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House of Assembly - Fifty-Fifth Parliament, First Session (55-1)
2025-09-04 Daily Xml
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Parliamentary Committees

Public Works Committee: Happy Valley Water Treatment Plant Powder Activated Carbon Dosing System

Ms HOOD (Adelaide) (11:47): I move:

That the 147th report of the committee, titled Happy Valley Water Treatment Plant Powder Activated Carbon Dosing System, be noted.

The Happy Valley Water Treatment Plant, hereon referred to as 'the treatment plant', plays a pivotal role in Adelaide metro's water distribution and serves approximately 450,000 SA Water customers. The Happy Valley Reservoir, which supplies the treatment plant, is prone to algal blooms that can affect the taste and odour of the water. To ensure the delivery of high-quality service to customers, powder activated carbon (PAC) is utilised in the treatment process to remove these compounds.

Installed in the late 1990s, the current powder activated carbon dosing system no longer meets operational demands and, due to its manual nature, it is unable to meet the productivity required during peak periods. Additionally, the significant volume of manual handling involved in storing and moving PAC around the site creates unsatisfactory work conditions and safety risks.

The new system will streamline the storage and handling of PAC materials within a purpose-designed all-weather storage facility. It will utilise automated processes, specialised material handling equipment and extraction fans to ensure safer work conditions as well as increase efficiency. This will also lead to an overall reduction in operational disruptions related to PAC handling and dosing, leading to more reliable water treatment processes.

An optioneering assessment investigated multiple solutions to manage the existing issues against a base case in which no upgrades were made to the system:

option 1 involved PAC bulk loading, which was ruled out due to the introduction of additional high-process risks;

option 2, which provided installation of a new hopper only, and did not satisfy project safety objectives; and

option 3, the preferred option, which involves the installation of new unloading equipment within a dedicated storage and material handling facility.

The preferred option was selected after considering technical and financial components, risk management and net present value and because it resolves safety concerns regarding excessive manual handling, unsafe bag access, chemical storage risks and dust and ventilation issues. The project works will include: site preparation, including the removal of existing equipment; the construction of a storage and materials handling building; the installation of unloading and materials handling equipment; and all utilities and ancillary works. Works are expected to commence in the first quarter of next year, with the anticipation that it will be complete by early 2027.

The project is expected to cost approximately $6.6 million. The agency does not anticipate additional operational costs. Funds are available for the project within the capital budget submitted by SA Water to the Essential Services Commission of South Australia for the 2024 regulatory determination budget and will therefore have no impact on SA Water's overall borrowing or contributions to government.

Project procurement has been conducted in accordance with SA Water's policies and procedures and conforms to all applicable Treasury and government policies. The agency uses procurement frameworks that enable the sequential award of work, incentivizing suppliers to perform well to ensure further contracts. The agency states this delivers significant efficiency benefits through collaboration, innovation, consistency planning and programming.

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 as well as management of the selected contractor.

SA Water utilises a business management policy framework to manage risk throughout the delivery of the project. Facilitated risk assessment workshops were held with relevant stakeholders, engineers and construction leads to identify business, operational and project risks. Key risks include:

any contaminated soil encountered during construction, for which a soil testing contractor has been engaged;

unknown or unexpected services encountered, for which relevant potholing has been undertaken; and

any groundwater encountered during construction, for which the project has undertaken geotechnical investigation.

Design and construction risks will continue to be evaluated during the detailed design process.

SA Water is committed to operating sustainably to support viability now and into the future. The selected contractors will be encouraged to develop processes with regard to short and long-term, local and global, social, economic and environmental influences, including conservation and efficient use of resources and raw materials, engaging local subcontractors where possible, reducing carbon emissions, developing flexible processes and products, and implementing recycling and reuse where possible.

The agency has prepared an environmental control plan to ensure the project is delivered in accordance with relevant regulations, and a site environmental management plan will be developed to address site-specific environmental management requirements and associated environmental approval conditions. SA Water will monitor the execution of both plans via site inspections and environmental audits.

SA Water has reviewed native title status at the work locations, and states there are no implications for the project. Assessments have identified there is medium risk of encountering Aboriginal heritage. Should this occur, works will cease and an environmental and heritage expertise representative will be contacted. The agency states no local or state heritage is listed within the vicinity of the proposed works alignment.

Construction will occur within SA Water-owned land and requires no public consultation as it has no direct public access. Internal stakeholders and partner organisations will be involved and kept informed throughout the project life cycle. The submission has been circulated amongst relevant government departments that have indicated support for the project.

The committee examined written and oral evidence in relation to the Happy Valley water treatment plant powder activated carbon dosing system project. Witnesses who appeared before the committee were Michael O'Sullivan, Senior Project Manager, Program Delivery, SA Water; and Emma Goldsworthy, Senior Manager, Capital Delivery, SA Water. I thank the witnesses for their time. Based upon 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.

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