Daily Bulletin

  • Written by Michelle Grattan, Professorial Fellow, University of Canberra

Treasurer Scott Morrison has formally ruled out Chinese companies obtaining a 50.4% share of Ausgrid, the NSW electricity distribution network.

In a statement late Friday, Morrison said that after considering the bidders' responses to his preliminary decision to block the purchase of the 99-year lease – when he cited national security concerns - he had decided the acquisition by foreign investors under the current proposed structure of the lease would be contrary to the national interest. His decision was consistent with what the Foreign Investment Review Board had recommended, he said.

“In making this decision, national interest concerns have been paramount. They relate to the transaction structure as currently proposed and the nature of the assets,” Morrison said.

The two competing bidders were State Grid, a Chinese state-owned enterprise, and Cheung Kong Infrastructure, which is owned by Hong Kong billionaire Li Ka-shing.

Morrison said the government had worked closely with NSW to make sure it was aware of the concerns. “We will continue to work closely with New South Wales to ensure that national security requirements are met under any future transaction process,” Morrison said.

Authors: Michelle Grattan, Professorial Fellow, University of Canberra

Read more http://theconversation.com/morrison-gives-final-no-to-chinese-on-ausgrid-64187

Business News

Top Tips for Cost-effective Storefront Signage

The retail industry is highly competitive and if you are in the process of setting up a retail store, you have come to the right place, as we offer a few tips to help you create a stunning storefront...

Daily Bulletin - avatar Daily Bulletin

How Freight Forwarding Simplifies Global Trade Operations

Global trade operations are becoming increasingly complex due to international regulations, customs procedures, and the sheer scale of global logistics. For businesses looking to expand internation...

Daily Bulletin - avatar Daily Bulletin

How Car Accident Lawyers Protect Your Rights?

In the aftermath of a car accident, the steps you take can significantly impact your financial and legal future. This is where car accident lawyers step into the frame, equipped with expertise to sa...

Daily Bulletin - avatar Daily Bulletin