Download docx - Department of the Environment and Energy · Web viewOther threatened species, including Murray cod, silver perch and freshwater catfish, were also found. In the Murrumbidgee catchment,

Department of the Environment and Energy

Annual Report 2016–17

Chapter 2: Annual Performance Statements

www.environment.gov.au/annual-report-2016-17

© Commonwealth of Australia, 2017.

http://www.environment.gov.au/annual-report-2016-17

Annual Performance Statements

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2 Annual Performance Statements

Statement of preparationI, Finn Pratt, as the Accountable Authority of the Department of the Environment and Energy, present the annual performance statements of the Department, covering the 2016–17 financial year, as required under paragraph 39(1)(a) of the Public Governance, Performance and Accountability Act 2013 (PGPA Act). In my opinion, these annual performance statements are based on properly maintained records, accurately reflect the performance of the entity, and comply with subsection 39(2) of the PGPA Act.

Departmental purposes and activitiesThe Department delivers major Government initiatives to promote the conservation and sustainable use of Australia’s natural resources and to ensure community and industry energy needs are met through the efficient use and adequate, reliable and competitive supply of energy. These initiatives deliver outcomes across four purposes: environment and heritage, Antarctica, climate change, and energy.

The Department pursues these purposes through 10 activities. The annual performance statements report on our fulfilment of these purposes and activities during 2016–17. Performance criteria and targets outlined in the following sections were included in the Department’s Portfolio Budget Statements 2016–17 and/or Corporate Plan 2016–17 and their location in these documents is provided in the results tables. Some performance indicators were updated in the Portfolio Additional Estimates Statements 2016–17; where relevant this is indicated in the performance tables.

Table 2.1 illustrates the alignment between the purposes and outcomes outlined in the corporate plan and portfolio budget statements.

Table 2.1: Alignment between purposes and outcomes outlined in the Corporate Plan 2016–17 and Portfolio Budget Statements 2016–171

Corporate Plan Portfolio Budget StatementsPurpose Activity Program OutcomeEnvironment and Heritage Conserve, protect and sustainably manage Australia’s biodiversity and heritage

Investing in our environment and heritage

Program 1.1: Sustainable management of natural resources and the environment

Outcome 1: Conserve, protect and sustainably manage Australia’s biodiversity, ecosystems, environment and heritage through research, information management, supporting natural resource management, establishing and managing Commonwealth

Program 1.3: Land Sector Initiatives

Regulating to protect our

Program 1.4: Conservation of

1 Formerly responsibility of the Department of Industry, Innovation and Science under Outcome 1, Program 2, Sub-program 2.5.

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Corporate Plan Portfolio Budget StatementsPurpose Activity Program Outcome

environment and heritage

Australia’s Heritage and the Environment

protected areas, and reducing and regulating the use of pollutants and hazardous substances.

Program 1.5: Environmental Regulation

Environmental health

Program 1.6: Management of Hazardous Wastes, Substances and Pollutants

Environmental watering

Program 4.2: Commonwealth Environmental Water

Outcome 4: Improve the health of freshwater ecosystems (rivers, wetlands, flood plains) through research, education and environmental watering and strengthen the water resources knowledge base.

Climate Change Develop and implement a national response to climate change

Reducing Australia’s greenhouse gas emissions

Program 2.1: Reducing Australia’s Greenhouse Gas Emissions

Outcome 2: Reduce Australia’s greenhouse gas emissions, adapt to the impacts of climate change, contribute to effective global action on climate change, and support technological innovation in clean and renewable energy, through developing and implementing a national response to climate change.

Program 2.3: Renewable Energy Technology Development

Adapting to climate change

Program 2.2: Adapting to Climate Change

Antarctica Advance Australia’s strategic, scientific and environmental interests in the Antarctic

Antarctic science, policy and presence

Program 3.1: Antarctica: Science, Policy and Presence

Outcome 3: Advance Australia’s strategic, scientific, environmental and economic interests in the Antarctic region by protecting, administering and researching the region.

Energy Support the reliable, sustainable and secure operations of energy markets through improving Australia’s energy efficiency, performance and productivity for the community

Energy security

Program 5.1: Energy Outcome 5: Support the reliable, sustainable and secure operations of energy markets through improving Australia’s energy efficiency, performance and productivity for the community.1

Energy market reform and energy efficiency programs

Relates to ‘Environment and Heritage’ and supports all other

Science, information and research

Relates to Outcome 1, Program 1.2: Environmental information and research, and Outcome 4, Program 4.1: Water science and wetlands. Supports all other outcomes and programs.

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Corporate Plan Portfolio Budget StatementsPurpose Activity Program Outcomepurposes

Performance against purposes and activities

Environment and heritagePurpose: Conserve, protect and sustainably manage Australia’s biodiversity and heritage

Activity: Investing in our environment and heritageThe Department delivers investments across a range of natural resource management and biodiversity conservation programs to protect Australia’s environment and heritage. We direct funding to help communities take practical action to improve their local environment and promote sustainable management, with flow-on social and economic benefits. The programs we deliver include the Reef Trust, the Green Army, the Biodiversity Fund, Improving Your Local Parks and Environment, and the National Landcare Program, including 20 Million Trees.

We develop and implement strategies to protect our environment and heritage such as the Threatened Species Strategy and initiatives to improve the health of the Great Barrier Reef, including the Reef 2050 Long-Term Sustainability Plan.

Our programs and strategies help us to meet our international obligations and represent Australia’s interests at international forums on biodiversity and heritage matters.

Results against performance criteria and targetsIntended result: Improve the extent, condition and connectivity of Australia’s unique biodiversity and natural resources, including the Great Barrier Reef, through protection of habitats and mitigation of threats to threatened species and ecological communities.

Performance criterion

Australia meets its obligations under international environmental agreements.

Source PBS 2016–17 p. 40, Corporate Plan 2016–17 p. 18Result Achieved

Australia is meeting its obligations under international environmental agreements such as the World Heritage Convention and the Convention on Biological Diversity. In 2016–17, the Department continued to contribute to meeting these obligations by aligning the delivery of biodiversity and heritage-related strategies and programs to the protection and conservation of internationally recognised species, ecosystems and heritage places, as well as targeting funding to support Indigenous people’s engagement in environmental and natural resource management planning and management.

Convention on Biological Diversity

Australia maintained its reputation as an active, balanced and constructive party to the Convention on Biological Diversity during 2016–17. The Department provided written submissions to the secretariat and the global community, consulted with like-minded countries, fulfilled our responsibilities as the Japan, United States, Canada, Australia and New Zealand (JUSCANZ)2 representative

2 JUSCANZ is an informal regional group of countries under the convention. Its members are Japan, the United States of America (not a party to the convention), Canada, Australia, New Zealand, Switzerland, Liechtenstein, Iceland, Norway and

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on the conference of the parties bureau, and participated effectively in the 13th Conference of the Parties in December 2016. We consulted extensively in the lead-up to the conference, seeking advice and views from almost 20 Australian, state and territory government agencies and from Indigenous groups, businesses and non-government organisations.Domestically, we continued to implement our obligations under the convention. For example, we led a review of Australia’s Biodiversity Conservation Strategy 2010–2030, which was endorsed by all environment ministers in November 2016, and are working with state and territory governments and the Australian Local Government Association to revise the strategy to improve its alignment with the convention and other biodiversity-related international agreements. We reported on progress to the convention secretariat as required, and provided information to the domestic and international community on progress against the current strategic plan and the Aichi biodiversity targets.More information on Australia’s Biodiversity Conservation Strategy 2010–2030 is on our website.www.environment.gov.au/biodiversity/conservation/strategy/review-australias-biodiversity-conservation-strategy-2010-2030In 2016–17, we continued to provide secretariat support to the Australian Business and Biodiversity Initiative. The initiative, established by the business sector in 2014, is recognised as the Australian arm of the Global Partnership for Business and Biodiversity which was established following decisions under the convention in 2010 and 2012. The partnership recognises that business needs to play a critical role in addressing the loss of biodiversity.The Australian Business and Biodiversity Initiative is an alliance of organisations and individuals from business, government and the community committed to integrating biodiversity and sustainability into their policies and practices.In 2016–17, the Department hosted the initiative’s Australian launch of the Natural Capital Protocol, led the development of two initiative newsletters, chaired a session during the business stream of the Oceania Ecosystem Services Forum, and provided fortnightly secretariat support to the initiative’s steering committee.

World Heritage Convention

In 2016–17, the Great Barrier Reef World Heritage property remained off the United Nations Educational, Scientific and Cultural Organization (UNESCO) list of World Heritage properties in danger, reflecting Australia’s continued good stewardship in managing the Reef through the Reef 2050 Long-Term Sustainability Plan. On 1 December 2016, we provided the Reef 2050 plan update on progress to the UNESCO World Heritage Centre and the International Union for Conservation of Nature (IUCN), as requested by the World Heritage Committee. Annexed to the progress update and released at the same time was the Reef 2050 Plan Investment Framework, which confirmed current investments in protecting the Reef, determined future investment priorities and set out a strategy for boosting investment and diversifying investment sources.On 4 July 2017, the 41st World Heritage Committee recognised Australia’s initial work on the Reef 2050 plan and expressed appreciation for the significant efforts by everyone involved in implementing the Reef 2050 plan. The committee’s

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http://www.environment.gov.au/biodiversity/conservation/strategy/review-australias-biodiversity-conservation-strategy-2010-2030

http://www.environment.gov.au/biodiversity/conservation/strategy/review-australias-biodiversity-conservation-strategy-2010-2030



concise state of conservation report confirmed inception of the Reef 2050 plan has been effective. In their analysis, the World Heritage Centre and the IUCN noted serious concern about the coral bleaching and mortality that affected the Reef in 2016 and 2017. They identified climate change as ‘the most significant overall threat’ to the Reef and to World Heritage listed coral reefs globally. The Reef 2050 plan recognises that climate change is the greatest threat facing the Reef. The plan’s purpose is to boost the health and resilience of the Reef so it is better able to deal with the effects of climate change. The committee also noted that ‘progress towards achieving water quality targets has been slow’ and that ‘the “most immediate” water quality targets set out in the Reef 2050 plan are not expected to be achieved in the set time frames’.Australia agrees with the committee about the importance of meeting water quality targets and continuing targeted investment in water quality to protect the Reef. The Department has accelerated efforts in this regard, with the majority of investment in the Reef 2050 plan—$573 million over the next five years—focused on water quality actions.For our report on progress in implementing the Reef 2050 plan, see the Reef 2050 plan target below.

