Thursday, 4 April 2024
Shadow Water Minister Steph Cooke said the NSW State Government’s plan to impose a levy on local councils in order to pay the dam safety regulator, is a thinly veiled tax grab by a government struggling to balance its own budget.
Following a meeting with impacted councils in Armidale, Ms Cooke explained the government has authorised IPART to ‘design a levy’ to ‘recover’ the costs of Dams Safety NSW – the regulator responsible for overseeing the safety of ‘declared dams’ in the state.
“It goes without saying that protecting the community from the risk of dam failure is important and crucial work, so I want to be clear, the issue here today isn’t about questioning the work that Dam Safety NSW does in ensuring the safety of some of the state’s most vital water infrastructure,” Ms Cooke said.
“The issue is about a government that in just 12 short months, has lost control of the state’s finances to the extent that they’re now effectively passing the hat around to help pay the bills; it’s a classic case of robbing Peter to pay Paul.
“How else to explain this IPART review – that the Water Minister requested, and the Premier signed-off on – that will slug local councils with a significant cost burden.
“The IPART review isn’t about exploring the viability of a levy; this review is about the design and implementation of a fee that up until now, has not been considered necessary for the operation of this regulatory authority.
“This levy is a tax plain and simple. The government should be increasing investment in dam safety, not shifting the cost burden of the regulator to our local councils, some of which are struggling financially as it is.
“It’s a tax on local councils which fundamentally, is a tax on rate-payers who will be the ones left footing the bill when the council has no other choice but to raise its rates to cover this new expense.
“How is it fair that this government punishes local communities with a cost that residents are entitled to expect, is the responsibility of the state government.
“The government must reassess its priorities and find a way to ensure that the regulator is properly equipped to enforce the safety standards of our vital water infrastrucutre, without simply shifting the cost and responsibility to others,” she said.
Ms Cooke said IPART is currently seeking stakeholder views on the issue, with submissions due by 16 April, 2024.
“A draft report is due for release in June, with a public hearing scheduled for July, so I certainly encourage owners of declared dams, and other interested stakeholders, to make their voices heard through this process, so we can put a stop to this cost-shifting madness,” Ms Cooke said.
Submissions can be made through the IPART website: www.ipart.nsw.gov.au
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