Reverberations from Solid Energy losses
The government is resisting calls for special assistance.
Reverberations from Solid Energy’s 113 job losses at its Stockton Mine continue to rock the West Coast and Christchurch.
The reduction in coal volumes by 400,000 tonnes annually to one million tonnes will cost Lyttelton Port more than $1 million.
The real estate market will also be affected as more people try to sell and leave the region.
There are about 250 houses already listed for sale on the West Coast and they do not command anywhere near the kind of prices in places like Auckland.
Jobs of people maintaining the Spring Creek mine are also under threat.
So far, the government has resisted calls to support Solid Energy to consider a regional development package.
Labour’s MP for West Coast-Tasman Damien O’Connor says many people will be forced to leave Buller District.
He says Solid Energy was set up for sale by the National government, squeezed for dividends and didn’t anticipate falling coal prices.
“Numerous mistakes have been made at governance and management levels by a company that lost touch with its core mining operations.”
Chris Hutching
Fri, 08 May 2015
Fri, 08 May 2015
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Reverberations from Solid Energy losses
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