THE DARWIN Ship Lift project has been referred to the Northern Territory Public Accounts Committee (PAC) because of rising costs and delays.
In a media release on 12 May, treasurer Bill Yan said the ship lift project originally announced by the former CLP Government as a $100 million project, had blown out to $400 million in 2019, and again to $515 million in 2022.
Mr Yan said the project is now facing significant additional forecast costs in the order of hundreds of millions of dollars.
He accused the former Labor government of passing the contractual point of no return in February 2024 despite the spiralling price tag.
The ship lift was originally scheduled to be completed in 2024.
“The project is backed by a $300 million concessional loan from the Northern Australia Infrastructure Facility which the Northern Territory must pay back in addition to our direct contributions,” Mr Yan said.
“The referral is necessary given the Territory’s rising debt trajectory with net debt forecast to reach $12.3 billion by 2027-28, this is exactly the kind of project that deserves additional scrutiny.”
Mr Yan said the government is committed growing defence and maritime industries and this project has significant benefits to the local economy.
“We want to be open and transparent with Territorians on the costs of the project and ensure steps are taken to minimise further delays and cost blow outs," he said.
The PAC is expected to conduct public hearings and table its findings by September 2025.