RAJ REPORT

Voodoo Budgeting ——– Electricity Companies are servicing their DEBT because they have RIPPED OFF the consumers for the last FIVE years——–Queensland budget: Curtis Pitt plans to slash debt by restructuring balance sheets of electricity assets – ABC News (Australian Broadcasting Corporation)—————-The Treasurer denied it was just an accounting trick. “The energy companies are servicing their debt so well that they have ended up with lazy balance sheets,” he said.

Leave a comment


 

The Queensland Treasurer says he can slash government debt by more than $4 billion by restructuring the balance sheets of state-owned electricity assets.

Curtis Pitt said he would announce full details of the measures in next week’s state budget, but the idea was to reduce the annual interest bill for the state by $600 million over four years.

Mr Pitt said Ergon, Energex and Powerlink’s capital structure would be placed on more commercial terms.

“We are going to get our assets working harder and smarter for us,” he said.

“Bringing these in line with industry standards is going to bring $4.1 billion to be freed up to pay down general government sector debt.”

The Treasurer denied it was just an accounting trick.

“The energy companies are servicing their debt so well that they have ended up with lazy balance sheets,” he said.

“These businesses are currently geared on an average net debt-to-asset base ration of approximately 55 per cent.

 

 

 

 

Queensland budget: Curtis Pitt plans to slash debt by restructuring balance sheets of electricity assets – ABC News (Australian Broadcasting Corporation).

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s