Better Water Infrastructure Australia needs engineers to future-proof water infrastructure

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1 Better water plan 1 Better Water Infrastructure Australia needs engineers to future-proof water infrastructure Professionals Australia Respect, recognition and reward

2 2 Better water plan Professionals Australia is calling on technical professionals working throughout the water industry to join together and strengthen your voice for change. This is the start. This is our draft plan. But we want your input, support and participation to ensure that the information is correct, the solutions are viable, and the decision-makers listen. Please visit: Professionalsaustralia.org.au/betterwater and register your interest. Otherwise, contact our Water Industry Coordinator, Luke Crowley, at

3 Better water plan 3 Future proofing Water Infrastructure Every two and a half years the Australian Population grows by one million people. By 2031 water consumption will double. We need to act now to manage this demand. Dear Water Professional, Australia currently benefits from some of the best water infrastructure in the world, but there is a problem a number of factors are combining to build pressure in the system to the point where unless pre-emptive action is taken now, our water infrastructure will crumble. Firstly, Australia is experiencing extraordinary population growth every two and half years, we add another one million people. By 2031, Australia will have roughly 8.2 million more people than it did in 2011, bringing our total population to approximately 30.5 million people. According to Infrastructure Australia s 2015 National Infrastructure Audit, over this same period the volume of water consumed by Australians will double. As a professional working in this industry, you know the strain this demand growth will place on your own organisation. Secondly, Australian weather patterns are turbulent and relatively unpredictable between the cyclone season up north, regular flooding, relentless periods of drought across the nation, bushfires and the uncertainty of climate change, Australia s water infrastructure regularly takes a beating. Future-proo fing our water infrastructure against such turbulence needs to start now. Thirdly, Australian governments now lack the necessary internal engineering and technical expertise to be considered an informed purchaser; a situation which is further exacerbated by our ageing population, increasing retirement of a generation of experts, and lack of training opportunities for young professionals. If Australia is to maintain its existing world-class water infrastructure, and build new infrastructure to meet the demands of rapid population growth and a turbulent climate, action needs to be taken now. Professionals Australia represents a strong and vocal membership of technical professionals across the spectrum of water sector employers, including government, non-profit and private. These professionals are integral in the planning, delivery and maintenance of water infrastructure, and as such, deserve greater respect, recognition and reward. We know there are issues in the water industry and we know these issues will only get worse if funding and skill concerns are not addressed. How do we know? Because our members know. And we listen to our members. Professionals Australia is currently working to future-proof the water industry against the foreseeable issues impacting the industry, but to do this, we need to: 1. Listen to the professionals in the industry; and 2. Lobby decision-makers as an informed community. With that, I extend an invitation to all technical professionals working in the water industry to be a part of this initiative, and help shape our plan from the ground up to make the voice of your industry stronger. Please visit: Professionalsaustralia.org.au/betterwater and register your interest. Otherwise, contact our Water Industry Coordinator, Luke Crowley, at lcrowley@professionalsaustralia.org.au. Thank you, Chris Walton, CEO Professionals Australia

4 4 Better water plan A system under pressure The tipping point is on the horizon if governments allow for a situation to arise where there is a shortage of expertise in its ranks, it becomes an uninformed purchaser, unable to deliver and maintain critical water infrastructure. Action is needed now. Australian households and businesses currently benefit from some of the best water infrastructure in the world, delivering high quality water across the nation. However, the according to the Australian Infrastructure Audit, the volume of water used across Australia is expected to double by Water infrastructure will require significant new investment if it is to keep up with this rapidly growing demand. Furthermore, while Australia currently boasts world-class water infrastructure in urban areas, rural regions have been largely neglected, with some areas not meeting standards for drinking water. The Audit also found that water asset maintenance programs suffered from underinvestment, resulting in an ageing infrastructure. The consequences If Australia is to develop and maintain the required infrastructure to deliver quality water to individuals and businesses in urban and rural locations, Governments will need to make that significant additional investment over the coming years. Additional funding should address current failures in the system, to boost the capacity of existing infrastructure, build new infrastructure where needed, and provide the maintenance that our water assets sorely need. SECURITY poor water supply in rural areas; poor water quality in rural areas; lower business access to water in rural areas; increased risk in case of drought; greater susceptibility to weather variation; and networks may not be able to provide for future demand. INFRASTRUCTURE aging infrastructure at risk of failure; increased risks to the community and the economy; poor project selection; inadequate asset maintenance; and higher-cost replacements required due to inadequate maintenance. EFFICIENCY poor efficiency in the water industry has the potential to cause significant waste and poor-value outcomes for the community; delays; wasteful investment; poor project selection; and less new infrastructure and maintenance due to funds being wasted.

