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Media Release

LABOR GOVERNMENT'S FUNDING FALLS SHORT FOR RURAL SEWERAGE SCHEME

Thursday, May 25, 2000

The Labor government must increase funding to 60 outstanding small town sewerage schemes to ensure they all go ahead, Shadow Water Resources Minister Steve McArthur said today.

The government has announced that rural Victorians in 60 communities will contribute an $80 annual payment over 20 years or a one-off discounted fee of $800 towards sewerage infrastructure.

Mr McArthur, however, said the government's announcement to provide $22.5 million for the 60 outstanding small town sewerage schemes was inadequate.

"I have reservations that $22.5 million will not adequately fund sewerage schemes across the 60 separate communities," Mr McArthur said.

"Given the shortfall in funding, the Labor government must be relying on planned sewerage schemes in rural Victoria to fall through in order to fund the newly announced subsidies.

"I am glad that after months of delay, the Labor government has finally provided some certainty to these rural communities, but the government is clearly expecting some towns not to go ahead with their schemes.

"There is no other explanation for this shortfall in funding."

Mr McArthur cited the example of the Wandong-Heathcote Junction scheme for which the government is providing an additional $1500 per allotment.

"In total, the scheme will receive an additional government subsidy of $750,000 but this scheme is by no means the largest or the dearest," he said.

"Environment Minister Sherryl Garbutt needs to come clean on just how much money is needed to fund these schemes at the new discounted rate because at the moment there simply isn't enough funding.

"The Labor government has an obligation to deliver World Health Organisation standard water and Environment Protection Authority standard waste water to country Victorians. All of the outstanding schemes need to proceed."