Veolia to buy land at Gillman, with vision for solar farm and energy-from-waste facility under new five-year deal with State Government
A RENEWABLE energy facility will be built at Gillman, after waste company Veolia, which missed out on buying land at the site as part of an exclusive deal before the last state election, won a tender.
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A COMPANY which missed out on buying land at Gillman as part of an exclusive deal struck before the last state election has now won rights to develop the site after an open tender.
Urban Development and Housing Minister Stephen Mullighan on Thursday announced the Veolia Group has been chosen as the first successful tenderer to buy part of the 407ha area.
The deal results in a $5 million return to taxpayers, with the total price of $7 million for the first 20ha including a requirement for the State Government to deliver $2 million of infrastructure.
The Government says it will now enter detailed negotiations with Veolia over a possible purchase of 180ha, under a five year deal which could result in major development.
The company plans to build a new headquarters on the site, where about 500 employees across the state will be relocated, and accept household bin waste. It says the waste could later be used in a cutting-edge rubbish to energy power plant that would require the use of more land.
It’s the first sale of land at the controversial site, which has been plaguing the Government for years amid failed sales, Supreme Court inquiries and ICAC investigations.
In April last year, Deputy Premier John Rau announced a court settlement with Integrated Waste Services, a joint venture including Veolia, amid action over the earlier exclusive deal.
IWS agreed to discontinue legal proceeding in the High Court and take no further legal action.
Adelaide Capital partners, the winner of the exclusive deal, ACP has agreed to settle on 150ha of the land by November last year but ultimately failed to come up with the money.
Taxpayers also paid legal costs for ACP and IWS, of up to $2.2 million.
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