7. Transport Infrastructure—Regional Fuel Tax ImpactJAMI-LEE ROSS (National—Botany) to the Minister of TransportTransport Infrastructure—Regional Fuel Tax Impact7. JAMI-LEE ROSS (National—Botany) to the Minister of Transport: Will the proposed Auckland regional fuel tax increase the cost of living for Aucklanders?Hon PHIL TWYFORD (Minister of Transport): I am committed to striking a balance between affordability and taking urgent action on the transport infrastructure deficit that we inherited. The combined effect of the Auckland regional fuel tax and the proposed increases to fuel excise duty will cost an average family $5 per week. This is dwarfed by the $75 a week on average that low and middle income families will receive as part of the Families Package.Jami-Lee Ross: Does he agree with the Minister of Transport that the regressive nature of the proposed regional fuel tax could result in lower income households contributing a higher proportion of their income to the tax compared to higher income households"?Hon PHIL TWYFORD: Well I think most people would agree with that statement but it's also true that congestion costs are highly regressive. The effect on low-income families of not having decent public transport means that they are forced into the most expensive option which is dependence on every adult in a household who works having to run a car to get to and from work. The regional fuel tax will generate or will free up $4.5 billion of investment in public transport that will make life better for low-income workers. It generates $1.5 billion and frees up another $3 billion. And if that member wants to abolish the regional fuel tax as he says he does he needs to tell Aucklanders which projects he's going to cancel. Jami-Lee Ross: Does he agree with Manurewa-Papakura councillor Daniel Newman who described the tax as a "wholesale redistribution of wealth from some of the poorest blue collar workers who have the least transport choice to fund much of the infrastructure to serve those people who enjoy the greatest wealth."?SPEAKER: Order! Before the member answers I'm going to indicate that the Opposition has a further three supplementary questions as a result of the interjection during that supplementary. I'll take the time to indicate to the House that the Opposition has a choice of using them today or tomorrow.Hon PHIL TWYFORD: Well I think I've pointed out to the member that we are building a modern public transport system that will give all Aucklanders choices. It will tackle the current cost of congestion in Auckland which is $1.3 billion and actually far worse than the regressive effect of a regional fuel tax is the punishing effect on low-income people of not having access to decent public transport. On top of that our Government has done more than that former Government ever did to put money in the pockets of low-income families—$75 a week for 384000 low and middle income families.Jami-Lee Ross: Does he agree with Labour councillor for Manukau Efeso Collins who wrote an article which described the impact of the regional fuel tax as "Taxing the poor to transport the rich"?Hon PHIL TWYFORD: Well I did see that article but I would note that a clear majority of councillors on Auckland Council including a number of National Party - aligned councillors voted to put Auckland first ahead of the petty politicking from that side of the House.Jami-Lee Ross: Does he agree with the submission of transport economist Sam Warburton that this tax will see poorer and more at-risk households over-taxed and subsidising rich households?Hon PHIL TWYFORD: Well I agree with Sam Warburton and in fact the former transport Minister the Hon Simon Bridges who courageously initiated work on congestion pricing and road pricing in Auckland—work that this Government is carrying on because we believe that in the long term that provides better options for the Auckland transport system than a regional fuel tax. But we're not prepared as a Government to wait around and do nothing while the gridlock gets worse and worse as that Government did.Jami-Lee Ross: Does he agree that his continued attempts to tax Aucklanders more in the face of growing public opposition was one of the biggest contributing factors behind Dan Bidois winning on Saturday?SPEAKER: Order! It's not an area he has responsibility for.Marja Lubeck: What projects will the regional fuel tax fund?Hon PHIL TWYFORD: The regional fuel tax enables the biggest civil infrastructure programme in New Zealand's history. The regional fuel tax funds bus priority improvements and infrastructure in the central city the eastern busway park-and-rides in the Hibiscus Coast Westgate Kūmeu Drury and Paerata more electric trains redevelopment of the downtown ferry a road safety programme Penlink Mill Road and many other projects across Auckland.Marja Lubeck: What alternatives are there to going ahead with the regional fuel tax?Hon PHIL TWYFORD: Well the reality is pretty simple: if we're going to have less revenue to pay for transport projects—and I underline the fact that the regional fuel tax is responsible for freeing up $4.5 billion out of the $28 billion programme. If we don't have that we'll have to run more debt cancel projects or both. The Opposition is asking us simultaneously—SPEAKER: Order! Order!"