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Tuesday, 8 March 2005
Page: 210


Senator O’Brien asked the Minister representing the Minister for Local Government, Territories and Roads, upon notice, on 23 December 2005:

With reference to the proposed new Immigration Reception and Processing Centre (IRPC) on Christmas Island:

(1) (a)   What is the current estimated total cost of construction including related costs; and (b) will the Minister provide a detailed breakdown of the cost. (2)   (a) What funds have been expended so far; and (b) will the Minister provide a detailed breakdown of the cost by financial year.

(2) (a)   What funds have been expended so far; and (b) will the Minister provide a detailed breakdown of the cost by financial year.

(3)   Will the Minister provide a list of all contracts let for the construction phase of the project, including the successful tenderer.

(4)   On what date will: (a) the early works phase of the project be completed; (b) the main works phase of the contract commence; (c) the main works phase of the contract be completed; and (d) the IRPC be operational. (5)   (a) What compensation was paid to Phosphate Resources Limited for the resumption of land for the IRPC; (b) on what date was this compensation paid; (c) who undertook the negotiations on behalf of the Commonwealth; (d) which Minister approved the compensation; and (e) what program was the source of the compensation funds. (6)   (a) What consultants have been engaged in relation to the IRPC project; and (b) in each case, what was the nature of the consultancy, the term of the consultancy and the associated financial value. (7)   (a) On what date did the Department of Finance and Administration assume responsibility for the project; (b) why did the Department of Finance and Administration assume responsibility for the project; and (c) what other IRPC construction projects did the Department of Finance and Administration manage prior to the transfer of responsibility for the IRPC project.

(5) (a)   What compensation was paid to Phosphate Resources Limited for the resumption of land for the IRPC; (b) on what date was this compensation paid; (c) who undertook the negotiations on behalf of the Commonwealth; (d) which Minister approved the compensation; and (e) what program was the source of the compensation funds. (6)   (a) What consultants have been engaged in relation to the IRPC project; and (b) in each case, what was the nature of the consultancy, the term of the consultancy and the associated financial value. (7)   (a) On what date did the Department of Finance and Administration assume responsibility for the project; (b) why did the Department of Finance and Administration assume responsibility for the project; and (c) what other IRPC construction projects did the Department of Finance and Administration manage prior to the transfer of responsibility for the IRPC project.

(6) (a)   What consultants have been engaged in relation to the IRPC project; and (b) in each case, what was the nature of the consultancy, the term of the consultancy and the associated financial value. (7)   (a) On what date did the Department of Finance and Administration assume responsibility for the project; (b) why did the Department of Finance and Administration assume responsibility for the project; and (c) what other IRPC construction projects did the Department of Finance and Administration manage prior to the transfer of responsibility for the IRPC project.

(7) (a)   On what date did the Department of Finance and Administration assume responsibility for the project; (b) why did the Department of Finance and Administration assume responsibility for the project; and (c) what other IRPC construction projects did the Department of Finance and Administration manage prior to the transfer of responsibility for the IRPC project.

(8)   What role does the Department of Immigration and Multicultural and Indigenous Affairs perform in relation to the project during planning and construction.

(9)   What role does the Department of Transport and Regional Services perform in relation to the project during planning and construction.

(10)   Have all contracts let for the construction phase of the project included local training and local business content; if so, will the Minister provide details; if not, why not.

(11)   Has the local training and local business involvement which formed part of the assessment criteria for the major works contract been consistent with evidence given by the Department of Finance and Administration to the Joint Standing Committee on Public Works on 31 October 2003; if so, will the Minister provide details; if not, why not.

(12)   Will local training and employment and local business involvement form part of the assessment criteria for the service contract for the operation of the IRPC; if not, why not.

(13)   Will the Christmas Island community have access to recreational and other facilities at the IRPC, subject to operational needs.


Senator Ian Campbell (Minister for the Environment and Heritage) —The Minister for Local Government, Territories and Roads has provided the following answer to the honourable senator’s question:

(1) (a)   I note that this question has also been directed to the Minister for Finance and Administration and it is more appropriate that he provide a response.

(b)   The Department of Transport and Regional Services has been appropriated $45.4m to meet costs incurred in constructing public infrastructure and housing associated with the project. This figure excludes:                 - funding to resume the mining lease for the IRPC site (refer Question (5) below); and                 - ongoing expenses, for example, associated with repairs, maintenance and depreciation of the infrastructure.                 The $45.4m was originally estimated on the basis of:                 - $19.8 million to supplement the Christmas Island water supply; to supply water, power and communications to the construction camp and IRPC site; and to improve island road and port infrastructure, including to reduce environmental impacts from increased traffic during crab migrations; and                 - $25.6 million for housing associated with the facility. (2)   (a)   Project expenditure by DOTARS totals $40.2m million to 31 December 2004.         (b)

