Dr Kaye said: “Premier Morris Iemma kept his Treasurer Michael Costa on a leash during the federal election campaign.

“Privatisation is deeply unpopular with voters who know that it will drive up prices and  devastate the quality of service.

“Approving a new coal fired baseload power station would have wrecked Labor’s efforts to build environmental credentials in an election where climate change was a key focus.

“Now the election is over, Premier Iemma will no longer be able to control Treasurer Costa who will bully his way through cabinet.

“NSW faces an environmental and social disaster. Privatisation would drive up CO2 emissions, slash jobs, push up electricity prices and hand over essential services to a multinational corporation.

“A new coal fired power station would make it almost impossible to meet the state’s greenhouse gas emissions reduction target.

“Fear of an electoral backlash in the lead up to the federal poll forced the Iemma government to keep their scheme under wraps.

“Now the election is over the gloves will come off and Michael Costa will come our all guns blazing.

“There are strong indications that the Owen Inquiry report will go before cabinet today, with a recommendation for a new coal fired power station, privatisation of the retailers and long term leasing of the state-owned generators.

“The Greens hope that saner heads in cabinet will warn their colleagues that the Iemma government faces the mother of all battles if they push on with Michael Costa’s dangerous scheme,” Dr Kaye said.