Public Works Committee: Electrical Infrastructure Upgrades Program

Ms SAVVAS (Newland) (11:09): I move:

That the 156^th report of the Public Works Committee, entitled Electrical Infrastructure Upgrades Program—Tranche 1, be noted.

SA Water, the agency, has identified a number of sites where high-voltage switchboards and associated electrical infrastructure have become hazardous and may pose threats to system reliability and maintenance. The Electrical Infrastructure Upgrades Program is designed to enhance safety of site personnel, improve hardware resilience, safeguard system reliability and ensure uninterrupted water supply. The proposed project is the first of two stages and will provide upgrades for the Murray Bridge and Morgan systems.

The high-voltage switchboards and associated electrical equipment at the identified locations have exceeded their serviceable life span and they present safety risks, particularly those related to arc flash exposure. In an arc flash event, electrical faults cause current flow through the air between two live high-voltage conductors. This can release energy temperatures as high as 20,000°C, leading to severe injuries such as third-degree burns, loss of sight, internal burns, permanent hearing loss and more.

Despite the agency's implementation of stringent access controls and use of maximum-rated PPE, the residual safety risks do remain unacceptable and interim mitigation measures such as upstream isolations are increasingly disruptive to operations and maintenance activities. They no longer represent a reasonable long-term approach to maintaining levels of service within the network.

Site-specific factors, such as asset condition and layout, operational criticality and constructability are being considered within the design and have informed whether full replacement or targeted upgrades are required. The project will construct new switch rooms at Murray Bridge Onkaparinga Pump Station 3, Morgan Whyalla Pipeline Pump Station 1 and Murray Bridge Onkaparinga Pump Station 1. Supporting works will include:

new high-voltage switch gear, including associated connections with ElectraNet and SA Power Networks;

installation of power control and communications cabling with complete support systems;

remote high-voltage switching panels;

critical building services including lighting, fire protection, security, arc ducting and earthing;

enabling civil works; and

decommissioning and cutover of existing systems.

The project may require some land acquisition at the Murray Bridge Onkaparinga Pump Station 1 workshop to the levee bank area cable run, as well as Murray Bridge Onkaparinga Station 3 to enable upgrades to a power network transformer. The exact details of land to be acquired will be determined as part of the detailed design phase of the project and any acquisition will be undertaken in accordance with the Land Acquisition Act. The project schedule anticipates construction to be completed at all locations by the end of the third quarter of 2028.

The project is expected to cost $147 million, and the agency does not expect additional operational costs as a result of the project. The operating and capital costs of this project are funded through the 2024 Regulatory Determination and are approved by the Essential Services Commission. The project will, therefore, have no impact on SA Water's overall borrowings or contributions to government.

SA Water has included the delivery of the project within the agency's Wastewater Major Framework Program. Procurement has been conducted in accordance with the agency's policies and procedures and conforms to all applicable Treasury and government policies. The agency uses procurement frameworks and enables the sequential award of work, incentivising suppliers to perform well to ensure continuity of work.

The agency states that this delivers significant efficiency benefits through collaboration, innovation, consistency, planning and programming. Option analysis and concept design was completed by SA Water Engineering and the award of the design and construct package shall be in accordance with SA Water's Delegation of Financial and Procurement Authority, as well as applicable Treasury and government policies.

The project is being managed in accordance with SA Water's Corporate Project Management Methodology by a project manager from the agency's Capital Planning and Delivery Group. The project manager is responsible for the development and delivery of the overall project, including seeking the necessary approvals and management of the selected contractor.

SA Water has a business management policy and framework which is used to identify risks, determine related impacts and develop mitigation strategies. Potential risks identified include:

extended lead times due to external factors;

delays due to ElectraNet requirements to deliver enabling works (but there has been a stakeholder plan prepared); and

uncontrollable environmental conditions for which detailed design has included comprehensive site investigations and enabling works to have been planned to complete before winter.

An environmental control plan has been prepared to ensure the project is delivered in compliance with relevant regulations. The selected contractor will be required to establish a construction environmental management plan outlining the general environmental controls and mitigation measures that will be implemented during project delivery. A site environmental plan will be developed to address site-specific environmental management requirements and associated approval conditions. SA Water will monitor the execution of both plans by means of site inspections and audits.

SA Water states it is reviewing relevant and available information regarding the likelihood of encountering Aboriginal cultural heritage. The design and construct contractor will be required to comply with the agency's standard operating procedure for the discovery of Aboriginal heritage during construction work. Should any Aboriginal sites, objects or remains be found, works will cease immediately, and the contractor should contact an environment and heritage expertise representative.

It is a prerequisite that site employees be familiar with the requirements of these procedures prior to conducting ground disturbance works. Working in flood plain areas of the River Murray may require monitoring pending final design and alignment of the cable run from the workshop to the levee area at Murray Bridge Onkaparinga Pump Station 1. Native title implications are being reviewed for all three locations, with further advice to be sought from the Crown Solicitor's Office. The agency states no local estate heritage is listed within the vicinity of the proposed works alignment.

Internal stakeholders and partner organisations will be kept informed throughout the project life cycle via project progress meetings. SA Water states that the submission has been circulated amongst relevant government departments, and they have indicated support for the project.

The committee examined written and oral evidence in relation to the Electrical Infrastructure Upgrades Program—Tranche 1. Witnesses who appeared were Emma Goldsworthy, Senior Manager from SA Water, and Greg O'Grady, Senior Project Manager for SA Water. I 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.