Is this going to be a problem for Victorians?
Will this turn into a Transurban scenario where they will just make tonnes of money for doing absolutely nothing?
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VicRoads to Partner with Private Sector...Is This a Good Or Bad Thing?
iNeed2Pee on 05/03/2021 - 17:10
Last edited 05/03/2021 - 17:27 by 1 other user
Last edited 05/03/2021 - 17:27 by 1 other user
Poll Options
- 3I LIKE THE PARTNERSHIP
- 93NO, I AM NOT A FAN OF THIS
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That's what petrol excise was supposed to do.
It's not enough.
Correct, but general tax revenue also contributes to infrastructure costs. Even if you don't drive, we need roads to supply goods and services etc. It's a little like tax funding for emergency services, need them for society's benefit, so it's not user pays for fire fighters as one example.
Correct, but general tax revenue also contributes to infrastructure costs
It's still not enough.
https://www.ptua.org.au/myths/petroltax/But in any case, the smallest credible estimate for the total cost of the road system in Australia is $69 billion a year, of which $45 billion a year is collected in taxes and charges on motorists, leaving a ‘road deficit’ of at least $24 billion a year. By the most generous measure, motorists only contribute two-thirds of the cost of the road system. More specifically, of what the Federal government collects in fuel tax, around two-thirds is either rebated or handed back to motorists in tax concessions for car use.
@whooah1979: As Drakesy says below:
Roads are an aid to the economy (transporting goods and people as efficiently as possible), they shouldn't be there to generate profits.
The roads are paid for, partially funded by users, the balance by general tax revenue. If you shift it entirely to user pays, as you seem to be advocating, the transport industry will be hardest hit. The flow on effect of that hits the consumer anyway, as anything that has to be transported will have an additional cost added to the final price. That doesn't magically get absorbed by the retailers or transport companies.
@whooah1979: And food…. Unless you live on a farm growing all of your own food, brewing your own wines/beer, making your own clothes, tools and medicines, the increase will affect everything you consume.
If you think it will only increase the cost of "junk widgets", you're in for an economic shock.@DashCam AKA Rolts: Privatisation is inevitable. We just have to wait and see how much of a shock it may be.
@whooah1979: If you break it down further you'll find that ~90% of the damage to roads are caused by freight vehicles, so technically if we look at it that way the freight companies should really be footing the majority of the bills, but it's left to everyday car drivers to do.
@Drakesy: You're right. A system where the user pay based on their odometer plus fuel tax would be a fair system.
@Drakesy: True, we should put more freight on rail, reduce the damage that heavy vehicles cause to roads and the number of road traffic accidents. No way do freight hauliers pay their fare share.
@Nobby47: Yes. Lets🔥 up more coal power stations to power 🚂 across the cities. Rip up the roads and start nailing rails in the suburbs to the CBD.
@whooah1979: Have you gone outside, ever?
Freight trains are powdered by diesel.
But pretend they are fully electric, that's good you could power them by solar.
This will only end in tears.
Amazed that a labor government would back this, could easily end up in foreign hands, at which point no one will benefit and will just end up in a similar scenario to that of their privatised energy grid.Frought with problems because no one wants to put money back into the system to keep it running, they'll be too busy paying fat bonuses and dividends.
Roads are an aid to the economy (transporting goods and people as efficiently as possible), they shouldn't be there to generate profits. Kind of wonder how long until toll cycleways will be introduced.
The Victorian government is so desperate for cash they will sell anything they can.
That aside, VicRoads has been a basket case for years so it cannot get any worse.Not surprising at all. Considering this is Victoria, the point was probably to get into the hands of China.
I bet it will be the gold standard that other states are jealous of.
more tolls?
NO CASH HERE CHOPPA! HERE, NO CASH!
A sale to a Chinese/Chinese backed company IMO. Another Belt and Road Initiative.
Some services should never be privatised - or semi-privatised.
I LIKE CAPS LOCK TOO
YEAH IT CONVEYS MY TONE!
"Will this turn into a Transurban scenario where they will just make tonnes of money for doing absolutely nothing?"
Yes. Next question pls.
a Transurban scenario where they will just make tonnes of money for doing absolutely nothing?"
I guess building a few freeways that cost billions and billions should just be free to use.
No, but paying for it indefinitely and after it has well and truly been paid off should definitely not be happening!
Not to mention VicPol somehow being debt collectors for Transurban.
The whole thing stinks real bad… Dan Andrews is involved though so not surprising… 😕😒No company is in business to get their money back, they need to make profit.
@Ken1977: That's for the government and business to sort out. They made the deal, not us! We were told that it would only be paid for by us (the people using the road) until it was paid off.
Not to mention the fact the pricks have made most of it 80km/h. 🤬
I'll wait to pass judgement however, I wouldn't think it could get much worse than government running anything…slow, incompetent and expensive….summarises pretty much anything government related.
But the government is subject to electoral scrutiny (yes that's shaky, but better than the no user oversight of privately owned works that must make a profit no matter the method)
It's naive to assume that the free market would responsibly take the wheel. There are some things that shouldn't have to operate at a profit, e.g. healthcare, public works, or defence. And if you think privatisation = efficiency, just look at the USA's archaic and labyrinthine HMO system compared to single payer.
I'm enjoying paying so many tolls in NSW
What major public infrastructure project has the private sector delivered on time, on budget and without defects?
Look at NSW toll roads everywhere!!!!! Its NOT a good thing.
1 Person thinks its a good thing! Please share why? I will like to know your reason, will upvote:)
I meant that, as in will upvote because they are sharing. Not because i agree.
I was pretty unhappy with the land registry records being sold off to private interests for $3billion a few years ago.. only for the Victorian government to go and borrow $100billion thanks to states of emergency and disaster and curfews, lockdowns, and 5km travel limits.
Make no mistake… we're going to be paying for this unprecedented debt. Selling off our already fee happy public institutions is just the start…
I was pretty unhappy with the land registry records being sold off to private interests for $3billion a few years ago..
How has your interactions with the land registry been since?
Have a look at the urban rail network since it was privatised.
Not a good omen.
This will be a disaster happening…………… think of MYKI, VICPOLICE, HOTEL QUARRATINE, Melbourne Ports and the list goes on and on and on…..
What's the problem with Vic pol
Sounds different to what happened with Australia Post (this is a public company but is self-funded) and its massive CEO salaries, bonuses and the gifted watches saga. But it makes me think of Australia Post. Expensive, slow and hugely overpaid executives.
A system where the user pays for usage is a fair system.