Media Statement by Yeo Bee Yin, Member of Parliament for Puchong on 17 February 2023 (Friday) in Puchong
The government's decision to stand its ground and continue imposing the condition of cracking and leaching process removal on Lynas by July 2023, despite intense lobbying from many fronts, is the right move.
The government's decision to stand its ground and continue imposing the condition of cracking and leaching process removal on Lynas by July 2023, despite intense lobbying from many fronts, is the right move.
1. About four years ago, we imposed a pre-condition for Lynas license renewal to remove its radioactive waste from Malaysia according to its TWO letters of undertaking to the government of Malaysia in 2012 (attached).
3. However, we refused to see never-ending accumulation of radioactive waste in Malaysia hence replaced the condition on removing all radioactive waste from Malaysia with removing the radioactive-producing process (cracking and leaching, C&L) from Malaysia within four years.
4. Under this new condition, Lynas had four years to build a C&L facility elsewhere. Upon its completion, Lynas would no longer be allowed to produce radioactive waste in Malaysia and only the intermediates are allowed to be shipped here for further processing.
5. They subsequently announced that they were able to satisfy the conditions imposed by the Malaysian government and that they would build their C&L facilities in Kalgoorie, Australia (attached).
6. Three years later, from its series of recent statements, Lynas is again fighting very hard to be escaped from the condition imposed on them and that they had announced "to be able to satisfy" in 2020.
7. In fact, the C&L facilities in Kalgoorie is near to completion, but their intention now is to run both facilities in Malaysia and Australia to maximize profit.
8. Lynas profit for the FY2022 was A$ 540 million while the C&L facilities construction cost in Kalgorie is estimated at A$ 575 million (in other words, Lynas can fund the entire facility with just one year of profit.) And yes, they are still enjoying 12 years tax-exemption.
9. Can a company in any country decide for themselves what they need to comply and what they don't according to their own liking and interest? In the name of economy and geopolitics, can a company be allowed to off the hook from their written commitment not once but twice in a dignified country?
10. Therefore, the government's decision to stand its ground and continue imposing the condition of cracking and leaching process removal on Lynas by July 2023, despite intense lobbying from many fronts, is the right move. I am looking forward to the day we see the fruit from the condition we started imposing in 2020 - no more radioactive waste production for Lynas in Malaysia by July 2023. It's been a long journey.
