Friday, July 07, 2006

Fuel levy investigated

By Odette Ismail

The Freedom Front Plus said on Thursday that it would ask Finance Minister Trevor Manuel to investigate into the intended provincial fuel levy in the Western Cape. Minerals and energy spokesperson for the party Willie Spies said in a statement that the party would be asking Manuel, to explore whether the planned fuel levy would be justified in terms of Section 228 in the Constitution. In the constitution it stipulates that a provincial legislature may not levy taxes to an extent that it interrupts the national flow of goods, services, capital or labour. Spies also added that a fuel levy of 50c would mean that motorists travelling on the N1 from Cape Town would avoid filling up in Western Cape towns. The Congress of South African Trade Unions condemned the proposed fuel tax, the Inkatha Freedom Party expressed concern and Spokesperson for the DA Robin Carlisle said that foreign currency earners would be severely compromised by the fuel levy.

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