5 Better water plan 5 Water and sewerage infrastructure and water resources are critical to the ongoing prosperity of Australia s mining, agriculture, manufacturing and industrial sectors. In our cities and towns, water supply infrastructure is critical to the wellbeing and prosperity of households and businesses. Infrastructure Australia, Australian Infrastructure Audit Security Individuals and businesses across Australia depend on the reliable supply of water. Mining, agriculture, manufacturing and industrial sectors all require significant amounts of water in order to function, while households require clean drinking water in order to survive. In 2011, the total volume of water supplied across Australia totalled 7,641 gl. This figure, while already significant, is expected to double by 2031, rising to a forecast 15,285 gl. Over the same period, the volume of sewerage collected will rise by 25 per cent, while the number of households services will increase by 36 per cent. Infrastructure Of particular importance to the discussion around water asset management is the topic of maintenance. Infrastructure Australia has identified chronic underinvestment in national water assets, causing this infrastructure to age. With demand expected to skyrocket over the coming years, these assets will either require significant maintenance work or costly replacement if asset management plans are not strengthened. Efficiency In a recent report released by Deloitte Access Economics, 46 per cent of water industry workers identified a lack of operational efficiency as a major issue for the water industry. Similarly, 45 per cent identified a need for a need for additional maintenance and augmentation of water infrastructure as a major issue. Collectively, these two problems have been highlighted as the greatest challenges facing the industry. While there is little doubt that further investment in assets is required, improved efficiency could ensure that money invested in water assets goes further and provides best-value outcomes. The expected demand growth by 2031 will place significant pressure on Australia s water security. The variability of Australia s climate makes water security a major issue, with drought having wreaked havoc on water supplies across Australia over the years. While water assets have received some additional investment since 2008, the level of investment has slowed as a percentage of GDP more recently. If this weak investment in water assets continues, then there is a growing risk that national water infrastructure will not be adequate to meet the needs of the population in the future, particularly if another major drought strikes. In order to ensure that Australia s water supply remains secure into the future, significant investment and improved efficiency will be required. Additionally, Australia requires a thorough plan for managing Australia s rural water assets, and providing additional investment to improve supply. At present, urban areas receive the majority of the benefit from Australia s water infrastructure. As a result, there are many rural areas that do not receive a water supply that meets standards for drinking water. If Australian infrastructure is to remain at a world-class standard, then investment needs to address current shortfalls. Strong engineering capacity is the key to greater efficiency in the water industry. Asset investment and maintenance programs should be critically assessed from an engineering standpoint to ensure that best-value projects are being chosen. Only by directing investment to the most critical areas where best value can be achieved, will the issue of inefficiency be addressed. However, in order for water authorities to best direct their investment, their level of engineering capacity will need to improve, both to guide their internal decision making and to critically assess private contributions.

