Farmers alarmed over fees

Business

THE Farmers and Settlers Association is concerned about the increase in fees and charges imposed by the Government which will affect businesses and the agriculture sector.
Association president Wilson Thompson said the Government recently increased fees on vehicle licensing and registration, factory and warehouse licence, commodity licensing, water permits and a surcharge for fossil fuel and fertilisers.
He said there was no consultation with stakeholders on the increase in fees and charges.
The Climate Change Development Authority (CCDA) recently introduced new carbon levies/additional excise duties.
They were initially gazetted by the Ministry of Finance last May 27, then later amended last Oct 12.
Thompson said there was no explanation from the CCDA on the surcharge, on how that money would educate people on the use of fertilisers.
“Experts say PNG contributes 0.0000001 percent to carbon emission and although we have the rainforests, we do not use coal and heavy fossil fuels,” he said.
“The industrialised nations which contribute more to carbon emissions and climate change have not taken such steps to contain carbon emissions and use of coals and have not even applied such fees and taxes on its people.”
Thompson said the association noted that some fees had not been changed since 1980.
“Any increase in fees and charges must be done progressively over five to 10 years – 500 to 1,000 percent in this year alone,” he said.
“The increase in fuel surcharge will increase the cost of production and also costs of freight.
“Similarly, the increase in the cost of farm inputs will result in increased production cost.
“Increase in factory and warehouse fees and inflammable or fire safety equipment and vehicle registration will increase costs of business and in some cases, cost of production.”