MP Les Walker unaware of cost blowout concerns of Haughton Pipeline State 2

Mundingburra MP Les Walker claims he’s unaware of any pressing funding issues for the Haughton Pipeline, despite mounting speculation of a significant cost blowout.

Mundingburra MP Les Walker sought to clarify the significant investment the state government had put towards water security through two stages of the Haughton Pipeline. While questions have been raised through other politicians, Mr Walker denies knowing of cost blowouts. Picture: Alix Sweeney

Mundingburra MP Les Walker claims he’s unaware of any pressing funding issues for the Haughton Pipeline, despite mounting speculation of a significant cost blowout.

The mammoth pipeline project has required about half a billion dollars between two stages.

Mr Walker emphasised that such discussions about additional funding would have been known to the three local Labor MPs considering the state government has covered the bulk of the project’s $489m bill.

The Townsville City Council has also committed to $79m towards the project but recently acknowledged issues of “significant cost escalations”.

Mr Walker said he was unaware of such discussions, but that there were likely to be discussions between operational staff between government departments and the council.

“But at a higher level, if the Minister (Glenn Butcher) is made aware of any issues, all three of us would be briefed,” he said.

Glenn Butcher and Councillor Kurt Rehbein at Ross River Dam to inspect the Haughton Pipeline Stage 2. Picture: Supplied.

“We have not been made aware of any issues of that project moving forward.

“It’s never come to my attention of any extra funding that is required to complete that project at a state level,” Mr Walker said.

The major project aims to guarantee water security in the city and the surrounding region for the next 50 years, but the issue has become a political hot potato centred around the fact that Townsville ratepayers might be impacted by inflation and higher estimated costs.

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

The issue escalated in recent months as Mayor Troy Thompson, on leave as he faces investigation charges, claimed more investment would be needed with the project.

In the days leading up to the council’s annual budget release, Herbert MP Phillip Thompson urged for clarity on the impacts of the project.

Acting Mayor Paul Jacob said the council did face high inflationary costs within its council operations, but said the project would cost ratepayers $79m.

Premier Steven Miles in Townsville back when he was deputy to announce the successful tenderer for stage two of the Haughton Pipeline. He's pictured with Member for Townsville Scott Stewart, Member for Thuringowa Aaron Harper, Member for Mundingburra Les Walker and Townsville Mayor Jenny Hill. Picture: Natasha Emeck

He said the council would commit $45m in the 2024-25 financial year.

A council spokeswoman said there were discussions about the issue between the three levels of government.

According to Mr Walker, the LNP-led federal government under Scott Morrison initially promised funds for the first stage of the project, but after the 2019 election, there were “strings attached,” which complicated funding delivery for the Jenny Hill-led council.

“So they needed to move forward, the Annastacia Palaszczuk government stepped in and said you’ve got $195m guaranteed, order your pipes get your project underway and meet the community’s expectation,” he said.

Mr Walker conceded the first stage of the project would likely have cost more than $195m if it was constructed today, because of inflated construction and wage costs.

Originally published as MP Les Walker unaware of cost blowout concerns of Haughton Pipeline State 2