Legislative Council - Fifty-Third Parliament, First Session (53-1)
2014-12-03 Daily Xml

Contents

Water Pricing

The Hon. J.M.A. LENSINK (14:25): I seek leave to make an explanation before directing a question to the Minister for Water and the River Murray about water pricing.

Leave granted.

The Hon. J.M.A. LENSINK: On 10 November 2011 the minister who was representing the then water minister in this place made the following comments in his second reading contribution on the water industry bill, and I quote:

ESCOSA will also be empowered to make final price determinations on retail prices for water and sewerage services, with the first determination for SA Water to be applied from 1 July 2013.

We now know that as a result of political interference and ministers misleading the public that the first pricing range for 2013-16 was altered and did not follow that regime. However, there had been indications that the subsequent pricing orders would follow more closely under ESCOSA's recommendations, including when Premier Weatherill was on radio on 28 May 2013 when Leon Byner asked him:

…are you going to give ESCOSA the true independence to set the price of water, not SA Water and when are you going to do this?

The Premier replied, 'I think that's contemplated for the next pricing round.' My questions to the minister are:

1. Was the Premier misleading the house when he made those remarks about final price determinations?

2. Why has the government adopted the same set of parameters for the upcoming price setting as it did in the initial one?

The Hon. I.K. HUNTER (Minister for Sustainability, Environment and Conservation, Minister for Water and the River Murray, Minister for Aboriginal Affairs and Reconciliation) (14:27): I reject, of course, out of hand the leading of opinion in the honourable member's brief statement. It is wrong, it is erroneous. The whole process around the pricing of water is transparent. It is a public process and pricing directions are made public, and we will adhere to that regime.