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Western Australia plans electric utility, transmission sale to help raise $11.8 bln

Published 12/05/2016, 08:18 pm
Updated 12/05/2016, 08:20 pm
Western Australia plans electric utility, transmission sale to help raise $11.8 bln

MELBOURNE, May 12 (Reuters) - Western Australia's state government plans to sell a state-owned electric utility and power transmission assets as part of divestments to raise A$16 billion ($11.74 billion) to pay down debt and invest in infrastructure, it said on Thursday.

The government is planning to sell utility Western Power and Horizon Power's transmission and distribution network in the iron ore-rich Pilbara in the state's north west, according to a 2016-2017 budget statement.

Added to the government's existing sales, the proceeds will be used to retire around A$11 billion of public debt and create a A$5 billion infrastructure fund, it said. The state government is struggling with a downturn in revenue after the end of the resources boom.

A final decision on any asset sale will not be made until after the next state election slated for March 2017. ($1 = 1.3631 Australian dollars)

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