Port Waratah Coal Services has offered to pay a $12 million developer levy to offset the impacts of the proposed T4 coal loader on Kooragang Island.
Newcastle Herald revealed the company would make a $2.03 million payment up front to the Newcastle Council on commencement of construction, followed by $400,000 per year for 25 years.
Under local council regulations, the PWCS would have been required to pay a $48 million levy under Section 4a contributions, however as a state-significant development this requirement has not been applied by the NSW Planning Department, which originally recommended the company pay $528,140.
Newcastle Council is expected to debate the offer next Tuesday.
Greens councillor Michael Osbourne welcomed the new offer, but said it “doesn’t go far enough”.
“There’s still no rhyme or reason to it and it’s still selling Newcastle short,” he said.
Newcastle lord mayor Nuatali Nelmes said the offer was a major step forward in the negotiating process
“I appreciate Port Waratah being very pro-active and acknowledge that the offer is vastly improved”, she said.
Newcastle Council general manager Ken Gouldthorp said the council should accept the offer as mediation talks with PWCS has been exhausted.
PWCS chief executive Hennie Du Plooy said the offer was “over and above” what would be expected of any company.
Image: Newcastle Herald