Mr HATTON - 2001-07-04
Mr Speaker, during this week, yesterday in fact, the Chief Minister indicated that the announcements in respect to the Australia/East Timor Treaty were approaching successful conclusion and there were further media announcements last evening on this matter. Could the Chief Minister update the Legislative Assembly on the status of these treaty negotiations and what is the anticipated conclusion dates?
ANSWER
Mr Speaker, I note that the Leader of the Opposition forecast a motion congratulating the negotiators who were involved in these treaty negotiations. I might remind the honourable members she put out a press release a month ago congratulating the negotiators when it was mooted then that the treaty arrangements had been settled and they were far from settled.
I inform members that I spoke with Peter Galbraith only two days ago and he informed me that there were still some serious obstacles to be overcome, notwithstanding the fact that it was being mooted in the media at that time that essentially the treaty arrangements had been settled. It is very pleasing now to be able to confirm publicly confirmation that I received from the Foreign Minister two days ago, that all of the issues had been settled. The Australian Cabinet and the East Timorese Cabinet have now agreed to those arrangements, arrangements that will be put in concrete by formal agreement that will occur when the new East Timorese government is elected. But an agreement has been settled such that the arrangements that have been put in place will not change and therefore gives the surety to the developers that they can get this major province underway.
I would have thought anyone would have to say Australia has been extremely generous in these treaty negotiations. To settle an issue that at the end of the day gives a revenue of upwards of $7bn to the East Timorese nation over a 20 year period, with a 90:10 split on royalty payments is extremely generous and demonstrates the commitment of the Australian government to ensure that East Timor develops a strong and independent economy and is able to stand on its own feet as quickly as possible. In that regard, I would hope that the relations between Australia and East Timor, and particularly between Australia and the Northern Territory go from strength to strength.
The challenge now passes to the developers. The major obstacle that concerned them has been overcome. It is now up to the developers in the Timor Sea Gas Province through their cooperative arrangements to strike the commercial deal such that this gas province can be developed as quickly as possible. I would caution honourable members in that fact, that those commercial arrangements have not yet been struck, and until they are struck, there is certainly some concern on my part that we can get this province going as quickly as possible.
In this context, I call upon the Shell Company, because they essentially hold the ace cards in this cooperative arrangement, to demonstrate to Australians what they said publicly when they attempted the Woodside takeover, that their global interests would never override their interests that existed in other areas of the world. They acted and stood on their own benefits. I ask them to hold firmly to that and to demonstrate to Territorians and Australians that they are committed to getting this province up as quickly as possible; they are committed to work cooperatively with Phillips to gain a new market for Australian gas on the west coast of the United States - an opportunity that will soon pass - and the challenge is for the major players such as Phillips, Shell Woodside, and to a lesser extent, Santos, to strike these arrangements.
The Minister for Foreign Affairs invited me two days ago to accompany him to Dili for the signing and by leave of members, I will take the Minister for Resource Development, Daryl Manzie, who has been intimately involved with me and others, public servants and a range of others, in helping to get this treaty settled. I will take him with me to see this historic agreement signed on Thursday. Let us just hope that we move quickly to developing this great province for Australia and for the Territory.
Members: Hear, hear!
ANSWER
Mr Speaker, I note that the Leader of the Opposition forecast a motion congratulating the negotiators who were involved in these treaty negotiations. I might remind the honourable members she put out a press release a month ago congratulating the negotiators when it was mooted then that the treaty arrangements had been settled and they were far from settled.
I inform members that I spoke with Peter Galbraith only two days ago and he informed me that there were still some serious obstacles to be overcome, notwithstanding the fact that it was being mooted in the media at that time that essentially the treaty arrangements had been settled. It is very pleasing now to be able to confirm publicly confirmation that I received from the Foreign Minister two days ago, that all of the issues had been settled. The Australian Cabinet and the East Timorese Cabinet have now agreed to those arrangements, arrangements that will be put in concrete by formal agreement that will occur when the new East Timorese government is elected. But an agreement has been settled such that the arrangements that have been put in place will not change and therefore gives the surety to the developers that they can get this major province underway.
I would have thought anyone would have to say Australia has been extremely generous in these treaty negotiations. To settle an issue that at the end of the day gives a revenue of upwards of $7bn to the East Timorese nation over a 20 year period, with a 90:10 split on royalty payments is extremely generous and demonstrates the commitment of the Australian government to ensure that East Timor develops a strong and independent economy and is able to stand on its own feet as quickly as possible. In that regard, I would hope that the relations between Australia and East Timor, and particularly between Australia and the Northern Territory go from strength to strength.
The challenge now passes to the developers. The major obstacle that concerned them has been overcome. It is now up to the developers in the Timor Sea Gas Province through their cooperative arrangements to strike the commercial deal such that this gas province can be developed as quickly as possible. I would caution honourable members in that fact, that those commercial arrangements have not yet been struck, and until they are struck, there is certainly some concern on my part that we can get this province going as quickly as possible.
In this context, I call upon the Shell Company, because they essentially hold the ace cards in this cooperative arrangement, to demonstrate to Australians what they said publicly when they attempted the Woodside takeover, that their global interests would never override their interests that existed in other areas of the world. They acted and stood on their own benefits. I ask them to hold firmly to that and to demonstrate to Territorians and Australians that they are committed to getting this province up as quickly as possible; they are committed to work cooperatively with Phillips to gain a new market for Australian gas on the west coast of the United States - an opportunity that will soon pass - and the challenge is for the major players such as Phillips, Shell Woodside, and to a lesser extent, Santos, to strike these arrangements.
The Minister for Foreign Affairs invited me two days ago to accompany him to Dili for the signing and by leave of members, I will take the Minister for Resource Development, Daryl Manzie, who has been intimately involved with me and others, public servants and a range of others, in helping to get this treaty settled. I will take him with me to see this historic agreement signed on Thursday. Let us just hope that we move quickly to developing this great province for Australia and for the Territory.
Members: Hear, hear!
Last updated: 09 Aug 2016