Bill F.
With unbelievable arrogance, Melbourne Water last month announced that it had overcharged Melbourne water retail companies for the cost of the Wonthaggi desalination plant, and that consumers would have their water bills adjusted over a five year period.
Melbourne Water revealed that it had known of the overcharging since November last year, but wanted to keep on doing it until June next year, because paying back the money would upset its five year financial plan. Never mind the five day financial plan many working people have when juggling their bills!
These extra costs were only supposed to be imposed after the completion of construction of the desalination plant. This won’t happen until at least February 2013, due to the loss of construction time caused by bad weather (rain!!) and the provocative anti-union behaviour of Thiess Degremont, the construction company.
Melbourne Water managing director Shaun Cox revealed that water users had been overcharged $220 million. Part of the cash goes to the desalination consortium Aquasure, as well paying a $118 million dividend to the State government. This was all part of a shonky deal done by the previous Labor government to get the desalination project up and running. Since then, of course, it has been raining cats and dogs, the reservoirs are filling, and both the North South pipeline and the desalination plant are looking like white elephants!
Water users jack up
Outraged consumers jammed the switchboards of the three privatised water retailers (City West Water, Yarra Valley Water and South East Water), demanding to have their money repaid immediately. Some threatened to withhold $177, the estimated amount overpaid for an average household, or to pay their bill in five years’ time!
Melbourne QC David Galbally suggested a class action would be considered against Melbourne Water. “I think the conduct of Melbourne Water is nothing short of outrageous… not to ignore the fact that they have taken this money unlawfully. This is not their money.
“There are going to be elderly and other people who can’t afford to have this sort of money taken out of their accounts and not repaid to them. Can you imagine if somebody didn’t pay their water bill? I think that is conduct that we should not put up with.”
Baillieu government is weak as
Victorian Premier Ted Baillieu initially said this was just a “hiccup”, at a time when most people were choking with rage. For ‘born to rule’ fat-cats like Baillieu it might only be a “hiccup”, but for pensioners, the unemployed and casual workers on the bread-line this was yet another kick in the guts.
In a half-hearted response, Baillieu cancelled the next scheduled price increase of 10% which was due to commence from July 1st. However, there was no commitment to postpone other scheduled price increases, or to promptly repay ripped-off consumers. As for people who have moved away from Melbourne in the last year or so, heaven knows when they will get their money, if ever.
Privatisation is a dirty word
For ordinary working people, privatisation has meant shrinking services, higher utility bills and unanswered complaints. The only ones to benefit from the wave of privatisations have been the big corporations, foreign and local, along with banks and other financial institutions, speculators, and a greedy band of well-paid executives and consultants.
It’s all a part of the ‘globalisation’ agenda promoted by US and European imperialism through the International Monetary Fund, the G20 and collaborating governments.
Nationalising key industries such as mining and the utility companies would bring these resources and assets under public ownership and some degree of public control. Ultimately, the key political task is to take power from imperialism and the corporate monopolies.
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