Water policy
David DAVIS (Southern Metropolitan) (12:34): (310) My question is again to Minister Shing as Minister for Water. I refer again to Melbourne’s four water corporations – Melbourne Water, Greater Western Water, south-west water and Yarra Valley Water – for which you have responsibility. In 2021–22 total capital repatriations were $209.9 million, up from $84.9 million in 2018–19. Despite Yarra Valley Water not publishing forecasts of its capital repatriation in 2023–24, the capital repatriation payment is forecast to be at least $173 million in 2023–24. I therefore ask, Minister: what is Yarra Valley Water’s 2023–24 capital repatriation to be?
Harriet SHING (Eastern Victoria – Minister for Housing, Minister for Water, Minister for Equality) (12:35): Mr Davis, did you refer to ‘south-west water’ in that?
David Davis: I did.
Harriet SHING: There is no such thing as ‘south-west water’.
David Davis: South East Water.
Harriet SHING: Okay, good – just to be clear. The 2023–24 forecast, and you would have seen this in the budget papers, BP 5, page 20, Mr Davis – and as I recall I was in fact asked this question by your colleague, in fact the department was, at the hearing that I attended – has dividend payments of $101 million, followed by $112 million in 2023–24.
David Davis: On a point of order, President, I have asked the minister about capital repatriations and she has given me an answer about dividends. She may be confused or it may be a simple error. She may want to answer about capital repatriations.
The PRESIDENT: I am never going to pretend to the chamber I have expertise in certain things that I do not have expertise in, so I have to take the minister’s answer at face value.
David Davis: On a point of order, President, I did ask about capital repatriations and the minister has answered about dividends. It is a different thing. The government demands two sets of payments; she has answered about one. I know she may be a bit confused; that is fair enough.
The PRESIDENT: I do not think we need to confuse all of us. I think that at the end of question time if you believe the minister did not –
Harriet SHING: I can answer. As I have indicated, capital repatriations following dividends are determined by DTF. I do not have carriage of DTF’s work. The 2023–24 capital repatriation will be set by the Treasurer and by that department, and that information is important to understand in the context of the work that I do alongside the Treasurer as it relates to dividends on the one hand within water and to the capital repatriation process on the other.
David DAVIS (Southern Metropolitan) (12:38): I note the minister has not understood the difference clearly until now, and it is good that she does, because we still do not have the figure for Yarra Valley Water. The so-called capital repatriations are on top of dividends and capital expenditure outlays. South East Water have reported that their overall debt levels and borrowings will increase over the forward estimates to service these payments to pay central government; that is what they have said. Minister, isn’t it a fact that your water portfolio is being milked and Melbourne households will be bled to cover the massive Andrews government debt?
Harriet SHING (Eastern Victoria – Minister for Housing, Minister for Water, Minister for Equality) (12:38): Mr Davis, I always know from your increasingly florid language that you perhaps may not know the direction of your supplementaries, but what I am going to do is try to assist you here. The way in which this operates, as part of dividends and capital repatriations, is that there is no impact on the end cost to customers. The prices are set by the ESC, and there is no impact on the delivery of capital investments and projects. So, Mr Davis, try as you might to try to shoehorn your narrative into this situation, it does not follow. Capital repatriations and dividends do not affect customers’ bills.