The Treasurer today announced his decision to reinstate $14.83m in suspended National Competition Policy (NCP) payments to Queensland.
This money was suspended on recommendation of the National Competition Council. The Council had concluded as part of its June 1999 second tranche NCP assessment that Queensland was unable to demonstrate compliance with a specific water reform commitment.
The Council has since completed a supplementary assessment, recommending that the penalty be removed. Queensland has committed to preparing new guidelines for determining ecological sustainability and economic viability of investments in rural water projects.
"I would like to express my recognition of Queenslands current and proposed efforts in implementing the COAG water resource framework.
"These efforts represent a promising step forward in what is a complex and sensitive area of the reform program, involving both environmental and economic aspects.
I look forward to continued progress across all jurisdictions".
The Council will be conducting a further assessment of Queenslands progress against a range of additional water reform commitments in June 2000. This will relate to future NCP payments.