Development is digging, building, buying

By ERWIN CHLANDA

Ministers from the three states in the top end of Australia are singing from the same song sheet at the Developing Northern Australia Conference in Alice Springs: Strong primary industries, mostly mining and growing food, make for strong states which in turn make for a strong nation.

“A strong north delivers a secure Australia,” NT Treasurer Bill Yan said in his speech.

Art, science and social issues don't get much of a look-in under the heading of development.

Ironically, coinciding with the conference, the High Court yesterday disallowed the NT Government’s gift of a massive amount of water for 30 years to Fortune Agribusiness Funds Management Pty Ltd.

It is a Melbourne-based company that has been widely described as Chinese-backed because of its ownership and investment links. It is planning a horticultural project at Singleton station, north of Alice Springs.

Environmentalists had fought the water grant tooth and nail. The court found the government had failed to adequately consult with traditional owners.

Mr Yan (pictured) said employment rates in the Territory are leading the nation, crime is the lowest since 2017, “our visitor economy is thriving” – the best tourism growth in the country, and population growth has reached its highest level in decades.

“The nation faces its most complex environment since the second world war,” said Treasurer Yan.

The government wants to repurpose Rio Tinto’s existing fuel storage at Gove as cornerstone of Australia’s new fuel security reserve.

Beetaloo gas is expected to flow within weeks, Mr Yan said, from one of the largest deposits in the world. It has the potential of generating $17 billion worth of economic activity, and provide gas “for generations”.

Construction of the Nolans rare earths mine 130 km north of Alice Springs will “soon commence” and there are other rare earths deposits – lithium, manganese, graphite, copper and fluoride.

The Territory has always been Australia’s frontier, Mr Yan said.

“Now we’re talking about the Territory becoming Australia’s strategic centre. Defence already contributes about 10% of our gross state product.

“The same story is now emerging in the digital economy. Darwin is establishing itself as Australia’s northern digital gateway to Asia” becoming a major digital hub with reliable gas providing electricity, supplemented by renewable energy for “hyper scale data centres”.

Mr Yan later participated in a panel discussion in which NT MHR Luke Gosling claimed institutional racism remains common for Aboriginal people and enterprises seeking participation in commerce.

Mr Yan rejected this, based on his experience in his electorate in The Centre. He claimed Aboriginal individuals and business frequently initiated collaboration. The Federal Government recently announced changes to the Indigenous Procurement Policy.

We spoke with Mr Yan about the American Newmont Corporation, the world's largest gold mining company and its operation west of Yuendumu.

As it is operating on Aboriginal land it is obliged under the Land Rights Act to pay royalties to the Aboriginals Benefit Account for distribution to Aboriginal interests, understood to be 10% of the value produced.

The Federal Government recently announced changes to the Indigenous Procurement Policy.

We spoke exclusively with Mr Yan.

NEWS: How many Aboriginal people are working at Newmont?

YAN: I know Newmont have an Aboriginal employment strategy but how many people they employ I don't know.

NEWS: What about the Jervois copper project in the Aileron province?

YAN: KGL Resources are starting construction next month, I believe. I know they have been in contact with traditional owners. They are talking about business opportunities. The community are doing work at the camp, security type work, catering, cleaning, camp maintenance type stuff.

NEWS: What firm arrangements are in place?

YAN: They had final investment decision six or eight weeks ago. They start construction in September or so. [Negotiations are under way.]

NEWS: Which Aboriginal companies are in place that could apply for work?

YAN: That's not specifically my bailiwick. Arafura [the Nolans rare earths company] are talking to people around TiTree and Aileron.

NEWS: Which Indigenous companies in Central Australia are equipped to take on this kind of work?

YAN: Ross Engineering and Hardy Fencing are Aboriginal businesses. They are doing work with Nolans Rare Earths.

NEWS: What can the NT Government do to encourage companies to engage Indigenous suppliers?

YAN: We tell them when you do stuff in the Territory you need to partner up with the Aboriginal organisations in your area. We want to see economic benefits flow to those groups.

NEWS: Is there any "or else"?

YAN: There isn't any "or else" at the moment. I hate to ever get to a position of "you are going to do that or else".

NEWS: Why?

YAN: Most of the businesses or companies know it's the right thing to do. They understand there has to be an economic benefit to the communities where they work. They re very proactive with what they do. We have't had to strong arm anybody with the fuel guys [during the recent shortages]. The same goes with the developments.

NEWS: As there are no sticks, are there carrots?

YAN: I don't now if there are carrots as yet. They're already doing the right thing. That's the morals of business.