Target Continued implementation of the Reef 2050 plan focused on the 97 actions identified as immediate priorities in the Reef 2050 plan implementation strategy, including development of the Indigenous implementation plan, the guidelines for decision makers, the investment framework and key reporting requirements. Continued stakeholder engagement through the Reef 2050 plan governance structure, including the reef advisory committee and independent scientific expert panel.


Implementation of the Reef 2050 plan continued in 2016–17, with significant progress on actions achieved in the first 18 months of the 35-year plan. Of the 151 actions scheduled for the first five years, 32 are complete and another 103 are underway and on track. The 97 actions identified as immediate priorities are a subset of these. The Australian and Queensland government agencies responsible for these actions report on progress about every six months. The last progress report was released in December 2016. The six-monthly reporting cycle was affected in 2017 by a move to an online system. The next report will be released by December 2017, covering the implementation period up until 30 June 2017. www.environment.gov.au/marine/gbr/publications/reef-2050-plan-annual-report-implementation-strategy Significant outcomes so far include banning sea-based disposal of capital dredge material, placing restrictions on new port developments and introducing compliance measures for cane farming and grazing to improve water quality. The Reef 2050 plan involves all levels of government, industry and community working together to protect and improve the Reef’s health. Continued implementation of the plan is supported by stakeholder and expert input from the Reef 2050 plan Advisory Committee and the Reef 2050 plan Independent Expert Panel. In 2016–17, the committee and the panel each met four times. Areas of focus during this period included compiling the progress update and developing the investment framework for provision to the UNESCO World

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http://www.environment.gov.au/marine/gbr/publications/reef-2050-plan-annual-report-implementation-strategy

http://www.environment.gov.au/marine/gbr/publications/reef-2050-plan-annual-report-implementation-strategy



Heritage Centre and the IUCN (see previous performance criterion for further information). The Reef 2050 plan’s adaptive management approach and governance structures remain the right framework to guide a coordinated response. The mid-term review, scheduled for 2018, was bought forward to commence in mid-2017 and will provide an opportunity to reassess the plan in the context of recent widespread coral bleaching and mortality. In 2016–17, we began work to scope the review, with assistance from the Commonwealth Scientific and Industrial Research Organisation, the Australian Institute of Marine Science and James Cook University.Major milestones achieved during 2016–17 include:

release in July 2016 of the Reef 2050 plan Indigenous Implementation Plan to support and guide the approach to implementing the 23 traditional owner led actions. Drawing on broad consultation with traditional owners, the plan identifies coordination, cultural heritage and business capacity as the three priority areas of focus for implementation efforts

release in August 2016 of the first Reef 2050 Plan Annual Report and third Implementation Strategy, which summarised progress against all the Reef 2050 plan actions and identified key areas for implementation in 2016–17

release in September 2016 of the Reef 2050 plan policy guideline for decision makers, which provides practical advice on how to consider and support the plan’s targets, vision, outcomes and objectives. The guideline was developed after extensive consultation with stakeholders and was well received. References to this guideline are being added to other Reef-related guidance documents to ensure its uptake in decision-making

release in December 2016 of the Reef 2050 plan update on progress, provided to the UNESCO World Heritage Centre and the IUCN, as requested by the World Heritage Committee

release in December 2016 of the Reef 2050 Plan Investment Framework, which we finalised in collaboration with the advisory committee and the independent expert panel. The framework identifies six priority areas for investment in actions relating to the Reef Water Quality Protection Plan, the joint Field Management Program, the Reef 2050 Integrated Monitoring and Reporting Program, crown-of-thorns starfish control, and fisheries. It is already being used to inform investment decisions

commitments by the Australian and Queensland governments to invest more than $2 billion over the next 10 years to support the health of the Reef, including $1.28 billion mapped to the Reef 2050 plan actions over the next five years

beginning a review of the Reef Water Quality Protection Plan, which was identified as one of the 97 priorities for immediate action and investment. The review includes an update to the scientific consensus statement and risk assessment and the development of basin targets that will support better prioritisation of activities.

Target Reef Trust continues investment through phase IV and V investment strategies to deliver projects that address key threats, with a focus on improving water quality and coastal habitats, and protecting biodiversity. Reef Trust continues to pursue options for investment diversification, including through private and philanthropic investment, innovative financial mechanisms and offset delivery.

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Consistent with a 2016 election commitment, the Minister launched the investment strategy for phase IV of Reef Trust investment in October 2016. Under phase IV the following was achieved:

The Australian and Queensland governments combined to provide $7.1 million to support on-farm trialling of enhanced efficiency fertilisers across all cane growing regions of the Great Barrier Reef catchment. Sixty trials over three cane growing seasons will be conducted.

Grant funding of over $18 million was awarded to six projects under the Gully and Stream Bank Erosion Control Program in April 2017. Another three projects worth $10 million were announced in June 2017.

Grant funding of $15 million was committed for the repeated tenders in the Wet Tropics and Burdekin natural resource management regions.3 The Minister approved grants totalling $4.7 million under round one of the tender in May 2017. The second round opened in August 2017.

Funding of $6 million was provided to the Great Barrier Reef Marine Park Authority for crown-of-thorns starfish control.

In March 2017, the Minister released the investment strategy for phase V of the Reef Trust. Phase V has a strong focus on co-investment with the private and community sectors, which is consistent with the intention of the program to diversify sources of investment. Phase V of the Reef Trust investment includes:

grant funding of $4.5 million to support an estimated $12.8 million investment by sugar milling company MSF Sugar and sugar cane growers to improve on-farm nutrient management and improve the quality of water entering the Reef

grant funding of $5 million, matched by $5 million raised from private contributions to Greening Australia’s Reef Aid campaign, to restore priority wetlands along the Reef coast.

Arrangements to make marine offset payments to the Reef Trust were finalised with the last of the three Curtis Island LNG plant Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act) approval holders in December 2016. The approval holders are APLNG, QGC and Santos. In December 2016, the Minister approved payment of these funds to the Great Barrier Reef Marine Park Authority and the first payment was made in February 2017. As at 30 June 2017, there was $4.76 million in offset funds held by the Reef Trust.The Reef Trust offsets calculator was finalised and provides a method of ensuring that offset payments to the Reef Trust by approval holders under the EPBC Act are sufficient to offset significant residual impacts on matters of national environmental significance.

Target In collaboration with the Queensland Government, by June 2018, improve the quality of water entering the Great Barrier Reef from broad scale land use by reducing pollutant loads in priority areas, relative to 2008–09 baseline levels, by at least: 50 per cent for anthropogenic dissolved inorganic nitrogen; 60 per cent

3 Repeat tenders are a competitive process which provides financial incentives to sugar cane farmers to improve their nitrogen fertiliser and farm management practices. Sugar cane farmers set their own nitrogen reduction targets and determine the costs required to support the achievement of those reductions. The competitive nature of the process increases cost-effectiveness for achieving environmental outcomes by letting the market determine the amount to be paid for nitrogen reduction.

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for pesticides; and 20 per cent for anthropogenic sediment and particulate nitrogen.

Source PBS 2016–17 p. 39, Corporate Plan 2016–17 p. 19Result In progress

The annual Great Barrier Reef report cards are used to gauge progress towards the Reef Water Quality Protection Plan’s goals and targets. The latest report card, released in 2016 but based on 2015 data, assesses the combined results of water quality actions up to June 2015 and shows where we need to further concentrate our efforts and where we are making satisfactory progress.www.reefplan.qld.gov.au/measuring-success/report-cards/2015/These latest available results show that while the overall inshore marine condition remained poor, there were improvements in coral and water quality indicators.Some regions are more than halfway to the 2018 targets for dissolved inorganic nitrogen, sediment and/or pesticides. Across the Reef catchment there has been progress of more than 50 per cent towards the sediment and pesticide targets since 2008. The current trajectory of progress will not be sufficient to meet the 2018 targets, indicating that further effort is required.

Table 2.2: Modelled catchment load reductions (in Reef-wide, annual average anthropogenic loads, since 2008)

Pollutant 2018 target Report card 2015 resultsDissolved inorganic nitrogen 50% 18%Sediment 20% 12.3%Pesticides 60% 33.75%


Australia’s biodiversity, including threatened species, ecological communities, migratory species and significant heritage places, is identified, conserved and protected.


The Department continued to deliver policies and programs to improve the extent, condition and connectivity of Australia’s unique biodiversity and natural resources through practical actions targeted to protect habitats, mitigate threats to threatened species and ecological communities and support sustainable management across the landscape. Programs that contributed to these outcomes include the National Landcare Program, the Green Army, the Biodiversity Fund, the Reef Trust, and Improving Your Local Parks and Environment. Information on each of these programs is provided in subsequent targets.Australia’s Biodiversity Conservation Strategy 2010–2030 and the Threatened Species Strategy set the foundation for aligning our biodiversity conservation and natural resource management programs with Australia’s international obligations and national priorities. The strategies establish principles to target investment and guide action, as well as enabling our engagement across all jurisdictions, business and the community to help guide and influence co-investment and complementary actions.

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http://www.reefplan.qld.gov.au/measuring-success/report-cards/2015/


Australia’s biodiversity, including threatened species, ecological communities, migratory species and significant heritage places, is identified, conserved and protected.We began preliminary work to revise Australia’s Biodiversity Conservation Strategy 2010–2030 in collaboration with state and territory governments and the Australian Local Government Association. In November 2016, all Australian environment ministers endorsed the findings of the review of the first five years of the strategy (2010–2015) and agreed to the strategy’s revision. The review found that the strategy could better communicate with its audience, focus on biodiversity contributions across all landscapes, better influence biodiversity conservation activities and have improved alignment with international obligations. In revising the strategy we will look at opportunities to strengthen implementation, better coordinate efforts across governments and build capacity to meet current and emerging challenges. The Threatened Species Commissioner’s Threatened Species Strategy—Year One Report, released in December 2016, confirms progress made during the first year of implementing the strategy (2015–16) (for more on this, see the Threatened Species Strategy target on pages 33–36). The National Reserve System remained the cornerstone of national efforts to protect biodiversity. It includes more than 10,000 protected areas and covers more than 19 per cent of Australia’s landmass—over 150 million ha. In 2016–17, we continued to work with National Reserve System partners, state and territory agencies and non-government organisations in the private land conservation sector to shape future policy directions for the reserve estate that will ensure its ongoing contribution to conserving and protecting Australia’s biodiversity.

