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Legislative Council - Fifty-Fifth Parliament, First Session (55-1)
2024-08-28 Daily Xml
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Whyalla Steelworks

The Hon. F. PANGALLO (14:55): I seek leave to make a brief explanation before asking the Minister for Primary Industries and Regional Development, representing the Minister for Energy and Mining in the other place, a question about the Whyalla Steelworks.

Leave granted.

The Hon. F. PANGALLO: The vultures appear to be circling over the steelworks once again, with the hardworking town folk yet again bracing for bad news. The ABC reported recently that the steelworks had cut 48 jobs at the steelworks and that it had entered a series of shutdowns of its blast furnace due to an inability to source enough coking coal.

My sources in Whyalla tell me the shortage is due to the fact that steelworks owner, Sanjeev Gupta, hasn't the funds to pay for the coal in advance. Worse, I am told, Golding contractors is owed more than $70 million, while Veolia, the waste company, is owed around $11 million, and KordaMentha has been in town this week meeting with Golding management to assist them to manage their way through their financial crisis.

There are also reports that workers have been forced to bring their own toilet paper to work and toilets and other common areas aren't being cleaned, as cleaning services have been axed. I am further told a planned meeting tonight among private suppliers to the steelworks—called to discuss the extent of moneys owed—has been called off after the organiser received a threatening call from someone advising him to cancel it. Where there is smoke there is always fire. My questions to the minister are:

1. Is the government in urgent crisis talks with the steelworks or any of its subsidiaries and if not, why not, given the abovementioned information?

2. When was the last time the government met with the company to seek reassurances about its finances and its future, given that the government's Steel Task Force still hasn't been able to provide my office with any minutes or record of any meetings it has had?

3. Is the government in talks with the federal government about financial packages to take an equity share in the steelworks, given its critical role in protecting the country's ability to make its own steel?

The Hon. C.M. SCRIVEN (Minister for Primary Industries and Regional Development, Minister for Forest Industries) (14:58): I will pass that question on to my colleague in the other place, the Minister for Mining, and bring back a response. While I am on my feet, I would like to take the opportunity to respond to the same member's earlier question in regard to tomato brown rugose fruit virus and whether testing kits have run out. I have been advised by my department that that is not the case.

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