NSW Treasury, T-corp, StateFleet Services and Macquarie Bank have completed a review of SES motor vehicle lease rates. Lease rates have been increased with effect from 1 February 1999. These new rates apply to all new vehicles delivered on or after 1 February 1999.

The indicative lease rates, provided by StateFleet Services for a selection of motor vehicles available under the Government's external leasing arrangement, for leases of 24 months duration are:

 Capital Cost ($) Lease fee Lease fee
per month ($) per month ($) 
prior to 1 from 1
February 1999 February 1999
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Corolla 1.8L Sedan 4 Cylinder 19,658 360 440
Camry 2.2L Sedan 4 Cylinder 22,619 410 565
Commodore Acclaim Sedan 6 Cylinder 28,523 440 580
Ford Fairmont Sedan 6 Cylinder 31,978 485 640 
Mitsubishi Verada Xi Sedan 6 Cylinder 36,698 550 730
Landcruiser Prado GXL 40,741 800 960
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The significant increase in lease rates is due to the residual resale values for the vehicles being adjusted for the impact of the proposed Commonwealth Goods and Services Tax (GST). Should the GST be introduced the new price of vehicles will fall and this will be reflected in the resale value of used vehicles.

Lease rates under the motor vehicle leasing facility are set on a commercial basis. Under Government policy, SES officers must meet the full cost of benefits derived through salary packaging and actual lease rates must be passed on in full to officers electing to lease a vehicle through the facility.

C. Gellatly
Director-General