The opposition leader questions the Premier's funding plan for the Forrestfield-Airport Link, highlighting a perceived contradiction between using asset sales for the rail project versus debt reduction and credit rating improvement. The Premier's response defends the logic of the funding approach.

AnsweredQoN 542Legislative Assembly
Asked
13 August 2014
Portfolio
Premier

QuestionView source ↗

FORRESTFIELD–AIRPORT
LINK PLAN
542. Mr M. McGOWAN to the Premier:
I refer to the Premier's comments
on radio yesterday about the airport rail project that, and I quote, ''We
will pay for it out of budget surpluses. Maybe the majority will be funded
through selling other assets.''
(1) Is this not
completely contradictory to the Premier's previous comments on numerous
occasions that the proceeds of asset sales will go towards paying down debt and
regaining our AAA credit rating?
(2) How much
revenue does the Premier expect to receive from the sale of land, particularly
the hospital sites he has flagged?

AnswerView source ↗

(1)–(2) I
would have thought, for example, if assets were sold off to the tune of $2 billion
that that would theoretically fund the Forrestfield–airport railway,
and theoretically there would be $2 billion less debt than there would
otherwise have been. That is pretty self-evident, I would have thought.

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