QLD comes to the party on NCP funding

The Queensland Government has announced that it will share a substantial portion of its payments from the Commonwealth Government to implement National Competition Policy reforms with Councils.

Cr John Campbell, President of the Australian Local Government Association, has called on all States to follow Queensland’s example.

“Queensland is the only State in which these payments are being shared with Councils,” said Queensland’s Deputy Premier and Treasurer, Joan Sheldon. “We, as a Government, recognise the benefits of the NCP reforms. We also recognise that there may be some associated costs in the short term as Councils review their business activities and their local laws and, where necessary, implement reforms.”

In announcing the $150 million Incentive Package, the Minister for Local Government, Di McCauley, said that all Councils will receive some funding from the pool as all Councils are required to identify and review anti competitive provisions of their local laws.

However, she said that Councils with the largest business activities will be eligible for the largest share because they are the focus for the main NCP reforms. The business activities targeted are those with expenditure over $5 million per annum.

“They are the water, sewerage and garbage services of the 17 largest Councils and, in the case of Brisbane, its transport services are also included,” the Minister said.

Councils will receive funding from the Incentive Package over the next five years. Each Council’s share of the pool will be based on a funding formula currently being developed in consultation with the Local Government Association of Queensland.