MYALUP–WELLINGTON WATER PROJECT
323. Hon Dr STEVE THOMAS to the Minister for Regional Development:
I refer to the Myalup–Wellington
water project and to my question without notice 720, asked on 11 August 2020.
(1) Has the
project proceeded or progressed since my question on 11 August 2020, and what
progress has been made?
(2) Are the
required commercial agreements identified in question without notice 720 now in
place; and, if not, why not; and when will they be in place?
(3) Is the
original budget of $190 million in federal funds, $37 million in state funds
and $169 million from the proponent still budgeted and available?
(4) If no to (3), what funding
changes have occurred from each of these sources?
(5) Is this project still on track
to be delivered; and, if so, when will it be so?
Hon
ALANNAH MacTIERNAN replied:
I
thank the member for the question. I am sure it has something to do with a chat
I had with the member's old boss yesterday.
(1)–(5) As
the member will be aware, the Barnett government announced this project in
January 2017. The project was trading as Collie Water Pty Ltd and it was part
of an expressions-of-interest process. So that was announced. We came into government, and although we were concerned about
the complexity of the project, we at all times kept the $37 million that
had been allocated to that project and tried to make it work. But it was
predicated on a series of complex and ambitious commercial agreements to be
negotiated between multiple parties by the
private sector proponents. Particularly because of the uncertainties and
complexities in the corporate
structures and financial positions of Griffin Coal Mining Company and
Bluewaters Power, the project as
conceived just has not been able to go forward, and we have formally terminated
that project. We are, of course, now working on alternatives and we have
maintained the money in the budget. We are working, in particular, with Harvey
Water to look at those alternatives.
In relation to the commonwealth
funding—I suspect this might be what had perhaps disturbed Hon Nola Marino—the
Deputy Prime Minister has advised that he has taken the federal government
money from that project. It is still in the budget but designated more broadly
for water projects in Western Australia. We are still working very hard to get,
as I say, a number of projects up utilising those funds. Our money will remain
in the budget allocated to that area.