6 6 Better water plan Solution 1. Government becomes an Informed Purchaser A significant issue in ensuring that water infrastructure is well managed is ensuring that Governments are informed purchasers. In order to do this, engineering and technical workforce capability in the water industry needs to be strengthened. Greater engineering capacity in water industry could deliver greater efficiency from investment and ensure that maintenance and new investment programs are targeted to areas that will deliver best-value outcomes. 2. Invest in infrastructure Additional investment in water assets will be vital over the coming years in order to cater for growing demand. This investment should recognise infrastructure as a long-term investment with significant social, economic and political dividend. New sources of funds for infrastructure and maintenance should also be identified. If privatisation programs are implemented, the returns should be reinvested in strengthening water assets. 3. Plan an infrastructure pipeline The water infrastructure industry requires a strong, cohesive plan for future investment if the needs of individuals and businesses are to be met into the future. At present, state-based systems provide little planning for investments of national significance, such as addressing rural supply problems. A strong pipeline of projects and maintenance programs would assist in addressing these issues and ensure that Australia s water industry is always improving. 4. Improve procurement Restructure and reform procurement procedures to reduce waste and delays and achieve better outcomes for the community and promote confidence in decision making. Engineering skill is the key to delivering efficient infrastructure management in the water industry. This process should involve: Up skilling of engineering capacity, strong workforce development, the development of a long-term plan for infrastructure management, and the implementation of vital maintenance programs. 5. Register Engineers Protect the economy and health and safety of the community through the use of registered and accredited professional engineers who maintain and enhance their professional skills. Any threat to the availability of clean water and sewerage systems can have an immense impact on the community and businesses. 6. Develop a Sustainable Workforce Implement a long-term workforce development plan for engineers and technical professionals developed through ongoing collaboration of industry, education providers and the profession. Ensure there are adequate capable engineers in the industry to design, deliver and maintain water assets. Ensure water companies invest back in the key enabling profession of engineering. Promote the public good done by engineers to help lift the status of the engineering profession.

7 Better water plan 7 Advancing change to achieve solutions Achieving solutions requires a plan and expert guidance. This is our plan, but it only works with your guidance and input. 1. Identify, confirm and understand the issue. To begin, there needs to be an issue, or an opportunity. In most cases, issues lead to opportunity. We know there are issues in water, because our members have told us, but it is important to take an objective view of an issue to begin with this ensures that we re not swayed by ulterior motives. Once the issue is known, we consult, research, and confirm. 2. Engage with stakeholders. The best arguments are backed by evidence and are open to criticism. Once the issue is known, we seek out those who do not support your argument, and find out why, and get their evidence. If your argument is based on false or inaccurate information, you want to know before the campaign starts. 3. Identify and test solutions. Now that we know the issue, we ve crafted our story and know what the end result should be, we can build the campaign. The primary function of a campaign is to identify the key stakeholders and to grow awareness of the issues. We do this by demonstrating support for the campaign and promoting the consequences of the status quo. 4. Build the campaign. For any issue to be overcome, it needs a solution the light at the end of the tunnel. Using the best minds at our disposal, we will prepare a list of solutions and what the final outcome is. Then test that solution with the critics. We might not win over everybody, but by knowing peoples positive and negative responses is how we form new solutions. 5. Create community awareness. It is critical that decision-makers understand there is support for the solutions being presented in the campaign. Building support means engaging in a range of activities designed to target different audiences and generate wide-spread support for an issue to be overcome. Activities include generating media coverage, writing to members, consulting with industry, engaging in social media, and producing and distributing information such as flyers, posters, videos. The list of awareness raising activities is endless, and largely depends on the audience and the objective. 6. Lobby the decision-makers. We know the issue. We know the solution. We ve collected as much support as possible, and it s overwhelming. The next step is to package it up, and begin lobbying the decision-makers. Whether it is a spray and pray approach to all MPs nation-wide, or intimate meetings with known allies, the idea is to present our story and the arguments in a manner in which the decision-makers cannot ignore. If the argument is sound, support is strong and the solutions are deliverable and achievable, there should be no reason for the decision-makers not to listen and act. While they might not fear us, they probably fear you. 7. Maintain the relationships We have done a lot of hard work bridging the gap between those on the ground, and those calling the shots. Regardless of the outcome, we ll have formed valuable relationships that should be maintained. Please visit contact our Water Industry Coordinator, Luke Crowley, at lcrowley@professionalsaustralia.org.au to have your say in our plan.

8 8 Better water plan Respect, recognition and reward Better water infrastructure Level 1, 163 Eastern Road SOUTH MELBOURNE VIC 3205 Professionalsaustralia.org.au/betterwater