State criticises Canberra over carbon tax

THE roll-out of carbon price subsidies to Australian families hasn't stopped the state government from taking another pot shot at the controversial move.

Schools and hospitals across NSW are facing a combined hit of $46 million because of the federal government's carbon price, said local state MPs Tanya Davies and Bart Bassett.

NSW Treasury analysis shows the carbon price will cost the average NSW public hospital up to $120,200 a year and the average NSW public school up to $9100 a year.

There are about 220 public hospitals and 2177 government schools across the state, so this will represent total costs of $26.5 million and $19.9 million, respectively.

The state government says Victoria will receive $2 billion in compensation from the federal government while NSW doesn't get a cent.

"Our schools and hospitals are in desperate need of more funding after years of neglect by NSW Labor," Mrs Davies said. "Now the federal Labor government is increasing costs that schools and hospitals just can't afford."

Mr Bassett added: "At a time when our state and in particular western Sydney can least afford it, this is yet another blow. That's money that could have been spent on additional staff and resources for our state's schools and hospitals, such as nurses, teachers, new beds for our hospitals or much-needed supplies for our students."

Lindsay MP David Bradbury described the state government's position as "utter hypocrisy".

"On the one hand they claim the neglect of local schools and hospitals under Labor, yet they unashamedly turn up to photo opportunities and attempt to claim credit for Labor-funded projects, like the $139 million redevelopment of Nepean Hospital and the $17.2 million Nepean Clinical School," Mr Bradbury said.

He said the federal government had made historic investments in local schools, while capital work funding in schools was slashed by $266 million in the state government's first budget.

Federal Labor had also invested $96.4 million in Nepean Hospital redevelopment.

"Treasury modelling estimates the average price impact of the carbon price on hospitals and health services to be around 0.3 per cent Current and future funding arrangements for public schools and hospitals will increase in relation to cost increases," Mr Bradbury said.

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