LNP Queensland

THE Auditor-General has backed Opposition concerns that inconsistent accountability and reporting practices for publicly owned companies has allowed the Beattie-Bligh Government to hide budget blackholes.

The Auditor-General of Queensland ‘Results of Audits as at 31 October 2008’ was tabled in Queensland Parliament yesterday.

The report included the results of the 2007-08 financial and compliance audits of departments, statutory bodies and government owned corporations.

Shadow Treasurer Tim Nicholls said the Auditor-General discovered different financial reporting systems were being used by Government Owned Corporations (GOCs) to provide a lower level of disclosure, transparency and accountability.

"Government Owned Corporations are public assets. Just like shareholders of listed companies, the people of Queensland have a right to reliable, accurate and a consistent reporting framework about asset sales and purchases, as well as the expenditures and earnings of publicly owned corporations," Mr Nicholls said.

"This looks like a dodgy accounting and reporting process about public asset sales processes were developed to prop up the state budget’s bottom line."

Mr Nicholls said the dodgy accounting procedures for the sale of ENERGEX’s gas network and retail business were the result of project direction issued by the Beattie-Bligh Government.

"The result of the process adopted is that for 2007-08 and 2008-09 the revenue and profit is overstated by the amount of the grant, which was essentially funded by the ENERGEX dividend paid to the government," the Auditor-General said.*

Mr Nicholls urged the Treasurer to clear up inconsistent accounting and reporting practices – and report all revenue raised from the sale of public assets that improve the budget bottom line.