Treasury approves $6m loan to build dam to supply Tassal’s Okehampton fish farm

TASMANIA’S Treasury Department has approved a $6 million loan to the Glamorgan Spring Bay Council to build a dam that would supply Tassal’s controversial Okehampton fish farm.

TASMANIA’S Treasury Department has approved a $6 million loan to the Glamorgan Spring Bay Council to build a dam that would supply Tassal’s controversial Okehampton fish farm.

The council has proposed building a $4.5 million dam on private property at Buckland to be used by Tassal, the Solis golf course development and other smaller customers on a user-pays model.

An anti-fish farm sign on the highway into Orford.

The remaining $1.5 million would be used for the Solis ­development at Triabunna.

The announcement comes as TasWater are still to decide whether to use water from the scheme or not.

A TasWater spokesman said the organisation “reserved the right not to be involved” with the project.

Earlier this month the Mercury revealed a leaked briefing note from the water corporation, showed it had concerns the dam was not financially ­viable, and that it could impact long term water needs of Triabunna and Orford.

The document recommended TasWater not buy into the scheme.

MORE: WATER CORPORATION TO EXIT EAST COAST DAM BID

At the time Mayor Michael Kent said the project could go ahead regardless.

A leaked email from last December obtained by the Mercury shows the parties were looking to move ahead with the project with or without TasWater’s support.

Tassal, the council and the landowner have applied for a 1795 megalitre water licence from Tea Tree Rivulet.

RELATED: OKEHAMPTON BAY FISH FARM PROSPECT HAS LOCALS AT ODDS

During Tuesday’s council meeting general manager David Metcalf told the public gallery that there were four major customers involved in the dam proposal, but one customer had been unable to make a commitment.

He said the business plan would not go to council, councillors or the public until that customer had committed.

Originally published as Treasury approves $6m loan to build dam to supply Tassal’s Okehampton fish farm