Tas economy will survive without mill: Premier
Posted
Government support for the mill proposal will stop in November. (ABC News)
Tasmania's Premier David Bartlett says the state's economy is robust enough to survive the potential loss of the proposed $2 billion dollar Tamar Valley pulp mill.
Gunns has told the Australian Stock Exchange that it does not know if the pulp mill will ever be built and it does not expect to secure finance before next year.
Mr Bartlett says all Government support for the pulp mill project will stop on November 30th.
However, he will not accept any blame for the biggest single investment in the state's history foundering.
"I don't think that anyone in Tasmania could place an accusation at the feet of this Government over recent years of not supporting the pulp mill and not doing enough to get this project over the line and I would not accept any of that blame," Mr Bartlett said.
The Tasmanian Greens are urging Mr Bartlett to tear up a 20-year deal to supply wood to the proposed mill.
The agreement says construction must start by November 30th, although Forestry Tasmania says it is open to renegotiating the date.
The Greens' Nick McKim says the wood supply agreement must be allowed to lapse.
"This is a moment in time for Tasmania's forests," Mr McKim said.
"We now have an opportunity to reassess how we use our forests and particularly to move forward and use our Tasmania's forests for the magnificent carbon stores they are and use them to help solve the crisis of climate change."
The Liberals say David Bartlett is no friend of the proposed mill and would dance in the streets if it failed.
Jeremy Rockliff says Mr Bartlett's threats to cut off support to the pulp mill have put the state's single biggest investment at risk.
"It is unfortunate that we have to create a business environment that does not look as though we are open for business due to a Premier who looks very lukewarm on a $2 billion project," Mr Rockliff said.
Mr Bartlett says the Government has done enough to support the project.
