20-July-2011
Portfolio Media Releases, Environment, The Economy, Funding
Wednesday, 20 July 2011
‘BOB BROWN BANK’ RAISES SPECTRE
OF PAST DEBACLES
Confirmation that the Gillard Government plans to raise billions of dollars in debt to fund the $10 billion ‘Bob Brown Bank’ shows Labor has learnt nothing from the Tricontinental, W.A Inc. and State Bank of S.A. debacles of the past.
“The fact this government is prepared to borrow billions of dollars more, in the name of taxpayers, to invest in speculative, high-risk clean energy proposals demonstrates how dangerous it has become,” Shadow Minister for Finance and Debt Reduction Andrew Robb said.
“After inheriting a debt-free budget this incompetent government has been forced to raise the Commonwealth debt ceiling to a staggering $250 billion, and that was before it cooked up the $10 billion Clean Energy Finance Corporation aka ‘Bob Brown Bank’.
“Labor plans to use dubious accounting practices to keep the money ‘off-budget’, this is a deceptive sleight-of-hand trick, to artificially protect the budget bottom line.
“The ‘Bob Brown’ Bank is a slush fund which will pump billions of dollars into pet projects which conventional financiers would not touch with a barge pole.
“It is another Labor financial disaster in the making and a price Julia Gillard has to pay to cling to power,” Mr Robb said.
“A Coalition government will not guarantee debt raised by this entity nor will we be raising even more government debt through bond sales to finance this outfit.
“Penny Wong absurdly says that by rejecting the ‘funny money’ financing arrangements of this corporation the Coalition is ‘wrecking’ the policy.
“The truth is that we are standing up for taxpayers who are sick and tired of this government’s reckless spending and borrowing and the irresponsible behaviour of the likes of the Finance Minister.
“We are saying enough is enough,” Mr Robb said.
Media Contact: Cameron Hill on 0408 239 521.