Fremantle Port sale to pay for major projects
14 May 2015: The State Government will sell, through a long-term lease, Fremantle Port and use the proceeds to retire debt and fund major new projects.
Premier Colin Barnett and Treasurer Mike Nahan announced the plans as part of a second tranche of asset sales in today’s State Budget.
Announcing a forecast net operating balance deficit for 2015-16 of $2.7 billion and a net debt projection of $31 billion by June 30, 2016, Mr Barnett said the Government had decided to sell Fremantle Port in order to continue the vital task of building the economic infrastructure of the State without adding to debt.
“The decision to pursue a sensible program of further asset sales will enable the Government to build new infrastructure to support future growth without putting further pressure on the State’s finances,” Mr Barnett said.
Dr Nahan said while the 2014-15 State Budget showed a projected general government operating deficit of $1.3 billion, this would fall to $788 million when the recently announced Australian Government contribution of $499 million for road infrastructure flowed through to the State.
“This is a good outcome for Western Australia. We will build the Forrestfield line, we will get the rolling stock and we will reduce debt,” he said.
Also mentioned in the State Budget: $44.2 million on works at Fremantle Port to maintain services at the Inner Harbour, facilitate developments at Victoria Quay (including those identified in the Fremantle Waterfront Masterplan), infrastructure upgrades, plant and equipment at Kwinana Bulk Jetty. Asset Sales also include Kwinana Bulk Terminal, Kwinana and Utah Point, Port Hedland