Gutwein wanted federal funding for Mona’s hotel

LIBERAL Treasurer Peter Gutwein told Mona founder David Walsh he would be “pleased” to back the museum’s request for a Federal Government grant of $50 million — just weeks before his own party started campaigning against Bill Shorten’s vow to do just that.

In a letter written on April 6, Mr Gutwein said he supported Mona seeking the cash from Canberra for its $400 million hotel plans.

Three weeks later Mr Shorten promised the cash, prompting a Liberal campaign against it in the North.

TREASURER Peter Gutwein told Mona founder David Walsh he was “pleased” to back the museum’s request for a federal government grant to help build a hotel complex only weeks before the Liberals kicked off a campaign against Labor’s pledge to deliver the funds.

A letter tabled in the Tasmanian Parliament showed Mr Gutwein also told Mr Walsh in his April 6 letter that the Liberal State Government was considering underwriting Mona’s $400 million project.

“I am pleased to support your request for Australian government funding towards the project at Mona under the Hobart City Deal framework or other federal assistance program,” Mr Gutwein wrote.

“The intention for the hotel complex to provide direct job, training, business formation and other opportunities for economically and socially disadvantaged people in greater Hobart is particularly welcome.

“As you are aware, the Tasmanian Government is undertaking its own due diligence on the project as part of a consideration of a possible state loan guarantee to support Mona’s debt funding requirement.”

Much of the federal Liberal election campaign centred on Labor’s $50 million pledge to help Mona build its proposed hotel complex, which would include public facilities.

Former Labor leader Bill Shorten pledged the Mona funding on April 26. That promise was pitched as showing Labor was out of touch with the North, where the Opposition ultimately lost two seats to the Liberals, helping the Coalition win government.

Franklin Labor MHR Julie Collins said Mr Gutwein’s letter to Mr Walsh “exposes the Tasmanian Liberals’ gross hypocrisy”.

“The Tasmanian Liberals have used this critical opportunity for Tasmania’s tourism industry as a political football and divided our state,” Ms Collins said. “The cheap opportunism has risked hundreds of new jobs and done significant damage to the reputation of one of Tasmania’s premier tourist destinations.”

A Government spokesman said yesterday it was not yet decided whether the State Government would underwrite Mona’s hotel loan as requested.

If the Liberals agree, it would amount to the state’s largest such commitment, dwarfing a $29 million guarantee given to Nyrstar in 2015.

“It is a significant proposal and it is important the Government works through the detail before any guarantee is either approved or not approved,” the spokesman said.