Options for Baird's poles and wires

Mike Baird is looking at all options regarding the structure of privatising the electricity networks, including a public float for 'mum and dad investors'.

An electricity pole, with wires and powerlines

NSW Premier Mike Baird is open to all options on raising money from the state's polls and wires. (AAP)

NSW Premier Mike Baird is open to all options on his government's plan to offload state electricity network assets.

This could include trade sales as well as potential stock market floats, which would allow so-called mum and dad investors to buy into key government power transmission companies.

After claiming victory in the weekend state election, Mr Baird is also determined to move as quickly as possible on legislation to allow the 99-year lease of 49 per cent of other assets.

The electricity sector plan is expected to raise about $13 billion which, with extra federal funding, will propel a $20 billion infrastructure program.

It formed the centrepiece of the coalition state government's re-election campaign and was strongly opposed by Labor which wanted the assets to remain in public hands.

Details of how the assets - particularly for the power networks - will be offloaded will now be worked out.

The government could float 50 per cent of Ausgrid and Endeavour Energy and sell 100 per cent of Transgrid through a trade sale.

"All options remain open as far as the structure of the transaction," the premier's spokesman said on Monday.

Meanwhile, Mr Baird is feeling positive about the numbers the government could have post-election in the state's upper house.

If it goes the government's way, it will find it easier to get its privatisation plans through.

"It's looking pretty positive so that would be a great thing - that would enable us to negotiate directly to get on with the plan we have," Mr Baird told Macquarie Radio.

WHAT'S THE PLAN?

*Baird wants to lease 49 per cent of the NSW electricity network for 99 years for about $13 billion, helping to create a $20 billion infrastructure fund.

WHAT'S BEING PRIVATISED?

*Just under half the 283,000km of power lines that comprise the state's electricity "poles and wires".

*Essential Energy, which covers most of rural and regional NSW, will remain 100 per cent government owned.

*Ausgrid, which supplies Sydney and the Hunter region, and Endeavour, which serves western Sydney and the Illawarra, will be in majority private control.

*Transgrid, owner of the state's 14,000km of high voltage transmission lines, will be 100 per cent privatised.


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Source: AAP


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