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House of Assembly - Fifty-Fifth Parliament, First Session (55-1)
2022-09-06 Daily Xml
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Ministerial Statement

Former Brompton Gasworks Site

The Hon. N.D. CHAMPION (Taylor—Minister for Trade and Investment, Minister for Housing and Urban Development, Minister for Planning) (14:15): I seek leave to make a ministerial statement.

Leave granted.

The Hon. N.D. CHAMPION: On 15 February 2022, Labor undertook to review the criteria used by the former Marshall Liberal government to select the MAB Corporation ahead of other short-listed proposals, which included a proposal from the Adelaide Football Club, as a preferred proponent for the former Brompton Gasworks site. On 4 May, the government released the criteria and weightings for the development of the former Brompton Gasworks site to allow public transparency into the decision-making process.

On 27 May, the Department for Trade and Investment appointed AECOM to conduct the independent review to examine the process, criteria and the decision made by the former Liberal government to award the preferred proponent status to MAB Corporation. Today, I inform the house that the independent review into the former Brompton Gasworks site decision has been received and considered by the government.

The review has determined that due to the criteria, weightings and the focus on commercial considerations in the request-for-proposal process set out by Renewal SA, the Adelaide Football Club proposal would not have been able to secure this site despite their clear and publicly stated interest in it.

The review also indicates that the provision of open space, entertainment and recreational opportunities provided in the Adelaide Football Club's proposal may have resulted in greater strategic and community benefit that may not have been captured in the criteria and weightings set out by Renewal SA at the commencement of the process.

The review has also identified and provided the government with considerable technical information that will undoubtedly inform future government projects. Due to probity and commercial sensitivities contained in the AECOM review, it has been recommended to government that the government wait until all commercial negotiations with MAB Corporation have concluded before releasing the AECOM review.

The Malinauskas Labor government has assisted the Adelaide Football Club in identifying and securing the best site to meet its long-term requirements for a world-class headquarters at Thebarton Oval. This is a good outcome for the Adelaide Football Club and a good outcome for the state.

It is clear that the former Liberal government Treasurer, the Hon. Rob Lucas, sought to bind the hands of any future administration by establishing MAB Corporation as the preferred proponent a mere three weeks prior to the caretaker period. He did so knowing that any decision to 'walk away from the exclusive negotiations exposed taxpayers to the possibility of significant legal action', as he stated in his media release on 16 February.

Following the consideration of the review and the decision of the Adelaide Football Club, Renewal SA will continue its negotiations with MAB Corporation to secure the best possible outcome for South Australians. No time has been lost by the undertaking of the AECOM review.

Members interjecting:

The SPEAKER: Order! The minister has the call.

The Hon. N.D. CHAMPION: The review has run in parallel to Renewal SA's continued negotiations, and its expected finalisation of the agreement remains as envisaged in January, when MAB was first announced as the preferred proponent.

Mr Whetstone interjecting:

The SPEAKER: Member for Chaffey!

The Hon. N.D. CHAMPION: As a result of ongoing good-faith negotiations between Renewal SA and MAB Corporation, several improvements have been made to the original proposal and MAB Corporation's commercial offering. To date they include:

an increase in open space from the original proposed 25 per cent to over 30 per cent;

maximising tree canopy to 25 per cent and committing to tree planting to create a long-term green and shady community;

refinements to road cross-sections being identified which will reduce traffic impacts in the precinct, slow down vehicle speeds and give greater priority to bicycle and pedestrian movements; and

increasing the affordable housing component from 15 per cent to over 17 per cent.

Renewal SA and MAB Corporation will now seek to conclude their negotiations, subject to the required approval from the Urban Renewal Authority Board.

I am pleased to report to the house that we have honoured and delivered our election commitment to the people of South Australia. In doing so, the government has ensured the best possible outcome for the former Brompton Gasworks site, while the Adelaide Crows have found their new home at Thebarton. Renewal SA will continue to negotiate with MAB Corporation as the government looks for the greatest return from the site and anticipates an improved commercial offering in the near future.

Mr Whetstone interjecting:

The SPEAKER: Member for Chaffey!

Members interjecting:

The SPEAKER: Order! The minister has the call.

The Hon. N.D. CHAMPION: I have concluded the ministerial statement.

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