3 July 2006

The water fee fight gets hot

| johnboy
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The Canberra Times reports on attempted economic vandalism by Bill Stefaniak as he draws a very long bow to claim the Government’s water pricing changes are a levy, which only the Federales can impose.

The Government has responded:

The purpose of the fee was to raise revenue, to reflect the real value of water and to act as a demand mechanism.

Until the supply/demand equation levels out to the point we can end water restrictions, and in the absence of any other rational indicators of the real price of water, I don’t think Bill’s got much of an argument.

More to the point, if Bill is gong to go into bat for Queanbeyan and the Golf clubs, can he please explain his water policy?

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So what is an “abstraction charge”?

A tax raisig mechanism that goes stright into concolidated revenue.

Will the charge be used to build a new dam?

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