Case Study – Corner Inlet Connections—improving environmental outcomes while increasing farmgate returns

Corner Inlet is a Ramsar Convention listed wetland of international importance that supports a diversity of habitat.

With funding from the National Landcare Program’s regional stream to June 2018, the Corner Inlet Connections project in Victoria is being delivered through a partnership between the West Gippsland Catchment Management Authority, government agencies (national, state and local), community groups and industry bodies.

https://fieldcapture.ala.org.au/project/index/9a9d8d02-a28c-40b7-9653-0b96142f7147

Local farmers in the wetland catchment are being supported to control erosion on their properties by fencing off waterways from stock and undertaking revegetation along the edge of streams. They are being assisted to implement nutrient management plans tailored to their farming business.

When fully implemented, these plans will result in an average saving to the farmer of $27,579 in fertiliser outlay and an increase in pasture production of $47 per ha and provide the farmer with an improved understanding of how to manage water quality and run-off. These actions are improving the quality of the water which flows into Corner Inlet and the health of this important wetland. Increases in profitability for commercial fishers and for the local tourism industry are also supported as a result.

Target Contracted projects to plant 20 million trees in place by June 2020.Source PBS 2016–17 p. 40, Corporate Plan 2016–17 p. 19Result In progress

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https://fieldcapture.ala.org.au/project/index/9a9d8d02-a28c-40b7-9653-0b96142f7147

Target Contracted projects to plant 20 million trees in place by June 2020.The 20 Million Trees Program, funded under the National Landcare Program, supports local environmental outcomes by improving the extent, connectivity and condition of native vegetation that supports native species. The types of activities funded range from small, community-based tube stock planting projects to landscape-scale direct-seeding projects. Table 2.3 shows that the program is progressing well towards the target of 20 million trees by 2020, with projects to plant 13.45 million trees contracted to date. Project estimates show that 3.66 million trees have been planted and more than 2.5 tonnes of seed sown since the program started in 2014. The estimates show a steep increase in planting numbers between 2016 and 2018. The number of trees planted will be verified through final plant survival surveys that will be completed at the end of the program.In June 2017, the Minister launched the program’s third and final grant round and opened applications for the third and final tranche of service provider projects, valued at $27 million.

Table 2.3: 20 Million Trees program elements, as at 30 June 2017

Stream Number of projects

Trees contracted to be planted

Total cost ($m)

Grant round 1 55 1,110,000 $4.406Grant round 2 62 1,220,000 $4.809Tranche 1 22 6,750,000 $16.321Tranche 2 10 2,500,000 $7.286Greening in the west of Melbourne

1a 1,000,000 $5,000

Cumberland Conservation Corridor

13 743,754 $4.565

One tree per child 1 100,000 $0.300Planet Ark 1 21,000 $0.100Total 165 13,449,000 $42.828

a Contract with one organisation for delivery of projects across five areas.Note: Data sourced from the Department’s online Monitoring, Evaluation, Reporting and Improvement (MERIT) database.

Target Threatened Species Strategy targets are met.Source PBS 2016–17 p. 40, Corporate Plan 2016–17 p. 19Result In progress

The Threatened Species Strategy, released in July 2015, sets targets for improving outcomes for 20 priority birds, 20 priority mammals and 30 priority plants by 2020, as well as specific measurable targets for tackling feral cats and improving recovery practices for threatened species. It sets interim one-year and three-year targets in addition to the 2020 targets. At the end of the second year of implementation, June 2017, the Department was on track to meet targets. The Threatened Species Strategy—Year One Report, released in December 2016, confirmed the progress made during the first year of implementation (2015–16). www.environment.gov.au/biodiversity/threatened/publications/threatened-

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Target Threatened Species Strategy targets are met.species-strategy-year-one-reportThe report found that 21 of the 26 one-year targets were met in 2015–16. Another four were close to completion in 2016–17. Only one target will not be achieved. The incomplete target is to have 100 per cent of culled feral cats reported in the FeralCatScan phone app. This target—designed primarily to promote uptake of the app and mobilise community support—was overly ambitious. To support reporting of feral cat control efforts across the country, we commissioned a stratified survey by the Royal Melbourne Institute of Technology which counted the number of cats culled and provided additional data about community attitudes and limiting factors on humane, effective and justifiable culling of feral cats. The survey estimated that 211,000 feral cats had been culled across the country in the first year of the strategy.Since the appointment of the Threatened Species Commissioner in July 2014, over $228 million for more than 1000 projects has been mobilised to support threatened species recovery and improve their habitat. We achieved this largely by identifying activities that address threatened species as a priority for funding under the National Landcare Program (including 20 Million Trees), the National Environmental Science Program and the Green Army Program. Outcomes of 2016–17 projects that contributed to meeting the strategy targets included:

ongoing support for helmeted honeyeaters (Lichenostomus melanops cassidix) in 2016–17, through habitat improvement in Victoria, supporting an ongoing improvement in the population trajectory which has now more than doubled since 2014

construction commenced in 2016–17 on the expansion of the Mulligan’s Flat Nature Reserve in the Australian Capital Territory, which will triple the amount of safe habitat available to the reintroduced eastern bettong (Bettongia gaimardi) and eastern quoll (Dasyurus viverrinus).

In 2016–17, the Threatened Species Commissioner began focusing on the three-year targets of the strategy. These targets are more difficult to meet. They include having actions in place for all targeted plants, mammals and birds, improving the population trajectories of 10 targeted mammals and 10 targeted birds, having 50 per cent of threatened plant species stored in seed banks, beginning the eradication of feral cats on five islands and in 10 feral-free areas, and culling 1 million feral cats. In 2016–17, our activities that contributed to achievement of three-year strategy targets were:

starting implementation of the $5 million Threatened Species Recovery Fund to help community groups undertake projects to protect and recover threatened species. Funding agreements for the first nine projects totalling $990,000 were approved by Minister Frydenberg in 2016–17 and are underway. The remaining funds will be allocated following assessment of applications submitted during the open competitive grant round that ran from 5 May to 15 June 2017

launching the Threatened Species Prospectus in February 2017. The prospectus contains a selection of projects addressing targeted species. It is aimed at connecting project proponents with potential private sector investors to increase the total amount of funding available for threatened species recovery

providing $475,885 to support eight projects contributing to Threatened

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Target Threatened Species Strategy targets are met.Species Strategy targets. These projects include:

a workshop to support making five islands feral cat free by 2020 by facilitating knowledge and skill sharing between practitioners responsible for on-ground eradication efforts. This will help build capacity to carry out eradication plans and meet the target

controlling feral cats in open landscapes, including leveraging the success of some Indigenous rangers by facilitating knowledge transfer between different Indigenous groups and encouraging feral cat control

developing a seed-banking toolkit for community groups, land managers and conservation organisations to enable them to contribute to the target to store 100 per cent of threatened plant species in conservation seed banks by 2020

a report to investigate the potential of the horticulture and commercial nursery industries contributing to the target for recovering 30 threatened plants by enabling Australians to grow these plants in their gardens and generating revenue that could be used for conservation in the wild.

Tables 2.4 and 2.5 present a summary of regional natural resource management organisation projects that target Threatened Species Strategy priority species. The majority of projects are multi-year, continuing projects. Compared with 2015–16, there was a small increase in the number of projects targeting priority species funded in 2016–17.

Table 2.4: Regional delivery projects focused on Threatened Species Strategy priority bird species

Species Number of projects,

2015–16

Number of projects,

2016–17Eastern bristlebird 2 2Regent honeyeater 2 4Swift parrot 2 3Malleefowl 9 9Plains wanderer 2 2Orange-bellied parrot 2 2Southern cassowary 3 3Red-tailed black cockatoo (south-eastern) 1 1Hooded plover 1 2Helmeted honeyeater 0 1Total 24 29

Table 2.5: Regional delivery projects focused on Threatened Species Strategy priority mammal species

Species Number of projects, 2015–16

Number of projects, 2016–17

Greater bilby 3 3Eastern barred bandicoot 1 2Mahogany glider habitat 4 4Western ringtail possum 1 1

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Species Number of projects, 2015–16

Number of projects, 2016–17

Leadbeater’s possum 0 1Total 9 11

Note: Data sourced from the Department’s online MERIT database.

Case Study – National Environmental Science Program—delivering the evidence base for feral cat control

The National Environmental Science Program is a $145 million program that funds six research hubs and emerging priority projects from 2015 to 2021. One of these is the Threatened Species Recovery Hub, which brings together leading ecological experts to carry out research that improves the management of Australia’s threatened species.

The hub’s research in 2016–17 on the number of feral cats in Australia was an essential input to the Threatened Species Strategy, which is the first national systematic attempt to control the impacts of feral cats on Australia’s biodiversity.

This research delivered a robust evidence base to support management, planning and policy development for the control of feral cats. The project provided the first reliable estimate of the size of the feral cat population in Australia and its variation across space and time.

Its estimate of Australia’s feral cat population (varying between 2.1 million and 6.3 million, depending largely on rainfall) is lower than some estimates used since the late 1990s. What remains unchanged is the finding that feral cats are exerting a significant and unsustainable toll on native wildlife. This research is critical for informing national planning on feral cat control, including targets set in the Threatened Species Strategy. It also underpins planning and management at regional and local levels.

The hub’s findings received significant publicity, raising national and global awareness of the extent of the feral cat problem in Australia and the importance of investing in feral cat management.

Target 56 regional natural resource management organisations have delivered against National Landcare Program objectives.


