PLP against car licence hikes
in the Senate yesterday.
But Opposition Progressive Labour Party Senators voiced concern at the size of the increases.
Sen. Neletha Butterfield (PLP) said the "man in the street'' would be hit.
And Sen. Terry Lister (PLP) warned such increases -- on top of those for hospital insurance premiums and health care fees -- would force up the cost of living.
Under the Motor Car Amendment (No. 2) Act 1995 annual licensing fees for bikes are going up to $49.80 (less than 100cc); $57.80 (100-125cc); and $93.60 (125-150cc).
For cars the new costs are: $160.60 (A class); $233.60 (B class); $354.05 (C class); $445.30 (D class); $598.60 (E class); $708.10 (F class); and $835.85 (G class).
The classes are worked out according to the size of a vehicle.
For example, class A vehicles are those not exceeding 138 inches, while class G ones are those between 166 and 169 inches.
Government Sen. Larry Scott , who handles the Transport Ministry portfolio in the Senate, said the percentage increases ranged between 10 and 17 percent.
He said the increases were a revenue earner for Government, and were never "popular''.
Sen. Scott pointed out one way for families to minimise the impact of the rises was to buy smaller cars.
The smaller the vehicle, the smaller the fee.
Government Senate leader the Hon. Gerald Simons said it was wrong to see the increases in percentage terms.
In dollar terms, the rises were modest, he said.
Sen. Simons claimed the primary reason for upping the fee was to raise revenue -- not to reduce the number of cars on the road.
Those who drove cars by choice should be prepared to pay, he said.
The fee encouraged the use of smaller cars. This, he said, would have a positive impact on the environment.
Current taxes on cars are based on value and made huge contributions to Government coffers, he added.
And, in answer to Sen. Lister's concern, Sen. Simons argued the tax would have "no impact whatsoever'' on the Consumer Price Index.
