More state asset cuts

ANNA Bligh has unveiled an ambitious and potentially divisive agenda to restructure Queensland's government-owned corporations.

Some could face the axe or be privatised under a review flagged by the Deputy Premier and Treasurer, who delivers her first Budget next Tuesday.

The plan could further dilute public ownership of utilities and anger unions affiliated with Ms Bligh's left-wing power base in the Australian Labor Party.

In a revealing interview with tomorrow's QWeekend Magazine in The Courier-Mail, Ms Bligh also speaks candidly about her background as a women's issues activist and her ambition to succeed Peter Beattie as premier.

Ms Bligh said the GOC structure had been in place for 10 years and the Government would review it if returned at the next state election, due within a year.

"There are too many times when I think the GOCs have the burden of being constrained by the processes of the public sector without being able to get the benefit of flexibility and entrepreneurship," she said.

The issue is sensitive for the Labor Government, especially in regard to the power sector, where the powerful Electrical Trades Union pushed hard to quarantine recent deregulation to the retail arms of Energex and Ergon, both GOCs.

Ms Bligh acknowledged that the retail units would have been more attractive to the market had generating plants been included in the privatisation.

But she said the Government would be "very reluctant to take our hands completely off energy generation – it gives us the competitive edge over other states in terms of electricity pricing to attract major projects".

Queensland Council of Unions general secretary Grace Grace said last night unions would be opposed to further privatisation, but would be prepared to work with the Government to look at other options for the GOCs.

Ms Bligh's Treasury portfolio makes her a shareholding minister in all 18 of Queensland's GOCs. She is also Minister for State Development, Trade and Innovation.