Shelving of border costs plan likely

By Jeremy Kirk and Simon Beattie
Copyright 1998 Wellington Evening Post
Reprinted with permission
Article date: October 15, 1998
 

The Government conceded today it might have to shelve plans to impose full cost recovery for border control work because of ACT and Labour opposition.

Associate Biosecurity and Border Control Minister David Carter said the Government would brief all political parties on the measures, but it would not put them in place if it did not have the numbers in Parliament.

ACT tourism and immigration spokeswoman Patricia Schnauer said National was "acting in stealth" by attaching the cost recovery changes to other immigration legislation amendments and advancing them under urgency. Requiring port companies and airports to pay for the full $32 million cost of running quarantine, Customs and immigrations checks at border points was likely to lead to higher departure taxes and ticket prices.

ACT believed border control was a public good and opposed dumping costs on the productive sector, a measure contrary to National's policy of reducing business overheads.

Unless Mrs Schnauer could see "some positive impact on the Government", which she had not so far, she would recommend ACT not support the measures.

The travel industry has suggested 25 percent of travellers will choose not to come to New Zealand if they have to pay higher border costs.

Labour's immigration spokesman Lianne Daziel said her party believed border control work had clear benefits for the country and costs should be shared between industry and government. It would not support the full cost recovery measures contained in the Immigration Amendment Bill. The Bill is before a select committee and due to be reported back to Parliament for its final reading in early December. If ACT and Labour oppose it, National will not have the numbers to pass the legislation.

Mr Carter said the travel industry had "grossly exaggerated" the impact of imposing border cost recovery. The rise or fall of the New Zealand dollar overnight would have a greater impact on international ticket prices.

A Travel Industry Coalition representing New Zealand's international airports and the aviation industry has been formed to fight the moves and lobby MPs. It says passengers travelling overseas from Wellington and Auckland airports may face a departure fee of $35 to $40.

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

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