The Malinauskas Labor Government is continuing to work with the Federal Government to deliver a proton therapy cancer treatment centre in Adelaide that will benefit all Australians.
The State Government acknowledges the report tabled by the Auditor-General regarding SAHMRI's proposed proton therapy unit and will consider its findings and recommendations carefully.
The State Government agrees with the Auditor-General that the reason for the collapse of the original project was because ProTom failed to complete the proton therapy system on the agreed terms and for the agreed price.
In October 2024, SAHMRI terminated its purchase agreement with ProTom International, a supplier of proton therapy equipment, after state and federal governments declined to provide additional funding requested by the US-based company following its failure to meet a succession of obligations under its contract with SAHMRI.
Following the state election in March 2018, SAHMRI entered into an agreement with ProTom International to purchase its proton therapy system.
The former Liberal Government exposed the state to increased and ongoing risk by providing additional supports and guarantees for the building of the Australian Bragg Centre, where the unit was to be housed, including leasing five floors in the Australian Bragg Centre at commercial rates.
The former Turnbull Federal Government committed $68 million to deliver the proton therapy unit, while the State Government provided the land for the new building, committed $10.6 grant funding and relocated the former train control centre.
The State and Federal Governments are continuing to pursue a successful proton therapy project and are exploring alternative options with international organisations.
As put by Stephen Mullighan
The State and Federal Governments are leaving no stone unturned in our efforts to revive this project.
There's positive discussions taking place with international companies to find an alternative solution from a credible supplier.
When Labor came to Government, I became increasingly concerned about the project and it became clear ProTom was not able to fulfil its contractual entitlements.
Compounding the issue, is the long-term commercial leases and additional supports the former Liberal Government signed, exposing the state to many, many millions of dollars in added financial liability.
We continue to work with SAHMRI, clinicians and the Commonwealth to try and reach a successful outcome.