Qld Labor under fire over car regos

Labor has been accused of milking Queensland drivers to prop up the budget's bottom
line.
But even as it pointed the finger at the Bligh government, the opposition Liberal
National Party seemed confused about whether it would keep Labor's car registration
hike if it wins the election.
Opposition Leader Lawrence Springborg on Friday revealed a leaked letter to Main
Roads Minister Warren Pitt from Treasurer Andrew Fraser that showed Labor was
ditching its long-held policy of quarantining rego money for roadworks.
In the letter, Mr Fraser confirmed that revenue derived from the 20 per cent rego
increase from July 1 will "pass fully to the Consolidated Fund and not to the
Department of Main Roads as currently occurs".
But in a media statement the following day, when he released the government's
economic review, Mr Fraser said the $194 million would "fund our commitment to
building and upgrading Queensland's road network".
Mr Springborg said the government was misleading voters.
"Andrew Fraser has been caught out blatantly lying in his media release," he said on
Friday.
"His letter ... proves that all that rego cash has gone into the budget black hole
to try and prop up Queensland's broken budget."
Mr Fraser denied the increase was a cash grab, saying the government spent more
money on roads than what motorists paid in registration.
"The bottom line is this - every single cent received by the government from motor
vehicle registration is far outweighed by the amount of money spent on roads," he
told reporters on Friday.
"The money passes into consolidated revenue, then passes out of consolidated revenue."
He said $1 billion had been paid in registration in the past financial year and $1.8
billion had been spent on roadworks.
The rego issue also proved sticky for the LNP when opposition treasury spokesman Tim
Nicholls was asked on ABC radio if he'd keep the rise in place should the LNP win on
March 21.
"That's right, yeah," he said.
But he later issued a statement saying the LNP would review all taxes and charges
including the rego hike, introduced in the December mini-budget.
"Our aim is to make the system simpler and easier for business and to reduce the
overall burden of tax on Queenslanders," Mr Nicholls said.
Ms Bligh visited Mount Isa on day 12 of the election campaign to announce $22
million in infrastructure projects for the northwest - a mining region hard-hit by
the economic downturn.
"As we go into the worst effects of the global financial crisis, Queenslanders have
the chance to decide who should guide them through it. I think we'll see a very hot
contest," she said, after a Galaxy poll showing the LNP on 51 per cent of the
two-party preferred vote.
Mr Springborg campaigned in Brisbane announcing he would cancel a $300 million
upgrade of the Mains Road-Kessels Road intersection in the city's south, saying it
would create a truck highway costing 1,800 small business jobs.
But Deputy Premier Paul Lucas said scrapping the congestion-busting project would
cost 3,200 jobs.