Financial Performance of Government Trading Enterprises 1996-97 to 2000-01

The Productivity Commission has released a report on the financial performance of 64 Commonwealth, State and Territory government businesses. These businesses provide essential services such as electricity, water and urban transport, as well as railway and port infrastructure. Combined, their revenues were $55 billion in 2000-01 and they controlled assets valued at more than $145 billion.

The report provides data on firms' financial performance over time. It also allows comparison of performance among businesses in the same industry.

The Commission's Chairman, Gary Banks, said 'the Commission finds that some businesses are still not operating on the fully commercial basis that owner governments intended'.

During 2000-01, performance against all profitability measures declined in most sectors. Many businesses did not earn commercial returns. For some businesses, there have been no signs of improvement.

This study forms part of a continuing program of research into the performance of economic infrastructure industries and the impact of microeconomic reforms.

Preliminaries
Cover, Copyright, Foreword, Contents, Abbreviations, Key Messages

1 Introduction
1.1 Background
1.2 Report structure

2 Financial performance overview
2.1 Profitability
2.2 Financial management
2.3 Government transactions
2.4 Summary of findings

3 Interpretation of performance measures
3.1 Data
3.2 Performance indicators
A Definitions of financial performance indicators

PART A ISSUES AFFECTING GTE PERFORMANCE

4 Asset valuation
4.1 Asset valuation in regulated industries
4.2 Implications for performance indicators
4.3 In summary
A Valuation practices and asset values for selected electricity, gas and water and sewerage utilities and industry regulators

5 Debt Management
5.1 Government trading enterprise debt
5.2 Debt guarantee fees
5.3 In summary

6 Community service obligations
6.1 State and Territory government CSO policies
6.2 Disclosure
6.3 In summary

PART B GTE SECTOR PERFORMANCE REPORTS

7 Electricity
7.1 Sector reforms
7.2 Market environment
7.3 Profitability
7.4 Financial management
7.5 Financial transactions
7.6 GTE performance reports

8 Water
8.1 Sector reforms
8.2 Market environment
8.3 Profitability
8.4 Financial management
8.5 Financial transactions
8.6 GTE performance reports

9 Urban transport
9.1 Sector reforms
9.2 Profitability
9.3 Financial management
9.4 Financial transactions
9.5 GTE performance reports

10 Railways
10.1 Sector reforms
10.2 Market environment
10.3 Profitability
10.4 Financial management
10.5 Financial transactions
10.6 GTE performance reports

11 Ports
11.1 Sector reforms
11.2 Market environment
11.3 Profitability
11.4 Financial management
11.5 Financial transactions
11.6 GTE performance reports

12 Commonwealth GTEs

A Participating enterprises, 2000-01

References