Wollongong City Council should conduct an immediate review of its procurement policies to ensure it is not being misled by suppliers on materials for its infrastructure projects.

Wollongong MP, Paul Scully has written to the Lord Mayor, Councillor Gordon Bradbery OAM following revelations that steel street posts have been imported from Vietnam and installed in local streets (see attached).

Wollongong City Council has claimed that its supplier De Neefe Signs indicated that the steel used to make the posts could not be sourced from Australia.

However, inquiries made of Orrcon Steel – a BlueScope Steel owned company – indicates that Council may have been misled as the Australian-based firm does manufacture and supply the steel product for street signs.

Mr Scully’s letter to Councillor Bradbery indicates that:

…I am sure that ratepayers will be concerned and perplexed by such decisions given the prominent, united community campaign to support steel workers and the steel industry over the last two years.

Mr Scully has also suggested that Council not replace the ‘Vietnam” labelled steel street sign behind the Open Hearth Hotel at Warrawong suggesting to Councillor Bradbery that it would be an “..unjustified further waste of ratepayers’ money.”

Comments attributable to Paul Scully MP:

“I have called on Wollongong City Council to conduct an immediate review of its procurement policies and procedures to ensure that it is not being misled by its suppliers for any of its infrastructure projects.

“I am concerned that claims have been made in relation to the sourcing of steel street poles, which have been imported and are now stored at three Council depots ready for installation, while street sign poles from Australian-made steel is available..

“I simply cannot believe the claim that steel made in Vietnam has more enhanced safety requirements for steel street signs than Australian-made steel manufactured by a BlueScope Steel owned company.

“If the poles supplied by Orrcon would be more expensive, then just say so; don’t try to use political spin to avoid explaining Council’s policies on procurement.

“This example shows the holes that exist in the procurement policies and practices of government across the board and why NSW Labor’s steel bill, which will be re-introduced into the NSW Parliament, is so necessary.”