Under the regional component of the National Landcare Program, the Australian Government is providing $450 million over four years to Australia’s 56 regional natural resource management (NRM) organisations to deliver funding, in consultation with local community groups, to address local and regional priorities that align with the program’s four strategic objectives:1. Communities are involved in caring for their environment2. Communities are managing landscapes to sustain long-term economic and social benefits from their environment3. Communities are protecting species and natural assets4. Farmers and fishers are increasing their long-term returns through better management of the natural resource base.Contracts under the regional stream of the National Landcare Program continue until 30 June 2018. As at June 2017, all 56 regional NRM organisations have projects contributing to the four strategic objectives. The greatest number of projects were against objective 1 (199 projects), followed by objective 3 (122

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Target 56 regional natural resource management organisations have delivered against National Landcare Program objectives.projects). In 2016–17, with the Department of Agriculture and Water Resources, we conducted a review of the National Landcare Program. The review’s findings confirmed that regional NRM organisations were aligning local targeted investment with national and international priorities. Projects that explicitly linked outcomes to related national and international policy frameworks were being delivered in 54 regions. www.nrm.gov.au/publications/national-landcare-program-review-report As part of the review we conducted a stakeholder survey on the program. The responses confirmed that regional investment allocations do address regional and local priorities and the Australian Government’s national priorities: 73 per cent said they agreed or tended to agree. The review also found that NRM organisations were supporting connection to and engagement of local communities in the delivery of on-ground activities and capacity building and in regional planning processes. www.nrm.gov.au/publications/national-landcare-program-stakeholder-survey-reportIn August 2016, regional NRM organisations submitted their annual self-assessments against the Australian Government’s performance expectations. A total of 36 regions self-assessed as meeting all expected practices. The Department reviewed the assessments and confirmed that 24 regions were meeting all expected practices. We rewarded good practice by offering 23 of these regions reduced reporting obligations, which they have begun reporting against.In 2016–17, the Department undertook formal desktop or on-site audits of the self-assessments for 28 regions. The audits aimed to identify best practices and enable us to share these practices to help raise the standard in all regions. We provided guidance to regions that were not meeting all expectations, to help them improve their practices and meet all expectations in advance of the annual self-assessment due at the end of June 2017. Performance expectations requiring improvement relate to Indigenous participation in aspects of NRM planning and delivery (16 regions), practices relating to financial reporting (10 regions), and monitoring, evaluation, reporting and improvement reporting (26 regions).

Case Study – Indigenous conservation initiatives in Western Australia

Rangelands Natural Resource Management (NRM) regional organisation in Western Australia is building the capacity of Indigenous people to manage their land, as well as reducing threats to nationally threatened species.

Rangelands NRM has supported the Ngadju people to take management responsibility for their country by developing a conservation action plan to guide on-ground activities. Capacity building is continuing, with over 120 Indigenous people participating in project events and 41 Indigenous people completing formal training courses.

Rangelands NRM is also fostering partnerships between the Ngadju people and local governments, mining companies and a regional biosecurity association to identify further training and employment opportunities.

On-ground actions have delivered over 120,000 ha of pest treatment and 38,850 ha of improved fire management. The project is targeting efforts to protect nationally threatened

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http://www.nrm.gov.au/publications/national-landcare-program-stakeholder-survey-report

http://www.nrm.gov.au/publications/national-landcare-program-stakeholder-survey-report

http://www.nrm.gov.au/publications/national-landcare-program-review-report

turtles and skinks, and priority species identified in the Threatened Species Strategy, including malleefowl (Leipoa ocellata) and greater bilby (Macrotis lagotis).

Target Improving Your Local Parks and Environment program projects deliver against program objectives.

Source PAES 2016–17 p. 31Result Data/information not available or incomplete

Improving Your Local Parks and Environment, a new program in 2016–17, is providing funding over four years to help communities revitalise, maintain, manage and improve local parks, nature reserves, rivers, coastal areas and community facilities. It aims to build community awareness of and engagement with the local environment while ensuring that communities benefit from better quality, more accessible green spaces. The program will benefit the environment through funding for the protection of natural assets and for activities that contribute to restoration and rehabilitation. During 2016–17, the Department worked with the Department of Industry, Innovation and Science’s AusIndustry group to implement the Australian Government policy directive to streamline the delivery of grant programs, using AusIndustry’s shared services Business Grants Hub. Through this arrangement we contracted 35 Improving Your Local Parks and Environment projects, with a total value of $13.35 million. As the first project began in June 2017, there are no data on progress against program objectives. Grant recipients will report to AusIndustry at scheduled times over the next year on how their projects are contributing to program objectives.

Target On average 500 Green Army projects commenced and up to 5000 participants engaged annually.

Source PBS 2016–17 p. 40, Corporate Plan 2016–17 p. 19Result Partially achieved

The Green Army Program will end on 30 June 2018, as announced by the Government in December 2016. Consequently, the program’s previous targets of 500 projects and up to 5000 participants were no longer applicable in 2016–17. In 2016–17, a total of 344 Green Army projects started and 3096 participants were engaged. Over the next 12 months we will deliver almost 119 new projects across Australia. The Green Army will continue through to June 2018 to implement the remaining projects.

Target 90 per cent of Biodiversity Fund projects substantially complete, delivering 50,000 ha of revegetation to improve vegetation condition and/or increase extent.


The majority of Biodiversity Fund projects were due to be finalised in June 2017, with the final stage of reporting due in August 2017. As at end September 2017, 90 per cent of projects were either complete or substantially complete.4

Biodiversity Fund projects have delivered a total of 58,719 ha specifically to increase the extent and condition of vegetation of a total of 67,690 ha planted.

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Target 90 per cent of Biodiversity Fund projects substantially complete, delivering 50,000 ha of revegetation to improve vegetation condition and/or increase extent.This figure is based on reported data from MERIT. It is only possible to report on plantings to the end of the 2016 calendar year as reports for the first half of 2017 are not yet available. Table 2.6 provides figures for the life of the program. The figures in the table differ from those reported in 2015–16 as a result of approval of outstanding reports and work by the Department to correct reporting inaccuracies. Data for the 2012 and 2013 calendar years are combined due to a shift from paper to online reporting in that period.

Table 2.6: Plantings through Biodiversity Fund projects (area and number of plants reported as being for purposes of increasing extent and condition of vegetation)4

2012 and 2013 2014 2015 2016Number of plants planted 266,680 3,724,810 2,936,053 2,247,001Area revegetated (ha) 359 30,322 21,752 15,357

Note: Data sourced from the Department’s online MERIT database.

Analysis against the activity’s intended resultIn 2016–17, the Department continued to enhance its capacity to target and address strategic priorities, recognising that it is critical to learn from, improve, build on and adapt our program investment and policy tools to achieve the best outcomes in priority areas around Australia.

Findings from the review of delivery arrangements for the National Landcare Program, enhanced guidance articulating our performance expectations for regional NRM organisations, and initial findings from the review of Australia’s Biodiversity Conservation Strategy 2010–2030 all contributed to improving our understanding of performance in meeting targets. This improved understanding will help guide how we design future investment programs. Our three-year evaluation of the Green Army Program, preparations for the mid-term review of the Reef 2050 plan, and revision of Australia’s Biodiversity Conservation Strategy 2010–2030 will continue into 2017.

Operational factors that affected the Department’s ability to achieve progress against our intended results in 2016–17 include:

the need for further work to improve data capture from Landcare projects. The National Landcare Program review survey data suggested that more data would be available on threatened species if recipients understood how this information needs to be reported into MERIT

the announcement that the Green Army program will end on 30 June 2018, requiring us to adjust program targets for 2017–18.

Building and maintaining strong partnerships with a wide variety of stakeholders is critical to our ability to deliver good outcomes. Examples are:

exerting influence internationally through Convention on Biological Diversity networks and driving multilateral cooperation as a JUSCANZ partner

working with the Queensland Government, scientific experts and researchers to protect the

4 Substantially complete means that the project has completed 75 per cent of its contracted targets, as reported on the MERIT database.

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Reef

working with Commonwealth, state and territory agencies to revise Australia’s Biodiversity Conservation Strategy 2010–2030

building business and community engagement and co-investment opportunities through the Australian Business and Biodiversity Initiative and the Threatened Species Prospectus

working with regional NRM organisations to build their organisational capacity and maximise their biodiversity outcomes.

Factors that impact our ability to report a comprehensive picture of our progress include reporting time frames and processes, and the time lag between project implementation and observed ecological outcomes. There is a lack of alignment between reporting periods for NRM programs, such as the Green Army, and annual reporting time frames. Grant recipients submit data reporting on the second half of the financial year in mid-August and the data then undergo quality assurance. The move to an online system for six-monthly reporting of progress on implementation of the Reef 2050 plan delayed the mid-2017 report. The time lag between project implementation and ecological outcomes affects our ability to report outcomes against performance criteria. For example, in 2016–17, there was significant progress in implementing better land management practices through the Reef 2050 plan but, because of the kinds of biogeochemical processes involved, it may take several years to see a response in the Reef’s marine system. Major processes and events such as widespread coral bleaching and cyclones can further delay responses.

Activity: Environmental wateringManaged environmental watering in the Murray–Darling Basin is a practical rehabilitation measure in which governments work together to reintroduce some natural variability in river flows to reconnect rivers, floodplains and wetlands for the benefit of the environment.

The Commonwealth Environmental Water Holder manages a large portfolio of environmental water entitlements with annual allocations that the Australian Government has acquired through investment in water-saving infrastructure and through strategic water purchasing throughout the irrigation districts of the Basin.

The Commonwealth Environmental Water Holder’s decisions about the best use of this water are guided by the Water Act 2007, the Environmental Watering Plan and Basin-wide Environmental Watering Strategy under the Murray–Darling Basin Plan.

The Department, through the Commonwealth Environmental Water Holder, is the administrative authority in Australia for the Convention on Wetlands of International Importance (Ramsar Convention). Australia has 65 Ramsar wetlands and more than 900 nationally important wetlands.

Results against performance criteria and targetsIntended results:

Protect and restore water-dependent ecosystems in the Murray–Darling Basin through the management and use of Commonwealth environmental water and manage Australia’s obligations under the Ramsar Convention.

Improve the knowledge of, and inform decision-making on, the impacts to and management of water-dependent ecosystems consistent with international and national obligations.




