House of Assembly - Fifty-First Parliament, Second Session (51-2)
2008-07-22 Daily Xml

Contents

WATER BILLING

Mr HAMILTON-SMITH (Waite—Leader of the Opposition) (14:43): Well, it is quarter to three and we have had one question.

The SPEAKER: Order!

Mr HAMILTON-SMITH: My question is to the—

Members interjecting:

Mr HAMILTON-SMITH: I notice how accountable the government is, Mr Speaker.

The SPEAKER: Order! The Leader of the Opposition will get to his question.

Mr HAMILTON-SMITH: Very well, sir. My question is to the Minister for Water Security. Why did the—

An honourable member interjecting:

Mr HAMILTON-SMITH: I hope she will answer it and not the Treasurer, but we will see. Why did the minister tell radio listeners on Friday 30 November 2007 (the last day of November) that, 'We're reviewing the pricing structure at the moment. We're looking at a pricing review. We'll be looking at finishing that review very soon,' when the government had already decided the matter? The government's transparency statement on water prices (signed off by the Treasurer) required by COAG reveals that 'In November 2007 the government, through cabinet, approved the 2008-09 metropolitan and regional water and wastewater charges,' confirming that the deal had already been done.

The Hon. K.A. MAYWALD (Chaffey—Minister for the River Murray, Minister for Water Security, Minister for Regional Development, Minister for Small Business, Minister Assisting the Minister for Industry and Trade) (14:45): Under the usual cabinet process, we go through a whole range of decision making through cabinet. We pull together all the elements of that decision making, and then we make an announcement to the public. As members would recall, there was a gazetted notice on 6 December, which introduced what the new pricing would be, and I responded on radio a number of times in relation to that particular gazettal. I want to quote from some comments I made on 17 December, when I said, 'pricing of water is going up substantially from the 1stof July'. I then went on to say, in response to some other questions:

...substantial increase in water pricing come [into effect on] the 1st of July next year...12.7% increase in real terms will take place from the 1st of July.

That was the belief I had, that is, the process that we had been undertaken in relation to reviewing prices would come into effect from 1 July.

The government has made it quite clear that we were wrong, that the legislation meant that it would be backdated to December, and that we did not have full comprehension of that fact. We have already admitted that, and we have apologised to the public. We are providing refunds to the public, and we sincerely apologise if this has inconvenienced any SA Water customers.