ActewAGL contract remains private

Opposition Leader Alistair Coe.

IN Assembly Estimates this morning (July 3), the ACT government failed to justify why it entered into a $300 million contract without a tender process or expressions of interest, says Leader of the Opposition Alistair Coe.

Mr Coe recently wrote to Icon Water requesting it publicly release the two service agreements in place with ActewAGL following the news that Icon Water gave a contract worth about $300 million without a tender process or expressions of interest.

“Rather than use the government’s own in-house Shared Services provider, Icon Water has given an 11 year contract to ActewAGL,” Mr Coe says.

“For some reason, Icon Water has given a sweetheart deal to the private company, ActewAGL rather than use the in-house services.”

Mr Coe says in the recall hearing the Minister and officials:  

  • Refused to say if bonuses were paid to senior staff responsible for the deal
  • Refused to release the agreements
  • Confirmed the contract was not audited
  • Confirmed there are no financial penalties for non-performance or under performance
  • Confirmed no market testing was undertaken before entering into the contract
  • Confirmed no analysis has been done to show whether the contract is delivering value for money to the people of Canberra
  • Confirmed the cost of this contract is part of the massive increase to water prices

“The government has bypassed usual processes to enter into a huge contract without tendering,” he says. 

“I call again on the government to make the two agreements public.”

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