$16 Billion Western Power fire sale “fanciful”

Thursday, 12 May 2016

After months of speculation, the Barnett government has put pen to paper on its imaginary revenue prediction for the sale of Western Power.

“Tell him he’s dreaming,” WA Greens Energy spokesperson Robin Chapple MLC said after today’s budget announcement.

“I’m not sure how the Treasurer came up with that figure, but there is no way the privatisation of state assets can reap $16 Billion for the state’s empty coffers.

“Rapidly increasing solar uptake means the value of this asset if sold outright is going to be significantly less than the budget predictions, and to base the state’s budget around this flagship policy is simply bad economic management.

“That aside, there are already significant loop holes in the market that exist for Western Power and as a government entity, the ERA has relied heavily on their good behaviour not to exploit them.

“We are currently in a regulatory transition process and I would be wary of handing over to a commercial interest likely to want to take advantage of existing loop holes.

“It is absolutely disingenuous to use that figure to justify the sale of Western Power to the people of Western Australia; these are desperate tactics from a cash-strapped government with delusions of grandeur.”

For comment please contact Tim Oliver on 0431 9696 25 or 08 9486 8255.

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