The Victorian Opposition has continued to protect the decision to sign the contracts for the East West Link ahead of the November 2014 election, despite scathing criticism from the state’s auditor-basic
In a report to Parliament tabled on Wednesday, Dr Peter Frost stated it cost the Andrews Labor Federal government $ 1.1 billion to cancel the deal.
He criticised both sides of politics for wasting taxpayers’ money.
The auditor-general mentioned the previous Napthine government’s determination to sign the agreement at that time was “disproportionately aimed at attaining deal execution prior to the 2014 point out election rather than currently being in the very best pursuits of the project or use of taxpayers’ money”.
Michael O’Brien, who was the treasurer beneath the earlier govt, continued to protect the choice, even with understanding Labor would cancel the undertaking.
Mr O’Brien mentioned his federal government was obliged to go forward with the offer after an eighteen-month tender method.
“When you have a tender approach, you’re obliged to adhere to it by way of,” he informed 774 ABC Melbourne.
“Governments sign contracts outdoors caretaker [method] all the time and subsequent governments are certain by it.
“It would’ve been a large embarrassment to the condition of Victoria [if we would cancelled].
“You have financiers who are element of the tendering approach, there is certainly cash being secured, and after we introduced a chosen tender people monetary arrangements have been getting place in spot.
“It would have uncovered the condition to damages if we prolonged the tender method.”
The Opposition had previously said they would revive the East West Url in the course of the up coming election campaign.
“The require to join up the Jap Freeway and CityLink stays. We want to make sure there’s funds to pay for our initiatives,” Mr O’Brien explained.
The auditor-common explained the billion-greenback expense of cancelling the undertaking would be partially offset by the sale of houses obtained for the project, at an estimated $ 320 million.
The project was meant to include an 18-kilometre highway connecting major arterials – the Jap Freeway at Hoddle Avenue to CityLink, the Port of Melbourne and on to the Western Ring Street.
Subjects: state-parliament, parliament, melbourne-3000