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House of Assembly - Fifty-Fifth Parliament, First Session (55-1)
2024-09-24 Daily Xml
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GFG Alliance

The Hon. V.A. TARZIA (Hartley—Leader of the Opposition) (14:43): My question is again to the Premier. Is GFG Alliance in arrears of its royalties to the South Australian government and, if so, by how much?

Members interjecting:

The Hon. S.C. MULLIGHAN (Lee—Treasurer, Minister for Defence and Space Industries) (14:43): Well, I am responsible for revenue. Is that so unusual? As the Premier has indicated to the house, the Premier, along with other members of the cabinet committee dedicated towards the Upper Spencer Gulf precinct and successfully making the transition to newer and decarbonised industries, is regularly briefed on progress—

The Hon. V.A. Tarzia interjecting:

The DEPUTY SPEAKER: Member for Hartley, leader!

The Hon. V.A. Tarzia interjecting:

The DEPUTY SPEAKER: Leader, you are warned for the second time.

The Hon. S.C. MULLIGHAN: In fact, Mr Speaker, I take offence to those comments and I would like the leader to withdraw and apologise.

The Hon. V.A. TARZIA: I withdraw the comments that the Treasurer's answer is dodgy and outrageous, and I apologise.

Members interjecting:

The DEPUTY SPEAKER: Order, please! The leader is a former Speaker and knows the rules and he knows in his comments then he just broke the rules.

Members interjecting:

The DEPUTY SPEAKER: Member for Morialta, you will listen. By repeating the offending remarks you have actually done it again, so you will stand up, you will withdraw the comments and apologise unreservedly full stop.

The Hon. V.A. TARZIA: I withdraw and apologise, sir.

The DEPUTY SPEAKER: Thank you. And you, Treasurer?

The Hon. S.C. MULLIGHAN: I thank the leader for his apology. As I was in the course of explaining, senior ministers, including the Premier, Deputy Premier and I, as well as the Minister for Energy and Mining, are briefed regularly on the situation with GFG and their creditors, and yes, they are behind on their royalties and there are a range of discussions which continue with GFG because while, of course, you would expect the government—

The Hon. V.A. Tarzia: I am just trying to help matters. I am just trying to help.

The Hon. S.C. MULLIGHAN: You are still on probation. You haven't done three months.

Members interjecting:

The DEPUTY SPEAKER: Order!

The Hon. S.C. MULLIGHAN: You are still on probation, mate.

Members interjecting:

The DEPUTY SPEAKER: Member for Florey! The leader will leave the chamber for 10 minutes.

The honourable member for Hartley having withdrawn from the chamber:

The Hon. S.C. MULLIGHAN: As I was explaining to the house, this is a matter of importance, I think, to the economic future of the state. The government is behaving reasonably with GFG because while it might be tempting for the leader to thump the table and demand arrears—

Mr BATTY: Point of order: on 98. The minister is debating. The Treasurer was asked how much they are in arrears and he should answer the question.

The DEPUTY SPEAKER: No, the Treasurer's answer in my opinion was—

The Hon. J.A.W. Gardner: The Treasurer was talking about the leader's behaviour, sir.

The Hon. P.B. Malinauskas: Are you questioning his ruling? Let him make the ruling.

The DEPUTY SPEAKER: Premier, I can do this.

The Hon. J.A.W. Gardner: Stop interrupting.

Members interjecting:

The DEPUTY SPEAKER: Order! Has everybody finished? Thank you. I don't uphold that point of order. The Treasurer has the floor, uninterrupted.

The Hon. S.C. MULLIGHAN: Thank you, Mr Speaker. I have risen to give this answer not only to confirm that they are in arrears on their royalties but also to demonstrate how much. If it's okay with those opposite, I might explain the situation while I'm giving that information to the house, much as it seems to vex them.

They are in arrears. It is a serious issue for the state. The government is acting reasonably, because while it might be tempting for those to thump the desk, demand that the government calls in these amounts as and when they fall due, we realise that it would exacerbate the difficult financial position that GFG finds itself in, particularly given that there are other creditors outside of government, in relation to which, as the line of questioning has already demonstrated today, the government is at pains to ensure that we maximise the chance of those South Australian suppliers being paid as and when GFG is able to make those payments.

We are working through the issue. We are doing it constructively and collaboratively and in the best interests of the community of Whyalla, of the steelworks themselves, and those other suppliers that are owed payments.

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