State Government waste tax to hit ratepayers
As several mayors warn ratepayers will bear the brunt of a state government waste tax, the minister responsible has said he wants to help by investing in infrastructure.
Rockhampton
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Several Queensland councils are banding together to battle a State Government waste tax, with one mayor warning ratepayers will unfairly suffer during a cost of living crisis.
The mayors of Mackay and Rockhampton are expecting it to cost their councils at least $1m and are pushing for the Crisafulli Government to engage with them.
Environment and Tourism, Minister for Science and Innovation Minister Andrew Powell said they do indeed want to work with councils and are investing in outcome, while still leaving the responsibility with councils.
Mr Powell has defended the changes being rolled out under the Crisafulli Government, placing the financial responsibility squarely with council.
“The Crisafulli Government is focused on helping councils avoid the levy altogether by investing in the infrastructure needed to boost recycling rates and keep waste out of landfill,” Mr Powell said.
“That’s why we’re putting $130 million on the table to work shoulder to shoulder with councils to bring forward their plans for new or upgraded waste infrastructure as part of our Waste Strategy Review.
“Labor introduced the waste levy in 2019, for every tonne of waste that goes into landfill.
“The State Government has paid councils more than $800 million since then to subsidise their liability, and 70 per cent of next year’s payment has already been paid - in line with a formula laid out in the Waste Reduction and Recycling Regulation.”
Mackay Region Mayor Greg Williamson said the state government’s ‘cost shifting arrangements’ would blow an unnecessary $1m plus hole in the council budget.
“I don’t think it’s the total responsibility of local ratepayers to bear the whole cost of waste that’s produced in this area because the waste that’s produced in this area is done by people who massively contribute to the Queensland economy,” he said.
Cr Williamson said the issue was raised during a delegation involving six other major Queensland councils and the minister two weeks ago.
Ratepayers in Gladstone, Cairns, Townsville, Bundaberg and the Fraser Coast ratepayers will also be affected.
By the 2030/31 financial year Rockhampton is expected to see an annual shortfall of $2.9 million every year.
Rockhampton Mayor Tony Williams warned locals could see a half a per cent rise in rates to make up the $1m cost to council alone.
Cr Williams has written to the Rockhampton region’s three LNP State MPs, Donna Kirkland, Nigel Hutton and Glen Kelly, seeking an urgent roundtable discussion on the issue.
“I think we can all agree that we need to change the way our waste and resource recovery sector operates but that won’t happen overnight,” Councillor Williams said.
“Nor can it happen without serious investment and a partnership between federal, state and local government.
“What we have seen is a decision to recoup costs upfront and at the expense of ratepayers.
“Locally that means Rockhampton is about $1 million worst off this year or a half a per cent rate rise. That means before we even start to develop council’s budget, there is a half a per cent rate rise going straight to local ratepayers.”
In a letter to Ms Kirkland, Cr Williams said despite his belief that things need to change, he doesn’t believe the waste tax charge is the best way forward, especially in light of cost of living pressures.
“The Crisafulli Government’s policy will leave regional communities like Rockhampton to arbitrarily wear the brunt of this change with no way to reducing or lessening its impact,” the letter stated.
“Taking first and giving later will only hurt our community and will not secure the change we all want.
“I am urging you and your colleagues to rethink the introduction of these waste tax charges on the Rockhampton community and instead work with council to develop a real and practical plan to invest in infrastructure upfront and give us options to mitigate the waste tax before it is applied.”
His position is supported by Fraser Coast Regional Council Mayor George Seymour.
Cr Seymour said the impact of the waste tax would only grow over the coming years, with Fraser Coast residents expected to pay more and more of the State Government’s tax through to 2030.
“What the State Government is proposing is to increase the impact of this tax every year for the next six years,” Councillor Seymour said.
“That’s going to have a massive impact on our local community as we continue to feel the impact of cost of living.
“We have a diverse community with many families and, particularly, our older residents having limited capacity to pay these increased charges.
“What we want is a pause to the introduction of the tax and to have the State Government work with councils to find solutions to divert waste from landfill.
“And we need that decision urgently.”
Rockhampton Regional Council is expected to hand down its Council Budget in June and will be required to include any introduction of a new waste tax charges.