A WA parliamentary question reveals government funding for car hire companies to subsidise one-way rentals in Exmouth and other regions, aiming to boost tourism by reducing relocation fees. The government is trialling these initiatives and will consider expanding them if successful.

AnsweredQoN 5983Legislative Assembly
Asked
18 February 2020
Portfolio
Tourism

QuestionView source ↗

I refer to government funds given to car hire companies, and ask: (a) Can the Minister confirm that a subsidy or similar support has been paid to car hire companies, to support the return of hire cars from Exmouth and/or Perth following one way trips: (i) If yes, what is the nature of this subsidy and what is the level of support given; (b) Can the Minister outline any other car hire support given around the state, of a similar nature to the support given to Exmouth; (c) Which government agency pays this support; (d) Is this support open to all tourism destinations; (e) What is the total budget for such support at a state level; and (f) Can the Minister outline how much is given to each tourism area for car hire support?

AnswerView source ↗

Answered
18 March 2020
Responded by
Minister for Tourism
Response time
7 days
(a)         Yes
(i)         The initiative is aimed at reducing one-way relocation fees of $1 000 for hire vehicles and marketing the route over a two-year trial period. The level of support is $80 000, with $40 000 from Tourism Western Australia and $40 000 from the Australia’s Coral Coast Regional Tourism Organisation. Hire vehicle targets have been set for the hire car company to achieve each year.
(b)        A similar trial is about to commence with a hire car company supporting routes in the Gascoyne and Pilbara over a two-year period.
(c)        Tourism Western Australia.
(d)        If the trials are successful, the Government will consider other opportunities based on demand and routes that have high appeal in international markets.
(e)-(f)   Tourism Western Australia does not have a specific budget allocation for car hire support. However, $80 000 from the agency’s marketing budget has been used to fund  these initiatives with $40 000 supporting one trial in the Australia’s Coral Coast tourism region, and $40 000 supporting another trial in Australia’s Coral Coast and Australia’s North West.

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