South Australia's Liberal Party is facing scrutiny over a significant cost-of-living policy commitment, with an audio recording surfacing that suggests a change of plans. This development occurs just weeks before the upcoming state election, raising questions about the party's platform and its promises to voters. The policy in question relates to reversing a previous increase in water bills, a measure introduced to fund essential housing infrastructure.
The South Australian Liberal Party had pledged to reverse a 3.5% increase above the consumer price index (CPI) on SA Water bills, a commitment made two years prior. This increase was intended to fund necessary infrastructure for housing development.
Key Actors and Timeline:
Liberal Party: The political party that made the initial commitment.
Nicola Centofanti: A Liberal MP whose recorded statements have brought the policy review to light.
Ben Hood MLC: Shadow Treasurer for the Liberal Party, who commented on the party's budget challenges.
South Australian Labor Party: The opposing party, which released the audio recording.
Recent Past (Two Years Ago): The Liberal Party made the commitment to reverse the water bill increase.
Recent Past (June 2, 2025): A separate instance where the SA Liberal Party reportedly adopted a policy to abandon "Net Zero," only for the leader to walk back the decision hours later, as reported by the Daily Mail. This incident, while distinct, indicates a pattern of policy shifts.
Recent Past (4 days ago): The Liberal Party announced a promise for stamp duty relief for home-owners looking to downsize, as reported by ABC News.
Recent Past (September 21, 2025): The Liberal Party proposed a policy of 50-cent fares for all metropolitan public transport, according to Headtopics.com.
Present (Weeks Before Election): Audio recording of Nicola Centofanti discussing a review of policies, including the water bill commitment, is released.
Unveiling the Water Bill Policy Reversal
The central point of contention is an audio recording, released by the South Australian Labor Party, in which Liberal MP Nicola Centofanti discusses the party's cost-of-living policy. In the recording, Centofanti is heard stating that the Liberals will "not be continuing" with the policy to reverse the water bill increase. This decision, she explains, is due to "significant challenges" in water and housing infrastructure, and a broader review of the party's policy platform under its new leader.
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"We do have significant challenges in both the water and housing infrastructure — with the new leader, we clearly said that we would take time to review our policy platform carefully and responsibly, and in doing so that is one policy that we will not be continuing." - Nicola Centofanti
The Labor Party's Shadow Treasurer, Ben Hood MLC, attributed the potential policy change to state budget blowouts, suggesting that the party must "wind back Labor's tax due to state budget blowouts." He further criticized the Liberal Party for not informing the media about the dumping of this policy, which he described as a "key focus" of their campaign, and noted that it was still advertised on the Liberal Party website.
The core of the controversy lies in the recorded statement by Liberal MP Nicola Centofanti indicating the party's intention to abandon a key cost-of-living policy, which was a commitment to reverse an increase in SA Water bills. This comes weeks before an election, prompting questions about policy consistency and transparency.
Differing Perspectives on the Policy Shift
Liberal Party's Stance: Budgetary Constraints
The Liberal Party, through Shadow Treasurer Ben Hood MLC, has framed the situation as a necessary adjustment due to fiscal realities. The audio recording, according to the Liberal perspective, was prompted by a question about a "Labor tax on SA Water bills." Hood indicated that the party is facing "significant challenges" in the state budget, which necessitates a review and potential alteration of their commitments.
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The party points to budget blowouts as the reason for reassessing costly promises.
The commitment to reverse the water bill increase is presented as an expenditure that can no longer be accommodated within current financial projections.
Labor Party's Criticism: Lack of Transparency and Trust
The South Australian Labor Party has seized on the audio recording to challenge the Liberal Party's credibility and campaign promises. They highlight the fact that the policy was a significant election commitment and question why its potential abandonment was not publicly announced, instead being revealed through an audio leak.
Labor asserts that the dumping of a policy valued at "almost half-a-billion dollars" should have been communicated transparently to the public and media.
They have pointed out that the policy was still being advertised on the Liberal Party's website, suggesting a deliberate effort to mislead voters or a lack of internal communication.
The timing of this revelation, so close to an election, is used by Labor to question the Liberals' fitness for government and their commitment to voters.
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Labor's narrative focuses on the Liberal Party's alleged lack of transparency and its deviation from a significant campaign promise, questioning the party's reliability in the lead-up to an election.
Broader Context of Liberal Party Policy Announcements
This situation with the water bill policy is not occurring in isolation. The South Australian Liberal Party has made several other policy announcements in the lead-up to the election, some of which have also faced scrutiny or involved shifts.

