Dominic Perrottet wasted no time fighting an interstate prime minister, enlisting the help of a high-ranking minister.
The NSW premier has pledged to continue a money operation with Western Australia and has said his state treasurer will back him.
Premier Dominic Perrottet, who has only been in office for two days, wasted no time in denigrating Washington Premier Mark McGowan about the distribution of GST revenues.
And Mr Perrottet said on Wednesday that Matt Kean, who took over as treasurer, agreed with him.
“I know Minister Kean, the new Treasurer, will be just as passionate about this issue as I am, because there is a lot at stake,” Perrottet said.
It comes after Mr McGowan said his promotion to NSW Premier meant the GST debate was now a “clear and present danger to Western Australia”.
Mr. Perrottet said Mr. McGowan was right.
“Yes … because there is an agreement that WA was able to make with the federal government last August, which damaged every other state and territory in the country,” said the leader of New South Wales. .
“The reality is we want a situation where NSW receives its fair share of the GST.
“I argued that we should have a lower share than per capita because we have a duty and responsibility as the strongest state and the best state in the country to support the smaller jurisdictions. I have always accepted this point.
“What I won’t accept is WA, which, at the height of a mining boom, wasted its surpluses. When they were in deficit… they ask the federal government for a bailout. ”
Perrottet said the issue “will continue to be a topic of regular discussion” with the Prime Minister as well.
The prime minister of WA accused the NSW government of “complaining” and of being “very bad financial managers”.
“They have handled Covid very poorly and can see the consequences… And so instead of looking in the mirror, they are looking west to blame us for this situation,” Mr. McGowan said.
Mr McGowan claimed his state’s booming economy is supporting Covid-19 financial aid from the Commonwealth government to other states that have been hit hard by the virus.
Mr Perrottet, who previously called Mr McGowan a “Gollum of Australian politics” in an interview on GST revenue, wrote in the last budget passed while treasurer that the allocation of the money was “inequitable and unfair to other states”.
In 2018, the Morrison government introduced a floor of 75 cents per person per dollar of GST to ensure that no state would be “worse” under the system, after WA’s share of GST fell to near of 30 cents per person per dollar after a mining boom. .
Was record budget surplus dug a wedge with other states after NSW and Victoria castigated WA’s special deal with the federal government to extract GST compensation payments.
Mr. Kean could not be reached for comment.