Jemena Energy has refuted a suggestion that it may be responsible for historial pollution at the former Waratah gasworks site.
The company said on Monday that it had provided historical documents about the site to the NSW EPA, which is determining where legal liability of the pollution lies.
Jemena was drawn into the investigation when it was revealed that AGL took ownership of the plant from the former Waratah Municipal Council in 1922.
AGL also owned the nearby Newcastle Gas Works site, which Jemena purchased in 2006.
A Jemena spokesman said historical records indicated that the Waratah plant was badly run down when it was acquired by AGL.
Rather than continue to use it, AGL supplied gas to the area from its newly opened Newcastle Gas Works at Hamilton North.
The Waratah site was eventually closed in1928.
"Jemena has previously provided some assistance to the EPA in their investigations into the Waratah site, however we do not believe we have responsibility for historical contamination at the site," a spokesman said.
The EPA is expecting to formally determine where responsibility for the contamination lies early in the new year.
The Newcastle Herald reported on Monday that the City of Newcastle continues to list the former Waratah Gas Works as a contingent liability on its financial statements.
However, a spokeswoman told the Herald the council remained confident it was not liable for the pollution.
"City of Newcastle has always maintained that this matter is the responsibility of the state government," she said.
Complete remediation the site, bounded by Turton, Georgetown and Ellis roads, would be extremely complicated and expensive given 20 houses site sit within the footprint.
One possible way forward would be for the EPA to approve a Voluntary Management Proposal for the area.
The EPA flagged this option with the City of Newcastle in mid-2019.
"EPA regulation may proceed by approving a Voluntary Management Proposal under section 17 of the Contaminated Land Management Act or by issuing a Management Order ... We understand that Property NSW intends to submit a VMP for the work," EPA acting director of contaminated land management Rod Hogan said in a letter to council.
An EPA spokeswoman said the authority was unable to comment further given its investigation was still ongoing
"The EPA is reviewing all available information as part of its work to identify responsibility for the contamination," she said.
"The EPA is yet to finalise where responsibility for the contamination lies but expects to resolve this in early 2021."
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