On ABC radio this morning, the TasWater Chair Miles Hampton has confirmed that the proposed Government takeover of TasWater will deliver cheaper bills.
“But my point here is that, yes, we’re quite open about it, the Government’s plan, if it’s put in place, will mean cheaper water bills.”*
I welcome his acknowledgement that bills will be cheaper under our model than Taswater’s, as this business should be focused on the needs of Tasmanians. However, Mr Hampton appears to be arguing that it’s his job and TasWater’s job to serve the best interests of the councils, because they currently own TasWater.
The Government believes very strongly that TasWater should serve the best interests of the people of Tasmania instead – that means lower prices, better services and infrastructure that is up to scratch. That’s what our plan to take over TasWater will deliver.
TasWater has the capacity to do more to fix its failing infrastructure. It has a strong balance sheet and has had the capability to do more for a long period of time however it has chosen not to.
Under the Hodgman Government’s Plan, we will provide lower prices than under the current plan, we will provide for ongoing returns to compensate the councils so that rates don’t need to rise and we will use the strength of our financial position and the resources of government, to fix the infrastructure sooner. Our record speaks for itself – under the Hodgman Government power prices have reduced by more than two per cent.
Under local council ownership –
• Twenty five systems were operated under a temporary or permanent boil water alert while another five systems had a public health alert (do not consume) in place
• Six systems reported metal concentrations above safe health limits
• In 2015-16, the number of sewer overflows increased by more than 20 per cent from 164 to 201
• The rate of sewer overflows in Tasmania (4.3 per 100 km of sewer main) is up to eight times that of similar sized utilities on the mainland (0.5-1 per 100 km of sewer main)
• Only one of 79 sewage treatment plants achieved full compliance with discharge limits
• In 2015‐16, TasWater received 2,892 complaints, up 24 per cent from 2,324 for the previous year.
Our Plan is supported by TasCOSS, the TICT, the TCCI, the Property Council, Master Builders Association, developers, businesses and the broader Tasmanian community, who are sick and tired of third world water and sewerage infrastructure in Tasmania.
Information regarding prices has previously been released and is available here –
http://www.premier.tas.gov.au/__data/assets/pdf_file/0005/321386/Tasmanias_Water_and_Sewerage_-_Taking_Control_March_2017.pdf
* Miles Hampton, ABC radio, 1 May 2017
Peter Gutwein, Treasurer