[Greens-Media] School student transport subsidies need a clean-up

[John Kaye]

School student transport subsidies need a clean-up
 
Media release: 7 November 2008
 
Greens analysis of the school student transport subsidy shows that more than $200 million is spent each year on phantom passengers and on taking children past their nearest public school to attend a private school.
 
The $470 million annual budget of the NSW government scheme could be cut by 50 per cent without increasing the cost to parents of children at local public schools, according to Greens NSW MP John Kaye.
 
Commenting on a story on page 2 of today's Sydney Morning Herald ('Phantom bus rides cost $100m'), Dr Kaye said: "While the subsidy delivers much-needed assistance for public school students, too much of the scheme is wasted on travel halfway across town to a wealthy private school and on paying for trips that never happen.
 
"Our figures suggest that about a quarter of the scheme's costs are going to phantom riders. The operators are being paid more than $100 million a year for transport that they don't provide.
 
"Another quarter of the budget ends up transporting students past their nearest public school to a private school, sometimes on the other side of Sydney.
 
"Treasurer Eric Roozendaal needs to wield an accurate scalpel on this subsidy. 
 
"While it is important to protect genuine users of the scheme, savings of more than $100 million could be made by stopping the wastage on transporting children long distances to attend private schools. Another $100 million could be banked by ending payments for phantom rides.  
 
"The scheme provides important assistance to parents and students and promotes the use of public transport. It needs to be cleaned up to remove the rorts. 
 
"The $200 million a year would provide an important boost to public infrastructure, instead of ending up in the pockets of private bus companies and parents who can afford private school fees.
 
"The Treasurer needs to make sure the axe falls on the bus companies that are rorting the system and wealthy private schools that are bringing students in from long distances," Dr Kaye said.
 
For more information: John Kaye 0407 195 455 
 
 
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John Kaye
Greens member of the NSW Parliament
phone: (02) 9230 2668
fax: (02) 9230 2586
mobile: 0407 195 455
email: john.kaye at parliament.nsw.gov.au
web: www.johnkaye.org.au
 
mail: Parliament House, Macquarie St, Sydney NSW 2000