The Sydney desalination plant is another example of the NSW government’s waste and mismanagement, according to Jonathan O’Dea, Member for Davidson and Chair of the NSW Opposition’s Waste Watch Committee.
This follows findings from Professor Quentin Grafton and Dr Michael Ward, environmental economists from the Australian National University, that the desalination plant is a ‘bungle’ that will cost the people of NSW more than $1 billion, and that NSW households will each pay more than $700 for the unnecessary desalination plant.
“The NSW Water Minister, Nathan Rees, has rejected calls for the price of water to flexibly reflect demand and supply, arguing business would not be able to plan for it. In doing so he has demonstrated that he does not understand basic market principles or business. Business is more than capable of managing risk associated with water price movements.”
“By allowing the market to regulate water usage the government would send a clear signal to business and consumers as to the supply of water in NSW. It would also not prevent the government from providing assistance to low-income earners.”
“The price of petrol and other goods and services is not fixed, as we do not live in a command economy. We live in a market economy, and for good reason.”
“It is not surprising that a clear majority of people polled by the Sydney Morning Herald believe that the desalination plant should not be built and that ‘the State government can't be trusted to make the right decision’”, Mr O’Dea said.
