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Five Fast Facts About Privatisation the LNP Don’t Want You To Know

Electricity is an essential service –

Privatisation will mean we ALL PAY MORE – despite being elected on a promise to ease cost of living pressures the LNP has presided over a 36.2% increase in power prices, Yet our power prices are still cheaper than South Australia and comparable to Victoria where prices continue to rise despite the so called benefits of a competitive market. And while the LNP continually says there are no alternatives in fact there are as set out in the Orion Report which shows that the Qld Government could save households up to $310 per year off their electricity bills follow link to report and media release here

Privatisation leads to massive job cuts particularly in regional areas, the LNP has already slashed and burned 1727 public electricity jobs however due to public and electoral backlash they have shelved plans to close up to 40 depots and privatise 33 remote power stations. Will the private sector board members be so concerned about public backlash? Or will they follow the blueprint set out in Victoria and South Australia where regional communities were decimated by job losses and business collapses when electricity companies closed depots and centralised services. The failings are outlined in a scathing report into 20 years of privatisation. Read the report here

Privatisation will mean we lose Billion dollar profits and control of our essential electricity networks. Who will buy it? According to historical analysis and current ownership statistics foreign predominantly Asian multinationals will be in the market. consider this; Victoria fully Privatised – Five companies including PowerCor, Citi Power – owned by Cheung Kong 51% & Spark infrastructure (Hong Kong Majority owned) and three other companies including SP AusNet . South Australia 200 year lease – Cheung Kong & Spark Infrastructure. http://www.adelaidenow.com.au/news/south-australia/etsa-sale-cost-south-…

Privatisation has led to significant safety issues for workers and the public caused by poor or inadequate maintenance. The Black Saturday Bushfires in 2009 are a case in point as is the recent Morwell blaze earlier this year. Article here http://m.theage.com.au/victoria/power-line-safety-failure-triggered-morw…, Black Saturday Bushfires class action http://www.abc.net.au/pm/content/2014/s4046579.htm

Privatisation fundamentally changes the focus of the industry from service provision to profit generation. Because electricity is an essential service it is too important to fail, however when it is controlled and owned by for-profit predominantly overseas companies they will be making decisions based on maximising profit knowing that if they fail we as consumers and citizens will pick up the pieces through higher taxes and charges. 2012 article on the issue http://www.smh.com.au/business/spausnet-spared-as-victorians-pay-for-bla…

Privatisation of essential services and profitable assets, costs us all in the end, it fails communities, and costs us more in higher prices, job losses, loss of control and compromised services.

It’s just not worth the risk

But it is up to us all to stop them – get the facts and join the chorus – OUR ASSETS ARE NOT4SALE…NOT NOW…NOT EVER

Fact Sheets

Price and Cost – history shows electricty prices never come down after privatisation;
Public asset Vs Private profit – Ideological difference between essential service and private profit;
Government funding and control – We elect Government’s to manage assets in the public interest;
Safety and reliability – Yasi and Black Saturday Comparisons.
Regional jobs and innovation – Loss of jobs, see Telstra and QR National comparisons;
A variety of other factsheets ranging from definitions to history and important links.

Important reports 2014

Quiggin Report – 20 years of failure – Electricity privatisation in Australia
Orion Report – a report into the Electricity Sector cashflows

CONTACT DETAILS – lara@not4sale.org.au or phone 0437 357 998 or post PO Box 3556, South Brisbane 4101.

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