Media Statements

Reforms currently underway to Queensland’s electricity sector will deliver further financial benefits, with profits from the sector tipped to exceed $1 billion in the few years.

Queensland Energy Minister Mark McArdle said the pace of reform in the electricity sector needed to increase to ensure it was competitive and delivered value to Queenslanders.

“We have an excess of cheap coal yet we have soaring electricity prices,” Mr McArdle said.

“In many cases it is because of over-building of the network. In other places it reflects on work practices that impede management from achieving greater efficiencies.”

Mr McArdle said he was confident reforms currently underway would go a long way towards keeping down electricity prices, but he was concerned that some work practices, being pursued by some Unions, would hold back reform.

“Instead of protesting and running campaigns against hypothetical asset-sales policies, Unions would be better off ensuring the public could see the value of the electricity businesses and working to keeping prices down,” he said.

“The best way for Unions to show the public the value of public assets, is to get behind the efforts to achieve efficiencies and keep electricity prices down.”

Mr McArdle said major reforms currently underway seek to reduce the annual cost of the Community Service Obligation (CSO) in regional areas which has doubled in recent years.

“Reducing costs and increasing the returns from Government-owned electricity assets is the best way of keeping prices down and demonstrating value from these businesses.”

[ENDS] 4 March 2013

Media contact: Minister’s Office 07 3896 3690 or 0417 277 905