10. Question No. 10—ACCHon TIM MACINDOE (National—Hamilton West) to the Minister for ACCQuestion No. 10—ACC10. Hon TIM MACINDOE (National—Hamilton West) to the Minister for ACC: Will he rule out proposed increases to ACC levies including a 12.1 percent increase in the average motor vehicle levy for road users that would raise the price of petrol by a further 1.9 cents per litre?Hon IAIN LEES-GALLOWAY (Minister for ACC): Although I have said that ACC will need to make a very convincing case for an increase it would be irresponsible of me to rule something in or out before consultation ends; so I will neither rule in or out any proposed increases to ACC levies nor will I rule in or out the proposed decreases to levies that they are also consulting on.Hon Tim Macindoe: If the Minister won't rule out further petrol tax increases through an increased ACC motor vehicle levy what does he say to New Zealanders on modest incomes who are already struggling to cope with the recent rapid increases in petrol taxes and the cost of living?Hon IAIN LEES-GALLOWAY: I would say to them first of all Don't listen to the National Party's fearmongering." and second of all I would say to them that this is ultimately a decision for Cabinet and Cabinet gets to take into account the entire economic context and that's exactly what we'll be doing when we make the final decision on ACC levies.Hon Tim Macindoe: Why did he not advise his ACC officials not to propose a 12.1 percent increase in the average motor vehicle levy for road users in the current levy consultation process?Hon IAIN LEES-GALLOWAY: Well if the member wants to be an effective Opposition spokesperson for ACC he'll need to learn the process. ACC is a Crown entity. It has the responsibility for consulting on its recommendations to me; that's what it is doing. Once it makes a recommendation to me I'll take those recommendations and make my recommendation to Cabinet.Ginny Andersen: What does the motor vehicle levy fund?Hon IAIN LEES-GALLOWAY: The motor vehicle levy funds treatment and compensation for people who have suffered an injury as a result of a motor vehicle accident. One of the things driving ACC's consultation on an increased levy for motor vehicle users is the fact that we have seen the road toll explode over the last few years something that that member and his party should be ashamed of.Rt Hon Winston Peters: Would the Minister tell the country what the Government thinks of the proposal for our Crown entities officials to be muzzled to the extent they don't make any representation to the Minister legal or otherwise?Hon IAIN LEES-GALLOWAY: I would consider that bordering on unconstitutional.Hon Gerry Brownlee: I raise a point of order Mr Speaker. One thing: how did that question relate to the primary question?SPEAKER: Well it related to the supplementary that Mr Macindoe asked. It's absolutely related to it.Hon Gerry Brownlee: It is a reasonable question to ask. He cannot make an assumption in a question. For the Deputy Prime Minister to continue with his sort of disruption of the afternoon's events by bringing up irrelevant questions like that is completely unreasonable and outside of the Standing Orders.Rt Hon Winston Peters: Speaking to the point of order—SPEAKER: I'll let the Rt Hon Deputy Prime Minister have a go.Rt Hon Winston Peters: Mr Macindoe began by saying "Why didn't he ask his officials not to report to him?" That was the substance and the portent of what he said which is so outrageous that I just wanted to make sure that my colleague had a chance to show the level of outrage this Government has with such undemocratic ideas.Hon Tim Macindoe: Mr Speaker I did not say "Why will the Minister not report or ask for that report?" That's not the words I used at all.SPEAKER: Well I think it might be helpful to the House if the member just repeated what he did say so we all understand it.Hon Tim Macindoe: Why did the Minister not advise his ACC officials not to propose a 12.1 percent increase in the average motor vehicle levy for road users in the current levy consultation process?SPEAKER: Well I don't think we need to go any further do we?Hon Tim Macindoe: What is the current financial position of the ACC scheme in terms of assets reserves and investments?Hon IAIN LEES-GALLOWAY: That is a very good question and frankly I'm surprised the member goes there. Under the previous Government ACC's assets were able to balloon to a point where they are nearly 120 percent funded in many of the accounts something the previous Government did to prop up its own surpluses. It is true that we do need to get those accounts back to being more sensibly funded. We need to do that smoothly over time and that is certainly something Cabinet will take into account when it makes a decision about future ACC levies."