Auditor-General’s clouds block out Newman’s bright future

Media Release

Campbell Newman’s plans for a bright future in Queensland are under a cloud following release of the Auditor-General’s report, Shadow Treasurer Curtis Pitt said today.
Mr Pitt said the report once again highlighted that the Newman Government was all talk and no substance when it came to financial management with no means of measuring efficiency and effectiveness.
“Campbell Newman’s addiction to asset sales and outsourcing will lead to more job cuts and higher cost of living for Queensland families,” Mr Pitt said.
“The Premier and his Treasurer must be very embarrassed that $27 billion of annual expenditure in the budget service delivery statements has no efficiency and effectiveness measures."
“As the Auditor-General has clearly stated, such lax fiscal management makes it extremely difficult to hold the Government to account for its spending."
“Further, the report puts a big question mark over Campbell Newman’s plans to privatise and outsource services."
“The Government won’t be able to justify if services can be delivered more efficiently or effectively by the private sector if there is no way of measuring it."
“Shockingly, the report also states that of the 61 service areas not reporting publically on efficiency, 59 of them also don’t report on efficiency standards internally."
“This is an embarrassing report for the Government and the Premier and the Treasurer must immediately explain what justification they will use for arrogantly privatising and outsourcing services to Queensland taxpayers.”

The report follows on from:

• The 2014-15 Budget Papers which confirmed no savings from contestability had been delivered
• Auditor-General reports 11 and 12 in 2013-2014 which detailed that the Newman Government had wasted $2.6 billion on the Premier’s tower of indulgence
• Auditor-General’s report number 10 for 2013-14 which questioned whether Departments had the resources to deliver savings from ‘contestability’.

Key excerpts from Auditor-General’s report number 18 for 2013-14
“… efficiency and effectiveness standards for 72 per cent of the budget makes it difficult for the Parliament to hold departments fully to account.”
“Not knowing whether major government services are cost-efficient hampers effective decision making, particularly from the viewpoint of contestable service provision and being able to quantity reliably whether there are any significant potential savings from outsourcing services.”

“With the present sharp focus and debate on the ways and means to achieve fiscal neutrality and to reduce public debt… Not knowing whether services being delivered are cost-effective hampers effective decision making and weakens accountability.”