- $13 million from Onslow Community Development Fund allocated to project
The Western Australian Government has approved the allocation of $13 million to complete work on the Onslow Airport Redevelopment Project.
Premier and State Development Minister Colin Barnett said the funding was required due to significant construction cost overruns on the project, which is managed by the Shire of Ashburton.
“Chevron Australia contributed $30 million to the development of the airport, but the project has run over budget,” the Premier said.
“The State Government and Chevron Australia have now stepped in to allow $13 million from the Onslow Community Development Fund to be used to complete this important project.”
The fund was established in 2011 through the Ashburton North State Development Agreement (Wheatstone Project), with $10 million through Royalties for Regions, and $5million from Chevron.
“This will help the shire complete the terminal building and surrounding areas, with the shire to assume responsibility for any further costs beyond the $13 million,” Mr Barnett said.
The Premier said the completion of the project would be an important step towards securing affordable, regular and ongoing flights for Onslow residents.
“Last month, Skippers Aviation started small aircraft flights into the town, but the terminal building and screening facilities must be complete before public passengers can access flights on larger jet planes,” he said.
Chevron, which is developing the $29 billion Wheatstone LNG Project west of Onslow, has already contributed more than $30 million to the airport project, which was intended to cover the full budgeted cost.
The Shire of Ashburton approached the State Government earlier this year requesting that it be allowed to access the fund to complete the project.
Regional Development Minister Terry Redman said the fund was established to provide funding for projects that would give ongoing social benefits to the community.
“Completion of the Onslow Airport will increase recreational opportunities for locals and visitors, delivering great economic opportunities for the community and improving the quality of life,” Mr Redman said.
“I am pleased that Royalties for Regions has contributed to making Onslow a sustainable regional community.”
The Onslow Airport Redevelopment Project includes a new runway (completed), terminal building and associated utilities
The passenger terminal is expected to be completed in the first half of 2015
Chevron Australia and the Wheatstone Project joint venture participants will contribute an extra $1.5million per year to the Onslow Community Development Fund for the first 10 years of operations