Media Release

KAP Leader for Kennedy, Bob Katter will continue to stand against foreign ownership of key Australian economic and strategic assets in the countdown to the sale of Ausgrid. Ausgrid is NSW’s state main electricity distributer and will be sold to one of two Chinese corporations in the bid.

Mr Katter said, “We’ve already moved legislation over the Port of Darwin and Australian asset sales, the Foreign Acquisitions and Takeovers Amendment (Strategic Assets) Bill 2015. It was a coverall / catch all legislation introduced pre-election into a media environment still frozen into the economic wonders of marketisation, a dreamy ideology. Now this dream has become a nightmare reality.

“I will be moving legislation to stop foreign ownership specific to Ausgrid and this area of the economy. We will appreciate the support of crossbench colleagues. This is the first test for the government.

BACKGROUND

Worth over $10 billion - sale of a 50.4 per cent stake in Ausgrid under a 99-year lease.

Only two bidders

State Grid Corporation of China (Chinese Government)

Hong Kong-listed Cheung Kong Infrastructure (Privately owned Chinese corporation)

Ausgrid (formerly Energy Australia) operates arguable one of the largest electricity networks in Australia, distributing electricity across a 22,275 square kilometre area to the

Sydney,

Central Coast and

Hunter regions of NSW

Ausgrid As at 30 June 2015 -

Approx. 1.68M customers

4,613 employees, excluding labour hire or contracted services.

Net profit after tax was $420.1M.

Total company assets were $16.1B.

Ausgrid’s distribution network includes:

a sub‑transmission system of 33kV, 66kV and 132kV assets

a high‑voltage distribution system of 5kV and 11kV assets

a low‑voltage distribution system of 240V and 415V assets.

(Powerlines and power poles, underground cables, nodes etc…)

“Power supply, by way of distribution, is much more immediately powerful than a State Government, particularly the current NSW Government.

“This sale is so typical of our Australian political majors. The reason the two of them couldn’t get 60 per cent of the vote is that they sell off the assets built by our fathers and grandfathers, so they can have money to buy their way through the next election.

“Assets such as Ausgrid provide the ability to secure income for future generations. Bob Menzies would turn in his grave.

“We are selling the ownership of Australia and our sovereignty We will become an economy for imperial China.

“Our employer will be peoples who have no concern for Australia. Their first concern will be for their own people who are mostly poor.

“You will no longer own your own country’s essential strategic services.

“At the end of the day we are selling the rights to a foreign government to flick the switch on our largest city, our stock exchange, our factories and our farms. Rules and regulations apply but at the end of the day, the owner and controller of Ausgrid will be a foreign power and they can flick the switch off.

“Brainless Liberal supporters think politics is about balanced budgets. There’s never been a successful businessman in this country’s history that didn’t borrow money to buy assets to make money.

“Baird and his government will all be gone in the next few years having used this Ausgrid money to buy their way through the next election with pleasure domes, whirly gigs and colosseums leaving the people of NSW at the tender mercies of fairly ruthless Communist Government.

“This is imperialism and colonialism at its worst. Don’t blame the Chinese, blame the NSW Liberal government.”