Lockyer MP Ian Rickuss.
Lockyer MP Ian Rickuss. Inga Williams

MP says Stanwell 'ripping off Queenslanders'

POWER generator Stanwell is "ripping off Queenslanders”, Lockyer MP Ian Rickuss has told Queensland Parliament.

Late on Tuesday night the LNP MP said in 2014 Stanwell had given a fly ash contract to Coal Reuse who have since filed for bankruptcy.

Mr Rickuss said the Stanwell executives had not done their "proper probity checks” on Coal Reuse which "never should have been given the contract”.

"This is a government corporation that should be held to a higher standard than the average punters,” he said.

But Stanwell has defended their tendering process and said they received assurances of Coal Reuse's finances.

"Stanwell undertook a comprehensive evaluation process prior to entering into the contract to Coal Reuse; this included securing a letter from Coal Reuse's accountants confirming that it was capable of achieving the investment required to fulfil its proposed contract with Stanwell,” a spokeswoman said.

"Under the terms of the contract between Stanwell and Coal Reuse, Stanwell sold ash products to Coal Reuse which then on-sold those ash products to other businesses. Properly administered over its term, the contract could have generated solid profits for Coal Reuse.”

A liquidator's report found Coal Reuse has "insufficient initial capital and equity investment to meet start-up and preliminary trading expenses of the contract with Stanwell”.

Liquidator David James Hambleton said he believed Coal Reuse was insolvent from 30 June 2015 and warned he would report alleged misconduct on behalf of the company's' director with the Australian Securities and Investments Commission.

Mr Rickuss told the parliament he did not believe Stanwell properly vetted Coal Reuse before giving them the contract.

"They have ripped off punters from all over Nanango. Even a bloke from Tamborine has been ripped off for $27,000, I think it was. That is atrocious. And then we pay them bonuses!

"Those blokes are on half a million dollars a year, but they cannot do proper probity checks. What is going on? It is a debacle.

"These companies have to be held to account, rather than the poor old punters, the taxpayers and the poor old hardworking subcontractors who have tried to supply a decent service to a company that should never have been given the contract.”


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