Royal Adelaide Hospital

In reply to Mr MARSHALL (Dunstan—Leader of the Opposition) (30 November 2016).

The Hon. J.J. SNELLING (Playford—Minister for Health, Minister for the Arts, Minister for Health Industries): I am advised:

1. The Project Agreement has a requirement that if SA Health Partnership is delayed in achieving completion (and it is not a delay caused by the state), it must meet its internal and subcontractor direct costs, prolongation costs and finance delay costs for each day that it is delayed. It is not obliged to meet any of the state's costs related to its delay.

During any SA Health Partnership caused delay period, the state does not make the budgeted quarterly services payment to SA Health Partnership and, therefore, has a saving for each delay day.

2. Costs associated with maintaining the current Royal Adelaide Hospital are covered as part of the saving of the non-payment of the quarterly services payment.