Council opposes sale of state electricity

News Weekly
Wednesday 12/3/2008 Page: 14

Bega Valley Shire Council has declared its opposition to State Government plans to sell off the State's electricity system. Councillors voted on Tuesday to call on the Government to better manage the State's future energy needs and to take urgent action in response to climate change by investing in energy efficiency and increasing its renewable energy targets. The motion to oppose privatisation of the State's electricity was put forward by Cr Keith Hughes.

He said privatising electricity would lead to higher power bills, poorer service and increased greenhouse gas emissions. "Privatising essential public utilities like electricity and water inevitably leads to increased prices and reduced services as the new private owners try to maximise their returns. "Private owners will try to increase power consumption to maximise profits, the exact opposite of what we should be trying to achieve.

"Increased consumption of electricity will lead to potential blackouts and will increase greenhouse gas emissions, contributing to dangerous climate change. "This decision makes good sense if the Bega Valley is serious about meeting its 50:50 by 2020 target for clean energy," Cr Hughes said. The mayor, Cr Tony Allen, said that selling off public assets for short term gain not good business.

He said privatisation would:

• Weaken the ability of the people of NSW to reduce greenhouse gas emissions and urgently respond to climate change;
• Increase financial hardship for consumers, particularly for low income households and pensioners;
• Reduce State revenues by at least $1 billion per annum, as profits are shifted from the public purse to private corporations and;
• Destroy public control over essential energy assets.

Cr Allen said council's position on privatisation was in line with the NSW Shires Association's stand. The Association's president, Cr Bruce Miller, had come out last December against the privatisation, saying selling off the State's electricity industry would raise prices and cut services in regional and rural NSW, he said. Details of council's motion will be sent to the Premier, the Treasurer, the NSW Local Government and Shires Association, the State Members for Bega and Monaro, and the Federal Member for Eden- Monaro.