Mr STIRLING - 1999-06-02
I refer to the confidential correspondence sent to the minister by Mr Gardner. Mr Gardner listed matters which exposed the Power and Water Authority and the Country and Liberal Administration to legal action. They include ad hoc arrangements relating to the supply of effluent for irrigation which has given rise to health issues, major financial and legal issues relating to the unfinancial McArthur River Pipeline, and the massive difficulties with the unreliable supply of power to Alice Springs through Energy Equity. I ask the minister would he please provide details as to the extent of Northern Territory taxpayer liability in each of these matters.
ANSWER
Mr Speaker, if I could start with the last first, we’re still having trouble with the EDI Power Station in Alice Springs. It goes on and off line quite frequently without a lot of notice given to the Power and Water Authority. The capacity that was stated for that power station when it was first commissioned compared to what we’ve been able to achieve from it is a matter of ongoing discussions. We are taking legal advice as to the failure of that IPP, that independent power producer, to deliver what he told us that he would.
That answers that. I don’t have a figure in terms of the liability or what it might cost etc, but it’s certainly been an unsatisfactory arrangement.
With regards to the sewerage, I am not sure what that would be in the delivery of sewerage effluent, unless it’s, perhaps, in Alice Springs, and the sewerage provided to Blatherskite Park and other areas around there, where they grow lucerne etc. I take that on notice and I will provide you with information. I don’t have it in my briefing papers here today.
In regard to the McArthur River pipeline, I’m not sure if all the litigation has now been completed. The Treasurer might be able to nod his head.
Mr Reed: The pipeline’s under reconstruction.
Mr COULTER: There is reconstruction of the pipeline. This is a matter of great concern to us with regards to the way in which the pipeline was constructed from the main gas pipeline travelling north south to the eastern trunk line coming from that to McArthur River. That was a matter of litigation and negotiation, with a range of contractors involved. As I understand now, all that has been completed and there is no ongoing litigation or exposure of the public purse in that regard. I will get further information on that for the member as well.
ANSWER
Mr Speaker, if I could start with the last first, we’re still having trouble with the EDI Power Station in Alice Springs. It goes on and off line quite frequently without a lot of notice given to the Power and Water Authority. The capacity that was stated for that power station when it was first commissioned compared to what we’ve been able to achieve from it is a matter of ongoing discussions. We are taking legal advice as to the failure of that IPP, that independent power producer, to deliver what he told us that he would.
That answers that. I don’t have a figure in terms of the liability or what it might cost etc, but it’s certainly been an unsatisfactory arrangement.
With regards to the sewerage, I am not sure what that would be in the delivery of sewerage effluent, unless it’s, perhaps, in Alice Springs, and the sewerage provided to Blatherskite Park and other areas around there, where they grow lucerne etc. I take that on notice and I will provide you with information. I don’t have it in my briefing papers here today.
In regard to the McArthur River pipeline, I’m not sure if all the litigation has now been completed. The Treasurer might be able to nod his head.
Mr Reed: The pipeline’s under reconstruction.
Mr COULTER: There is reconstruction of the pipeline. This is a matter of great concern to us with regards to the way in which the pipeline was constructed from the main gas pipeline travelling north south to the eastern trunk line coming from that to McArthur River. That was a matter of litigation and negotiation, with a range of contractors involved. As I understand now, all that has been completed and there is no ongoing litigation or exposure of the public purse in that regard. I will get further information on that for the member as well.
Last updated: 09 Aug 2016