Reforming Public Enterprises: Australia
Reforming Public Enterprises: Australia REFORMING PUBLIC ENTERPRISES -- CASE STUDIES AUSTRALIA by John Marsden, Marsden, Jacob and Associates Overview of Public Enterprise Prior to Reform 1. Government business enterprises (GBEs) were a dominant part of Australian life until the late 1980s. At that time, GBEs accounted for almost 10 per cent of gross domestic product, and 16 per cent of net capital stock and were the sole suppliers of electricity, water, gas and communication services for most Australians. In addition, all State and territory governments were involved in banking, finance and transport. While the Commonwealth owned and operated Australia Post, Telecom and two airlines, the majority of GBEs were then, and remain now, under State and territory government ownership and management. 2. Distinguishing features of State and territory GBEs were their limitation to within State boundaries, and specialisation within sectors. 3. GBE reform in Australia was essentially a private and individual matter for each government until 1990 when Prime Minister Hawke and New South Wales Premier Greiner combined to establish the Special Premier’s Conference (SPC) process. Prior to 1990, each government had adopted and pursued their own agenda of reform and there was little or no interchange or discussion between the various governments. The assembling of all Australian governments to address issues of micro-economic policy under the SPCs and the subsequent meetings of the Council of Australian Government (COAG) has co- ordinated, extended and documented GBE reform. However, observations of key events and drivers in the process of GBE reform prior to 1990 are necessarily personal and selective. Figure 1.1.
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