Budget Estimates hears of legal questions on Government’s proposed TasWater takeover
TASMANIA’S Treasurer and Premier won’t detail the advice they took on the State Government’s TasWater takeover, but they say they are confident the takeover is lawful.
Politics
Don't miss out on the headlines from Politics. Followed categories will be added to My News.
TASMANIA’S Treasurer and Premier won’t detail the advice they took on the State Government’s TasWater takeover, but they say they are confident the takeover is lawful.
The Liberals will table legislation later this year for a government takeover of the council-owned utility, promising that it will substantially speed up water and sewerage infrastructure upgrades.
The Local Government Association of Tasmania and TasWater have challenged the legality of the plan, saying they have received high-level legal advice the State Government cannot legislate to override the application of the Federal Corporations Act.
Legal advice provided by Shaun McElwaine & Associates concluded that:
“My opinion, as contained in this letter, is that there is a possible basis on which the legislative scheme that is assumed to be contemplated by the State Government could be contended to be invalid.”
The advice said because little was known as to how the State Government intended to pursue a takeover, the advice was preliminary only.
Treasurer Peter Gutwein and Premier Will Hodgman were asked in State Budget estimates to explain how they knew the TasWater plan was legal and to explain what advice they received on the plan.
Shadow Treasurer Scott Bacon repeatedly asked Mr Gutwein whether he received specific advice from Treasury on the takeover, and whether he received Solicitor-General’s advice on the plan’s legality
Mr Gutwein said he had received advice from Treasury and other sources around TasWater.
“I have had a range of formal advice on this matter,” Mr Gutwein said.
“I will not be providing Treasury advice to this committee. I have received Treasury advice and advice from other sources that have allowed the Government to form the view that is not only lawful but there are no legal impediments to it.
“I have formed the view this is the right thing to do for this state.”
Mr Bacon said the Government had supplied no evidence it was possible for TasWater’s 10-year infrastructure plan to be achieved within five years after a government takeover.
“You haven’t got any evidence to back it up, you’ve got a gut feeling,” he said.
Mr Gutwein said he had formed the view the five-year timeline could be achieved.
Mr Hodgman told another estimates committee the Government took advice on the proposed TasWater takeover from “relevant government agencies”.
Mr Hodgman said he did not believe the plan was unconstitutional but did not specify if advice was provided by the Solicitor-General.
TasWater chairman Miles Hampton said the question was whether state law could overrule federal law, because TasWater was incorporated under federal legislation.
“As I understand it, state law cannot override federal law, and most of us would probably understand that’s the case,” Mr Hampton said.
“There’s some peculiarities in the space, but that in essence is the issue.”
War of words erupt over $60m spend on advertisement
The state government has dipped into public funds to pay millions in advertising, prompting a war of words between the major parties over whether it was worth it. Here’s how it was spent.
Police union rejects Lambie’s ‘reckless’ claims in Westbrook case
The police union has slammed claims of incompetence and cover-up made in federal parliament over the handling of the decade-old Eden Westbrook case as reckless.