THE ACT Government owes about $7million in overdue bills, as figures reveal about 15per cent of invoices are not paid within 30 days.
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About 1500 invoices for supply and services were outstanding across all nine directorates on October 31 this year, according to data obtained by the ACT Opposition.
The Treasury Directorate was the worst offender, with 283 invoices unpaid - worth about $3million.
The Economic Development Directorate recorded the highest average overdue amount per invoice, $13,375.44, across 41 late accounts.
The ACT Opposition says local small businesses are getting a raw deal, but the ACT Government defended the record.
Opposition Leader Zed Seselja said creditors should be compensated for the time lag between delivery and payment.
''The Government's providers aren't being paid on time, and they're not even being compensated with any interest,'' Mr Seselja said.
''A Canberra Liberals government will not allow this to happen.
''Our policy is to pay providers within 30 days, and those with contracts of up to $1million who have to wait more than 45 days will be paid interest on the overdue amount.''
But the Government said the numbers had been taken out of context. Figures show about 300,000 invoices are processed annually by the ACT Government, worth about $870million in the 2011-12 financial year.
This means that only about 0.5per cent of all invoices processed were outstanding in the October quarter.
A Government spokeswoman said recent statistics show around 85per cent of invoices are paid within a 30 day timeframe. The other 15per cent may remain unpaid past the due date for a variety reasons, including the invoice being disputed, details being incorrect, or the bill being late.
''The Government recognises the importance of the small business sector in the territory ... but we certainly don't apologise for sound financial management practices - an invoice is only approved for payment if it is correctly rendered and the good or service has been provided as required,'' the spokeswoman said.
''This is the responsible thing to do.''