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Airport departure tax might hit $40

 

By Simon Beattie
Copyright 1998 Wellington Evening Post
Reprinted with permission
Article date: September 9, 1998
 

Wellington Airport's departure tax for international flights might go as high as $40 if Government plans to recover border charges go ahead.

The Government is proposing to move to a full cost recovery of Ministry of Agriculture, Customs and Immigration services from July. Airports around the country will be left to find ways of recovering funds.

Wellington Airport chief executive Don Huse said the move could push Wellington's international departure tax up by as much as $15.

The departure tax is now $25.

"In round terms you could work on a figure of around $10-$15 for an adult passenger. That is the figure that has been released by the Tourism Industry Coalition," Mr Huse said today.

But, he said, the proposal was not set in stone as no legislation had been passed and the airport had yet to meet airlines to discuss it.

He said another option could be to increase costs to airlines.

This might have an impact on ticket prices.

Tourism Industry Association chief Glenys Coughlan said the Government's proposals would have a likely effect on consumers and New Zealand's tourism industry.

She said putting hundreds of millions of dollars at risk to save the Government $ 23 million did not make sense.

Her comments echoed those of the president of the Inbound Tour Operators Council of New Zealand, Mark Sainsbury, who said last month the moves would put the country's tourism earnings at risk.

He said a study conducted by Auckland International Airport showed that 25 percent of visitors might not have come to New Zealand if they had faced increased departure charges.

 

Reproduced by permission of the Evening Post, Wellington, New Zealand
 

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