Big business is moving to head off any law changes that override existing deals for tolls on Sydney’s motorways, arguing it will knock large investors’ trust in the NSW government and risk undermining future infrastructure projects.
The nation’s peak business group has told Fels that it is “deeply concerned” about the proposal to use legislation to override existing toll road agreements.Business Council of Australia chief executive Bran Black said companies had entered into contracts with government in good faith and changing legislation to now override them unilaterally presents a “tangible case of sovereign risk”.
Black, the former chief of staff to ex-premier Dominic Perrottet, said it risks undermining future infrastructure projects and major national priorities such as a shift to net zero carbon emissions. Fels has said legislation is needed to make Sydney tolls more consistent because too many parties such as investors, debt issuers and banks were involved to allow that to happen voluntarily.