Power plant stoush could block $700m worth of SA public projects

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Title : Power plant stoush could block $700m worth of SA public projects
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Power plant stoush could block $700m worth of SA public projects

Diesel generator at the old Holden factory

The South Australian Government claims $700 million worth of water, transport and hospital infrastructure projects could be delayed because of a political stand-off over the cost of creating a state-owned power station.

The Liberal Opposition is seeking to use Parliament's Public Works Committee to force the Government to reveal the cost of buying nine turbine generators, which the Government intends to use to build a 276 megawatt back-up power plant.

The Government is refusing to outline the precise cost of the generators — which are currently installed under a lease agreement at Elizabeth and Lonsdale — citing the terms of its contract with the generators' owner APR Energy.

Liberal MPs David Pisoni and Peter Treloar staged a walk out of last week's Public Works Committee meeting after Labor committee members rejected the Liberals' push to bring the power plant project back before the committee.

Mr Pisoni, the shadow infrastructure minister, has flagged his intention to recall the power plant project when the committee meets again on Thursday.

"It's critical that I as a member of Parliament use the mechanisms available to me to force this Government to be open and transparent," he said.

"We know that they are hostile to transparency, and even more so in the lead up to [the March] election. The facts are that South Australians need to know."

But Infrastructure Minister Stephen Mullighan said another walk-out by Liberal committee members would mean more than a dozen government projects would not be approved.

"This is completely unacceptable. We've got a dozen projects worth $700 million together which will support hundreds of South Australian jobs, dozens of South Australian businesses," he said.

"The Liberal Party once again is showing they don't believe in investment in infrastructure in South Australia."

The concept plan of the $250 million upgrade to the Queen Elizabeth Hospital.

Mr Mullighan said the projects included the State 3 redevelopment of the Queen Elizabeth Hospital, the Northern Irrigation Scheme, Gawler Rail Electrification Project and a number of metropolitan intersection upgrades.

"These elected members are refusing to do their job, refusing to turn up to a parliamentary committee meeting and approve these projects."

Full cost to be revealed 'within weeks', Government says

Mr Pisoni said he was yet to decide whether to walk out of the next committee meeting — but said it was a legitimate method of forcing the Government to release costing details.

"If the Government thinks secrecy ... and a lack of transparency are much more important than building these projects — we will build them if there's a change of government come March."

Mr Mullighan branded the Opposition's move as a stunt, adding that details of the cost of the power plant had been provided to committee members on a confidential basis back in August.

"They know what the cost is. They know we're going to release these costs publicly. This is only a stunt by the Liberal Party so that they don't have to back investment in infrastructure around South Australia," he said.

proposed Gawler station upgrade

But Mr Pisoni said the figures given to the committee in August did not square with Premier Jay Weatherill's recent pronouncements that the cost of the generators would be met from within the budgeted cost of his Government's $550 million energy plan.

"That is not the information that we received in camera back in August. So this is why it's critical that this project be returned to the Public Works Committee," Mr Pisoni said.

Mr Mullighan said the full cost of the generators would be revealed in "a matter of weeks" once APR Energy had concluded tendering processes for a number of other projects interstate.

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