Major electricity and water sector reforms will start delivering more than $3 billion in savings, Queensland Minister for Energy and Water Supply Mark McArdle said.

According to Mr MrArdle, the savings will come from both capital and operation spending cuts.

“A number of reviews have been carried out during the Government’s first year in office and the implementation of them will be the key focus for the department from here on,” he said.

Mr McArdle said key reforms identified by the Commission of Audit, the Independent Review Panel (IRP) report on electricity sector reform and the Inter-Departmental Committee Review were now ready for implementation.

“These longer term reforms, including major structural reform, are necessary to reduce cost drivers of electricity prices,” he said.

“The reforms will build on the one-off cost of living subsidies the Government provided in freezing electricity bills for all Queensland households for one year and an $80 rebate on water bills for South East Queensland households in 2012-13.”

Mr McArdle said during the past year his department had also completed major water sector reforms including the merger of South East Queensland’s bulk water entities and commencement of the transfer of SunWater’s eight channel irrigation schemes to local management.

“The restructuring of the energy and water sectors being undertaken by my department has already resulted in improved efficiencies,” he said.

“The merger of the three bulk water entities in South East Queensland reduced the duplication of services allowing for bulk water increases to be reduced.”