“reforms of this magnitude require a proper debate that’s based on facts” Michael Costa, NSW Treasurer, Sydney Morning Herald, 03 January 2008.
We are pleased and comforted that Michael Costa has seen the light (pardon the pun) and now agrees with the Union, that a proper debate must be held.
Michael Costa would also be aware that the most appropriate forum in which to have that debate is an ALP Special State Conference, which should be called with urgency. The gag must also be removed from the public debate to allow for open and frank discussion without the tax payer funded advertisements which appear so desperate to have the public believe that the deal is done. The USU is awaiting a response to a letter sent to Energy Minister, Ian McDonald requesting detail’s of how much the NSW Government have spent and how much the NSW Government have budgeted to spend in order to continue with their media campaign.
Yes, NSW needs more base load generation. Unfortunately the clunky style in which the NSW Government has structured their reasoning for their proposed reform, changes from day to day depending on who is fronting the media conference. There are a multitude of different bodies, organisations and associations which all have disparate views and there appears to be no clarity or transparency for anyone.
The government received the report from Professor Tony Owen who has recommended an alternative model should the government not want to foot the bill for building the assets that provide an essential service to its own state.
The notion that whomever buys into these areas of the industry will be encouraged to build a base load power station is flawed. Victoria, although privatised, still struggles with issues surrounding base load generation. The 17% increase that the Victorians will suffer has been brushed aside by the NSW Government as reasonable due to the drought putting upward pressure on generation prices, this is only partly accurate, what has not been acknowledged, the private companies also have an obligation to get the best return for their shareholder. Most of the companies that originally bought into the Victorian market with the initial offering have since left.
There are also potential, additional costs associated with the carbon trading scheme that is currently being explored by the National Emissions Trading Task force that could see extra charges based on the European Unions current practicing scheme. You can add this on top of already increasing generation prices. The government have suggested that they will continue regulating until 2013, what then?
Based on the Government’s proposal the companies who may be likely to purchase retail have billing and contact centre presence in Melbourne, Sydney and Brisbane, others have outsourced overseas.
One might reasonably conclude that the companies who may potentially look to buy from the NSW Government would not want Contact Centres and billing employees in regional areas. Companies that have outsourced may not want existing metropolitan areas.
The Government are stating that with their proposal will come employment guarantees with your current employer, in your current location. Given the above examples, what is the guarantee? The NSW government has made it clear that there is not a guarantee of no forced redundancy, it has introduced redundancy as a last resort and in practice if you can not find a job within a specified time, you were made redundant or took a lesser rate of pay.
The NSW government do not have a mandate to sell.
The NSW government went to the last election stating that this was not on the agenda.
The NSW government are attempting to ignore that 85% of the public are opposed to their proposal.
It has been said that the best way to win a privatisation debate, is to avoid having it. Let’s not let that happen.
CLICK HERE to the stop the sell off website and send an email to the Premier.
We will be updating our website regularly with notices and campaign events, so remember to check back regularly.
If you are interested in becoming active in the campaign please register your interest by emailing united@usu.org.au or calling 1300 136 604 with your name, contact details and location.
Contact: Natalie Falvey
USU Organiser
(02) 9265 8211
