State Government blocks housing at vacant land next to Kilkenny Railway Station following concerns over impact on O-I Glass factory jobs

THE government is blocking a housing development on land which has sat vacant at Kilkenny for nearly a decade because of concerns it may threaten 600 jobs.

THE government is blocking a housing development on land which has sat vacant at Kilkenny for nearly a decade because of concerns it may threaten 600 jobs.

Planning Minister John Rau said any development on the former Bianco factory site next to Kilkenny Railway Station should only be considered in the “long term”, after the neighbouring O-I Glass factory, which employs 200 people on site, claimed housing next door could force it to close.

In a letter to Charles Sturt Council , Mr Rau said O-I indirectly supported another 400 full-time equivalent more jobs in SA, and its operations should not be risked.

“The O-I plant is an important employer and contributor to the state’s manufacturing infrastructure and consequently ... any future development adjacent to the plant ... must address the sensitivities associated with its ongoing operation,” he said.

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As reported by the Weekly Times Messenger, developer and site owner Peter Gregg had planned to build hundreds of houses in buildings up to four storeys and a supermarket on the 2.2ha Pinda St site.
However O-I Glass said the rezoning would force restrictions on its operating hours, noise levels and the volume of traffic at the plant.
An O-I spokesman has said the company would close down rather than pay a “$372 million relocation cost” if the development was to proceed.
O-I and Mr Gregg this week did not respond to inquiries by the Weekly Times Messenger.
Mr Rau would not expand on what he thought was an appropriate timeframe for any future development.
Brenton Culshaw, who lives on nearby Arkaba Rd, said he was disappointed Mr Rau had not decided to rezone the site after Charles Sturt Council asked for permission to investigate its potential uses, including for a housing development.
Mr Culshaw said he saw people trespassing onto the property almost daily, to hang out and vandalise old buildings.
“We understand and respect that O-I is a valued business but there is a community expectation the site has to be fixed up because it is an eyesore,” Mr Culshaw said.
“The site has become so derelict it would never become a viable employment base.”
Mayor Kirsten Alexander said she agreed any development at the site needed to compliment O-I and not endanger its viability.
“I understand the residents’ concerns because the site is an eyesore and something needs to be done to clean it up but it needs to be done hand-in-hand with O-I so they suffer no detrimental effect to their business,” Ms Alexander said.
Council staff have begun to organise a meeting between the Planning Department, O-I Glass representatives and the owner of the former Bianco site to discuss whether a compromise can be reached.

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