Fixing Labor’s water and sewerage bungle

The Tasmanian Liberals today announced their four-point plan to fix Labor’s water and sewerage bungle, if elected to Government on March 20, 2010. Leader of the Opposition, Will Hodgman, said that the Liberal policy included freezing prices for consumers while the water and sewerage bungle was fixed, as well as providing financial incentives to empower Tasmanians to invest in practical water savings initiatives.

Our policy also ensures that investment in Tasmania’s water and sewerage infrastructure is not compromised, and that local council dividends will not be compromised.

The four-point plan is:

1) Freeze prices for one year from 2010-11. While we are fixing Labor’s mess we will not expect Tasmanians to pay the 5% increase next year that Labor has demanded. This means that water and sewerage bills will be kept at current year prices for 2010-11 while we fix Labor’s mess;

2) Immediately conduct a comprehensive review of the current structure and operation of Labor’s failing water and sewerage reforms to seek efficiencies and cost savings, and to ensure the structure is best placed to access Federal government funding. To be completed by December 2010;

3) Provide a four year guarantee that during the next term of Government price rises on water and sewerage bills will remain at or below 5%;

4) Empower Tasmanians to reduce their own water and sewerage bills by introducing a State-wide framework for grey water and rainwater tank use, and water savings measures such as dual flush toilet and water saving shower heads, by providing financial incentives to encourage their take up.

Labor recently announced a political quick-fix to this problem by giving nearly $60 million to the water corporations over the next three years to lower bills to a 5% increase.

However, the Government will not commit to what will happen with water and sewerage bills in three years time and have only agreed to a review whilst the Regulator once again sets the price.

Labor’s approach is a band aid solution designed to limit the community backlash over the election period. In contrast, we will fix it and we will do it immediately.