In order to win a few seats, the NDP essentially bribed Surrey and residents south of the Fraser River with their own money by promising to eliminate tolls on two recently constructed bridges. Recently, Horgan followed through on that promise.
The move was a hard break from the NDP’s environmentalist wing, and was clearly an easy vote winner. The elimination of these tolls will save commuters from that part of the Lower mainland a lot of money every year.
However, as some warned during the election, ending the tolls means the two bridges are no longer commercial enterprises that will generate revenue so they’ll now be considered part of BC's capital debt.
That in turn will jeopardize BC’s now 12 year-long AAA credit rating, the only province to currently hold the top grade.
Moody’s Investor Service, a highly respected global credit rating agency called the decision “credit negative”, as cited by analyst Adam Hardi in a recent statement reported by Business in Vancouver:
“... the government’s plan, as an isolated action, is credit negative as it will increase taxpayer supported debt and remove a dedicated line of revenue for debt repayment.”
The two bridges still have unpaid debt of $4.7 billion combined, which all British Columbian’s are now responsible to repay.
Moody’s also mentioned they expect the NDP government to come up with additional moves to provide new revenues.
Watch as I show you what one of those key moves will be.
The Vancouver Sun asked BC Transportation Minister Claire Trevena about “road pricing” versus “tolls” and in what is a dumbfounding and frankly insulting response, she said, “What the mayors are looking at is mobility pricing, which is not tolling. It is looking at how people move,”
I saw this coming a few months ago when I launched a petition to fight back against these new taxes and tolls. Head to NoRoadTaxes.ca, and let's send a message to Gregor Robertson, the Mayors Council, Claire Trevena and Premier Horgan that when you proclaim that we have a Toll Free BC but then open your arms to road taxes, you are a hypocrite.
The war on cars is expanding. If you drive for any reason, get ready to pay more, but let’s also send a clear message— a petition of thousands of drivers— to reject these tolls by another name.