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Friday, April 26, 2024

Call for ACT government to pay interest on delayed pothole compensation

Roads ACT currently has 60 days to assess applications for pothole-related vehicle damage claims. The Canberra Liberals will today call on the ACT Government to halve that time to 30 working days, and for interest to accrue on individual claims if those 30 days are exceeded.

Nicole Lawder MLA, Shadow Minister for City Services, said that these changes will ensure that the government meets deadlines and is motivated to provide safe roads for Canberrans.

“Last year, the number of pothole-related vehicle damage claims submitted to the ACT Government skyrocketed, as too did the amount of ratepayers’ money spent by the government on the reimbursement of successful claims,” Ms Lawder said.

In October, Ms Lawder noted that the ACT Government had paid more than $43,000 in claims for damages from potholes to motorists in 2022 alone; that the average amount for a pothole claim was $860; and that the number of pothole claims the government paid increased from 16 in 2020 to 40 in 2021 to 50 by October.

According to the NRMA, the ACT recorded a 55 per cent increase in wheel and tyre related damage between July and November last year, compared with 2021. In August, Roads ACT repaired more than 1,100 potholes, and almost 8,000 potholes in the 2021-22 financial year. In a typical year, the average is 3,000 potholes.

Chris Steel MLA, ACT Minister for Transport and City Services, announced in December that the government would increase road maintenance funding by 52 per cent to $153 million over the next four years.

“I know residents that have been waiting since October for reimbursement,” Ms Lawder said. “The latest figures we have show that an average claim paid by the government is $767.86.

“For a lot of households, that represents a lot of money that they’ve had to fork out to get their vehicle fixed because of the poor quality of ACT roads. It’s money they’ve been out of pocket for, in the midst of a cost-of-living crisis, because their government fails to maintain the roads.

“If you don’t pay your rates notice on time, you’re charged interest. What we’re suggesting of the government is exactly what the government expects of residents. The same rules should apply on both ends.

“Vehicles are getting damaged because of the poor quality of ACT roads. The least this government can do is ensure that successful applicants are having their claims paid out on time.

“If Labor and the Greens don’t want to pay interest, then they should meet their own deadlines or consider providing residents with safe roads, as is their basic governmental responsibility.”

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