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Legislative Assembly for the ACT: 2000 Week 8 Hansard (29 August) . . Page.. 2543 ..


MR RUGENDYKE: And the Olympic stadium, Mr Osborne reminds me. But I digress, Mr Speaker. Another project that was originally planned to be completed in time for the Olympics was section 56 in Civic. The government has also nominated another interstate company-in fact, another Queensland company-Queensland Investment Corporation, as the preferred tenderer. This was announced approximately a year ago and was scheduled for finalisation in February. Why is the government still negotiating with QIC some six months after the deadline?

MS CARNELL: Mr Speaker, this is actually Mr Humphries' area. But he was talking when the question was being asked, so I will answer it.

Mr Humphries: Sorry, what was the question?

MS CARNELL: It is about section 56, and where it is up to. Mr Speaker, with regard to section 56, as Mr Rugendyke would know, we went to tender and looked for a whole range of different options for the area. That tender was won in a fair process on a level playing field by the Queensland Investment Corporation. It is true that it is a Queensland company. It just also happens, though, to have significant and important investments in Canberra.

The section 56 development has been negotiated since then, looking at the best possible way to go ahead. And remember, Mr Rugendyke, one of the requirements for QIC, Queensland Investment Corporation, is that they use, wherever possible, local trades people, local builders, local contractors. That is an absolutely essential part of the approach that we have taken with them. So we are very hopeful that we will quite quickly end up with an announcement.

One of the things we have not done is push this whole approach too quickly. I agree that sometimes that is very frustrating. But this is an extraordinarily important part of the Civic area, and it is important we get it right. It is important that the continuing discussions that have occurred between the Griffin Centre and others continue, so that, when we are ready to go and when we do have the finances and the plans right for the future, it will be appropriate for Canberra.

One of the good things, of course, is the economy and vacancy rates are now lots lower than they were 12 months ago, so the actual finances of section 56 are significantly better than they would have been in making this whole project work or come together some 12 months ago.

MR SPEAKER: Supplementary?

MR RUGENDYKE: Thank you, Mr Speaker. QIC operates the Canberra Centre and has a monopoly of retail space in the city heart, taking its profits out of Canberra back to Queensland. When will the government draw the line and cease these prolonged negotiations with QIC so it can assess the merit of other tenderers in this important project?

MS CARNELL

: Mr Speaker, I am fascinated that Mr Rugendyke would ask that question today, taking into account that Mr Stanhope tabled a paper in the Assembly this morning about contracting and made a whole range of recommendations with regard to


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