What’s the case for state ownerhsip of Solid Energy

The Opposition are not just opposed to the Mixed Ownership Model for state assets under which a minority share in a few companies are sold.

They want to retain all the companies the crown currently owns.

A case can be made for the state to own some companies but what is the case for owning Solid Energy which is in such a dire state?

. . . The state-owned coal miner is grappling with debts of nearly $390 million and earlier in May announced a further 105 job losses. . .

What justification is there for the state to be risking public money in this enterprise?

It’s not a monopoly, it’s not an essential or strategic industry.

It is possible that had it not been state owned, banks would have been a lot more careful about lending it money and it might not be so deeply in debt.

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