none

Incentive package to lure silica smelter investors

31-08-2010
by 
in 

The Tasmanian Labor Government has promised an incentive package for potential investors in a new silica smelter in that state.

For several years the Government has been trying to attract investment for a $500 million silica project.

The Premier, Lara Giddings, says Labor will provide $10 million for infrastructure, training and payroll tax relief, as well as a loan of up to $20 million to an investor, according to an ABC news report.

Ms Giddings says a silica smelter in industrial areas like Bell Bay or Railton makes sense.

"The Australian dollar is starting to drop which makes this more attractive to investors," she told the ABC.

"It's important that we have an attraction investment package out in the market to encourage those who in invest in these areas to look at Tasmania."

The Minerals Council has welcomed the incentive package, but says it will not be easy finding investors.

Spokesman Wayne Bould, who is also the managing director of Grange Resources, says the sweetener may help in what has been a difficult investment environment.

"Investors are difficult, in my view the investor looks more for surety," he said.

"Any gift is effectively valuable, however what they really look for is an understanding that they're likely to get their return in the time frame they believe."

The Liberals have ridiculed the move, saying it is an old policy.

"This was first announced four years. Where's Labor been in the last four years?"

"Where they've been is welded to the hip with the Tasmanian Greens and this investment's gone nowhere," Mr Rockliff said.

Greens leader Nick McKim says the proposal is another example of Labor's corporate welfare.

"Just like the pulp mill they've not no proponent and no idea," he said.

"We have this corporate welfare mentality where they are taking, on the one hand, taxes from Tasmanian businesses and then giving them out in corporate welfare to a company they can't even name and probably doesn't exist."

Related news & editorials

  1. 07.09.2018
    07.09.2018
    by      In
    Fifteen companies from Victoria and South Australia have been named as recipients of almost $19 million worth of grants under the second and final phase of the government’s Advanced Manufacturing Growth Fund.
    The $47.5 million fund was set up in the 2017-18 Budget as part of a $100 million package... Read More
  2. 03.09.2018
    03.09.2018
    by      In
    Australian manufacturing continued its inexorable march forward during August, with the Ai Group’s Australian PMI rising back into high growth territory at 56.7 – up from July’s 52.0, which had suggested that growth was slowing. The August figure marks the 23rd consecutive month of expansion.... Read More
  3. 01.08.2018
    01.08.2018
    by      In
    The sustained growth of Australian manufacturing industry slackened off in July with the Ai Group’s Australian PMI dropping to 52.0 – down from 57.4 9 in June and further down from its high point of 63.1 in March 2018.
    However, the sector continues to grow, albeit at a slower rate, and the July... Read More
  4. 11.07.2018
    11.07.2018
    by      In
    “The National Electricity Market is largely broken and needs to be reset,” said ACCC Chair Rod Sims in launching the final report of the Australian Competition & Consumer Commission’s Retail Electricity Pricing Inquiry.
    Sims went on to acknowledge that: “Previous approaches to policy,... Read More