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The Case of a Pulp Mill

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University of Wollongong Research Online University of Wollongong Thesis Collection 1954-2016 University of Wollongong Thesis Collections 2016 Corporate and state economic interests chipping at environmental concerns: the case of a pulp mill Ahmad Ibney Saeed Khan Sujan University of Wollongong Follow this and additional works at: https://ro.uow.edu.au/theses University of Wollongong Copyright Warning You may print or download ONE copy of this document for the purpose of your own research or study. The University does not authorise you to copy, communicate or otherwise make available electronically to any other person any copyright material contained on this site. You are reminded of the following: This work is copyright. Apart from any use permitted under the Copyright Act 1968, no part of this work may be reproduced by any process, nor may any other exclusive right be exercised, without the permission of the author. Copyright owners are entitled to take legal action against persons who infringe their copyright. A reproduction of material that is protected by copyright may be a copyright infringement. A court may impose penalties and award damages in relation to offences and infringements relating to copyright material. Higher penalties may apply, and higher damages may be awarded, for offences and infringements involving the conversion of material into digital or electronic form. Unless otherwise indicated, the views expressed in this thesis are those of the author and do not necessarily represent the views of the University of Wollongong. Recommended Citation Sujan, Ahmad Ibney Saeed Khan, Corporate and state economic interests chipping at environmental concerns: the case of a pulp mill, Doctor of Philosophy thesis, School of Accounting, Economics and Finance, University of Wollongong, 2016. https://ro.uow.edu.au/theses/4925 Research Online is the open access institutional repository for the University of Wollongong. For further information contact the UOW Library: [email protected] Corporate and State economic interests chipping at environmental concerns: the case of a pulp mill A thesis submitted in fulfilment of the requirements for the award of the degree DOCTOR OF PHILOSOPHY from UNIVERSITY OF WOLLONGONG by Ahmad Ibney Saeed Khan Sujan, BBA, B.Com (Hons), MPA School of Accounting, Economics and Finance 2016 CERTIFICATION I, Ahmad Ibney Saeed Khan Sujan, declare that this thesis, submitted in fulfilment of the requirements for the award of Doctor of Philosophy, in the School of Accounting, Economics and Finance, University of Wollongong, is wholly my own work unless otherwise referenced or acknowledged. The document has not been submitted for qualifications at any other academic institution. Ahmad Ibney saeed Khan Sujan 31 August 2016 i ABSTRACT This is a case study of the company, Gunns Ltd, which proposed a pulp mill in the state of Tasmania, Australia, and had economic, environmental, social and political significance. The proposal was considered by various government processes and it is these processes and interactions (predominantly between the state and corporation) which the thesis analyses using critical discourse analysis. The thesis is theoretically informed by the theory of legitimation (Habermas, Turkel). The development versus conservation debate is not a new phenomenon for Tasmania and Gunns Ltd reignited this debate in 2003 when it proposed the building of a pulp mill and continued until 2007. The Gunns’ pulp mill project was not only significant because of its potential to add value to the single biggest forestry export, woodchips, for Australia (ABARE, 2007), but also for its potential contribution to the Tasmanian economy (ABS, 2012; CommSec, 2013). The mill also had probable adverse impact on the environment. The purpose of this research is to explore the role of such financial discourse in the assessment of this project and understand how such a discourse interacts with, influences and/or is influenced by other discourses in decisions that require consideration of both development and conservation. The Gunns’ pulp mill assessment process (a discursive event) was investigated in the context of a number of competing and complimentary public discourses. Critical discourse analysis (CDA) (Fairclough, 1992) has been chosen as a methodological vehicle for this study because of its capacity to analyse a complex discursive event and its key constituents/ dimensions. Three dimensions/ layers are analysed separately and then together. The outermost layer, social practice, involved consideration of socio- economic, political, historical, and legislative contexts. The innermost layer, the text, was drawn from publically available documentation from Gunns Ltd, the assessment authority, parliamentary Hansards and public submissions. The social practice and text layers were reconsidered in terms of discourse practice which exposed how discourse is produced, reproduced and influenced each layer (Fairclough, 1992). The CDA analysis was informed by the theory of legitimation using the combined insights of Turkel (1980a, 1980b, 1982) and Habermas (1975, 1986, 1987). The analysis revealed that a pro-development bias was legitimated by privileging financial/ economic discourse. This privileging was evident in the government assessment processes, assessment entities/statutory bodies and the legislation which supported these. It is argued that a legitimation crisis was imminent whether the project was approved or not. This crisis involved the dissolution of the assessment entity, resignation of leaders (including the premier of the state), drafting of new legislation and eventually the withdrawal of the pulp mill proposal. It was concluded that despite past experiences of the state, Gunns became complicit in the legitimation crisis. The findings in the Gunns’ pulp mill case confirmed that there were still lessons to be learned; development vs. conservation was still a contested terrain. ii ACKNOWLEDGEMENT All praise is due to the Almighty God, who sustained me and enabled me to complete this thesis. I am grateful to the following people, without whom this thesis could not have been completed. I am indebted to my wife Amreen for the love and support she has provided throughout this journey and my parents for their continuous encouragement and prayer. I am extremely grateful to my supervisors, Associate Professor Mary Kaidonis and Dr. Ciorstan Smark for their patience and dedication in guiding me throughout the PhD program. Without their directions, encouragement and support, completion of this thesis would not be possible. Their thoughtful guidance and critical comments on every draft continuously improved the standard of this thesis. My special gratitude to Mary for opening my mind to the world of critical social thinking. I could not get a better mentor. I would also like to express my sincere gratitude to my colleagues at work, at the Department of Accounting at Monash University for being very supportive while I was doing my PhD. iii Table of contents Certification................................................................................................................... i Abstract ........................................................................................................................ ii Acknowledgement....................................................................................................... iii CHAPTER ONE: INTRODUCTION ........................................................................ 11 1.1 Introduction ................................................................................................ 11 1.1.1 The case study ........................................................................................ 13 1.1.2 The company, Gunns Ltd. ...................................................................... 13 1.1.3 The place- Tasmania .............................................................................. 13 1.2 Theoretical and methodological positions ................................................. 14 1.3 Overview of subsequent chapters............................................................... 15 1.4 Chapter summary ....................................................................................... 16 CHAPTER TWO: BACKGROUND TO THE PULP MILL CASE- SETTING THE SCENE ....................................................................................................................... 17 2.1 Introduction ................................................................................................ 17 2.2 Tasmanian demographic and economic trends .......................................... 17 2.3 Development controversies ........................................................................ 19 2.3.1 Lake Pedder debate- rise of environmentalism as an alternative ........... 19 2.3.2 Franklin Dam debate- enviro vs. politics ............................................... 21 2.3.3 Wesley Vale pulp mill debate ................................................................ 27 2.4 Political environment ................................................................................. 30 2.4.1 Domination of the economic vulnerability- legitimating development . 30 2.4.2 Governance structure- too many players................................................ 31 2.5 The case study ............................................................................................ 32 2.5.1 Gunns Limited- the company ................................................................
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