Minister for the Central Coast and Member for Wyong David Harris is calling on the owners of a Kanwal service station to shut down operations until leaking petrol storage tanks on site are fixed.
The tanks have been found to be contaminating the site and nearby properties for at least eight years.
Harris said Zoya Investments Pty Ltd was the owner of Kanwal General Store and Fuel Supplies at 68 Craigie Ave in August 2017, when adjoining business Seaforth first notified the company, Central Coast Council, and the NSW Environmental Protection Authority (EPA) of pollution suspected to be from leaking petrol and other fuels, with claims it had been occurring since at least 2016.
On December 11, 2018 the EPA declared all of the service station property and part of adjoining business Seaforth’s property at 70 Craigie Ave as “significantly contaminated” following an assessment.
The EPA found the soil and groundwater beneath the site was contaminated by petrol and had potential to impact human health and the surrounding environment.
On February 21, 2020, the EPA issued Zoya Investments with a Management Order to undertake rectification works on its underground petrol storage tanks and provide a report detailing those works.
Harris said Zoya Investments failed to comply with the Order, despite being granted deadline extensions until July 29, 2022 – 679 days after the initial April 2020 deadline.
He said that during this time, it was estimated 3,000 litres of petrol could have leaked from the underground storage tanks into the adjoining properties.
By September 16, 2021, the EPA had commenced proceedings against Zoya Investments for failing to comply with the Management Order.
In December, 2022, Zoya Investments was convicted and fined $320,000 in the Land and Environment Court.
The fine comprised $180,000 for breaching the Contaminated Land Management Act and a further $140,000 for the time it took to comply with the Management Order.
On October 7, 2022, the EPA issued a clean-up notice to Zoya Investments, which Harris says has not been complied with.
Harris said Australian Securities and Investments Commission documents showed that on November 13, 2023, the assets of Zoya Investments, including the petrol station, were transferred to a new entity – RAS Kanwal Group Pty Ltd, a company with the same directors, shareholders and registered office as Zoya Investments.
“On April 18, 2024, Zoya declared no assets in an apparent attempt to avoid payment to its creditors, including Seaforth, which it owed $8.45M, and the Australian Tax Office ($4.5M) and to avoid responsibility to clean up the petrol station site,” Harris said.
On August 15, Harris raised the case in the NSW Parliament.
“I urge the owners of the service station at 68 Craigie Avenue, Kanwal, to shut down until it is proven that the leaks in their underground fuel tanks have been addressed and no further contamination is occurring,” he said.
“This business is damaging the environment and potentially impacting on the health of local residents.
“It is very concerning that although regulatory action was enforced, there has been no evidence of clean-up or any attempt to alert local residents to the ongoing potential health danger.
“It is doubly concerning the owners have attempted to avoid fines and reparations by putting their business in liquidation but then continuing to trade under a different entity,” Harris said.