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Govt 'unlikely' to go whole hog on ACC bike levies

Updated at 6:06am on 1 November 2009

The Government says it is unlikely to increase ACC levies to the scale proposed by the Accident Compensation Corporation's board.

Hundreds of motorcyclists turned out across the country on Saturday in protest against the proposal, which would see the levy for bikes over 600cc increase by nearly $500.

ACC Minister Nick Smith says the Government will listen to bikers, but says they should make submissions to ACC rather than protest.

"It's unlikely the government will be proceeding with the scale of increases that the ACC board is proposing."

Dr Smith says the cuts in ACC entitlements proposed in a bill introduced by the Government this week will it make possible to reduce the increases proposed, not just for motorcyclists but also for car owners, earners and employers.

The public has until 10 November to make submissions on the proposed ACC levy changes.

Protests around the country

On Saturday motorcyclists gathered in Auckland, Christchurch, Wellington and other centres to demonstrate against the planned changes to ACC levies.

They are against plans for substantial increases for all classes of motorcycles, including an almost threefold increase for bikes with engines bigger than 600cc.

More than 500 riders met in Manukau City and a demonstration in Christchurch drew about 300 people.

Up to 400 motorcyclists rallied in the grounds of Parliament in Wellington. There have also been protests in Hamilton and Timaru.

Bikers say they are planning a bigger demonstration in mid-November, with a protest ride from around New Zealand to Parliament, which organisers promise will be "the big one".

Under ACC proposals, owners of motorcycles with more than 600cc engines could see their fee rise from $252 to $735 per year. Smaller motorbikes also face large increases.

The leader of the Christchurch convoy, Adrian LeGros, says the proposed increase will be too expensive for many bikers who will be forced to ride without registration. He says it would work out cheaper to get a fine than pay a higher levy.

The Bikers Rights Organisation says even riders of scooters, who use them because they are cheaper to run, face a significant increase in costs.

President Les Mason says the proposed increases will hurt some of the most financially vulnerable members of the community.

Goff revs up opposition

Labour Party leader Phil Goff says it seems an attempt to force bikers off the road.

Mr Goff, who arrived at an Auckland rally on his Triumph Bonneville motorcycle, says the proposals are unjustified and unfair.

"It's full of inconsistencies. Many of the bikers here are enthusiasts, they'll have two or three bikes. They only ever ride them one at a time, but they'll be paying the extra $500 dollars on each and every bike that they've got."

But Dr Smith says it's Labour's fault that ACC is now contemplating levy increases.

"I just think Labour are being total hypocrites in being part of today's ACC protests.

"The truth is that if there had not been the enormous billion dollar hole that Labour has left in ACC nobody would be facing a levy increase."

Copyright © 2009 Radio New Zealand

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