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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2012-06-13 Daily Xml
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DESALINATION PLANT

Mr WILLIAMS (MacKillop—Deputy Leader of the Opposition) (15:04): Will the Minister for Water and the River Murray confirm that the government, through SA Water, has not imposed any penalties on AdelaideAqua for its failure to meet the December 2010 deadline for achieving first water?

The Hon. P. CAICA (Colton—Minister for Sustainability, Environment and Conservation, Minister for Water and the River Murray, Minister for Aboriginal Affairs and Reconciliation) (15:05): I guess what I can confirm is this: as the house was advised, I think, at the last day of sitting, settlement was reached between SA Water and, indeed, the consortium constructing the desal plant. That settlement was based on money that had been withheld by SA Water as a result of not delivering first water. The matter of the terms of the settlement are a matter between SA Water and, indeed, the consortium.

What I would say is that the most recent advice I have received—and I think I alerted the house to this as well—is that the desalination plant is on track for completion in December 2012, that it will come in on or slightly under the budget of $1.83 billion, and it will provide water security for this and future generations—

Members interjecting:

The Hon. P. CAICA: Well, climatically independent—

Members interjecting:

The SPEAKER: Order!

The Hon. P. CAICA: —insurance policy in the supply of that water. They have settled, and I think that, always when there are disputes, the best way of fixing those disputes is to come to an arrangement where settlement is reached, and that has been achieved by SA Water and the consortium.

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