IRON ORE PROCESSING
(MINERALOGY PTY. LTD.) AGREEMENT AMENDMENT BILL 2020
541. Mr T.J. HEALY to the Premier:
I refer to the legislation that
passed Parliament last night, which seeks to deal with damages claims submitted
by Clive Palmer, Mineralogy and International Minerals against the state of Western
Australia.
(1) Can the
Premier advise the house what is at risk for the people of Western Australia if
this legislation is unnecessarily held up and delayed by a parliamentary
committee?
(2) Can the
Premier advise the house whether the action this government is taking to
protect the interests of Western Australia could have been avoided?
Mr M.
McGOWAN replied:
(1)–(2) I
would like to comment on the most critical and time-sensitive issue in Western Australia
today. I would like to pass on my thanks to members of this house, who passed
the legislation in relation to Mineralogy last evening—for progressing
an essential bill to protect the interests of the people of Western Australia.
I just want to remind people what is at risk. It was canvassed by the Attorney General
yesterday. The cost of failure in this matter is extreme. Never before have
damages been sought under an arbitration process in relation to a state agreement act. We have 70 of those state
agreement acts and they go back 80 or so years in Western Australia.
Never before have they been sought to be arbitrated and never before have
damages been sought by any party in relation to these matters. The position
taken by Mr Clive Palmer is that he is seeking
a payment from the taxpayers of Western Australia of around $30 billion—that
is, $30 000 million, or $12 000 per person in Western Australia—plus
further unspecified damages for other breaches he claims the former government
made. That would mean it is well in excess of $30 billion. It is good that the
bill passed the Assembly last night, and I would urge all members of
Parliament, in both houses, to support the passage of the bill today.
Members would be aware that yesterday
Mr Clive Palmer began proceedings to try to register his arbitration in the New
South Wales Supreme Court. I understand he has also filed an application in the
Queensland Supreme Court. It is essential
that, for whatever legal wrangling that follows, Western Australia is in
the strongest position possible to protect our state when the lawyers have it
out in New South Wales and Queensland. It is
in the interests of this state that during any proceedings or discussion in the
New South Wales or Queensland Supreme Courts concerning an act of the Western
Australian Parliament that will settle the matter, it is passed with the
signature of the Governor upon it. Western Australia's case is far stronger if this legislation is passed today. We
cannot have a parliamentary committee taking four to six weeks to
consider this legislation. This is urgent; this is not some game.
It
could be disastrous if the legislation is delayed. People across Western Australia
are asking whether all of this could have been avoided. Let me be clear: as was
canvassed in the media—I have been very clear publicly about this—my
government, and me personally, believe that Premier Colin Barnett made the
right decision and took the right course of action when, as state development
minister, he protected Western Australia at the time from a proposal by Mr
Palmer that was flawed and without appropriate detail. Mr Barnett made the
right decision. We want to back in Mr Barnett and the former government's
decision here. But it has come to our attention this morning that there
was advice given to the government in 2014 that could have potentially put a stop to this whole sorry saga then and there.
Following the handing down of the arbitral award by Mr McHugh, AC, QC, on 20 May 2014, advice was
provided by the State Solicitor's Office concerning whether the state
should appeal. That advice was provided in late May 2014 by Mr Robert Mitchell,
SC, who is now Hon Justice of Appeal Mitchell, SC. Although that advice is not
available to the current government, I have here a memo from Nicholas Egan, the
State Solicitor. The memo confirms that the previous Liberal government was
advised to appeal the award in 2014 and self-evidently that advice was not
followed by the government of the day at ministerial level. For the benefit of
the house, I now table the memo.
[See paper 3566.]
Mr M. McGOWAN: There was an
opportunity to protect the taxpayers of Western Australia that the former
government chose not to adopt. What is done is done. I cannot undo the inaction
of the past, but we can do our best to rectify the situation we now face. I urge
everyone to please abandon efforts to delay this legislation. Please support
the people of Western Australia. This is an extremely important matter. I urge
the Legislative Council and the Liberal Party to please help us undo the issues
that have occurred in the past. Please help us undo the issues in the
Legislative Council. Please help us get this legislation through. This
legislation is designed to protect the taxpayers
of Western Australia from a rapacious and greedy claim by a Queensland
billionaire that would potentially bankrupt
the state of Western Australia. Opposition members have an obligation to help
us. They have an obligation to do the
right thing by the people of Western Australia. This is not a joke. This is not
a game. This is one of the most serious issues this Parliament will deal with.
Please assist us here. We do not have the numbers in the upper house. We
rely upon the opposition to help us. The ball is now in the Liberal Party's
court. Help us resolve this matter.