NSW Premier Morris Iemma has been forced to delay his planned power sell-off, and give in to Opposition demands for an auditor-general's report into it.
The report will be the key to whether the Opposition supports the privatisation of the state's electricity assets.
The Auditor General will now oversee the power sell off with the Premier giving in to Opposition demands.
Opposition Leader Barry O’Farrell says Mr Iemma's backdown will ensure the deal is viable.
“This government has a sorry history of doing poor deals with the private sector, whether it be the Cross City Tunnel or the Bathurst hospital re-development.
“Rather than wait till after the deal was done to get a bad Auditor General’s report – we want the Auditor General involved up-front to give his blessing before this deal proceeds.”
The premier and his Treasurer Michael Costa finally agreed to it late last night in an 11th hour backdown, and facing inevitable defeat in parliament.
Legislation enabling the $10 billion privatisation push is now expected to go to a vote in September, after the winter recess.