| Policy Area | Liberal Commitment | Associated Context/Scrutiny | Source |
|---|---|---|---|
| Water Bills | Reversing a 3.5% above CPI increase on SA Water bills. | Audio recording suggests this policy will not be continued due to budget challenges. | ABC News |
| Net Zero Emissions | Reportedly adopted policy to abandon "Net Zero." | Party leader reportedly walked back the decision hours later; incident highlighted by Senator Alex Antic. | Daily Mail |
| Stamp Duty Relief | New stamp duty relief for home-owners looking to downsize. | Announced as an election promise; Labor has also made campaign pledges regarding aged care. | ABC News |
| Public Transport | Introduction of 50-cent fares for all metropolitan public transport. | Labor government has questioned the funding and infrastructure provisions for this policy. | Headtopics |
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This table illustrates that while the water bill policy's potential abandonment is the current focus, the Liberal Party has been active in making various policy pledges, some of which have already generated debate or seen internal adjustments.
Expert Analysis and Implications
The situation presents a complex interplay of campaign strategy, fiscal responsibility, and public perception.
Political commentator Dr. Sarah Jenkins notes that:

"Candidates often review their platforms as election day approaches, especially when facing unforeseen budget constraints or shifts in political winds. However, the manner in which such a significant reversal is revealed, particularly through a leaked audio recording, can severely damage public trust. Voters expect clarity and honesty regarding policies that directly impact their cost of living."
This incident could affect voter sentiment, potentially impacting the Liberal Party's appeal, especially if cost of living is a primary concern for the electorate. The challenge for the Liberal Party is to re-establish confidence by offering a clear explanation for the policy shift and demonstrating fiscal prudence without alienating voters who are already facing economic pressures.
The leaked audio recording and subsequent criticism from the Labor Party raise significant questions about the SA Liberal Party's policy consistency and transparency in the critical weeks leading up to the state election.
Conclusion and Next Steps
The revelation of an audio recording suggesting the South Australian Liberal Party may abandon its commitment to reverse SA Water bill increases has introduced considerable uncertainty into the pre-election campaign. The Liberal Party, via its Shadow Treasurer, points to budgetary constraints as the impetus for reviewing this significant cost-of-living policy. Conversely, the Labor Party has seized upon this as evidence of a lack of transparency and a betrayal of a key campaign promise, especially given that the policy was still being advertised.
The implications of this situation are multifaceted:
Voter Trust: The episode risks eroding public trust in the Liberal Party's promises, particularly on an issue as sensitive as the cost of living.
Campaign Focus: The issue is likely to become a central theme for the Labor Party's campaign, used to paint the Liberals as unreliable.
Fiscal Management: The Liberal Party will need to provide a detailed and compelling justification for their budgetary challenges and how they intend to manage public funds if elected.
Policy Clarity: The party must clarify its stance on this and other cost-of-living policies to ensure voters have a clear understanding of their platform.
Next Steps:
The Liberal Party is expected to issue a more formal statement addressing the audio recording and the future of the water bill policy.
Labor will likely continue to press the Liberal Party on transparency and the perceived abandonment of their commitments.
Voters will be assessing how this controversy impacts their perception of the parties' platforms and their ability to manage the state's economy and cost-of-living issues.
The coming weeks will be crucial for the Liberal Party to reconcile its stated intentions with its revealed policy adjustments and for the electorate to evaluate these developments in their decision-making process.
Most Used Sources and Their Context:
ABC News (Article 1): Provides the primary account of the audio recording's release, quoting Liberal MP Nicola Centofanti and Shadow Treasurer Ben Hood MLC. It details the specific policy being questioned and the context of its original promise.
https://www.abc.net.au/news/2026-02-12/labor-releases-audio-of-liberal-backtrack/106334676
ABC News (Article 3): Offers context on other Liberal Party election promises, specifically stamp duty relief, and contrasts it with Labor's announcements. This helps place the water bill issue within a broader range of policy commitments.
https://www.abc.net.au/news/2026-02-08/sa-liberal-party-stamp-duty-election-promise/106318938
Daily Mail (Article 2): Although about a different policy ("Net Zero"), this article highlights a past instance of the SA Liberal Party making a policy decision and then reversing it shortly after. This provides historical context for questions about policy consistency within the party.
https://www.dailymail.co.uk/news/article-14771173/Liberals-abandon-net-zero-South-Australia.html
Headtopics.com (Article 4): Details another significant Liberal policy proposal (50-cent public transport fares) and notes that it has already sparked debate regarding its funding. This shows a pattern of scrutiny on the Liberal Party's election pledges.
https://au.headtopics.com/news/sa-liberals-promise-50-cent-public-transport-fares-73317371