❓ A WA parliamentary question addresses Dampier Salt's production reduction at Lake MacLeod, job losses, and historical government support. The Minister acknowledges the situation, citing market factors and cost efficiency as drivers for the company's decisions.
AnsweredQoN 1101Legislative Council
QuestionView source ↗
DAMPIER SALT LTD, LAKE Mac LEOD SALT OPERATION
(1) Is the minister aware that Dampier Salt Ltd is planning to reduce production at its Lake MacLeod salt operation from 1.5 million tonnes to 0.9 million tonnes per annum with an immediate reduction in staff of 25, with another 25 staff to go in 12 months? (2) Is the minister also aware that in the late 1980s the State Government built the power supply for the salt operations at Lake MacLeod and gave the company subsidised power? (3) Does the minister not agree, therefore, that Dampier Salt should attempt to increase rather than decrease annual production? (4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS
(1) Is the minister aware that Dampier Salt Ltd is planning to reduce production at its Lake MacLeod salt operation from 1.5 million tonnes to 0.9 million tonnes per annum with an immediate reduction in staff of 25, with another 25 staff to go in 12 months? (2) Is the minister also aware that in the late 1980s the State Government built the power supply for the salt operations at Lake MacLeod and gave the company subsidised power? (3) Does the minister not agree, therefore, that Dampier Salt should attempt to increase rather than decrease annual production? (4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS
AnswerView source ↗
I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(2) Is the minister also aware that in the late 1980s the State Government built the power supply for the salt operations at Lake MacLeod and gave the company subsidised power? (3) Does the minister not agree, therefore, that Dampier Salt should attempt to increase rather than decrease annual production? (4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(3) Does the minister not agree, therefore, that Dampier Salt should attempt to increase rather than decrease annual production? (4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(2) Is the minister also aware that in the late 1980s the State Government built the power supply for the salt operations at Lake MacLeod and gave the company subsidised power? (3) Does the minister not agree, therefore, that Dampier Salt should attempt to increase rather than decrease annual production? (4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(3) Does the minister not agree, therefore, that Dampier Salt should attempt to increase rather than decrease annual production? (4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(4) Has the minister had discussions with Dampier Salt regarding this reduction in production and the cut to the workforce at Lake MacLeod? (5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(5) If not, will the minister consider voicing to the company the concerns of the Carnarvon community about these issues? Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
Hon KEN TRAVERS replied: I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
I thank the member for some notice of this question. (1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(1) Following discussions with Dampier Salt Ltd, the Department of Mineral and Petroleum Resources advised the minister of a reduction of 25 persons in the workforce at the Lake MacLeod operations through voluntary redundancies. This is a result of a softening in salt markets worldwide due to a number of factors and take-up of market share by the Onslow Salt Pty Ltd project that was commissioned last year. Dampier Salt has advised that it has no plans at this stage for any further workforce reduction at Lake MacLeod. (2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(2) In the late 1980s the State Government and Dampier Salt shared the costs of a power transmission line from Carnarvon to the salt works. Dampier Salt supplied approximately 73 per cent of the capital and continues to provide 73 per cent of the ongoing annual maintenance cost. Dampier Salt Ltd recently reached agreement with Western Power to pay the same rates as other commercial customers in the region. Despite the company’s major contribution to the line construction and maintenance costs, it previously paid significantly above that rate. (3) Dampier Salt’s output is determined by the world market for salt and the cost of production. The company has three production sites - Port Hedland, Lake MacLeod and Dampier - which it operates in the most efficient manner to supply its customers. Logically, Dampier would increase production from its most cost-efficient operation if it had a viable market for additional product. (4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
(4)-(5) The minister is aware that the Carnarvon community is likely to be concerned at reduced output and employment at Lake MacLeod. However, the company operates in the world market and its ability to maintain production and employment is dependent upon its ability to obtain orders.
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