NSW Labor pledges $11 billion debt cut over ten years

Summarised from 2 outlets · Updated 15 Oct, 18:02 · Archive

NSW Labor has announced a plan to cut public debt by $11 billion over the next decade ahead of March's state election. Treasurer Daniel Mookhey said the strategy would cut debt by an average of $1.2 billion a year and save taxpayers around $275 million in annual interest payments.

The plan involves reinvesting money the government makes from energy providers Ausgrid and Endeavour Energy into the state's superannuation schemes. The government owns just under half of each company. Mr Mookhey said this would avoid the need to borrow billions per annum to top up the superannuation fund for at least the next seven years. Under the plan, the government's share of the companies would then be transferred to the treasury's investment platform.

If re-elected, Labor would legislate the plan, which it said would prevent its stake in the electricity network from being privatised by future governments. Mr Mookhey said the strategy would not involve privatisation. "Every dollar we don't pay our bondholders in interest is a dollar we can invest in the roads, schools, hospitals and public transport, which makes life more affordable for working families," he said.

NSW Labor pledges $11 billion debt cut over ten years — Image: Perth Now

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How it is being reported

Labor announces election pledge to cut state debtA state government has announced a plan to cut public debt by $11 billion over the next 10 years in a pitch to voters ahead of March's NSW election.Perth Now · 15 Oct, 17:32
Labor announces election pledge to cut state debtA state government has announced a plan to cut public debt by $11 billion over the next 10 years in a pitch to voters ahead of March's NSW election.The West Australian · 15 Oct, 17:32

In this story: NSW Labor · Daniel Mookhey · Ausgrid · Endeavour Energy · NSW Liberal Party · One Nation · New South Wales

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