MEDIA RELEASE

The Rudd Government’s hike in aviation fuel excise should be exposed for what it is—a sneaky cash grab.

In Parliament, the government has tried to justify the tax hike as necessary to raise funds to improve airline safety.

They suggest the money is needed to put 90 extra aviation inspectors on the beat, but the government hasn’t provided a single piece of evidence to show why extra inspectors are needed.

They hide behind general emotive references to airline safety, but in doing so, they are merely denigrating Australian pilots and aviation workers.

“This is a tax grab, and nothing more - and it’s a big one—a whopping 25% increase from 1 July, 2010. That’s a heavy burden for airlines to carry, particularly the smaller, regional operators.”

Opposing the Excise Tariff Amendment (Aviation Fuel) Bill 20210 in Parliament, the Member for Farrer, Sussan Ley said:

“There is no way the excise for fuel in motor vehicles would have been increased in the last budget, because the government knew the eyes of the Australian motorists were upon them.

“They obviously thought they could get away with adding 25% to the cost of aviation fuel by using a very slim excuse about the Civil Aviation Safety Authority needing more cops on the beat.”

Ms Ley told parliament that as a commercial pilot she had a passionate interest in aviation safety.

“Yes, there are human factors in aircraft accidents. In the literature there is a range of what those human factors are, but they are not drug and alcohol problems on the part of pilots.

“I believe there is no record that CASA can point to that demonstrates the need for 90 extra cops on the beat to drug and alcohol test Australia’s pilots.”

Ms Ley said that CASA’s funding from aviation fuel excise had increase from $53.96 million in 2002-03 to $78.37 million in 2008-09 and will continue to increase as the industry expands.

“So many more dollars will go in the door of CASA but there is no accountability for the use of that money, other than these new ‘cops on the beat”.”

“If the government thinks that pilots are flouting the rules, and more inspectors are needed, let them make that case, instead of just hiding behind generic references to the need for improved safety.” She said.