Business baulks at parking levy

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Business baulks at parking levy Friday Sep 23 18:34 AEST AAP 2005

Business groups say a Melbourne city parking levy will fail to relieve congestion as the Victorian government released details of the $40 million scheme.

 

But the state's peak green group has backed Treasurer John Brumby's claim that the impost on long-term carpark spaces will encourage city workers to leave their cars at home.

 

From January 1 next year, owners of the city's commercial and private car parks will be forced to pay $400 for each long-term space, rising to $800 in 2007.

 

The government hopes the levy will be an incentive for car park owners to convert a number of the long-term spaces into short term spaces.

 

 As well, it's hoped the higher-priced long-stay parking spaces will motivate all day parkers to switch to public transport or car pooling.

 

"The levy is targeted to ease congestion around the CBD which is highest during the morning and evening peaks on roads leading into the city," Mr Brumby said.

 

"Another benefit will be less stopping and starting cars and therefore less fuel being wasted."

 

But Property Council of Australia executive director Jennifer Cunich said research showed the levy would do nothing to ease congestion.

 

"I don't think it will achieve the government's desire to reduce congestion and to move people onto public transport," she told reporters.

 

"But it will raise revenue."

 

Ms Cunich said the levy would be passed on to city commuters, many of whom had no choice but to drive to work.

 

"People use their cars for many reasons. They have children to pick up from school, they have to get to daycare centres," she said.

 

"They need their cars because they don't have access to public transport so it's a just a tax on working families."

 

Her comments were backed by S&K Parking's Victorian general manager Stephen Smith who said the cost of the levy would be passed onto parkers.

 

Mr Smith said the levy, added to spiralling petrol costs, would have a "major impact on the viability" of the carpark industry.

 

However, Environment Victoria executive director Marcus Godinho hailed the levy as an appropriate measure to tackle pollution problems.

 

Mr Godinho said Melbourne's "addiction to the car" was unsustainable.

 

"In order to preserve our status as one of the world's most liveable cities we need to be providing opportunities to people to move on to public transport and out of cars," he said.

 

Under guidelines released Thursday, the levy will apply to private parking spaces used by either the owner or leased by the owner to another person or business.

 

Any parking space in public carparks used for four hours or more, starting before 9.30am on weekdays, will also be slugged.

 

The levy applies to all public and private car parks in the CBD grid, although free car spaces owned by hospitals, religious organisations, charities, universities and libraries will be exempt.

 

There will also be exemptions for disabled car parking spaces, on-street residential parking, temporary parking set up for major events and parking spaces reserved for shift workers.

 

 

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