The backers of the James Point port at Kwinana have vowed to press ahead with their plans despite long running planning delays and legal disputes with the State Government.
The backers of the James Point port at Kwinana have vowed to press ahead with their plans despite long running planning delays and legal disputes with the State Government.
The latest twist in the James Point saga was last week’s sale of the business operations of Western Stevedores to Toll Holdings.
Western Stevedores, a company backed by Len Buckeridge’s BGC group, is a 45 per cent shareholder in James Point Pty Ltd.
Mr Buckeridge told WA Business News the sale of the stevedoring business was meant to remove concern that James Point was being set up as a non-union port although the State government has said the sale will make no difference to its assessment.
As well as Western Stevedores, other shareholders in James Point Pty Ltd include listed engineering group Worley and its chairman Hans Moonen.
Mr Moonen said all of the shareholders were committed to the port development and had the money and patience to work their way through the State Government’s environmental and planning processes.
The company signed a contract with the former Court government in 2000 to develop a private port.
The contract anticipated that the company would complete the first stage of the port development and be operational within two years.
However, the company is still trying to obtain environmental approval and consequently the Government has provided an extension to January, 2007.
The repeated delays have prompted James Point Pty Ltd to take legal action against Planning and Infrastructure Minister Alannah MacTiernan.
The legal action relates to James Point’s intention to acquire freehold title to a parcel of LandCorp land adjacent to the port site.
Mr Moonen said the land was drawn in the concept plan attached to the original agreement as part of the port limits. Upon signing the contract, James Point was advised that the LandCorp board had approved the sale of the land.
The two parties then proceeded with discussions on commercial terms for the sale.
“Subsequently, JPPL became aware that the new WA Government had shifted its philosophical view with regard to competition for port facilities,” Mr Moonen said.
“The Minister for Planning and Infrastructure has now formally declined to approve the sale of the land and JPPL has been forced to take legal action to determine whether it has a right to acquire the land.”
Mr Moonen also said James Point was “disappointed and frustrated” with LandCorp because it stepped back from agreements to sell James Point land earmarked for port development and further attempted to destabilise the development by refusing access to the land to carry out geotechnical investigation.
“It would appear that LandCorp in taking its position on this land is directly in conflict with the contractual obligation of the State to facilitate the contract with James Point.”
Ms MacTiernan insists the government is complying with the terms of James Point’s original contract and is simply following the normal steps for environmental and planning approvals.
“There had been no proper strategic planning for the port,” she said.
Ms MacTiernan said she did not approve the proposed sale of the LandCorp land because it may be needed to provide access to a new “offshore” harbour in Cockburn Sound proposed by the Fremantle Port Authority.
“We took legal advice to see if there was any obligation in the James Point agreement to sell that land and the answer was no.” she said.
