Legislative Council: Thursday, September 12, 2024

Contents

SA Health and Medical Research Institute

The Hon. S.L. GAME (14:59): I seek leave to make a brief explanation before asking the Attorney-General, representing the Minister for Health and Wellbeing, a question regarding the mismanagement and spiralling costs associated with the South Australian Health and Medical Research Institute projects.

Leave granted.

The Hon. S.L. GAME: In 2017, the South Australian Health and Medical Research Institute made a questionable agreement with Boston-based ProTom International to deliver a pioneering treatment centre. This agreement included $68 million in taxpayer funds granted to PTI despite the company's dismal track record, having won three similar tenders but never successfully completing a single one, and even filing for bankruptcy in 2015.

Fast-forward to April of this year and PTI is now requesting an additional $76.66 million for the machinery needed to finish the project. The state government and PTI are now embroiled in an international dispute, with some parties using a non-disclosure agreement to avoid public scrutiny. My questions to the minister are:

1. Was the minister aware that ProTom International had a history of failure, including three incomplete projects and bankruptcy filing, before signing the agreement for the Bragg Centre?

2. If the minister was indeed aware of these red flags, why did SAHMRI proceed with ProTom International instead of choosing a proven leader in the field, which the state government is now scrambling to involve in this collapsing project?

3. Can the minister confirm whether the Bragg Centre project is in jeopardy due to financial instability and whether the implementation of contingency measures will put further financial strain on South Australian taxpayers?

The Hon. K.J. MAHER (Minister for Aboriginal Affairs, Attorney-General, Minister for Industrial Relations and Public Sector) (15:00): I thank the honourable member for her questions. I will refer them to the health minister in another place and bring back a reply.