Post by memoryfault on May 29, 2021 11:37:28 GMT 8
The current LIBERAL government is fast tracking a nifty* campaign (at your expense) to "help" you. Again. This time it is your super. You know, the compulsory super that you have to have whether you want it or not. The compulsory super that we have had for 30 years now, and over half of that time - 18 years now - we have had a LIBERAL government.
Well it turns out the current LIBERAL government has just discovered that our compulsory super, which we have had for 30 years, might just not be giving us the returns it should. The potential profits are "leaking" somewhere. Of course, it couldn't possibly have anything with the fact that EVERY successive government since 1991, but ESPECIALLY LIBERAL governments, have continued to dream up more and more ways to rob tax those funds, so the answer must must lie elsewhere. They have also just discovered - ho ho - that there is THREE TRILLION Dollars in these "underperforming" super funds, so naturally they want to fix this. For us. Out of the goodness of their hearts. Naturally.
To this end they are introducing a bill with the nifty* title of "Your Future Your Super". How nifty* can you get? Naturally this nifty* bill with the nifty* title is all about helping you. Naturally. In fact, buried in the fine print of this bill is a clause that gives APRA - The Australian Prudential Regulatory Authority - the power to veto ANY potential investment by the super funds, that is not in YOUR best interests. Nifty* huh? It will work like this -
Let's say somebody in government, somewhere, suddenly decides that Straya is running out of electricity. So they decide to build a coal or gas fired baseload power plant for one billion dollars. They go to a super fund to borrow the money, promising a 5% return on investment. The super fund agrees to loan them the money. In steps APRA - "no, no - you can't do that. Straya is committed to net zero carbon emissions by 2050." Project is vetoed.
In steps Rent Seeker Investments to take up the slack. "We will build you a windfarm for only two billion dollars. It won't actually produce any usable power, but it will look great in your re-election campaign. We will get the money from the super funds, and the government can jack up electricity prices by 30% to cover our fees."
"Brilliant" sez APRA. "Here is your tick of approval. Go forth and profit".
Laugh now, but when it happens, remember it was brought to by a LIBERAL government.
------------------------------------------
* copyright Neville Wran