The Mayors of Greater Hobart have joined forces to urge the Tasmanian Government to address concerns raised by the Federal Minister over the Macquarie Wharf redevelopment.
In a statement released on Thursday, the Mayors of Clarence, Glenorchy, Hobart and Kingborough called on Premier Jeremy Rockliff to “strike a deal as soon as possible” with the Federal Government to avoid a “disaster for Hobart and Tasmania”.
It comes after Federal Environment and Water Minister Tanya Plibersek accused TasPorts of “price-gouging” in negotiations over upgrades to the wharf, which she says is essential for Hobart to remain the home port of RSV Nuyina.
Plibersek said TasPorts was asking the Commonwealth for $515 million over 30 years for the redevelopment of Macquarie Wharf 6, which was “more than 14 times more” what the federal government currently pays.
“The Australian government cannot accept that these are reasonable commercial terms,” she said in a letter to Rockliff.
“As an agreement with TasPorts is not currently possible, I seek your intervention and ongoing support to ensure that we can finalise negotiations on long-term arrangements.”
The Mayors say they have been on the record for several years calling for wharf upgrades and say negotiations between TasPorts and the Australian Antarctic Division (AAD) have been moving at a “glacial speed”.
“This is a significant economic threat to Hobart and Tasmania and we urge the Premier to pick up the phone today and find a solution,” they said.
“It is critical that we work to maintain Greater Hobart as a world-class science and research city, ensuring it remains the focal point for international, national and private Antarctic and Science research organisations and institutes.”
Premier Jeremy Rockliff told state parliament on Thursday that his government would “always be standing up for Tasmania against those in Canberra that want to dud us time and time again”.
“We are working through these matters. Clearly the commitment that was made by the minister yesterday is to Hobart being the Antarctic base,” he said.
“We will get this job done, of course, by working … through this very sensibly.”
“TasPorts have, of course, made every opportunity to ensure that Tasmania gets a good deal when it comes to the negotiations between Canberra and the Antarctic [Division].”
TasPorts CEO Anthony Donald said the “simple commercial deal” contains costs that are “reflective of the detailed design works” required by the AAD.
“We are not simply talking about reparation of the wharf structure but a bespoke design that is very specific to their needs,” he said.
“They have invested in a new, larger state of the art vessel without planning for where it could be berthed.”
“We have been very clear about our concerns for the interim wharf asset, which cannot continue to safely provide an interim solution given it’s deteriorating condition.”
He said it was “misleading” to compare what the AAD pays today for a wharf that is “end of life”, to the costs of a “fit for purpose bespoke design with a dedicated facility”.
“They are two very different propositions,” he said.