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Australia’s implementation of the Ramsar Convention is a shared responsibility between the Australian and state and territory governments. Contracting parties to the Ramsar Convention have an obligation to implement the Fourth Ramsar Strategic Plan 2016–2024 at national and regional levels. In 2016–17, the Department began developing Australia’s national implementation plans for the strategic plan and the Ramsar Convention’s program on Communication, Education, Participation and Awareness (CEPA). We will report on our implementation of these plans to the triennial conference of the parties in 2018.Under convention Article 3.1, contracting parties are encouraged to establish national wetlands committees to support the conservation of the wetlands included in the Ramsar list and, as far as possible, the wise use of wetlands under their jurisdiction. The Department chairs Australia’s national Ramsar implementation committee, which met twice during 2016–17 and continued to support efforts to meet Australia’s international obligations. This is particularly important for Australia as implementation of the convention is a shared responsibility between the Australian and state and territory governments. In line with convention Article 6.3, the committee helps ensure that those responsible at all levels for wetlands management are informed of, and take into consideration, recommendations regarding the conservation, management and wise use of wetlands and their flora and fauna.In 2016–17, we made progress under Goal 1 of the Ramsar strategic plan (integration of wetlands into other national policies) by incorporating wetlands issues into national environmental science research priorities, climate change mitigation and adaptation strategies, biodiversity conservation policy, forest policy and migratory bird conservation plans. We developed and published wetlands fact sheets on migratory shorebirds, Indigenous values, biodiversity, coastal/urban development, the community, mangroves and salt marshes, water flow and natural hazards. We promoted the value of wetlands in disaster risk reduction through World Wetlands Day celebrations and Wetlands Australia magazine.We contributed to raising the standard of convention governance and improving the effectiveness of convention bodies and working groups by:

representing Australia in its roles as Vice Chair of the Ramsar Convention Standing Committee, Oceania regional representative, and member of the Finance, Facilitation and Management Working Groups and of the 13th Conference of the Parties Working Group

chairing the international CEPA Oversight Panel and helping to develop its work program

supporting information sharing between Ramsar parties in the Oceania region on wetlands policy, management and threats, and in considering opportunities for collaboration, partnerships and funding

providing input to the work priorities of the Scientific and Technical Review Panel and supporting the work of the Oceania regional panel representative

providing funding for Pacific Island participants to attend the Oceania regional meeting in preparation for the next conference of the parties.

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Target All required assessments under Article 3.2 of the Ramsar Convention (change in the ecological character of Ramsar wetlands) are completed consistent with obligations under the convention.


Article 3.2 of the Ramsar Convention requires contracting parties ‘to be informed at the earliest possible time if the ecological character of any wetland in its territory and included in the List has changed, is changing or is likely to change as the result of technological developments, pollution or other human interference’. Parties must notify the convention secretariat of any detrimental changes in the ecological character of their Ramsar-listed wetlands. The Ramsar Convention does not require contracting parties to undertake assessments. However, through the national wetland committee we implement a rolling program to assess the status of Australia’s 65 Ramsar wetlands in line with Article 3.2. In 2016–17, we completed formal assessments, in conjunction with the New South Wales Government, of the Central Murray and Towra Point Ramsar sites. We also:

continued negotiating a formal assessment of the Riverland Ramsar site with South Australia

established an interjurisdictional steering committee to undertake a formal assessment of a potential change in ecological character of the Hunter Estuary Ramsar site.

With agreement from state and territory wetlands policy areas and the Ramsar Administrative Authority, the Department strengthened business processes (including standard templates and a decision support tool) to ensure that we are informed at the earliest possible opportunity of any potential change in ecological character (Article 3.2). We also established agreed business processes for rescinding Article 3.2 notifications.


Environmental watering improves the condition of water-dependant ecosystems in the Murray–Darling Basin.


Following dry conditions for much of the previous 12 months, in 2016 the Murray–Darling Basin experienced its wettest May–September on record.5 This resulted in high flows and flooding throughout much of the Basin, particularly in the Macquarie, Lachlan, Murrumbidgee and Murray river systems. The natural high flows had widespread environmental benefits, with some wetlands, floodplain forests and woodlands receiving water for the first time in over 20 years. We used Commonwealth environmental water to build on these benefits, including sustaining major waterbird-breeding colonies and extending the inundation of important wetlands. This environmental watering also mitigated some of the negative environmental impacts from the floods, such as poor water quality in the southern Basin. Throughout the year we delivered environmental water to support native fish habitat, breeding and movement.

Supporting waterbird breeding

Widespread and extensive water resource development since the 1950s has led to long-term declines in waterbird populations in the Basin. Large breeding

5 www.bom.gov.au/climate/current/statements/scs58.pdf21


Environmental watering improves the condition of water-dependant ecosystems in the Murray–Darling Basin.events, in response to high flows, are important to the ongoing survival of waterbirds. Following the 2016 flooding events, waterbirds formed large breeding colonies throughout the Basin. For example, over 500,000 waterbirds, including straw-necked ibis and New South Wales listed blue-billed ducks (vulnerable), were observed breeding at Booligal Wetlands in the lower Lachlan catchment. In the Macquarie Marshes, breeding colonies of straw-necked ibis (around 50,000 nests), egrets, royal spoonbills, white-necked herons, white ibis and various species of ducks were observed. Pelican breeding events also occurred in the Murrumbidgee and Lachlan catchments. Environmental water was used to maintain water levels at wetlands, including the Macquarie Marshes, Lowbidgee floodplain and Barmah–Millewa Forest. This minimised the likelihood of birds abandoning their nests before the breeding cycle was complete and provided foraging habitat for juvenile birds. The successful breeding events in places such as the lower Lachlan are the result of past environmental watering actions over several years. Previous actions have maintained the vegetation in good condition so that there is habitat available to support waterbird breeding when high flows arrive.

Refuge habitat and water quality

In the southern Basin, natural floods led to hypoxic blackwater events—that is, water with very low levels of dissolved oxygen. This in turn led to large-scale fish kills. To improve ecosystem health, we used significant volumes of Commonwealth environmental water in tributaries and anabranches of the Murray River (Edward–Wakool system and Rufus River), and in the main channels of the Murrumbidgee and Lachlan rivers and lower Broken Creek, to provide areas of refuge with high dissolved oxygen levels. Monitoring of the events is being analysed. Early results indicate that the flows mitigated the severity of the hypoxic impact. This is supported by anecdotal evidence from local delivery partners, who reported that the refuge areas attracted native fish and provided habitat critical to their survival.

Native fish habitat, breeding and movement

In 2016–17, Commonwealth environmental water supported the breeding and movement of golden perch from Queensland through to northern Victoria. In spring 2016, environmental water helped boost natural high flows in the Warrego, Border and Barwon–Darling rivers. Large numbers of golden perch spawned in response to the high flows in the northern Basin, with juvenile fish using the Menindee Lakes as nursery habitat. From February to June 2017, we released environmental water from the Menindee Lakes into the Great Darling Anabranch enabling juvenile golden perch to migrate into the Murray River (see the case study ‘Environmental flows in the Lower Darling River and Great Darling Anabranch’ on page 47). A series of coordinated flows in the Goulburn, Campaspe, Edward–Wakool and Murrumbidgee systems were initiated to encourage golden perch entering the Murray to travel upstream into these catchments. A similar flow in the Macquarie supported golden perch migration into the catchment from the Barwon–Darling.Commonwealth environmental water supported elevated baseflows and river flow pulses throughout the year in catchments (such as the Namoi, Darling, Goulburn, Campaspe, Loddon, Edward–Wakool and Murray, including into the Coorong). These flows sought to increase habitat, provide food and trigger

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Environmental watering improves the condition of water-dependant ecosystems in the Murray–Darling Basin.movement of native fish, including threatened species such as Murray cod and silver perch. In spring 2016, environmental water supported the largest Murray cod spawning event in the Lower Darling in 20 years.

Improving and maintaining native vegetation

Commonwealth environmental water use, coordinated with natural flows, supported or extended wetland and floodplain vegetation inundation. Outcomes included the most significant inundation of the western floodplain at Toorale since the natural floods in 2011–12, and extensive inundation of the Macquarie Marshes, wetlands in the Gwydir catchment, the Junction Wetlands in the Murrumbidgee, Moira grasslands in the Barmah–Millewa Forest and Ruppia stands in the Coorong. These flows helped to continue the recovery and/or maintain the health of these sites, which provide important habitat for a range of native animals.

Case Study – Environmental flows in the Lower Darling River and Great Darling Anabranch

Located in the semi-arid plains of south-west New South Wales, the Lower Darling River and Great Darling Anabranch form an important link between the northern and southern catchments of the Murray–Darling Basin. Having flows in these rivers at the right times and delivered in the right way is critical for native fish to reproduce and migrate between the Darling and Murray river systems.

From December 2016 to June 2017, we released approximately 160,000 ML of Commonwealth environmental water from the Menindee Lakes to flow through the Lower Darling and the anabranch. This environmental water added to flows released by the Living Murray Initiative and the New South Wales Office of Environment and Heritage. On-ground monitoring and research funded by the Commonwealth Environmental Water Office gave us confirmation that the water was meeting the ecological needs of the river system as it made its way downstream.

An important contributor to the success of this watering was the involvement of community members, who helped plan the events and helped water managers to monitor the flows. Landholders along the Darling Anabranch provided regular updates on water levels and the progress of the flows and environmental observations such as the response of frogs to the arrival of water.

The monitoring showed that environmental water supported the largest spawning event of Murray cod in the Lower Darling River in 20 years, enabling dispersal of high numbers of native fish from the Menindee Lakes. This event provided a significant boost to native fish populations across the connected rivers of the southern Murray–Darling Basin. The benefits are evident not just in the river ecosystem but through flow-on effects on tourism in local communities and recreational fishing across the southern river systems.

These watering events and many others like them in 2016–17 highlight the importance of the partnerships the Commonwealth Environmental Water Holder has with state agencies, scientists, river operators, the Murray–Darling Basin Authority and the Basin community.

Target All Commonwealth environmental water is actively and adaptively managed, including through use, trade, and carryover.

Source PBS 2016–17 p. 69, Corporate Plan 2016–17 p. 21

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Target All Commonwealth environmental water is actively and adaptively managed, including through use, trade, and carryover.

