales Grants Scheme," Mr Beattie said.
"So the Howard Government have not only ignored our call but they have also ignored the call of the one million plus members of the RACQ.
"It is an arrogant decision and yet another example of this Federal Government ignoring the needs of the bush."
Mr Beattie said the Queensland Government provided a generous 8.354 cents per litre subsidy.
"It is the most generous fuel subsidy scheme in Australia and there is no way I would allow it to be scrapped," he said.
"I know how high fuel prices are and I know how much it is hurting ordinary families.
"The Fuel Subsidy Scheme costs our Government a lot of money but we are committed to maintaining the scheme because it provides real assistance to families and low to middle income earners struggling to meet the costs of rising fuel prices."
Media inquiries: (07) 3224 4500
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The death knell had sounded for two vital fuel subsidy schemes and petrol prices were set tor rise in regional and rural Queensland as a result, Premier Peter Beattie said today.
Mr Beattie said as of Friday night the Howard Government had scrapped the Fuel Sales Grants Scheme and the Petroleum Products Freight Subsidy Scheme.
"Petrol prices are already through the roof and this is another whack for families struggling to make ends meet," Mr Beattie said.
"We are the most decentralised State in Australia and this cold hearted decision by the Howard Government will hit us the hardest.
"Scrapping these schemes will result in petrol prices in rural areas of our State jumping by at least another two or three cents a litre."
The Fuel Sales Grants Scheme provides a rebate of one to two cents per litre to compensate for the impact of the GST. The scheme was put in place because fuel prices in regional and rural areas are higher resulting in a higher GST charge.
The Petroleum Products Freight Subsidy Scheme provides grants to fuel companies to reduce the cost of freighting petrol products to remote areas and assists in reducing the price differential between city and country prices. If business costs go up, such as increased freight costs due to the price of fuel, then the business will need to offset that by passing on the increase to consumers.
Mr Beattie said he had been calling on the Howard Government to reverse this hard hearted decision but the pleas had obviously fallen on deaf ears.
He said the RACQ had also warned that fuel price increases would be inevitable if the schemes were scrapped.
"I understand the RACQ wrote to all Queensland senators and Members of Parliament urging them to vote against the abolition of the Fuel Sales Grants Scheme," Mr Beattie said.
"So the Howard Government have not only ignored our call but they have also ignored the call of the one million plus members of the RACQ.
"It is an arrogant decision and yet another example of this Federal Government ignoring the needs of the bush."
Mr Beattie said the Queensland Government provided a generous 8.354 cents per litre subsidy.
"It is the most generous fuel subsidy scheme in Australia and there is no way I would allow it to be scrapped," he said.
"I know how high fuel prices are and I know how much it is hurting ordinary families.
"The Fuel Subsidy Scheme costs our Government a lot of money but we are committed to maintaining the scheme because it provides real assistance to families and low to middle income earners struggling to meet the costs of rising fuel prices."
Media inquiries: (07) 3224 4500
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To unsubscribe from the Media Statements mailing list, or change the minister(s) and/or portfolio(s) to which you are subscribed, please go to the 'login' page at http://statements.cabinet.qld.gov.au/mms/Login.aspx
Enter the username and password you used to subscribe in the text boxes and click on the link that allows you to check your subscription details.
The address with which you are subscribed is 'g.fooks@uq.net.au'. Please ensure that you use the email address exactly as it appears, especially in relation to upper and lower case characters.