Liberal Treasurer Peter Gutwein has scandalously tried to hoodwink Tasmanians by well and truly cooking the books in his Financial Statement released today.
Shadow Treasurer Scott Bacon said Mr Gutwein was not content with blowing the budget with $2.7 billion worth of election spending but was now shamelessly conning Tasmanians into believing he will deliver a surplus.
“The Liberals are trying to buy the election and Tasmanians should have no doubt about that,” Mr Bacon said.
“This is the same voodoo economics that led to the energy crisis.
“Tasmanians will not forget that it was the Liberal’s demand for an unsustainable $75 million dividend from Hydro Tasmania that led to the decision to decommission the Tamar Valley Power Station.
“Now we are seeing history repeat itself.”
The Liberal’s financial statements are propped up by an $82 million increase in dividends from MAIB.
Just three months ago in Government Business Enterprise hearings the Chair of MAIB and former Treasury Secretary, Don Challen, said dividends were actually going to decrease:
“Yes, there is an agreement between MAIB and the shareholder ministers for us to pay a dividend that is 50 per cent of the average of after-tax profit for the current and preceding four years. We pay a dividend based on a rolling five-year average of our after-tax profit. That has been in recent years 60 per cent, but an agreement was made three or four years ago that it would revert to 50 per cent from this financial year.”
Mr Bacon said if the $82 million dividend is removed the budget bottom line progressively deteriorates to a $40 million deficit in 2020.
“The dividend from MAIB could never be achieved without dramatically jacking up car registrations for all Tasmanians.
“Peter Gutwein has been exposed as a budget vandal and his party have thrown budget responsibility out the window to try and buy the election.”
Scott Bacon MP Shadow Treasurer 1 March 2018
