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House of Assembly - Fifty-First Parliament, Third Session (51-3)
2008-11-12 Daily Xml
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WATER CHARGES

Mr WILLIAMS (MacKillop) (14:32): My question is again to the Minister for Water Security. By how much will South Australian water customers' bills go up to cover the increased costs of the desalination plant and the South Australian water billing system, described by the Treasurer earlier this year as a monumental stuff-up? The opposition has received freedom of information documents which reveal that increased pricing recommendations have already been provided to the Treasurer.

Members interjecting:

The SPEAKER: Order! I have called the house to order.

The Hon. K.O. FOLEY (Port Adelaide—Deputy Premier, Treasurer, Minister for Industry and Trade, Minister for Federal/State Relations) (14:33): What about this bloke on radio this morning! It was a sensational interview this morning by the Leader of the Opposition about his football stadium. We are in the middle of the world's worst financial crisis—

Mr WILLIAMS: Point of order, sir—relevance.

The SPEAKER: Perhaps it might have been a bit easier for me to bring the Deputy Premier to the point of the question had he not been met with a chorus of interjections as soon as he got to his feet. The Deputy Premier needs to talk to the substance of the question.

The Hon. K.O. FOLEY: Thank you, sir. The government has said from the outset that the desalination plant will be full cost recovery by increased water charges. This silly nonsense that the opposition is going on about cost blow-outs, etc.—a desalination plant will cost what a desalination plant will cost. We are fast-tracking a desalination plant and—

Mr Hamilton-Smith interjecting:

The Hon. K.O. FOLEY: Sorry?

Mr Hamilton-Smith interjecting:

The SPEAKER: Order!

The Hon. K.O. FOLEY: It will cost what it will cost, and the—

Members interjecting:

The SPEAKER: Order!

The Hon. K.O. FOLEY: 'What a great Treasurer we have,' he says. Thank you for that compliment. How was this bloke this morning, the alternate treasurer, saying that we need a world-class stadium! We are in the middle of the world's greatest financial crisis and he would rather have a football stadium!

Mr WILLIAMS: Sir—

The SPEAKER: Order! I know what the member for MacKillop's point of order is going to be. The Deputy Premier must answer the substance of the question.

The Hon. K.O. FOLEY: I was just doing it by way of illustration of who has their priorities right. We are building a desalination plant—

Mr Hamilton-Smith: Look what the Premier is wearing!

The Hon. K.O. FOLEY: And what about Duncan?

Members interjecting:

The SPEAKER: Order! The house will come to order.

The Hon. M.D. Rann interjecting:

The SPEAKER: The Premier will come to order. The Deputy Premier.

The Hon. K.O. FOLEY: Sir, the Premier of our state is doing what a Premier of our state should be doing, that is, loyally supporting our great Adelaide United, along with the shadow minister for sport.

Dr McFetridge interjecting:

The Hon. K.O. FOLEY: Are you sport? What are you, then?

Dr McFetridge: I'm a supporter. Go you Reds!

The Hon. K.O. FOLEY: All right. We will recover the cost of the desalination plant by increased water charges. Once we know the cost of that plant, we will put the price path in place. We have already increased water prices in the order of 15 per cent this year. We have said that a figure of that order—perhaps a higher figure but we have not had it determined yet—will be required over the course of the next five years. We have said that publicly. That is exactly what is happening in Victoria. In newspaper articles over the weekend the water authorities there have made it very clear that the cost of a desalination plant has to be borne by the community to ensure water security. In Victoria, that will see a doubling of prices over a four or five-year period. That is exactly what we have said will happen in South Australia, unless—

An honourable member interjecting:

The Hon. K.O. FOLEY: So you do not think we should have cost recovery on this? So that is another billion dollar hole in our budget numbers. Is that what you are saying?

Members interjecting:

The SPEAKER: Order!

The Hon. M.D. Rann: He would rather have a stadium tax.

The Hon. K.O. FOLEY: Ah! Can he—

Members interjecting:

The SPEAKER: Order! The house will come to order.

The Hon. K.O. FOLEY: The Leader of the Opposition has made it clear he wants taxation reform. Well, you will need a bloody big tax increase to pay for your stadium.

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