Result AchievedEach year, the Commonwealth Environmental Water Office prepares integrated portfolio management plans. These plans identify the likely use, trade and carryover of Commonwealth environmental water for the upcoming water year and years thereafter, and describe how water use will be adapted under different climatic scenarios. The importance of this scenario planning was demonstrated dramatically in 2016–17, when a forecast continuation of drought gave way to record rains leading to high inflows into rivers and storages. This meant we needed to move from managing a shortfall in water to meet environmental demands, to handling a situation where there was excess water and difficulty delivering it (as water held in storage is strictly managed by river operators during large floods). In response to the rapid change in conditions we worked with state water delivery partners to adapt plans and deal quickly with emerging issues and opportunities, using experience gained from the 2010–11 and 2011–12 floods. In 2016–17, we continued to consider trading opportunities. In our January 2017 environmental water portfolio management statement we identified two potential options in the Goulburn and the Gwydir catchments. No trade was undertaken in these catchments by 30 June 2017 as it was considered prudent to preserve water allocations for future environmental demands.Through actively managing the portfolio through use, trade and transfers we were well placed in 2016–17 to meet our carryover targets and avoid forfeiting water at the end of the water year. The most recent figures on environmental water entitlements, use and availability across the Basin are:

2562 GL of entitlement, equivalent to 1780 GL of long-term average annual yield6 of Commonwealth entitlement holdings

2082 GL (including water that was delivered or transferred for delivery) of Commonwealth environmental water available for management in 2016–17, comprising a net carryover from 2015–16 of 361 GL and 1721 GL of new allocations

7.8 GL of carryover Commonwealth water in the Macquarie catchment lost to spill, in accordance with New South Wales water sharing plan rules, resulting from significant inflows into Burrendong Dam throughout August and September 2016

2050 GL available for environmental use to 30 June 2017, after considering use limits in some regulated northern water sources and groundwater accounts

up to 1599 GL of Commonwealth water committed for use in 2016–17 against regulated entitlements and up to 367 GL against unregulated entitlements

a total of 1455 GL of Commonwealth water delivered for 2016–17 (71 per cent of available allocation).

The total volume of water available for use and delivered by the Commonwealth Environmental Water Holder in 2016–17 was the highest since the office’s establishment in 2009 (see Figure 2.1).

6 Long-term average annual yield is a method used to standardise the calculation of expected water recoveries in the Murray–Darling Basin from different water access entitlement categories and across catchments in the Basin. This measure of water volume is relevant for measuring progress of water recovery towards meeting the sustainable diversion limits set out in the Basin Plan.

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Figure 2.1: Commonwealth environmental water availability and use

Figure 2.2: Commonwealth environmental water holdings

Target Intervention monitoring demonstrates that Commonwealth environmental water contributes to the achievement of Basin Plan targets and Basin-wide environmental watering strategy.


The primary means by which we evaluate the ecological outcomes from Commonwealth environmental water use against the objectives of the Basin Plan’s Environmental Watering Plan is through our Long-Term Intervention Monitoring Project. This project monitors and evaluates long-term environmental outcomes across seven river valleys in the Murray–Darling Basin.

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Target Intervention monitoring demonstrates that Commonwealth environmental water contributes to the achievement of Basin Plan targets and Basin-wide environmental watering strategy.The Commonwealth Environmental Water Office is investing around $30 million in the project, which we manage in partnership with over 30 research bodies, including some of Australia’s leading universities, scientific research institutions and state agencies. Highlights from monitoring in 2016–17 are presented below. In many cases these highlights are built on the results of watering in previous years. Reporting of outcomes achieved over multiple years provides a more meaningful picture, given that ecological change takes time to become apparent and is cumulative. Planned environmental watering events from one year influence ecological health in the following years.Full results from monitoring and evaluation projects are published on the Commonwealth Environmental Water Office website.www.environment.gov.au/water/cewo/monitoring

Fish

Environmental flows down the Darling Anabranch have created connections between Lake Cawndilla and the Murray River, allowing silver and golden perch hatchlings to move to key habitats. In the Gwydir catchment, environmental water was critical to maintaining flows to the Gingham Waterhole, where large numbers of threatened olive perchlet were observed for the first time since 2013. Other threatened species, including Murray cod, silver perch and freshwater catfish, were also found.In the Murrumbidgee catchment, environmental water delivered to wetlands coincided with spawning of at least nine native species, including the critically endangered silver perch. Murray cod juveniles were recorded in Eulimbah Swamp in the Nimmie–Caira system for the first time. Wetland fish monitoring indicated recruitment of three native species: carp gudgeon, Australian smelt and bony herring.Over the last two years, endangered trout cod were observed in the Goulburn River below Shepparton, indicating a recent expansion in range since 2003, partly in response to environmental flows. Golden perch monitoring has demonstrated large-scale migrations in response to environmental flows, with most long-distance movements between 50 and 150 km. One golden perch moved about 600 km over a two-month period. Such movement is critical to the viability of these fish populations. Commonwealth environmental water in the northern Basin helped boost natural high-flow events, contributing to native fish breeding, fish movement and access to habitat in catchments such as the Warrego, Border Rivers and Barwon–Darling. Preliminary monitoring has shown that large numbers of golden perch spawned in response to the high flows, with juvenile fish using Menindee Lakes as a nursery habitat.

Waterbirds

As a result of high flows, major waterbird breeding events were observed in the Booligal Wetlands in the Lachlan, Barmah–Millewa Forest, Lower Murrumbidgee and Macquarie Marshes. Environmental water was delivered to these areas in previous years to maintain waterbird breeding habitat and foraging grounds. Environmental water has helped to maintain favourable nesting conditions at breeding colonies at risk from declining water levels and poor water quality. For

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http://www.environment.gov.au/water/cewo/monitoring

Target Intervention monitoring demonstrates that Commonwealth environmental water contributes to the achievement of Basin Plan targets and Basin-wide environmental watering strategy.example, Commonwealth environmental water was delivered in the Nimmie–Caira in early 2017 to extend the breeding event of a large colony of pelicans (about 6000 breeding pairs). This event was the first large-scale breeding of pelicans recorded in the Lowbidgee.

Vegetation

In the Murrumbidgee, Commonwealth environmental water has supported vegetation diversity in floodplain wetlands, with the establishment of 43 water-dependent species. Environmental watering of Yarradda Lagoon in the mid-Murrumbidgee has supported the re-establishment of key water-dependent species, including spiny mudgrass, tall-spike rush and fringe lily.In the Barmah–Millewa Forest a range of important aquatic and floodplain plant communities flourished in 2016–17 in response to environmental flows in late winter and spring. This included growth of Moira grass, which has suffered long-term decline.

Frogs

In the Murrumbidgee, six frog species, including the vulnerable southern bell frog, bred in response to environmental watering. Southern bell frogs were detected at Yarradda Lagoon for the first time since the 1970s.Four frog species (broad-palmed rock frog, spotted marsh frog, barking marsh frog and eastern sign-bearing frog) bred in the Gwydir in response to environmental watering.

River health

Environmental water released down the lower Gwydir, Gingham, Mehi and Carole channels in early 2016 provided critical connections between isolated refuge pools, sustaining native fish, invertebrates and other aquatic communities.Environmental water provided overbank flows to the Warrego River, which spilled onto the Western Floodplain at Toorale National Park and State Conservation Area, contributing to vegetation growth, waterbird survival, dispersal opportunities for aquatic biota, and breeding of brolga cranes.Environmental water use over successive years of lower flows has significantly benefited the Murray–Darling Basin by exporting excess salt from the river and reducing the amount of salt imported into the Murray Mouth from the sea.Environmental water redirected through Murray irrigation infrastructure to the Edward–Wakool system created local refuges of oxygenated water for threatened Murray cod, Murray crayfish and other native fish species in response to the 2016 blackwater event (see information on ‘Refuge habitat and water quality’, page 45). Similar actions in the Lachlan and Murrumbidgee rivers, and in the Rufus River below Lake Victoria, also provided refuge habitat.

Performance Criterion

Support the multi-agency project team led by the Department of Agriculture and Water Resources to develop the National Carp Control Plan.


On 1 May 2016, the Australian Government announced a $15 million investment

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Performance Criterion

Support the multi-agency project team led by the Department of Agriculture and Water Resources to develop the National Carp Control Plan.to develop a National Carp Control Plan to support the potential release of the carp-specific herpes virus. The Department was allocated $0.557 million over 2.5 years (starting on 1 July 2016) to support the cross-agency project team led by the Department of Agriculture and Water Resources. The Commonwealth Environmental Water Office manages this program on behalf of the Department.In 2016–17, we worked with the Department of Agriculture and Water Resources to finalise contractual arrangements with the Fisheries Research and Development Corporation to manage the development of the plan. We have a departmental officer on the National Carp Control Plan Steering Committee and on the project team working to progress research to inform release and clean-up strategies and manage potential ecological impacts, legislative approvals and community consultation. In 2016–17, we progressed Environment Protection and Biodiversity Conservation Act 1999 assessment processes for the plan and provided input to the plan’s development from our biosecurity policy, natural resource management and environmental assessment areas, among others. The Commonwealth Environmental Water Office’s position statement on carp in the Murray–Darling Basin and Commonwealth environmental water is available online.www.environment.gov.au/water/cewo/carp-murray-darling-basin

Analysis against the activity’s intended result

Improving Ramsar Convention governanceThe main objective of Australia’s participation in the governance of the Ramsar Convention is to improve the efficiency and effectiveness of the Ramsar secretariat and establish robust and effective governance arrangements. Our initial success in achieving this objective is reflected in the appointment of a new Secretary General and in the work underway to review and optimise convention governance ahead of the next conference of the parties in October 2018.

The Ramsar Convention forms part of the constitutional basis for the EPBC Act and the Water Act. Australia’s active involvement in the Ramsar Convention governance arrangements prevents potentially perverse outcomes, including the misuse of Ramsar advisory missions, inappropriate convention resolutions, mandate creep and legal challenges. Australia is successfully managing its wetland challenges, with three sites notified under Article 3.2 and no Ramsar advisory missions required. We continue to be viewed internationally as a leader in wetland management and the wise use of wetland resources.

We continued to implement robust and practical business processes in the Department and with states and territories so that Australia can meet its international obligations. By improving the business architecture of Ramsar implementation we will be able to better target available resources and support an effective and scientifically robust approach to wetland restoration and maintenance of ecological character.

Working in a high-risk environmentThe Commonwealth Environmental Water Office operates in a high-risk environment. The main area of risk is the delivery of environmental water in an operating system that is optimised for consumptive water management rather than environmental outcomes. Risks also arise from activities such as management of water entitlements, including trade and carryover.

Operational and policy risks that influence our ability to effectively deliver water include:

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regulatory measures to support the effective use of environmental water within and between catchments, including shepherding and credit for return flows, have not yet been implemented

extraction of Commonwealth environmental water for other uses, primarily irrigation

physical constraints, such as crossings, bridges or low lying private land, that limit the scope of activities to protect and restore wetlands

regulatory constraints, such as trade restrictions in the Barmah Choke under the Murray–Darling Basin Agreement, that prevent the most effective use of Commonwealth environmental water

inconsistent state water accounting systems and intermittent metering arrangements that do not support comprehensive accounting for use of Commonwealth environmental water.

