Jacqui Lambie Tasmania, Jacqui Lambie Network
2:30 pm
My question is for the Minister for Industry and Innovation and the Minister for Science, Minister Ayres. In February last year, I started raising concerns with government, federal and state, about the financial situation regarding the Gupta Family Group, known as GFG, and how their financial issues could and would ultimately flow down to Liberty's manganese smelter in Bell Bay. The responses I got were basically, 'We know,' 'We're watching this closely,' and, 'We can take action, as we've done with the green steel fund.' Then, in March, Ernst & Young was appointed as an administrator to find a buyer. Six months later, we hear it's being liquidated because there are no viable buyers. I've heard that a number of offers have been made. Minister, how many offers have been made or put forward, and why have you assessed them as non-viable?
Tim Ayres NSW, Australian Labor Party, Minister for Industry and Innovation
2:31 pm
Senator Lambie, thank you for that question. You're right that you, amongst many other Tasmanians, raised from the outset the set of issues that surrounded the Liberty Bell Bay facility and a range of the assets that were owned by Mr Gupta's organisation around Australia. It is the case that both of these things were happening, Senator. These issues have been raised, and I'm grateful for the local perspective that has been brought to this by the Tasmanian Labor senators and by you in the chamber here and directly with me. It's also the case that, obviously, from my department's perspective and from the Albanese government's perspective, we've been watching this set of developments very closely.
I can't tell you how disappointed and angry I am, and the government is, about what has happened in Northern Tasmania. This facility, in the early 2020s, was among the most efficient—in the top-half—manganese smelters in the world. For all the rhetoric that's run by some of the people opposite about the inefficiency of Australian manufacturing, this was an efficient manufacturing facility. It has been run into the ground by Mr Gupta and his negligence in running that facility. The people who own manufacturing facilities are really just the stewards—
Jacqui Lambie Tasmania, Jacqui Lambie Network
My point of order goes to relevance. I just want to know how many offers have been put forward and why they have been assessed as non-viable.
Sue Lines President
Thank you, Senator Lambie. There was quite a preamble to your question, which the minister is also entitled to answer. Please continue, Minister.
Tim Ayres NSW, Australian Labor Party, Minister for Industry and Innovation
I don't intend to skip the question directly. During the administration, during this period of liquidation, there are a number of proponents who seek to either run that facility or run alternative operations, and Tasmania and the Commonwealth are looking at those closely— (Time expired)
Jacqui Lambie Tasmania, Jacqui Lambie Network
2:33 pm
I still didn't get it. The manganese is critical for steelmaking in this country, especially for speciality hardened steels, and the risk to Australia of dependence on overseas supply chains is obvious every time we put fuel in our cars. What advice has your department provided in relation to the national significance and strategic importance of the manganese smelter and its role in the national industrial plan?
Tim Ayres NSW, Australian Labor Party, Minister for Industry and Innovation
2:34 pm
Thanks, Senator Lambie. It was of course a significant Australian industrial facility. It provided manganese, historically, for Whyalla and for the Port Kembla steel plants. It was also a significant input into US steel production. So it played an important role. It was run into the ground by its previous owner. The point I was trying to make as I was wrapping up is that a manufacturing facility needs care every day and every week, particularly a smelter. If that care isn't applied and the investment doesn't occur, it breaks down and it becomes more and more expensive to run. Between the Albanese government and the Rockliff government in Tasmania, we provided a $10 million package to extend that—
Jacqui Lambie Tasmania, Jacqui Lambie Network
I just want to know what advice his department has provided in relation to this.
Sue Lines President
The minister is being relevant. I'll listen carefully and, if he isn't being relevant, I'll draw him to the question.
Tim Ayres NSW, Australian Labor Party, Minister for Industry and Innovation
The advice was it's very significant and damage has been done because of the behaviour of the previous owner. We provided a $10 million package to extend the administration and pay workers' wages, and an offer on the table— (Time expired)
Jacqui Lambie Tasmania, Jacqui Lambie Network
2:35 pm
Minister, I hear the administrator is now liquidating Liberty Bell Bay and has authorised Manheim Australia to start selling critical components and spare parts. This will ensure the facility can never be returned to operation. That's it dead and buried. If a viable offer is put forward, Minister, will you intervene so that it can be properly considered and we can avoid the loss of the onshore capability?
Tim Ayres NSW, Australian Labor Party, Minister for Industry and Innovation
2:36 pm
I'll come back to you directly with the dates that liquidation started and give you a timetable, Senator Lambie, but liquidation has been underway for some time. We have, I think, demonstrated as a government that, where we can deliver, we do. Right next door is Bell Bay Aluminium. A very significant joint intervention by the Albanese government and the Tasmanian government has delivered for 500 jobs there in Bell Bay and the George Town community and more than a thousand jobs in the region.
I was in George Town just a few weeks ago and met with workers from Liberty Bell Bay in the front bar of the Pier Hotel, as it happens. We talked about what has happened in that community and the hard work that that community is doing to try and recover its position. If there's anything the Albanese government can do here, we're watching it closely, and I think we've demonstrated in industrial facilities that we understand how important these are for the country and how important they are for industrial communities.