KPMG is a trusted and objective adviser to the NSW Government. We stand by the independence and veracity of our advice and strongly refute any suggestion to the contrary.

With well-established processes in place to manage any potential conflicts in our work, we have acted ethically in providing independent advice to our clients on these matters.

The facts are that we undertook two specific and distinct projects regarding the Transport Asset Holding Entity of NSW (TAHE) in 2020.

KPMG’s Audit and Assurance team was engaged by NSW Treasury to assist in the development of a Financial Impact Statement for TAHE by providing accounting advice in line with the Government’s framework for budgetary reporting.

Separately, Transport for NSW engaged KPMG’s Infrastructure and Projects practice to assist in the development of a future long-term operating and financial model for TAHE in its first 10 years of operations.

Last year we underlined the distinction between the two engagements to both Treasury and Transport for NSW in confirming our role was to provide the two agencies with an assessment of the operational, financial and fiscal risks of establishing TAHE, excluding safety assessments given this is the responsibility of the appropriate regulators. We confirmed that the two reports dealt with separate issues and were for different purposes and accordingly neither report could be relied upon over the other.

The KPMG teams independently provided detailed reports containing objective information on these separate pieces of work for Treasury and Transport for NSW.

To be clear, KPMG did not, at any time, advocate a policy position with respect to TAHE. That rightly remains a decision for the NSW Government.

KPMG continues to engage with the Public Accountability Committee on the Inquiry process.