Plans to shift a major tourist route — that would have provided uninterrupted beach access from a resort owned by the billionaire Forrest family — have been dumped by Western Australia's roads authority.
Yardie Creek Road is the main tourist route from Exmouth into the Cape Range National Park — and $6 million in taxpayers' funds were earmarked to re-route it.
But Main Roads WA has revealed the realignment of the road behind what was once the Ningaloo Lighthouse Holiday Park, near the north-west town of Exmouth, will no longer go ahead due to Aboriginal heritage and environmental concerns.
The Forrests have been investing in Exmouth through the resort, a marine research centre and short-stay workers accommodation to help alleviate housing pressures.
The family has also pledged $100 million towards marine research and protecting oceans.
The holiday park on the doorstep of the spectacular Ningaloo marine park was purchased in 2017 for $6.5 million by the Forrests, who plan to transform the site into an $85 million resort.
Emails from the now former Shire of Exmouth chief executive Cameron Woods to the state government, acquired through the Freedom of Information (FOI) Act, show there was a significant push from council for state funding for the road realignment, to assist the Forrests' redevelopment of the holiday park.
In June 2020, WA Premier Mark McGowan and then Prime Minister Scott Morrison announced $1.2 million of state funds and $4.8 million from federal coffers had been allocated for the road realignment.
At the time the project was described by the state government as a move that would "improve safety and amenity for visitors to the region", despite few accidents on the road in the preceding years.
The money for the roadworks was part of a $223 million funding package, intended to stimulate the economy during the COVID-19 pandemic and directed at "shovel-ready" projects.
But a trail of public records and FOI documents shows the three-kilometre road realignment through Cape Range was not well advanced when it received government money.
'Significant number of information gaps'
Main Roads WA was responsible for the realignment and worked on elements of the project with the Forrest family's investment company, Tattarang, and the Shire of Exmouth, which had lobbied the state government vigorously for funding.
But the state authority hit a roadblock when it applied for federal environment approval in 2021, due to concerns it had not undertaken significant investigations into the project, which would potentially clear about 11 hectares of vegetation and had no specific route.
Main Roads decided to refine the proposal through a similar approval process run through the WA Environmental Protection Authority (EPA).
Main Roads' submission to the EPA in July 2021 stated there were a "significant number of information gaps" for the project, as the watchdog had wanted the referral made as soon as possible.
"As these investigations are still underway, unfortunately Main Roads is not able to identify the proposal's likely potential impacts with any certainty, nor is it able to assess the significance of these potential impacts," the submission read.
As well as information gaps, there was also a potential funding gap.
Then Main Roads northern and central regions executive director John Erceg raised concerns with Transport Minister Rita Saffioti's office a day after the 2020 funding announcement, suggesting not enough had been allocated to the project.
"The boost funding announcement of $6 million still leaves a significant funding shortfall given the original ballpark estimate for construction alone was $13 million plus, with project development, contract management etc on top of that," he wrote.
In response, a staffer from the minister's office said further negotiations were required but the original proposal had been for the state to contribute about 50 per cent of the project's total cost.
However, the issue of cost is now void as a Main Roads spokesperson told the ABC this week that the realignment was not going ahead and would be withdrawn from the EPA process.
"Following considerable investigation during the design and development process, a number of constraints were identified, including environmental issues and significant heritage issues raised by representatives of the traditional owners," they said.
There is an Aboriginal heritage site in the vicinity of the proposed route for the road, but its exact location is not public due to its sensitive nature.
Protect Ningaloo director Paul Gamblin said the planned road posed a risk to cultural heritage and native vegetation.
"The earlier in the process the community's well-founded, science-based views on proposals are considered, the better for everyone," he said.
Complex background
Documents show there was a big push for the project during 2019 and 2020 from the Shire of Exmouth, which sent numerous letters to the premier and Ms Saffioti over that period.
One month into the COVID-19 pandemic, former shire chief executive Mr Woods sent an email to Ms Saffioti seeking a decision on the realignment which he said would "release" the private funding for the resort.
The project received funding a few months later under the "shovel-ready" funding scheme, but Mr Woods' email said if the road was finished within five years it would still enable the investment.
"As I understand the situation is not seeking immediate realignment of the road, but rather a commitment to the realignment in some future period," he wrote.
"If the road realignment was commenced in three years and completed within five years this would enable the private investment and allow this current tourism season to be used to demolish the existing resort and for construction to commence."
Tattarang's own environmental application for the redevelopment says that while its plans took into consideration the road realignment, the project was "not contingent on the completion" of it.
What happens next?
A state government spokesman said it would seek to have the $5.9 million of unspent project money reallocated.
While the realignment of Yardie Creek Road once enjoyed strong support from the local council, Shire of Exmouth president Darlene Allston said the council supported environment laws and ensuring nationally significant animals, plants and places were identified in projects.
"And any potential negative impacts on them are carefully considered before any changes in land use or new developments are considered," Cr Allston said.
"The revitalisation of the lighthouse caravan park is an exciting opportunity for the community, and council strongly encourages active community engagement by the developer moving forward and is confident that the lighthouse caravan park will become a vibrant, welcoming and enjoyable part of our local area once again."
A Tattarang spokesman said it fully supported the decision to withdraw the realignment after community and traditional owner feedback.
"We are focused on delivering a unique and environmentally sensitive tourism offering at Vlamingh Head and we remain committed to working with the community to achieve that vision," he said.
"We look forward to progressing the development with both state and local governments to deliver an outcome which also enhances the existing road infrastructure."
