Media release – Leigh Hills, Secretary, United Firefighters Union of Australia Tasmania Branch, 31 October 2023
Fire and Emergency Funding Reform
“The integration of Tasmania Fire Service and the State Emergency Service will mean the current fire service levy will need to increase to cover the SES budget, but this also means local government will be relieved of the need to provide funding to local SES units.”
“While it is easy to point to overall increases in property levies as a big new tax, it is important to understand this in the context of the other funding arrangements for the amalgamated Tasmania Fire and Emergency Service (TFES), why the funding model has been proposed and if it will be more effective for delivering the core functions of the organisation.”
“The current deficiencies in the SES funding model mean that funding is sporadic and inadequate. SES needs a more sustainable funding model and a higher level of funding – not only to correct current operational deficiencies, but to ensure that SES personnel are able to meet the risking challenges associated with climate change. As Fire and Emergency Minister, Felix Ellis recently commented, Tasmania has seen 3 once in a hundred year floods in the past 10 years.“
“Whilst the TFS funding model has been substantially more stable than that of SES, the service has been underfunded for some time, with areas like Kingston receiving a high level of service, but paying one of the lowest rates of fire service levy. TFS also faces significant challenges resulting from climate change and our response to climate change. The fire season is now much longer – at least 50 homes and 2 lives have already been lost to bushfire in Australia at a time when the fire season would just be kicking off two decades ago. The rise of electric vehicles and the challenges associated with battery fires will also requires additional resources to address as the economy decarbonises.”
“TFES will not be able to effectively meet these challenges if funding does not increase from the current arrangements. This is a fact that has not been disputed by any stakeholders. Accepting the need for an increase in the total funding for TFES, we need to consider how this can be raised in a fair and reasonable manner.”
“It is unhelpful to examine this solely from the perspective of the Insurance Council, or property owners or vehicle owners. This is something that needs to be examined wholistically if we are going to be able to find a reasonable outcome.”
“Removing the insurance levy will increase the property levy. Increasing the vehicle levy will decrease the property levy. Shifting SES funding from local governments to the levy will increase the property levy whilst decreasing pressure on local government budgets. These factors and impacts all need to be fully considered.”
“We remain unconvinced that the currently proposed funding model is fairer or that it would provide adequate sustainable funding for TFES. Regardless of how the funding model is comprised, the cost of underfunding TFES will be significantly greater than any of the levy adjustments proposed. The cost of underfunding TFES will be felt by all members of our community, including insurance companies, small businesses and rate payers.”
Media release – Rebecca White MP, Tasmanian Labor Leader, 30 October 2023
Liberals’ new fire tax must go
The Minister for Police, Fire and Emergency Management Felix Ellis needs to dump his new fire tax and start again on Tasmanian Fire Service reforms.
The Liberals’ plan for a new fire tax has been roundly condemned by all stakeholders, from households, farmers and local councils to firefighters and business leaders.
The Property Council has said the fire tax is out of touch, unfair and will hit rural and regional Tasmania the hardest.
It will result in a 300 per cent increase in costs for homeowners across various local government areas – at a time when they are already struggling with the cost-of-living crisis.
For larger commercial and agricultural properties, the increase is expected be more than 1,000 per cent – adding tens of thousands of dollars annually to businesses struggling with the rising cost of doing business, high inflation and skyrocketing energy prices.
And while Minister Ellis might claim that larger businesses can afford it, everyone knows these costs will be passed on to small business tenants through higher rents.
With the latest CommSec State of the States report showing Tasmania has plummeted down the national economic rankings to sixth place, with the worst economic growth in the country, the last thing businesses need is a massive new tax to contend with.
While all stakeholders and the community understand the need for a modern, well-trained and well-equipped fire service and SES, this new fire tax is not the way to go about it.
With debt at record levels and a shrinking economy, this is a blatant attempt to cover up the Liberals’ budget mismanagement by yet again hitting up Tasmanian taxpayers.
Minister Ellis needs to listen to all the concerns that have been raised and go back to the drawing board – and if he doesn’t have the experience to recognise this, the Premier must step in and force his hand.
