Parliamentary Committees

Public Works Committee: Adelaide Airport Limited Water Trunk Main Project

Ms SAVVAS (Newland) (11:02): I move:

That the 155^th report of the committee, entitled Adelaide Airport Limited Water Trunk Main Project, be noted.

As part of preparations for expansion at the western end of the Adelaide Airport terminal, SA Water is working in conjunction with the Airport to replace an existing water trunk main. Constructed in 1938, the trunk main is one of three that feed Adelaide's western suburbs and was originally located in a road reserve before the land was rezoned for the Airport in the 1950s. It is now located under the main runway, taxiways and the aircraft apron, as well as running adjacent to the southern edge of the terminal building and car park.

Presently, the trunk main tunnel is in sound condition; however, its location does impose a weight restriction for aircraft. As part of the planned Airport expansion, the trunk main will be decommissioned and a new ID-750 trunk main constructed with an alignment away from key Airport infrastructure. The new trunk main will maintain water service to current connections as well as include provision for future Airport developments.

The new permanent alignment will relocate the trunk main to the east, away from Airport runways and structures, which will enable future growth and expansion of the Airport as well as provide easier maintenance access for SA Water. The agency is responsible for the design of the new alignment, and Adelaide Airport will engage the contractor for the relocation works.

SA Water has stated that the preferred alignment will be determined in collaboration with the Airport following a multi-criteria analysis, an approach consistent with the options assessment process followed by SA Water for capital works projects. Construction is anticipated to commence in the second quarter of next year, with the expectation to be practically complete by the year's end.

Adelaide Airport will bear the complete cost to design and construct the water main realignment. This is consistent with past practice, where functional assets are relocated for the benefit of third parties. Once complete, Adelaide Airport will gift SA Water the new water infrastructure to maintain and manage. As such, this project is considered unregulated.

The project is expected to cost $60.1 million and, as an unregulated project, Adelaide Airport will be funding the project in its entirety. SA Water expects no increase to operating costs, with the agency stating that future operational expenditure is likely to reduce due to the new pipe replacing an ageing asset. Adelaide Airport will be responsible for procuring materials and contractors for the project's construction. SA Water is using its existing frameworks to provide support. These frameworks will offer experience in delivering efficiency through collaboration, innovation, consistency, planning and programming.

Adelaide Airport will engage approved SA Water contractors and will be responsible for evaluating service value for money. The project is being managed in accordance with the agency's project management methodology by a project manager from SA Water's capital delivery group. The project manager is responsible for the development and delivery of the design of the project, as well as managing its construction, including seeking necessary approvals. SA Water states it has requested that Adelaide Airport implement regular work health and safety and environmental audits during the construction phase of the project.

SA Water and Adelaide Airport are jointly facilitating risk assessment workshops with relevant stakeholders to identify and evaluate business, operational and project risks. Key risks include (a) that SA Water may inherit a constructed asset not to agency standards, (b) project delays for which Adelaide Airport has commissioned jointly developed sequencing, tie-in, shutdown and handover plans, and (c) impacts to Airport operations. The project team will utilise existing Airport procedures and controls that are in place for onsite contractors and approvals.

This project will be undertaken on commonwealth land in accordance with the Airports Act and the Airport Environmental Protection Regulations. The regulatory framework applies to the management of all on-ground environmental issues, including air, soil, water, noise and chemical pollution. The commonwealth government is responsible for the administration of the Airport environmental regulatory regime, including appointment of an Airport environment officer authorised to make decisions regarding compliance with regulations and standards.

An Airport building controller is responsible for regulating building activity at the Airport. SA Water anticipates the building contractor will liaise with the environmental officer concerning environmental considerations. The project will also require the contractor prepare a construction environmental management plan. Tenderers will be required to submit proposed sustainability considerations, which may include things such as low carbon technologies for vehicles, equipment and the compound; solar power sources for onsite facilities; transport planning to minimise fuel consumption; sustainability policies, targets and strategies; environmental procedures and response plans; evidence of environmental training of contractor personnel; and environmental hazard reporting procedures.

The contract will be required to also comply with the Adelaide Airport's Aboriginal Sites, Objects, and Remains Discovery Procedure. A search of the central archive identified one Aboriginal cultural heritage site to the east of the project location. Should any other Aboriginal cultural heritage be uncovered, works are to cease immediately and a heritage consultant be engaged. The agency states that native title has already been extinguished over the Airport.

Adelaide Airport will be responsible for public consultation as well as engaging internal and external stakeholders and partner organisations through the project life cycle. Adelaide Airport will liaise with SA Water's stakeholder engagement team through the project to ensure external communication is managed in line with SA Water's policies and procedures. The agency has circulated project documentation amongst relevant departments, which have indicated support for the project.

The committee examined written and oral evidence in relation to the Adelaide Airport Limited Water Trunk Main Project. Witnesses who appeared before the committee were Emma Goldsworthy, Senior Manager of Capital Delivery at SA Water, and Darren Burton, Project Manager at SA Water. I do want to thank the witnesses for their time.

Based on the evidence considered and pursuant to section 12C of the Parliamentary Committees Act 1991, the Public Works Committee reports to parliament that it recommends the proposed public work.

Motion carried.