In 2016–17, these risks affected our ability to achieve planned outcomes and targets. On occasions we did not deliver environmental water to important Basin sites or for a particular environmental flow regime because of policy, regulatory or physical constraints.

We engage with the Department of Agriculture and Water Resources, the Murray–Darling Basin Authority and state government agencies to articulate risks to the legislated objectives of the Commonwealth Environmental Water Holder and to advocate for policies and decisions that improve our ability to carry out environmental watering.

We manage the risks involved in delivering environmental water using tools and business frameworks including the Framework for Determining Commonwealth Environmental Water Use and the Commonwealth Environmental Water Trading Framework.

Local community engagementAn important part of our environmental watering activities is engagement with the local communities where we operate. We have six engagement officers, located strategically across the Murray–Darling Basin, who interact with communities to improve understanding of environmental watering, especially where people remain concerned about the implementation of the Basin Plan. Where there are multiple social and economic benefits, such as improved fishing or investment of Commonwealth funds in community programs or research, many rural communities are supportive of environmental watering activities.

We use formal and informal mechanisms to inform and educate the public on the work we do, and we provide opportunities for the community to influence and inform how the Commonwealth Environmental Water Holder uses the environmental water portfolio.

Adaptive managementAdaptive management plays an important role in achieving short-term and long-term outcomes. The availability of water for environmental water use and the operational settings for delivery depend on rainfall and state allocations. For example, in 2016 the Murray–Darling Basin received the highest winter rainfall on record. We actively managed environmental water use and entitlements during this changed operational environment to avoid forfeiture and to maintain a level of carryover acceptable to the community.

This adaptive and active management ensured that the Commonwealth Environmental Water Holder efficiently and effectively managed both water use and trade of water entitlements to meet our short-term objectives and targets in 2016–17.

Activity: Regulating to protect our environment and heritageThe Department administers regulation and provides advice on the delivery of funding programs to support the identification and protection of threatened species and ecological communities and

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significant natural, Indigenous and historic heritage places. We regulate wildlife trade (imports and exports) to protect Australia’s biodiversity and species threatened by international trade and to allow sustainable use of wildlife resources. Our regulatory responsibilities extend to controlling dumping of wastes and other matter at sea.

The Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act) is the Commonwealth’s central piece of environment legislation. It provides the legal framework for the Department to protect and manage Australia’s threatened species and ecological communities, internationally significant wetlands, whales and dolphins, migratory and marine species, internationally traded wildlife, world, national and Commonwealth heritage places, Commonwealth national parks and other protected terrestrial and marine areas.

We oversee, and participate in, arrangements for the regulation of uranium mining in the Alligator Rivers Region to ensure regulation is adequate, effective and consistent with statutory requirements under the Environment Protection (Alligator Rivers Region) Act 1978.

Performance against our regulatory responsibilities relating to Antarctica, climate change and energy is reported under the respective activities (see pages 90, 110, 118).


Identify, protect and conserve Australia’s threatened species, ecological communities, cetaceans and migratory species and our world and nationally significant natural, Indigenous and historic heritage places.

Protect internationally traded flora and fauna consistent with national and international obligations.

Support sustainable development outcomes by delivering efficient and effective regulation of matters of national environmental significance.


Australia’s biodiversity, including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places, is identified, conserved and protected.

Source PBS 2016–17 p. 44, Corporate Plan 2016–17 p. 24 Result In progress

The Department continued to deliver across its regulatory responsibilities, including under national legislation covering environment and heritage protection and biodiversity conservation. The Department’s administration of the EPBC Act supports the identification, conservation and protection of Australia’s biodiversity including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places.

Threatened species and ecological communities

The assessment and listing of species or ecological communities as threatened under the EPBC Act is an important first step to promoting their recovery. Once listed, the species or ecological communities are recognised and protected as a matter of national environmental significance through the EPBC Act’s assessment and approval provisions (see page 60). Listing raises awareness of the species or ecological community and identifies priority actions to combat threats. During 2016–17:

Two threatened ecological communities were added to the list: Banksia Woodlands of the Swan Coastal Plain, and Illawarra and South Coast Lowland Forest and Woodland. The national listing of these two ecological communities will contribute to the conservation of over 30

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Australia’s biodiversity, including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places, is identified, conserved and protected.

threatened species and many other native species that are unique to the two regions where they occur. Protecting and restoring these ecological communities will help conserve ecosystem services and thus the health and wellbeing of local residents in these regions. For example, both woodlands help cool temperatures in the surrounding region; store carbon; filter and maintain aquifers, including those supplying drinking water for Perth; mitigate local flooding, soil loss, and pollution; and provide amenity and recreation opportunities such as scenic areas for bushwalking.

Fourteen species (two crayfish, eight plants, two snails, a turtle and an insect) were included in the list of threatened species.

Nine species which were already included in the list of threatened species were reassessed and transferred to a different category of threat on the list. In response to findings of expert reviews conducted for The action plan for Australian birds 2010 and The action plan for Australian mammals 2012, three mammals and a bird were transferred to a higher threat category, and five mammals were transferred to a lower threat category.

Three species (a bird, a mammal and a plant) were reassessed and had their conservation status confirmed under the EPBC Act.

All 28 species and ecological communities that were assessed had new conservation advices approved and published to guide management and recovery.

A further three ecological communities and 29 species were prioritised for assessment in the 2016 finalised priority assessment list.

www.environment.gov.au/topics/threatened-species-ecological-communitiesThe list changes bring the overall number of threatened species listed under the EPBC Act to 1808 and the number of listed ecological communities to 77. Figures 2.3 and 2.4 below show the changes to the threatened species list and the ecological community list since 2012.

Figure 2.3: Changes to the EPBC Act list of threatened species since 2012

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https://www.environment.gov.au/topics/threatened-species-ecological-communities

Figure 2.4: Changes to the EPBC Act list of threatened ecological communities since 2012


Australia’s biodiversity, including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places, is identified, conserved and protected.We are working with the states and territories to identify and assess species for listing as threatened, using a common assessment method based on the criteria and categories developed by the International Union for Conservation of Nature. This collaboration is accelerating progress towards a more comprehensive national list of threatened species and creating consistency in the identification and protection of species across jurisdictions, leading to better outcomes for Australia’s biodiversity. During 2016–17, the New South Wales and Queensland governments signed an intergovernmental memorandum joining the Australian Government and the

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Australia’s biodiversity, including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places, is identified, conserved and protected.governments of Western Australia, the Australian Capital Territory, Tasmania, and the Northern Territory, in implementing the method.Conservation advices and recovery plans made under the EPBC Act guide statutory decision-making and protection and recovery actions. Information on these guidance documents is on page 290 and in Appendix 4.The Australian Government has committed $5.3 million over three years to the National Dugong and Turtle Protection Plan 2014–2017 under the Reef 2050 plan and the Reef Trust. The plan improves protection of marine turtles and dugong, supporting the long-term recovery and survival of these migratory species. Notable achievements under the plan include:

finalising the Recovery Plan for Marine Turtles in Australia for six species of marine turtles in June 2017

strengthening enforcement and compliance in Queensland and the Torres Strait through the creation of five new Indigenous compliance officer positions and three Indigenous community liaison positions, and through compliance training for 20 Indigenous rangers. This was finalised in November 2016 with a ceremony for the graduating rangers

completion of an Australian Criminal Intelligence Commission investigation into the illegal poaching, transportation and trade of turtle and dugong meat in the Great Barrier Reef and Torres Strait.

www.environment.gov.au/marine/publications/national-dugong-and-turtle-protection-plan-2014-2017

Threat abatement plans

Threat abatement plans complement conservation advices and recovery plans by establishing a national framework to guide and coordinate Australia’s response to key threatening processes listed under the EPBC Act. Key threatening processes often affect multiple species or ecological communities. Information on threat abatement plans developed during 2016–17 is on page 68.

Cetaceans

The Department assesses applications and issues permits for interactions with cetaceans, in accordance with protection provisions set out in the EPBC Act and Regulations. The majority of these permits are issued for research that contributes to cetacean conservation. During 2016–17, we granted eight cetacean permits and varied the conditions attached to three existing cetacean permits. See Appendix 4, ‘Operation of the EPBC Act’ for further information, page 287.

Migratory species

The EPBC Act protects migratory species by requiring the listing of species which are subject to international agreements, including the Convention on the Conservation of Migratory Species of Wild Animals and bilateral migratory bird agreements with Japan, China and the Republic of Korea, as matters of national environmental significance. In 2016–17, the list of migratory species was amended to include three bird species and remove 15 bird species, following updates to the annexes of the Japan–Australia and Republic of Korea–Australia migratory bird agreements. The total number of migratory species listed is now 157. See Appendix 4, ‘Operation of the EPBC Act’ for further information, page

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http://www.environment.gov.au/marine/publications/national-dugong-and-turtle-protection-plan-2014-2017

http://www.environment.gov.au/marine/publications/national-dugong-and-turtle-protection-plan-2014-2017


Australia’s biodiversity, including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places, is identified, conserved and protected.287.

Fisheries assessments

The Department assesses Australian commercial fisheries in accordance with the EPBC Act to ensure they are managed in an ecologically sustainable way and to identify areas for improvement. Assessments include consideration of impacts on protected marine species. In 2016–17, eight fisheries were approved as wildlife trade operations and 19 were assessed as low risk and given export approval by being included in the List of Exempt Native Specimens under the EPBC Act. www.environment.gov.au/biodiversity/wildlife-trade/natives/list-exempt-native-specimens

International wildlife trade

To help conserve Australia’s biodiversity, imports of all live animals and international trade of native plants and animals are regulated under Part 13A of the EPBC Act. See Appendix 4, ‘Operation of the EPBC Act’ for further information, page 287.

