FED: NCP running out of control Beazley

AAP General News (Australia)
04-20-1999
FED: NCP running out of control Beazley

BRISBANE, April 20 AAP - National Competition Policy (NCP) was running out of control and
would be tightened under a future Labor government, Opposition leader Kim Beazley said today.

Mr Beazley said the policy was a "sensible idea" when introduced by Labor because it was
designed to improve cooperation between the eastern states on the electricity grid and lead to
lower power prices.

But it was now being driven by ideology, and Labor in power would apply tougher public
benefit tests on reforms.

Speaking on ABC radio in Brisbane today, Mr Beazley said: "It is ridiculous to tell New
South Wales rice growers, the most efficient producers in the world, that their state will be
fined if they have a cooperative in place.

"And you tell South Australia, which has a very religious feeling about Sunday trading,
that if they don't abandon their pressure against Sunday trading their state is going to be
fined ... then this national competition policy has got somewhat out of control."

Mr Beazley said Labor had planned the NCP so the delivery of essential services would be
reasonably priced.

He said the full privatisation of Telstra, which Labor opposes, was a different issue.

"If you privatise Telstra which has huge market dominance, you're going to be driven by the
bottom line dollar in terms of the delivery of outcomes for the Treasury's books.

"Then what happens is the interests of rural people go out the window."

Mr Beazley said privatisation of Telstra would be anti-competitive and Labor would continue
to argue against it.

AAP geb/trm/br

KEYWORD: NCP BEAZLEY

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