reprinted from the Dominion (Wellington, NZ)

Airport security tax set

By Roeland Van den Bergh
Copyright 2001 Wellington Newspapers Limited
Article date: December 21, 2001
 

The Government will tax airlines $2.80 a passenger from April 1 to cover the cost of increased security at airports.

The tax will apply only to aircraft with more than 90 seats on domestic services. Air New Zealand said it had not made a decision on whether to pass on the cost.

Transport Minister Mark Gosche said the tax would fund the Aviation Security Service to provide domestic screening of passengers.

"These measures have been essential for the safety of New Zealand airline passengers since September 11," Mr Gosche said.

The cost of providing permanent domestic screening was estimated to be $8.2 million a year.

The Government has spent $3.1 million on domestic aviation security since September 11, excluding defence force costs.

Temporary domestic passenger screening facilities have been in place at Auckland, Rotorua, Wellington, Christchurch, Dunedin and Queenstown airports.

These facilities would be made permanent today.

The Aviation Security Service hired about 126 extra staff to replace defence force personnel who have been helping with the screening.

Tourism New Zealand chief executive George Hickton said the tax would not have any impact on tourism.
 

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