❓ Mrs. Harvey questions the Premier's statement regarding the Kwinana Oil Refinery closure and the use of domestically produced condensate. The Premier expresses disappointment and explains the factors leading to the closure, including economic pressures and COVID-19 impacts.
AnsweredQoN 852Legislative Assembly
QuestionView source ↗
KWINANA OIL REFINERY —
CLOSURE
852. Mrs L.M. HARVEY to the Premier:
I have a supplementary question.
When the Premier said yesterday that all the fuel BP deals with is imported,
can he confirm that absolutely no domestically produced condensate is refined
at BP's refinery, or was he misleading the house?
CLOSURE
852. Mrs L.M. HARVEY to the Premier:
I have a supplementary question.
When the Premier said yesterday that all the fuel BP deals with is imported,
can he confirm that absolutely no domestically produced condensate is refined
at BP's refinery, or was he misleading the house?
AnswerView source ↗
To be clear, the overwhelming bulk
of the oil that goes through BP's oil refinery is imported from
elsewhere. That is a fact—the vast majority of oil. We are as
disappointed as anybody. In fact, I would probably be far more disappointed
than anyone as the refinery is in proximity to my electorate. The Deputy
Premier and I live in close proximity to the
oil refinery. I know a bunch of people who have worked there or who do work
there. These decisions are made in boardrooms in London. I have
expressed my grave disappointment to BP—in fact, my anger and hostility—about what it was doing, but we
have investigated what we can do. If the commonwealth can do something to assist here, that would be a good outcome. I am advised that it owns the
land. It is the commonwealth's refinery; it built it. It claims that it
is suffering losses of $100 million to $200 million a year through the
refinery. Obviously, refining of oil has expanded in capacity in the region
over the last couple of decades. In addition, demand has gone down. COVID-19
has sent demand through the floor. As members know, the price of oil and oil
refined products have gone down.
Several members interjected.
The SPEAKER : Members.
Mr M. McGOWAN : The aviation
industry has suffered. All those things within this environment have combined
to arrive at this outcome, which was not anything of the state government's
making—indeed, it was not of the commonwealth
government's making. We have done everything we can to try to keep the
refinery open for as long as we can. If there is any opportunity for the
commonwealth to assist—again, it has been raised with the federal
minister—we would welcome that assistance.
of the oil that goes through BP's oil refinery is imported from
elsewhere. That is a fact—the vast majority of oil. We are as
disappointed as anybody. In fact, I would probably be far more disappointed
than anyone as the refinery is in proximity to my electorate. The Deputy
Premier and I live in close proximity to the
oil refinery. I know a bunch of people who have worked there or who do work
there. These decisions are made in boardrooms in London. I have
expressed my grave disappointment to BP—in fact, my anger and hostility—about what it was doing, but we
have investigated what we can do. If the commonwealth can do something to assist here, that would be a good outcome. I am advised that it owns the
land. It is the commonwealth's refinery; it built it. It claims that it
is suffering losses of $100 million to $200 million a year through the
refinery. Obviously, refining of oil has expanded in capacity in the region
over the last couple of decades. In addition, demand has gone down. COVID-19
has sent demand through the floor. As members know, the price of oil and oil
refined products have gone down.
Several members interjected.
The SPEAKER : Members.
Mr M. McGOWAN : The aviation
industry has suffered. All those things within this environment have combined
to arrive at this outcome, which was not anything of the state government's
making—indeed, it was not of the commonwealth
government's making. We have done everything we can to try to keep the
refinery open for as long as we can. If there is any opportunity for the
commonwealth to assist—again, it has been raised with the federal
minister—we would welcome that assistance.
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