Massively exaggerated numbers being used to promote the sale of NSW electricity network
Claims that the sale of the state’s electricity network could boost the state’s capacity for infrastructure spending by more than $50 billion are an enormous exaggeration, demonstrating proponents don’t understand the actual value or current financial position of the publicly owned electricity companies.
The Electrical Trades Union and United Services Union, who are leading a community campaign against the privatisation of the state’s electricity network, said Infrastructure Partnerships Australia and the NRMA needed to look beyond their own spending wish-lists and examine the economic evidence.
“Brendan Lyons, CEO of Infrastructure Partnerships Australia and former staff member to Bruce Baird, is claiming a potential sale could boost infrastructure spending by $50 billion, but when you look at the annual reports of the public energy companies they tell a completely different story,” USU general secretary Graeme Kelly said.
“The four electricity network companies are currently valued at $25 billion in the best case scenario, but they are also burdened by large debts, currently totalling about $18 billion according to their annual reports.