Selwyn Times: July 18, 2017
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2<br />
Tuesday [Edition datE] <strong>July</strong> <strong>18</strong> <strong>2017</strong><br />
34<br />
Latest Christchurch news at www.star.kiwi<br />
SELWYN RURAL LIFE<br />
SELWYN TIMES<br />
Charging for water –<br />
where does it end?<br />
Federated Farmers is worried talk of<br />
charging for commercial water use will take<br />
the country down an irreversible path of<br />
taxing ourselves unnecessarily, increasing<br />
prices and limiting economic growth.<br />
The Green Party’s plan to charge a 10 cent<br />
a litre tax on bottled water and to charge for<br />
other commercial water uses, like farming,<br />
could end up costing New Zealanders<br />
billions, the organisation says.<br />
“We understand why Kiwis hate seeing our<br />
water bottled and sent offshore, with barely<br />
more than a couple of people employed<br />
locally to do it,” Federated Farmers water<br />
spokesperson Chris Allen says.<br />
“But, charging for every litre used does<br />
not make this problem go away. In fact, it is<br />
likely to put cost burdens on our people, our<br />
taxpayers and our communities which are<br />
simply unsustainable.”<br />
He says the main problem with this policy<br />
is, where does it end?<br />
“The Greens and Labour have both talked<br />
about charging for commercial water uses.<br />
But no one has calculated what effect this<br />
would have on the economy, or on ordinary<br />
Kiwis.<br />
“We’ve crunched some numbers based on<br />
water consent applications and:<br />
• About 60 per cent of water consumed<br />
in New Zealand is used for electricity<br />
generation. Adding just one cent a litre<br />
charge to the water used by the Manapouri<br />
power station alone would require passing on<br />
a cost of $160 billion dollars to New Zealand<br />
electricity users (that’s 65 per cent of the total<br />
value of our economy).<br />
• About nine per cent of consented water<br />
takes are for ‘industrial’ uses, which would<br />
add $24 billion in costs at one cent per litre<br />
of water used.<br />
• People connected to domestic drinking<br />
water supplies would pay an extra $<strong>18</strong> billion,<br />
including commercial users working with<br />
domestic water supplies.<br />
• The price of fruit and vegetables grown<br />
for the domestic market would increase,<br />
meaning that domestically grown produce<br />
would be unable to compete with imports.<br />
• The price of milk and meat would go<br />
up for domestic consumers and make our<br />
exports less competitive.<br />
“Basically if we go down this path, we will<br />
all pay more, for everything. It’s like a tax on<br />
living,” Mr Allen says.<br />
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The Green Party’s plan to charge a 10 cent a litre tax on bottled<br />
water and to charge for other commercial water uses, like<br />
farming, could end up costing New Zealanders billions.<br />
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