Comments on: Anna Bligh's privatisation train will run off the rails

By: danny

danny — Mon, 15 Jun 2009 10:06:43 +0000

For those that don’t follow Still’s links, the story is: Having failed to provision enough engines, Queensland Rail is abandoning rural general freight, grain and livestock transport services in favor of moving coal. They’ll be tory electorates affected, so it doesn’t really matter does it?

By: still@downfall

still@downfall — Mon, 15 Jun 2009 08:38:32 +0000

#38 terangeree, would have liked to hear what you had to say. But here is what Owen Doogan from the Rail, Tram & Bus Union had to say on ABC radio agreeing with rural industry leaders about the current situation of QR freight operations. Here on the same ABC radio program from the same union is further comment. Scroll down the page & look for story entitled “More freight trains cancelled”. Not only will a public asset be sold off in a fire sale at a time of economic downturn, QR freight is in a pretty shabby state for any potential buyer to cast an eye over. Privatized or not; there needs to be a restructure so as to bring a full benefit of services to all Queenslanders. Improve the rail operation & decrease the amount of trucks traveling the same route as a railway track.

By: Sacha

Sacha — Thu, 11 Jun 2009 13:56:14 +0000

It sounds as if the incentives under service agreements aren’t aligned properly with the desired outcomes. This can happen with organisations regardless of ownership structures – and sacking a government may not change the incentives that an organisation works under.

In the sector I’m most familiar with (electricity), network businesses have incentive schemes which allocate or remove revenue from the business depending on whether or how the business meets particular service levels. These attempt to align incentives of the network with designed outcomes for users.

Similar arrangements may or may not appropriate for monopoly businesses more generally, regardless of ownership structure.

By: Lefty E

Lefty E — Thu, 11 Jun 2009 13:18:18 +0000

Often they’re ‘regulated’ under service agreements (ie contract) with state governments. In either case, regulation of private monopolies is next to useless – since its normally more efficient to just pay penalties than improve services, given the lack of anywhere else for the consumer to take their business. And the state still pays for the infrastructure improvements. User pays twice.

At least we can sack a government in the case of public monopolies.

By: Sacha

Sacha — Thu, 11 Jun 2009 12:53:11 +0000

Lefty E, many large privately and publically owned monopolies are currently regulated (e.g. the revenues for electricity transmission and distribution businesses are regulated by the Australian Energy Regulator, a body that is part of the ACCC).

The point is that, if only for political reasons, it’s pretty likely that any private monopolies would be regulated by some entity, possibly the Queensland Competition Authority.

By: Doc Evatt Standing On A Table

Doc Evatt Standing On A Table — Thu, 11 Jun 2009 04:40:31 +0000

Take their names! Take their names!

By: Ziggy

Ziggy — Thu, 11 Jun 2009 04:35:43 +0000

No one asked Anna Bligh or Andrew Fraser to play corporate raiders.
When they purhased WA Rail they were gambling with Queensland Taxpayers money.

Yes she brought that asset for top dollar.
If you want to remove debt then the first to go should be your mortgaged debt. Not your unemcumbered cash cows.

Its like the 9 Billion dollar white elephant she brought.(The Grid) We still cannot transfer water between the dams which was the priority of the grid system.
Water is still being released and destroying homes with none being transferred back into Wyvanhoe.

Economic rationalism or Transfer of debt to private and back again to public and so on is a failure.

Its time for the return of the real labor Party the DLP

Bring it on as this lot have lost the plot

Ziggy

By: Al

Al — Thu, 04 Jun 2009 05:56:45 +0000

It is a disgraceful decision to sell of QR! It will make the budget bottomline worse off in the longterm! I hope that people within the party can agitate for a rethink on that policy.

By: David Irving (no relation)

David Irving (no relation) — Thu, 04 Jun 2009 02:44:54 +0000

non-violence, the ALP knows quite well we have nowhere to go. The other lot would be even worse. (Which is why I vote Green.)

By: Lefty E

Lefty E — Wed, 03 Jun 2009 13:36:09 +0000

And they wonder why their inner city seats are threatened by the Greens!