The Tasmanian Government is to decide this Monday (30 June 2008) on whether to extend the 'sovereign risk' deal with Gunns. Tell Cabinet why you want them to terminate the special compensation deal for Gunns.
In January 2008 Gunns, Forestry Tasmania and the Tasmania Government signed a 'Sovereign Risk' agreement that would see Gunns receive compensation of $15 million of taxpayers' money if any future government protected Tasmanian forests instead of sending them to be pulped in Gunns' mill. Under certain circumstances, including not starting pulp mill construction by the 30th of June 2008, the Government may terminate the agreement.
As Gunns is struggling to finance the pulp mill, they need to delay construction beyond June 30th. Gunns has requested that the Tasmanian Government extend the construction deadline by five months.
Tasmania's new Premier, David Bartlett should notify Gunns on 1 July 2008 that the sovereign risk deal is cancelled because:
- New opportunities are emerging for Tasmania to benefit from protecting native forests and the carbon they store. Extending the compensation deal will be a financial blockage that will make it hard for Tasmania to take advantage of future opportunities when carbon trading is introduced.
- Gunns has proposed building a native forest-dependent pulp mill despite massive community opposition to current clearfell methods in Tasmania.
- The risks associated with long-term dependence on unpopular practices should be borne by Gunns, not the Tasmania public. Enough public money has already flowed to Gunns, their pulp mill project and forestry operations.
- Through direct government handouts, government funded public relations and project assistance and ongoing subsidy via the MIS tax break system, many millions of taxpayer dollars have already been given to Gunns. Tasmania's health, education and disability services are all sectors suffering from chronic under funding. $15 million dollars to compensate Gunns would be better spent improving these services for future generations.
Write or call Premier David Bartlett and encourage him to terminate the sovereign risk deal.
Phone: (03) 6233 2530 Email: david.bartlett@parliament.tas.gov.au
To ensure other Ministers hear your voice also send a carbon copy (CC) to:
Deputy Premier and Minister for Health Lara Giddings lara.giddings@parliament.tas.gov.au
Minister for Economic Development Paula Wriedt paula.wriedt@parliament.tas.gov.au
Minister for the Environment Michelle O'Byrne michelle.o'byrne@parliament.tas.gov.au
Talkback radio A great way of ensuring the government hears your opinion is to write a letter to the editor or call talkback radio: ABC Mornings talkback with Tim Cox - 1300 222936
Letters to the Editor:
- The Examiner editor@examiner.com.au
- The Mercury mercedletter@dbl.newsltd.com.au
- The Advocate letters@theadvocate.com.au
