The Opposition has today probed the Government to understand the true extent of the viability of the Whyalla Steelworks.
In a shocking admission by the Treasurer, GFG Alliance has been in arrears now for several weeks in paying royalties to the State Government.
This comes after concerns have been raised about GFG’s ability to pay its contractors. The Opposition understands the Whyalla Steelworks blast furnace is currently not operational.
The Opposition also asked whether the Government was aware of any further job losses in addition to the 150 jobs that have been cut by GFG, leaving the State’s Prosperity Project and the Town of Whyalla in jeopardy.
Leader of the Opposition, Hon. Vincent Tarzia, MP said his primary concern is to ensure the future of Whyalla is safeguarded.
“This Government revealed today it has known for several weeks that GFG Alliance has not been meeting its monthly royalty payments,” said Mr Tarzia.
“The Government must come clean on what it knows. Clearly, the people of South Australia deserve to know exactly how much is owed and what the Government is doing to make sure it is repaid, while making certain the steelworks survives.
“Basic questions remain unanswered.
“It’s also been reported that GFG is behind in payments to the native title group.
“We understand 150 people have already lost their jobs and we know charity organisations within the town are reporting many families are already experiencing hardship.
These revelations come during a week when Minister for Infrastructure and Transport, Energy and Mining the Hon. Tom Koutsantonis is not in Parliament.
“There is no greater issue facing South Australia at present, and Minister Koutsantonis is not even in the state,” said Mr Tarzia.
Shadow Minister for Energy and Net Zero, Stephen Patterson, MP said he was disappointed Minister Nick Champion, who is acting for Minister Koutsantonis, has yet to meet with GFG.
“Whyalla must be this Government’s top priority, not spending money on glossy campaigns to make it look good.
“We know that the Government has spent close to $1.5 million on advertising for their State Prosperity Project looking way off into the future, when they should have been focused on the present.
“The Government needs to explain what impact and delays the downturn at the Whyalla Steelworks will have on their State Prosperity Project.
“GFG Alliance has already admitted it has delayed the purchase of their electric arc furnace to 2027, which the State Prosperity Project is relying on, and the Premier has said that the future of the Whyalla Steelworks ‘does not exist in its current operation’.
