Tasmanian Treasurer, Peter Gutwein announced yesterday in a speech to the Committee for Economic Development of Australia (CEDA), that crucial infrastructure upgrades are required to make the state’s water fit to drink and councils have to accept a greater share of the responsibility for fixing the problem.
Local Government Association Of Tasmania (LGAT) has defended its 10-year plan to upgrade the state’s water and sewerage infrastructure in response to the Treasurer’s public call for urgent action.
LGAT President, Mayor Doug Chipman said, “Local Government is in disbelief that the Treasurer chose a national forum to attack local councils as opposed to directly engaging with us.
“It is all well and good to say he will meet with council owners this Friday but the invitation and discussion should have happened first.
“Local Government welcomes the opportunity to correct his claims which demonstrate a limited understanding of the true facts.”
“The LGAT CEO and I met with the Treasurer only a little over a week ago to discuss our budget submission and rather than outline his concerns to us, he has chosen to ambush the sector in the national spotlight.”
Chief Owner Representative for TasWater, Mayor David Downie said, “Councils have proven they are willing to make the tough decisions, already for-going dividends worth $82million.
“Councils use the return on decades of community investment into water and sewerage infrastructure to aid in the maintenance and renewal of other community assets infrastructure such as local roads and bridges, parks, sports grounds and community halls.
“Councils aren’t backing away from the task that needs to be done but with TasWater, we are working responsibly and as fast as possible. This work can’t be done overnight and must be managed within ongoing operational requirements.
“TasWater’s council owners have already agreed to a dividend reduction and support TasWater’s aggressive 10-year capital improvement plan.”
Mayor Chipman says, “Distributions from TasWater to Owner Councils are reinvested into communities through development, renewal or maintenance of other key community infrastructure that also support vibrant communities.”
It is critical that State and Local Government work together on this issue, taking joint responsibility.
