Mt Larcom’s hopes ride with $1.3 billion steel project
By John Mikkelsen
Mt Larcom’s hopes for future growth in the face of a State Government development freeze could rest with the $1.3 billion plans by Boulder Steel to build a major steel mill not far from the town.
And that’s just for stage one, with a further stage two development at the same site in the controversial Aldoga Industrial Estate, estimated to cost $2.5 billion.
Normally the townspeople would be elated with latest news from the company confirming its plans for the Gladstone Steel Plant are still on track. But because of the growth freeze originally imposed by the former Labor administration, they still don’t know if this will prevent delivery of infrastructure gifts totalling more than $30 million the company is offering.
Mt Larcom Progress Association secretary Mr Peter Neilsen received email confirmation about a month ago from the steel plant project manager Mr Ross Johnson, confirming plans for the plant were progressing well.
“We are meeting regularly in China with several interested partners, both of whom would be very beneficial to the project. One of these parties has expressed a desire to move forward to detailed due diligence and we are providing them with large amounts of detailed information,” Mr Johnson said.
“The EIS is progressing and we are planning to lodge the preliminary EIS in late September and the final EIS in late November,” he said.
This sounds like just the boost Mt Larcom needs to lift dwindling school enrolments , housing and business viability, but still the spectre of the growth freeze remains, as reported exclusively by the Queensland Telegraph in recent editions.
As strange as it sounds, Mr Neilsen is by no means certain things such as an improved water supply, sewerage system and public buildings will be approved by Gladstone Regional Council or the LNP Government because of the growth freeze.
This was enforced about four years ago when the then Labor government and former Gladstone Economic and Industry Board expanded the Aldoga precinct of the Gladstone State Development Area (GSDA) from 8000 hectares to 22,000 hectares while still allowing for the same total of just 10 industries.
It was thought the restriction might be lifted by the new LNP Government but a recent letter from the office of Deputy Premier Jeff Seeney confirmed it would continue. This stated the Department of State Development and Infrastructure Planning would continue to oppose any further expansion of the Mt Larcom township, “to ensure that the ability to facilitate and manage potential impacts of future industrial development within the GSDA is not compromised.”
Mr Neilsen says the difference with Boulder Steel’s Gladstone Steel Plant Project and others such as the LNG industry is that “they want to put something genuine into the community.
“They are prepared to leave a legacy to Mt Larcom of up to $33 million but we do not know if council will accept their gifts,” he said.
The company intended to construct its main building for an accommodation village housing 800 workers on Show Society land at the back of the show grounds, while leaving a small number of the accommodation units on Show Society land. These would be handed over as a gift to provide future accommodation for people coming to judge at the annual Mt Larcom show and other events throughout the year.
“They want to build a gymnasium beside the town's swimming pool and leave it for the community when they leave.”
Mr Neilsen said the company also intended to build a sewerage treatment plant and also leave it for the town.
“But I think that as long as things are as they are, the council will probably not accept that.
“They are prepared to upgrade the water to the town because they will need to have water supply to the camp. Council may accept the upgrade but it is doubtful if they will take advantage of the gift because they cannot allow residential development under the present freeze,” Mr Neilsen said.
The company was also adamant it would prefer to employ people from Mt Larcom for operating the plant because one of the access roads would be via The Narrows Road and they would be able to get to work without travelling on the Mt Larcom -Gladstone Rd.
“They also intend to construct the unmade "Ring Road" from The Narrows Road across to the Mt Larcom - Gladstone Road down towards Yarwun, which would give a bitumen sealed alternative road from Mt Larcom to Gladstone.
“Then there is the new power station to be built on the southern end of the steel plant where they already have the sub-station built.
“To run the power house, they are going to capture and scrub the emissions from the steel works.
“All in all it will have a lot of benefits that we will never get from LNG but of course it isn’t there yet so we only hope that it does actually fire up,” Mr Neilsen said.
In an address in State Parliament last week, Member for Gladstone Liz Cunningham said Mt Larcom people “needed more than words”. She said when the Aldoga estate was originally gazetted at 7000 hectares many years ago, it was stated that all impacts from the 10 allowed industries including air-borne and water-borne odours, would be contained within that area.
“Aldoga industrial estate is now close to 30,000 hectares. Mount Larcom is still being constrained from having development in its township because the GEIDB initially objected to development … because it may impact on the industrial estate,” Mrs Cunningham said.
“Now this new government still has not given Mount Larcom any confidence that will change, and they will not build their services unless they can get more people to improve water supply to improve government services—in particular, Federal Government services but State Government services as well. People need more than words,” Mrs Cunningham said.
Gladstone Regional Council at its last meeting decided to seek clarification of the “freeze” issue in consultation with Mrs Cunningham.
