Liberals continue to blame local government for their own failures
Plan to take over TasWater isn’t supported by evidence
Premier ignores the warnings from Miles Hampton
If the Government wants the work done it should step in and prevent job losses
The Hodgman Government is ignoring the advice of TasWater’s chairman as it continues its war with local government over water and sewerage.
Labor Leader Bryan Green said the Premier’s claims can’t be believed.
“Will Hodgman says councils won’t be worse off but has confirmed their dividends will be cut in half after five years,” Mr Green said.
“How can the Liberals argue this is not about setting a course towards amalgamations?
“Rates will inevitably go up.
“The chair of TasWater himself has warned the Government about its plan but the Liberals have pushed ahead anyway.
Mr Hampton has said: It is our view that a five or six year timeline is not achievable and if attempted has the potential to result in an extraordinary amount of wasted public money, significant increases in the cost of construction going well beyond simply the water and sewerage sector and a legacy of expensive underperforming assets, the effects of which will be borne by future generations of Tasmanians.
We have modelled what we understand is the State Government proposition, and based on a five-year timeframe the business would be geared to a point where it is financially unsustainable.
Significantly, the company would incur substantial operating losses in year three and beyond. The impact of these losses and the associated wastage from such an accelerated program will have to be recovered. Ultimately, it will be the Tasmanian people who will pay, be it through either increased water bills or increased taxes.
“The Liberals have completely ignored the views of TasWater and barged ahead anyway,” Mr Green said.
“We’ve got a situation where TasWater, councils and the Government are not on the same page and that’s bad news for Tasmanians.
“And the Government’s decision to take over TasWater means their only significant policy announcement when it comes to infrastructure won’t even happen in this term of government.
“Three years of doing nothing will soon become four years of doing nothing.
“If the Treasurer was serious about getting on with the work, he’d step in and prevent pending job losses at TasWater across the state.
“If these workers are sacked, who’s going to do the mountain of work?
“Labor has been calling for action on water and sewerage for more than two years, that’s why $75 million was committed at the federal election compared to nothing from the Liberals.
“We’d work with councils instead of against them.
“We’ll have a lot more to say when it comes to our strategy for water and sewerage infrastructure in our State of the State reply tomorrow.”
Bryan Green MP Labor Leader