Tillegra geotechnical review points to risk of more cost blowouts

Dr Kaye said: "Water Minister Phil Costa has added to the burden of misinformation surrounding Tillegra dam.

"The expert panel that was supposed to have given the dam a tick of approval did no such thing.

"The panel identified a number of critical site issues that required further investigation. The Minister's clean bill of health declaration was not only highly premature. It was completely misleading.

"Careful examination of the expert panel's report reveals that there are some serious geological issues. If they turn out to be significant, the cost of the dam could blow out by hundreds of millions of dollars.

"The worst case scenario remains a $406 million Rees government estimate blowing out to a billion dollars.

"The Rees government is pushing ahead with a project without fully acknowledging the cost risks.

"By sweeping the warnings in the expert panel's report under the carpet, the government is gambling with the budgets of Newcastle households.

"Minister Costa and Hunter Water should come clean on the geological realities of the Tillegra site.

"They should acknowledge that their own expert peer review panel sounded the alarm on a number of features that require further investigation.

"The jury is still out on the final cost.

"The Rees government should be honest and admit that $406 million is the least amount the people of the Hunter will pay for this unnecessary piece of infrastructure," Dr Kaye said.

For more information:    John Kaye 0407 195 455