The Tasmanian Government says it remains committed to introducing a fair funding model to support the island state’s fire and emergency services, which are currently financed through insurance levies. 

The Government said in January that it was finalising a new model that would be included as part of the 2023/24 budget process. 

In the 2023/24 budget paper there was no confirmation of the new model but Treasurer Michael Ferguson said the Government “is embarking on financial reform to ensure that our fire and emergency services are properly funded through a fair, simple, and sustainable model”. 

The budget paper says “new arrangements are being developed” and “it is intended that this new model will raise sufficient revenue to pay for the services of the new, integrated emergency services function and will be ring-fenced for fire and emergency management activities”. 

In January the Government announced a new fit-for-purpose integrated fire and emergency services entity will be created within the Department of Police, Fire and Emergency Management. 

The 2023/24 Budget paper says about $100 million in fire services levies will be collected in the next financial year and forward estimates indicate the figure will rise to $105.1 million in 2024/25. 

Tasmania and NSW are the remaining states that still rely on taxing insurance premiums to fund fire and emergency services.