May 12, 2010

Trucking operators to benefit from smaller rego increase

Trucking operators to benefit from smaller rego increase

The Hon Anthony Albanese MP

The Minister for Infrastructure, Transport

Regional Development and Local Government

Leader of the House

Member for Grayndler

May 12 2010

Today I introduced into the Parliament legislation which would more than halve the next annual increase in the registration fees due to be paid on 1 July by the owners of trucks and trailers, saving the industry $116 million a year.

Instead of the 9.7 per cent increase that would have occurred, passage of the legislation will deliver a much smaller 4.2 per cent increase in these fees.

This legislative action will leave up to $800 per vehicle in the pockets of operators at a time when our economy is recovering from the worst global recession in 75 years.

While our legislative action deals only with those trucks and trailers registered under the Federal Interstate Registration Scheme (FIRS), state and territory transport ministers agreed during the recent meeting of the Australian Transport Council (ATC) to make similar changes to their registration regimes.

Heavy vehicle registration fees are adjusted annually in accordance with a formula contained in the regulation we’re now seeking to replace. The new regulation, with an amended formula, will make sure the trucking industry continues to pay its fair share of the costs associated with maintaining and upgrading the nation’s road network – and not a cent more.

The existing formula underestimated the growth in the number of B-Doubles that has occurred since it was first developed.

As well as restoring the ‘fair share’ principle, the reforms implemented by the Rudd Labor Government in 2007 slashed registration charges for the owners of smaller trucks which constitute a quarter of the nation’s almost 375,000 heavy vehicles. It’s worth noting that even after the subsequent annual increases the owners of these trucks are still paying less today than they were in 2006.

In the years ahead all operators in the trucking industry will benefit from our decision to more than double the Federal roads budget, an investment that will deliver safer, less congested highways and major arterial roads.

The legislation introduced into the Parliament today seeks to amend the Interstate Road Transport Charge Act 1985.