Payments under the Australian and South Australian Government's $2.4 billion investment to secure the long-term future of the Whyalla Steelworks are flowing to the Whyalla business community.
Applications for the Business Creditor Assistance Scheme opened last week and, so far, around $4.1 million in funding has been requested through submissions from businesses that are owed money by OneSteel.
The South Australian Government, with its appointed administrator KordaMentha, is now working to ensure this money gets out the door and into the bank accounts of small businesses.
The Whyalla Small Local Business Support Grant is also now open, with $30,000 in funding already delivered to local Whyalla businesses that have experienced a reduction in revenue as a result of the decline in activity at the Whyalla steelworks.
The South Australian Government is committed to the local suppliers and small businesses whose debts remain unpaid, whose revenue has evaporated, and whose livelihoods are at stake.
These immediate, on-the-ground support initiatives are part of a $100 million investment, which also includes $32.6 million of infrastructure upgrades and $6 million for a Jobs Matching and Skills Hub.
The Legal Services Commission has also boosted its presence in Whyalla to support local businesses with any legal issues that may arise.
For more information or to apply for small business grants, creditor payments, and access other Whyalla support visit whyallasupport.sa.gov.au
As put by the Hon Peter Malinauskas MP
We took action to ensure that Whyalla has a future. And we're not wasting a minute in making sure we're backing the community that has been doing it tough.
Money is flowing into the hands of small businesses that were left in the lurch much sooner than would otherwise be achievable through the administration process.
This means businesses which otherwise would have closed are open. Workers who would have been retrenched are being paid and have confidence about the future.
These measures complement, but do not interfere, with the OneSteel administration process currently underway with KordaMentha.
Importantly, GFG remains responsible for its debts. The State Government will not be bailing Mr Gupta out.
Pulling every available lever to support the Whyalla community, while also ensuring the necessary checks are in place, is an absolute priority for this government.
As put by Member for Giles Eddie Hughes
The Whyalla community has shown unbelievable resilience and strength during this incredibly difficult period.
With these funds starting to flow, businesses which were ready to close or lay off staff can instead operate with certainty.
This means eligible small businesses in Whyalla can get what they're owed, and are spared the prospect of having to wait for the end of an administration process.
As these payments are made in coming days, this money will begin flowing through the local economy.
