House of Assembly - Fifty-Second Parliament, First Session (52-1)
2011-04-05 Daily Xml

Contents

DEEPAK FERTILISERS AND PETROCHEMICALS CORPORATION LIMITED

The Hon. A. KOUTSANTONIS (West Torrens—Minister for Mineral Resources Development, Minister for Industry and Trade, Minister for Small Business, Minister for Correctional Services) (14:12): I seek leave to make a ministerial statement.

Leave granted.

The Hon. A. KOUTSANTONIS: Since coming to office this government has had a strong focus on growing the state's economic prosperity by increasing employment and investment in South Australia. As a government, we are prepared to give consideration to reasonable proposals from potential investors based on their merit and assessed in the public interest.

Last Monday, cabinet approved the conditional leasing of a parcel of land at Port Bonython to a company, Deepak Fertilisers and Petrochemicals Corporation Limited—

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: —to undertake a three-year feasibility study into the construction of a technical ammonium nitrate manufacturing plant. I am advised that several locations were considered as part of this initial process, and Port Bonython was the only location to meet all the necessary requirements.

This proposal would inject $350 million worth of capital investment and create between 350 and 400 jobs during the construction stage, with a further 80 to 100 full-time jobs in the running of the plant.

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: However—

Members interjecting:

The SPEAKER: Order! Members on my left will the quiet; I am trying to listen to this.

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: However, I must emphasise that Deepak has been granted approval to undertake a feasibility study. This is not a final approval but the first step of the process. The company must, over the next three years, prove that it can meet the strictest conditions. These conditions include:

a safety buffer zone as required by SafeWork SA;

a plant design which minimises land requirements and environmental impact;

acquiring all necessary statutory and regulatory approvals;

completing the appropriate financial appraisals and arrangements; and

last, and arguably the most important, there must be full community consultation.

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: Community consultation and cooperation will be a vital part of this process. Deepak officials must engage meaningfully with the local community throughout the detailed investigation phase. Additionally, the state government will engage in community consultation, and I have already offered a full briefing to the Whyalla council at its convenience.

An honourable member interjecting:

The Hon. A. KOUTSANTONIS: No.

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: This is the beginning of a conversation. I want to have a sensible discussion about the future of Whyalla and the diversification of industries.

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: As a community we need to seriously consider the extent to which mining industries establish themselves in Whyalla to take advantage of the increased mining activity. I think that diversified long-term jobs in Whyalla will be the lifeblood of the town. I want to make sure that there is adequate protection to the environment, to the cuttlefish and to the surrounding areas, and I want to hear all concerns.

Madam Speaker, I am well aware of your concerns as the local member. Rest assured, you and the good people of Whyalla will be provided with regular updates throughout the feasibility study phase. This opportunity, as I am sure you understand Madam Speaker, is an emotive one but one that I think needs a full and frank discussion.

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: There is now a significant opportunity for the town of Whyalla to become the hub and the focal point for our rapidly expanding mining industry. I look forward to discussing the proposal with the Whyalla community to ensure the best outcome is delivered for the town.

Members interjecting:

The SPEAKER: Order!