“Liberal senator backs plan to put prized Sydney Harbour sites up for grabs”
By Carrie Fellner
Transcript:
Liberal senator Andrew Bragg has backed a proposal to allow private interests to take out 49-year leases over landmark sites belonging to the Sydney Harbour Federation Trust, arguing the plan could be taken a step further by working in parcels of adjoining public land.
The comments are likely to inflame tensions over the future of the harbourside gems, after federal Opposition Leader Anthony Albanese warned leases of that length would amount to the "de facto privatisation" of the sites.
It comes as a community action group raised concerns about what it views as attempts to weaken the checks and balances safeguarding the awarding of the lucrative leases.
The Sydney Harbour Federation Trust is responsible for a string of former Defence sites, including Cockatoo Island, North Head, Headland Park at Mosman, the Woolwich parklands and the Platypus former submarine base at Neutral Bay.
Federal Environment Minister Sussan Ley quietly commissioned a review of the Trust in October.
The Trust told the review it is coming under increasing financial strain over the cost of decontaminating the Commonwealth land, and about $300 million is needed to fully rehabilitate the sites.
The Trust warned it does not have the capacity to become self-funding, suggesting leasing out the sites for 49 years – up from 25-year lease terms – would help plug the gap.
Mr Albanese slammed the proposal and argued there was no legislative requirement for the Trust to be self-funding.
But in his submission to the review, seen by The Sun-Herald, Senator Bragg argued the Trust should be able to generate enough revenue to meet its ongoing costs, with an exception for "costly once-off" decontamination activities.
He argued the Trust should explore long-term leases – that aligned with its objectives of protecting and preserving the sites for the community – to fund the decontamination.
Enabling the Trust to plan and deliver 'whole of precinct' designs ... will result in better outcomes for the public with reactivation of public space.
Senator Andrew Bragg
"The New South Minister for Arts has an ability to sign off 45-year long term leases for cultural assets," Senator Bragg wrote. "Consideration should be given to allow the Trust similar ability."
He also argued parcels of state-owned land adjoining the sites could be transferred to the Trust, such as land belonging to the National Parks and Wildlife Service at North Head.
"Enabling the Trust to plan and deliver 'whole of precinct' designs instead of piecemeal where state-held land exists will result in better outcomes for the public with reactivation of public space," Senator Bragg said.
The community-based Headland Preservation Group is calling on the federal government to fund the decontamination activities so that 49-year leases will not be necessary.
The group's president Jill L'Estrange also expressed concerns about possible changes that could see unsolicited lease proposals accepted without a competitive expressions of interest process, and with only the minister's – rather than Parliament's – approval.
"There would be no parliamentary scrutiny to rule out an inappropriate large-scale development on these pristine headlands," she said.
"Once you have given these properties away on a long lease, effectively you don't get them back for 49 years and during that time many things can change."
The Trust's chairman Joseph Carrozzi said his members had recommended the Trust be allowed to approve leases up to 49 years with ministerial approval, but the leases "must be consistent with our purpose of protecting our public sites for the community", and typically relate to specific buildings.
"At present we need Parliamentary approval for leases over 25 years," he said. "The proposal is intended to give more flexibility over time - there is no suggestion that anyone has approached us for such a lease."