Expenditure by Financial Year (in $millions)

Expenditure Type

2001-02

2002-03

2003-04

2004-05

(to 31/12/04)

Total

Infrastructure

$0.4m

$9.5m

$3.8m

$0.0m

$13.7m

Housing

$5.9m

$19.8m

$0.8m

$0.0m

$26.5m

Total

$6.3m

$29.3m

$4.6m

$0.0m

$40.2m

(2) (a)   Project expenditure by DOTARS totals $40.2m million to 31 December 2004.         (b)

Expenditure by Financial Year (in $millions)

Expenditure Type

2001-02

2002-03

2003-04

2004-05

(to 31/12/04)

Total

Infrastructure

$0.4m

$9.5m

$3.8m

$0.0m

$13.7m

Housing

$5.9m

$19.8m

$0.8m

$0.0m

$26.5m

Total

$6.3m

$29.3m

$4.6m

$0.0m

$40.2m

        (b)  

Expenditure by Financial Year (in $millions)

Expenditure Type

2001-02

2002-03

2003-04

2004-05

(to 31/12/04)

Total

Infrastructure

$0.4m

$9.5m

$3.8m

$0.0m

$13.7m

Housing

$5.9m

$19.8m

$0.8m

$0.0m

$26.5m

Total

$6.3m

$29.3m

$4.6m

$0.0m

$40.2m

(3)   The following are the construction contracts related to the provision of services to the Immigration Reception and Processing Centre and construction camp sites and of staff housing for the Immigration Reception and Processing Centre:

Contract Description

Name of Contractor

Project Management and Design Services

GHD Pty Ltd

Water, power and communication provision to IRPC site

Electrical Contracting & Maintenance

Construction of Water storage infrastructure adjacent to the IRPC site

Electrical Contracting & Maintenance

Wharf Pavement reconstruction

DECMIL/Consolidated Construction

Construction of a crane pedestal at Flying fish cove

Christmas Island Enterprises

Bore Hole Drilling flying fish cove

Drilling and Grouting Services Pty Ltd

Install pre-cast and supply and install insitu crab crossings

Gregorys plumbing and Pipeline Services.

LB4 Road Improvements

Shire of Christmas Island

Construction of 160 accommodation units

DECMIL/Consolidated Construction

Construction of 10 houses

DUWAL Pty Ltd

Construction of 3 houses

C&B Murdoch Construction

Construction Camp high voltage reticulation

Electrical Contracting & Maintenance

(4)   I note that this question has also been directed to the Ministers for Finance and Administration and Immigration and Multicultural and Indigenous Affairs and it is more appropriate that they provide a response. (5)   (a)   $3.2 million was paid to Phosphate Resources Limited in compensation for the resumption of the mining lease over the IRPC site.

(5) (a)   $3.2 million was paid to Phosphate Resources Limited in compensation for the resumption of the mining lease over the IRPC site.

(b)   30 July 2004.

(c)   The Department of Transport and Regional Services undertook negotiations on behalf of the Commonwealth, with advice from the Australian Government Solicitor and Geoscience Australia.

(d)   The Government approved an upper limit for compensation for the resumption of land for the IRPC and the Australian Government Solicitor approved the final determination as being in accordance with compensation legal principle and practice.

(e)   The Services to the Indian Ocean Territories Programme has been supplemented $3.2 million in the 2004-05 Additional Estimates.

(6)  

Table of Consultants

(a)

(b)

Name of consultant

Nature of consultancy

Term

Financial value

Geoscience

Australia

An assessment of the volume and quality of phosphate on the mine lease resumed for the IRPC

Ongoing until issue resolved

$495,000

Minval Associates

Pty Ltd

Audit of methodology used by Geoscience Australia to determine the volume and quantity of Phosphate on the resumed lease and valuation of that phosphate

Task based

$65,000

(7)   This question has also been directed to the Minister for Finance and Administration and it is more appropriate that he provide a response.

(8)   This question has also been directed to the Minister for Immigration and Multicultural and Indigenous Affairs and it is more appropriate that she provide a response.

(9)   The Department of Transport and Regional Services is responsible for the provision of land for the IRPC and associated infrastructure, to supply staff housing for the centre and to provide infrastructure (such as power, water etc) to the IRPC and construction camp boundaries.

(10)   No. Department of Transport and Regional Services tenders relating to the Indian Ocean Territories encourage contractors to use local contractors where possible to maximise the benefits to the local economy. The manner by which this translates to contracts varies from project to project.

(11)   This question has also been directed to the Minister for Finance and Administration and it is more appropriate that he provide a response.

(12)   This question has also been directed to the Minister for Immigration and Multicultural and Indigenous Affairs and it is more appropriate that she provide a response.

(13)   This question has also been directed to the Minister for Immigration and Multicultural and Indigenous Affairs and it is more appropriate that she provide a response.