"Nothing doin" budget for gas or heat users

Seems that every budget day, motorists in this province, and indeed across the country, are feeling a little left out when the good times are rolling.

Such has been the case for both the federal and provincial budgets, both of which were abject disappointments when it comes to some form of pricing relief.

Neither budget adressed the issues of high taxation on a commodity that has experienced rapid increases that far outweigh the rate of inflation. Prices aren't going to ease anytime soon either, in case you were wondering. My numbers are still reflecting anywhere between $1.22 to $1.31 a litre for regular unleaded gasoline by the first week of July here in Newfoundland and Labrador.

Here in Newfoundland and Labrador, gasoline taxes amount to almost 16.5 cents on a litre while the sales tax component averages half that again. Last year, the province collected close on $142 million in motive taxes and only invested close on $66 million back into road and ferry infrastructure, a far cry from the amount collected neddless to say.

Is this fair?

I think not...

If you're going to collect a tax for a specific intent, then collect it and SPEND it for it's intended purpose. Don't tell me that the people of Labrador aren't worth hard surface instead of a chip seal experinment. Don't tell me that the province has to wait for something to happen in the west bound lane of the Harbour Arterial road before proper dollars are spent and we see a full accounting of road work...

Heating oil users in Canada this coming winter are going to be in for a shock when they go to fill their tanks. We're not seeing spot prices fall back in the non-demand season for the fuel when it should be. Spot prices are now just slightly below those of last year and just aren't falling back the way they used to a couple of years ago.

Spots for gasoline exceed those of May month last year by something like four cents a litre.

Call me crazy... But in yesterdays budget, would motorists and energy users be better served by a tax break on any motive fuel and a complete removal of the province's taxation component off all forms of heat?

If the province wants to preach about taking charge of it's own house, then why didn't it start with breaking the HST Agreement of 1998 and enter into a "control" of it's own fiscal regime? Why can't we call our own shot on most taxes here in the province and give everyone a break on taxes that are collected at the sales tax level rather than the income tax level?

It sounds a lot easier to do that across the board rather than see income tax breaks that rival the equalization formula.

Income tax or equalization. Can any of us figure out how either works?

Maybe budget time should be turned into something tangible next time. You know...Something we can all sink our teeth into...

Regards,

George