Mr Speaker, I would like update the House on actions the Liberal National Government is taking to address issues left unresolved by the Labor Government in Esperance and at the Port of Esperance.
Removal of Stranded Lead
The Government has facilitated a Plan to remove the 9,000 tonnes of lead carbonate stranded at the Esperance Port. The lead will be removed subject to stringent conditions to ensure there is no further harm to the environment or workers during the removal process.
The Plan requires the bagging of the lead carbonate under controlled conditions and placing the cleaned and sealed bags into sea containers.
The filled sea containers will then be shipped from Esperance port.
The bagging operation is likely to begin early in the new year and the first of three shipments of containers will begin about one month after bagging commences.
It is anticipated that the lead at the Port will be totally removed by the end of March 2009.
Installation of Reverse Osmosis Filters.
The Government has now arranged for the installation of reverse osmosis filters in the homes of those young children who had elevated blood lead levels and identified by the community group, Parents of Esperance Active for Child Health.
This issue was raised with me when I visited Esperance on 10 November together with the Minister for Transport and local members. Eleven such families have been identified, contact has been made with these families and the filters are currently being installed.
Clean up of the Esperance Townsite
Further to my commitment to the Esperance community on 10 November, a draft Plan for Cleanup of the Esperance townsite has been developed. A Steering Committee, including members from the Esperance Community and the Shire of Esperance, has been established to oversee the cleanup operation. This Steering Committee will be convened in Esperance next week.
A Project Manager for the cleanup operation has been identified. He will reside in Esperance during the cleanup operation which will begin early in the New Year.
The cleanup will be preceded by testing to determine the extent of contamination and followed by validation of the cleaning process.
The actual costs of comprehensively cleaning the contamination from each home could be as high as $10,000. The total cost of cleaning homes and other premises could be as high as $20m.
Nickel Exports through the Port of Esperance
On 24 September 2008 the Board of the Esperance Port Authority resolved that it would not accept bulk nickel concentrate from 1 January 2009 and would require all exports to be in bags or containers.
This decision was driven by the Board's concerns about the cost of upgrading port infrastructure to handle bulk exports as identified by the Office of Development Approvals Coordination (ODAC) Technical Steering Group Workshop on 3 September 2008.
This decision was made without reference to the incoming Liberal National Government and if allowed to stand would jeopardise the sustainability of WA's nickel industry.
Western Australia produces almost 13 per cent of the world's nickel. The export value increased from A$3.5 billion in 2005-06 to A$8.4 billion in 2006-07, third in order of sales value in Western Australia behind petroleum and iron ore. The nickel sulphide concentrate industry directly employs over 15,000 Western Australians.
We need to get the right balance between the interests of the Esperance community and the commercial international viability of Western Australian industry, but in doing so we need to ensure that the public health and environment of the Esperance community is not compromised.
The infrastructure used for nickel exports was built in 1967 and needs to be upgraded to reduce nickel dust emissions.
As industry advised the previous Minister in August 2007, the Port of Esperance needs a "world-class bulk sealed system for the export of nickel sulphide concentrate".
That did not happen and this Government is now engaged with the Port Authority and nickel producers on the details of a new facility. The timeframe to complete this work is estimated at 24 months.
The upgrade will involve short-term measures to install a containerized in-loading and tippler system, repair existing storage facilities, upgrade emission extraction systems and enclose existing conveyors. Longer term measures will involve construction of a new purpose built system.
The Chair of the Board of the Esperance Port Authority has written to the Minister for Transport requesting a Ministerial Direction to continue to receive and load bulk nickel sulphide concentrate at the Esperance Port. The Minister for Transport has given that Direction which will provide certainty to the Board and a measure of statutory protection against liability. I table a copy of the Direction.
I also table a letter from the Chamber of Minerals and Energy to the former Minister dated 14 August 2007 and a Summary Report of a meeting of the ODAC Technical Steering Group held on 3 September 2008.
