The Tasmanian Government faced another controversy as it was accused of knowing the financial problems of Aurora Energy before it announced to cap power prices during the election period.
According to the Freedom of Information obtained by the State Opposition, it showed that the government had an idea that Aurora experienced financial difficulties before the elections.
Independent congresswoman Ruth Forrest said she informed former Energy Minister David Llewellyn on the effects of Hydro Tasmania's pricing on Aurora during a meeting last July.
Ms. Forrest said the issue should have been discussed during the monthly meetings between the energy companies and the government ministers.
“Why is it the Minister and the Treasurer at the time didn't acknowlegdge or realize there was a problem, why didn't they act?” she asked.
Ms. Forrest requested for a closer investigation on government businesses.
Treasurer Michael Aird defended the government, stating that it was only informed by the parliament on Aurora's plight in April.
Premier David Bartlett has also denied allegations that Tasmania was facing power price rises up to 40 per cent for the last three years.
The Opposition said the FOI documents also revealed that the Government was already aware of the financial situation of Aurora Energy before the March election. Like in Tasmania, New South Wales experienced a 42 per cent hike rise in prices over the last three years.
Mr. Bartlett brushed off the allegations and said they were misleading since the regulators have the authority to change power prices and not the government.
"To be running around and throwing numbers about, that's what oppositions do. What we will do is work consistently to keep the cost of power down for Tasmanians while at the same time delivering energy security for our economy and businesses."
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