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New nickel refinery owners ordered to ensure continued environmental protection

Saturday, 12 Mar 2016 12:49:57

Queensland Nickel's 550 remaining workers have yet to be told whether they still have jobs. (AAP: Andrew Rankin)

Enforcements orders have been served on the new owners of Clive Palmer's Queensland nickel refinery to ensure continued protection of the local environment.

Key points:

  • Government orders new Queensland Nickel owners to manage and operate plant appropriately
  • EHP officers are "currently satisfied that the company is maintaining essential environmental controls"
  • Curtis Pitt want certainty for the refinery's 550 workers following what could have been their last day on Friday

Environment Minister Steven Miles said action was taken after the Palmer-owned company, Queensland Nickel Sales (QNS), failed to demonstrate to the Department of Environment and Heritage Protection (EHP), that it had adequate resources – including staff – to operate the facility in a way that complied with its environmental authority.

QNS took over as manager of the Yabulu refinery on Monday, after former manager Queensland Nickel, another of Mr Palmer's businesses, went into voluntary administration.

Dr Miles said one priority was ensuring the refinery's tailings dams and pumping equipment were appropriately managed.

He said EHP officers had inspected the refinery and the department was "currently satisfied that the company is maintaining essential environmental controls."

"EHP officers have had conversations with the company, and they are aware of the requirements."

The orders came on the same day the refinery's Environmental Authority (EA) was transferred to QNS on Friday, which would allow the operation to run and its 550 workers to keep their jobs.

However, neither QNS or Mr Palmer were yet to tell workers their jobs were safe.

Dr Miles also said the orders were an instruction to manage and operate the plant appropriately – not an instruction to stop work.

"The environmental protection orders require actions to be taken to comply with the conditions of the EA and to ensure essential environmental management systems on site continue to be operated," he said.

"The orders do not stop or prevent the operation of the refinery. To the contrary, the orders demand that appropriate actions be taken to comply with the EA and that essential environmental management infrastructure continues to be operated."

'We need to get this situation resolved'

Speaking in Cairns, Treasurer Curtis Pitt said his concern remained for the workers and ensuring their entitlements were guaranteed.

"He [Mr Palmer] made many promises about having the certainty for the workforce and ensuring they'll all be reemployed ... sadly we've seen some issues in the environmental licence space as well of course in terms of how the plant has been operating on a safety front," he said.

"Mr Palmer needed to get all those things lined up if he was indeed trying to change the company's direction under a new company structure.

"We do have, of course, the issue of creditors who are still not certain about what's going to happen with their outstanding debts."

Mr Pitt said the next move was Mr Palmer's to make.

"This week has been a week of uncertainly for the work force, which has been completely unfair," he said.

"It's been an uncertain week for creditors, and when it comes down to it, it's been a terrible exercise under the stewardship of Mr Palmer - we need to get this situation resolved and people need some certainty.

"I think that's the only fair thing and rests with Mr Palmer and what his next move is."

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