The NSW Opposition’s WasteWatch Chairman Jonathan O’Dea has highlighted additional State debt, which is being incurred outside the General Government Sector (GGS), by a Labor Government that continues to mismanage NSW finances.
Mr O’Dea’s comments follow the release of the Auditor-General’s Report on Financial Audits of Government Agencies in the NSW Electricity Sector.
“This report shows State owned electricity industry debt increased in the past financial year by some $2.7 billion dollars, from $12.1 billion to $14.8 billion,” Mr O’Dea said.
“The dramatic increase in debt level, follows an earlier rise from $10.7 billion in 2007,” he said.
“Loading these entities up with debt, while ripping out massive dividends at the same time, is the kind of risky financial management usually associated with Bernie Madoff.
“What’s worse is the debt forms part of total state sector debt, which every mum and dad is ultimately responsible for.
“The additional debt, highlighted today within the Electricity Sector, is only a portion of all Government debt outside the GGS.
“For example, Sydney Water also increased debt from $3.28 billion to $4.22 billion from 2007 to 2008.
“The debt is being imposed upon the people of NSW by a Labor Government with a long track record of waste and mismanagement.
“The Rees Labor Government imposes the debt but the people of NSW are responsible for repaying it.
“NSW needs a Liberal & Nationals Government with fresh ideas and new financial management skills that will effectively and economically deliver services,” Mr O’Dea concluded.
