The Government has moved quickly to appease pensioners concerned their SuperGold card privileges may be eroded because of the scheme's escalating costs.
The Government announced yesterday it was reviewing the free off-peak transport scheme for pensioners that is provided by the card because usage was increasing and budgets were likely to be exceeded. That was met with concern by senior citizens lobby group Grey Power and opposition MPs who said it could lead to the elderly losing some of their travel privileges.
Grey Power went public with concerns this morning, but national president Les Howard said he had since received assurances from the office of Transport Minister Stephen Joyce that the card's free transport scheme would not be discontinued or cut.
Mr Howard said any practical assistance for the elderly was encouraged as it improved the quality of life for many, and was pleased with the steps the Government had said it would take to address budget issues.
Mr Joyce said the Government was committed to continuing the SuperGold card and its transport concessions, and would not be seeking to introduce co-payments or any other way of changing those concessions.
But as the population aged, ways needed to be found to control the cost of the scheme.
"Areas the Government is looking to address include a reduction in subsidy levels for transport operators, reducing the administration costs associated with the scheme and potentially capping the amount of subsidy provided to operators for high-cost, high-use services.
"These possible moves will not affect the gold card entitlements that superannuitants receive."
The Waiheke ferry service was one of the high-cost services raised yesterday, and Mr Joyce said questions needed to be asked about whether taxpayers should be funding the ferries' operators to the tune of $2 million for services they would be largely providing anyway.
Labour's Darren Hughes and Sue Kedgley from the Greens this morning questioned the Government's intentions over the SuperGold scheme, which was introduced by the former Labour government as part of the New Zealand First Party's support agreement.
Mr Hughes said there were concerns the Government would use the situation as an excuse to make cuts rather than improvements, while Ms Kedgley said any proposal to tighten the reins on an important $18m a year service involving helping the elderly with public transport needed to be put in perspective with the billions being spent on motorways.
Mr Joyce said any suggestions that concessions to the elderly would be cut were "scaremongering and wrong".
NZPA