The Australian Competition and Consumer Commission welcomes the additional funding that it has received in tonight's Budget, totalling $53.1 million for agency expenses over the next four years and $23.9 million as capital funding in 2004-05.
This is a total increase of $77 million over the next four years. This brings the total funding for the ACCC in 2004-05 to a total of $98.2 million. Included in the agency expenses is $31.5 million to cover the increasing costs of pursuing litigation. Also included is $15.2 million to fund expected payments from the Litigation Contingency Fund to meet other party costs.
The amount of $6.4 million is also included to fund the establishment of the proposed Australian Energy Regulator. The $23.9 million capital funding in 2004-05 includes $12 million as a capital injection to restore the ACCC's balance sheet position following operating losses in the past two financial years.
These operating losses have been mainly attributable to increasing litigation costs. There is also $10 million to restore the balance in the Litigation Contingency Fund to its originally intended level and $1.9 million for the capital establishment
costs of the proposed Australian Energy Regulator. "These amounts are a significant increase in funding for the ACCC", ACCC Chairman, Mr Graeme Samuel, said tonight.
"This additional funding will help ensure that the ACCC can maintain its current activity levels across its range of functions".