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Phillip Thompson calls on Acting Townsville Mayor Paul Jacob for explanation on Haughton Pipeline Stage 2 costings

Herbert MP Phillip Thompson is calling on the Acting Mayor to reveal how much more ratepayers will be slugged with as another blowout on the Haughton Pipeline project is expected.

Pipes are being laid for the 28km second stage of the Haughton Pipeline project. Picture: Supplied.
Pipes are being laid for the 28km second stage of the Haughton Pipeline project. Picture: Supplied.

Acting Mayor Paul Jacob has been issued a ‘please explain’ on a Haughton Pipeline Stage 2 cost blow out.

Federal MP Phillip Thompson has written to Acting Mayor, saying the community deserves an explanation as to why the project could now cost even more.

Earlier this month it was revealed the project required “further investment” according to Mayor Troy Thompson.

However, Townsville City Council said it couldn’t provide an exact breakdown of the cost overrun, or where the additional funding was coming from.

Townsville City Council Acting Mayor Paul Jacob at the Northern Rail Yards in Flinders Street. Picture: Evan Morgan
Townsville City Council Acting Mayor Paul Jacob at the Northern Rail Yards in Flinders Street. Picture: Evan Morgan

“As with all projects in the current climate, we have seen some potential increases in costs as we move toward completion of the project,” a council spokeswoman said.

“As with all projects in the current climate, we have seen some potential increases in costs as we move toward completion of the project.”

Herbert MP Phillip Thompson.
Herbert MP Phillip Thompson.

Stage two of the project has been a political football since it was announced, with the $195m originally promised for the project funded through the federal government.

However, after the state and federal governments came to blows over GST allocations, the Queensland government made the call to fund the Haughton Pipeline State 2 on its own.

In his letter to Mr Jacob, the Herbert MP Mr Thompson called on the Acting Mayor to “assure our community” the project would not cost any more money.

In October 2021, the council revealed the project would cost significantly more than originally planned.

The budget for the project was increased to $274m, with ratepayers expected to foot the bill for the difference.

The project has been hit with supply chain issues, contractor availability issues and more since it began.

“I have been receiving many calls and messages from residents who are extremely concerned that a project which was fully funded, then delayed due to politicking, is now set to cost residents almost double with the latest increase coming during a cost of living crisis,” Mr Thompson wrote.

The MP asked for updated costs and expected completion time frame to “keep the community informed”.

caitlan.charles@news.com.au

Originally published as Phillip Thompson calls on Acting Townsville Mayor Paul Jacob for explanation on Haughton Pipeline Stage 2 costings

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Original URL: https://www.adelaidenow.com.au/news/townsville/phillip-thompson-calls-on-acting-townsville-mayor-paul-jacob-for-explanation-on-haughton-pipeline-stage-2-costings/news-story/c5930d6791a059bb456f7020c1ea8c35