Claims of huge savings 'baseless': Mayor
  • Wednesday 06 April 2011

Mayor Bob Abbot today said suggestions Sunshine Coast Council could have "saved" $102 million as part of the state government water reform process, were baseless.

He said correspondence between water and sewerage utility Unitywater and council concerning savings had been totally mis-interpreted.

"The savings Unitywater refers to are its own projected forecasts over the next three years; it's not money in hand," he said.

"Unitywater was talking about how it will save money over that period, partly by deferring capital expenditure."

He said Unitywater had only been in existence since last July and had yet to complete a full year's operation.

Cr Abbot also said there was no link between any projected savings by Unitywater and council's minority shareholding in the organisation, nor the dividend council received.

He said there were obviously substantial misunderstandings about Unitywater's statement on forecast savings.

"There were, and are, strong processes in place dictating how this state government reform occurs and Unitywater and council are well aware of this," the Mayor said.