NSW and Victoria have accused Canberra of lethargy on productivity and formed a new pact to fast-track economic reform outside the existing Council of Australian Governments.
Expressing frustration with the commonwealth's "driver's-seat" position at COAG, the premiers of the two states vowed yesterday to work together on reforms to energy efficiency programs, apprenticeships, education and taxation.
NSW Premier Barry O'Farrell and his Victorian counterpart Ted Baillieu said their states, which are not direct beneficiaries of the nation's mining boom, must turn to economic reform to create jobs and growth.
"Our aim is to be party to driving reform, driving productivity improvements and driving additional jobs," Mr Baillieu said.
The Australian
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