Australia: Truckers plan to spread fuel protests

Costello to truckies: You've got no case

By BRAD NORINGTON and TOM ALLARD

Truck drivers plan to spread interstate protests over fuel prices to NSW next week with road blockades and go-slows, as the Federal Government refuses to guarantee further compensation for rising costs.

The planned protests come as the Treasurer, Mr Costello, yesterday lashed out at blockading owner-drivers, arguing that they had no case after a dramatic cut in diesel fuel excise from July 1.

Mr Costello said owner-drivers of heavy vehicles had already begun paying less for fuel because the Federal Government had cut the tax on diesel fuel for heavy transport from 24" a litre to just 20".

"The blockade action, therefore, is not related to tax on fuel," he said. "It relates to contractual or industrial demands by the owner-drivers."

While drivers geared up for a post-Olympics protest in NSW yesterday, others in Victoria lifted a blockade of Caltex oil supplies in the face of a threatened Federal Court injunction by the company.

The drivers were also buoyed by an assurance from the Victorian Premier, Mr Bracks, that he would press for a national code of conduct with minimum haulage rates to compensate for rising costs.

The NSW secretary of the Transport Workers Union, Mr Tony Sheldon, yesterday refused to specify what form of protest was planned.

The TWU is expected to be heavily involved in protests next week in which 50 trucks will travel from Sydney to Canberra to coincide with the Government's expected release of a code of conduct in road transport.

As well, owner-drivers are planning go-slows on highways that could cause traffic disruption.

Mr Sheldon yesterday took issue with Mr Costello, saying that falls in excise had not brought relief.

"The rates they get are in many cases the same as they were 10 years ago," he said. "The combination of the GST and present fuel increases has negated any benefit and the market has never been so competitive for owner- drivers."

Mr Sheldon said long-distance owner-drivers needed protection of minimum rates regulated by the Federal Government because transport contractors and clients were not prepared to bear added costs.

Truck drivers are expected to reject a code of conduct proposed by the Federal Government because it will not contain the mandatory minimum rates for long-distance drivers they are seeking.

The Minister for Transport, Mr Anderson, rejects minimum rates on the basis that they are uncompetitive.

Transport companies and trucking associations yesterday warned that freight charges were set to rise - a move that could push up the price of thousands of supermarket items and other goods that are delivered by road.

In a letter to Senator Ron Boswell, the chairman of the Australian Competition and Consumer Commission, Professor Allan Fels, said rising fuel prices, registration, insurance and wage costs were legitimate factors in freight rate negotiations.

He said he had received complaints about the way transport contractors were forcing owner-drivers to accept lower rates in order to pass new tax system savings to customers.

The executive chairman of the transport company Finemores, Mr Ron Finemores, said it was inevitable that freight charges would rise.

"The only thing that can happen is that they go up," he said. "The industry has been operating on very low profit margins for a long time and now the rise in fuel costs has added to it."

The general manager of the Australian Trucking Association, Mr Michael Apps, agreed that freight charges would rise but said truckers had to become better at managing their businesses.

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-- Carl Jenkins (Somewherepress@aol.com), September 26, 2000

Answers

Well, at least they have the decency to delay their protests around Sydney until after the Olympics are over.

-- Nancy7 (nancy7@hotmail.com), September 26, 2000.