Department of the Legislative Assembly, Northern Territory Government

Ms MARTIN - 2000-06-13

Today in Darwin, fuel costs 94.9 per litre; in Alice Springs it is $1.04; Nhulunbuy it is $1.10; and at the Barkly Homestead you will pay $1.14. To make matters worse, the AANT recently confirmed Territorians’ suspicions that Territory fuel prices will rise under a GST. The very worst is that a CLP government, supposedly standing up for Territorians, is using the cover of the GST to remove the general fuel subsidy, which currently reduces petrol by 1.1 per litre. How does the Chief Minister justify removal of this fuel subsidy which will further increase the bill Territorians pay every time they fill their vehicle with fuel?

ANSWER

Mr Speaker, the issue of high fuel prices in the Northern Territory is something that, like high electricity prices, we can debate endlessly. The reality is that in the Northern Territory fuel prices are higher - there is no doubt about that. But one has to make a comparison with jurisdictions in other parts of Australia who are away from their metropolitan centres, in trying to get some comparison about where those prices are in fact higher, and why.

The issue of an inquiry into fuel prices in the Northern Territory is something that has crossed my mind. However, one gets disillusioned with those kinds of inquiries, not the least being because the opposition pour cold water on them right from the outset and suggest that somehow these are only a charade and the government is only trying to use these inquiries as a way of not getting to the truth of the matter.

The reality is, from my point of view, the issue of high fuel prices is something that we watch and monitor continuously. I do not believe there is any extortion going on with regards to the wholesalers or distributors in the Northern Territory. The issue in some respects would be modified if there were less outlets in the Northern Territory by comparison to the population. However, that is an issue for people who are in business to address because with a small population base in the Northern Territory obviously there are only so many customers to go around.

With regards to the question of the removal of the fuel subsidy, I understand from the Treasurer that that subsidy has been removed because there are other mechanisms being put in place by the Commonwealth. However, I do take the question seriously and I will seek further advice.
Last updated: 09 Aug 2016