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Tim Nicholls looks for silver lining in ACCC comments on electricity privatisation

Rod Sims of the ACCC has said ‘Breaking up Stanwell and CS Energy prior to privatisation into, say, three competitors, as existed a short time ago, would clearly improve competitive outcomes and make ACCC approval a smoother path, as it would allow a competitive generation market … On the flip side, there is the potential that selling an asset may worsen or entrench a market structure that is not sufficiently competitive, and so damage competition, consumers and the long-term health of the economy.’  Treasurer Tim Nicholls sees this as encouraging, Professor John Quiggin is sceptical. (Brisbane Times, 14.10.14)

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