Fed: Townsville costs Qld $270,000 in competition payments

AAP General News (Australia)
12-14-2001
Fed: Townsville costs Qld $270,000 in competition payments

CANBERRA, Dec 14 AAP - All states and territories will share $733.3 million in payments
during 2001/02 to implement National Competition Policy reform commitments, Treasurer
Peter Costello said today.

But Queensland will not receive its full allocation, missing out on $270,000 because
the Townsville City Council did not meet a commitment relating to water reform, Mr Costello
said.

"The (National Competition) Council has recommended that $270,000 be permanently deducted
... because of the (council's) failure to objectively analyse the cost effectiveness of
two-part tariffs in relation to water reform," he said in a statement.

"New South Wales will face further assessment in January 2002, in relation to implementation
of water reform, focusing on whether sufficient progress against commitments on water
property rights has been achieved."

Suspensions imposed on Queensland and Northern Territory's 2000/01 competition payments
will be lifted and reimbursed, he said.

AAP jph/daw/ldj/sb

KEYWORD: COMPETITION

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