Heritage

Australia has a rich natural and cultural heritage that underpins our sense of place and national identity, and makes a positive contribution to the nation’s wellbeing. National and Commonwealth listing of significant heritage places protects them under the EPBC Act. Listing can help conserve heritage places by making them eligible for Commonwealth heritage grants which support conservation, protection and maintenance activities as well as efforts to increase community engagement and awareness.The Australian Heritage Strategy supports the long-term protection of Australia’s heritage places. The strategy sets out a 10-year framework to deliver actions against three high-level outcomes: national leadership, strong partnerships and engaged communities. Implementation of the strategy in 2016–17 included streamlining the administration of the National Heritage listing process, and delivery of grant funding for conservation works for National Heritage places such as the Fremantle Prison and the gardener’s cottage on Woolmers Estate.www. environment.gov.au/heritage/australian-heritage-strategy In 2016–17, three places were added to the National Heritage List under the standard provisions of the EPBC Act: the Snowy Mountains Scheme and the Australian Cornish Mining Sites—Burra and Moonta. One place was added to the National Heritage List under the emergency listing provisions of the Act: St Kilda Road and Environs. The Ambassador’s Residence, Washington DC was added to the Commonwealth Heritage List.In November 2016, the Australian Government, as part of its implementation of the Australian Heritage Strategy, announced its intention to introduce new legislation to better protect underwater cultural heritage including shipwrecks, plane wrecks, Indigenous heritage sites and other underwater cultural sites. Once implemented, this reform will broaden and improve the protection of Australia’s underwater heritage.The Department continued to work with its state, territory and Commonwealth partners on administering the Historic Shipwrecks Act 1976 through the Historic

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http://environment.gov.au/heritage/australian-heritage-strategy

http://www.environment.gov.au/biodiversity/wildlife-trade/natives/list-exempt-native-specimens%20

http://www.environment.gov.au/biodiversity/wildlife-trade/natives/list-exempt-native-specimens%20


Australia’s biodiversity, including threatened species, ecological communities, cetaceans and migratory species, and significant heritage places, is identified, conserved and protected.Shipwrecks Program. The Minister’s historic shipwrecks delegates agreed on arrangements for the program over the next three years to 2020.

Protecting matters of national environmental significance under the EPBC Act

The EPBC Act protects matters of national environmental significance through assessment, approval (where appropriate) and post-approval monitoring of compliance of proposals referred to the Department under parts 7, 8 and 9 of the EPBC Act, and strategic assessments and approvals under Part 10 of the EPBC Act.In 2016–17, we used the following tools to improve biodiversity protection:

the outcomes-based conditions policy under the EPBC Act, which provides guidance to proponents and decision-makers on defining outcomes, the elements of outcomes-based conditions, and the assurance framework which will apply to outcomes-based conditions

significant impact guidelines, which provide overarching guidance on determining whether an action is likely to have a significant impact on a matter of national environmental significance

the National Environmental Significance Threat and Risk Assessment Tool, which helps us to target monitoring efforts on activities that pose the greatest risk to nationally protected matters.

In 2016–17, through EPBC Act referrals and project approvals, we regulated impacts on matters of national environmental significance in 63 approved projects. Activities covering the matters of national environmental significance included those that:

were likely to affect at least one listed threatened species or ecological community

were likely to affect a declared National Heritage property/site were likely to affect a declared World Heritage property/site would involve the Commonwealth marine environment would involve the Great Barrier Reef Marine Park would involve the environment on Commonwealth land would involve nuclear actions (including uranium mines) would affect a declared Ramsar wetland would affect a water resource in relation to coal seam gas and large coal

mining development were taken by the Commonwealth or a Commonwealth agency.

See Appendix 4 for further information on the EPBC Act, page 287:www.environment.gov.au/epbc/what-is-protected

Target All activities required by legislation are conducted within statutory time frames.Source PBS 2016–17 p. 44, Corporate Plan 2016–17 p. 25Result Partially achieved

Heritage listing assessments35

http://www.environment.gov.au/epbc/what-is-protected

Target All activities required by legislation are conducted within statutory time frames.

The Australian Heritage Council completed one Commonwealth Heritage and seven National Heritage assessments. The Council suspended (and therefore did not meet the statutory time frames for) six Commonwealth Heritage assessments to allow the prioritisation of available assessment resources to the National Heritage List.

Threatened species and ecological communities

We generally met the statutory time frames for activities relating to the listing and recovery of threatened species and ecological communities. The 2016 federal election caused a delay in providing the Threatened Species Scientific Committee’s advice to the Minister on the 2016 proposed priority assessment list of threatened species, ecological communities and key threatening processes. Once the Minister was appointed, the committee provided its advice and the list was finalised within statutory time frames.The committee did not provide its listing assessment for the Perth slider skink (Lerista lineata) to the Minister before the statutory time frame ended on 31 March 2017. The committee requested an extension to allow for further consideration.See Appendix 4, ‘Operation of the EPBC Act’ for information on conservation advices and recovery plans published within statutory time frames, page 289.

Permits

The Department issues permits under Part 13 of the EPBC Act and Part 9 of the EPBC Regulations. Part 13 permits are required for actions that include the taking, killing, moving, injuring, trading or keeping of listed threatened, migratory and marine species in a Commonwealth area. Part 9 permits are required for taking, killing, moving, injuring, trading or keeping ‘protected species’ (defined in schedule 11 of the EPBC Regulation) or damaging or destroying a nest or dwelling place of a protected species on Christmas Island, Cocos (Keeling) Islands or the Coral Sea islands. No statutory time frames apply to these permits but we endeavour to process these applications within 20 business days.In 2016–17, the Department issued 24 Part 13 permits under the EPBC Act and four Part 9 permits under the EPBC Regulations. We issued eight Part 13 permits for actions that include interactions with cetaceans. We adhered to the 10 business day statutory comment period for all permits for interacting with cetaceans that we assessed during 2016–17.We issued 2239 permits for international trade in wildlife under Part 13A of the Act, with 99.8 per cent of these permits assessed within the statutory time frame. Three permits were issued late, two due to system errors and one due to administrative delay.

EPBC Act referrals, assessments and approvals

The Department continued to complete referrals, assessments and approvals largely within statutory time frames. Under section 518 of the EPBC Act, we report on time frame overruns and the reasons for them. In 2016–17, we received 239 referrals and 63 controlled actions were approved. In total we made 1609 statutory decisions in this period, of which 477 overran the statutory time frames7 (See Figure 2.5). The main reason for these time frame overruns is delays that occur when working with

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Target All activities required by legislation are conducted within statutory time frames.project proponents to reach acceptable assessment outcomes. In 2016–17, we met the statutory time frames for 70 per cent of decisions. This is lower than our 74 per cent result in 2015–16.8

The Department’s measures to improve performance in this area are outlined in the 'Analysis' section, page 79.

Figure 2.5: Comparison of statutory time frame performance

Target The number of hectares of habitat protected by offsets9 is equal to or greater than the area impacted for approved projects.

Source PBS 2016–17 p. 45, Corporate Plan 2016–17 p. 25Result Data/information not available or incomplete

The Department is working to better collect, collate and report information related to the area of habitat both impacted, and protected under offsets, by projects approved under the EPBC Act. Collation and reporting of data is challenging because there can be a considerable time lag between when an offset is identified as a condition to a project approval, and when that offset is realised or secured. It is further complicated as the data we do have on offsets is likely to underestimate the full extent of environmental protections provided by conditions on projects over the longer term. This in part is because the quality of the area of habitat protected under offsets can differ from the area being impacted by the project.

Target Increase in the use of strategic approaches to environmental assessments and approvals.


The Department continued to take strategic approaches to managing EPBC assessments and approvals. These strategic approaches include conservation

7 Note that due to migration of data from old to new systems this dataset has some inaccuracies.8 This differs from the figure reported in 2015–16, which was 66 per cent, because we have since had access to more

accurate reporting systems.9 Location data is only available for offsets that have been secured.

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Target Increase in the use of strategic approaches to environmental assessments and approvals.agreements, policy statements, application of the outcomes-based conditions policy to approvals, significance guidelines and strategic assessments. These approaches align with the intent of our Strategic Assessment Prospectus to encourage the uptake of strategic assessments by proponents.Strategic assessments consider a broader set of actions compared with project-by-project assessments. They can consider how to manage development impacts on matters of national environmental significance on a regional or landscape scale. Once we approve a strategic assessment, the approval holder often has responsibility for implementing an endorsed plan, policy or program. There are no statutory time frames for completion of a strategic assessment. Such assessments typically take years to complete and involve external stakeholders. In 2016–17, the Department completed the strategic assessment of BHP Billiton’s iron ore mining expansion in the Pilbara, Western Australia. The Department is undertaking, but is yet to complete, strategic assessments under Part 10 of the EPBC Act of:

urban development, subdivision and associated infrastructure in the Eastern Broadacres area, Australian Capital Territory

urban development at West Belconnen, Australian Capital Territory and New South Wales

Lower Hunter region and its sustainability planning, New South Wales a biodiversity plan for coal mining in the Upper Hunter Valley, New South

Wales an expansion of iron ore mining by Hamersley Iron Pty Ltd (Rio Tinto) in

the Pilbara, Western Australia the Perth and Peel regions, Western Australia Victoria’s bushfire program (yet to be formally agreed under the EPBC

Act).We are improving internal reporting and data collection so that trends (increase or decrease) in the use of strategic approaches can be more meaningfully reported in future years.

Case Study – Stronger environmental protection for the Pilbara

Strategic assessments are a tool for balancing environment protection and economic development at the landscape scale that can consider a much broader set of actions and issues than project-by-project assessments. They enable developers to deal with cumulative impacts and to integrate both conservation and economic outcomes.

The strategic assessment agreed with BHP in 2016–17 is significant because it is the first completed between the Australian Government and a private sector company. The assessment covers a large area—14 per cent bigger than Tasmania—in the Pilbara region of Western Australia and examines the projected cumulative impacts of BHP’s proposed iron ore mines.

Approval for BHP’s proposed development is subject to regulatory controls. An important requirement is that BHP obtain further approval from the Minister every five years before starting new operations. This is a strong compliance control that will maintain environment standards over the life of the approval. There will be opportunity for the public to comment each time BHP submits plans for a new mine or revises environmental management plans.

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BHP will protect new species and other protected matters that are listed under the EPBC Act. This includes adopting the Act’s standards for protected species. The landscape scale of the assessment means that BHP will be able to invest in and coordinate offsets throughout the Pilbara for the life of the approval, getting the best possible benefit for the environment.

In reaching this agreement, BHP and the Department have developed a best practice model for future strategic assessments.

Target Increase in the proportion of approved assessments that apply streamlining policy initiatives, including outcomes based conditions, conditions setting policy, and bilateral assessment agreements.


The Department continued to progress initiatives to streamline assessment and approval arrangements under the EPBC Act to ensure swifter decisions and more certainty for Australian communities and businesses. The majority of EPBC Act assessments in 2016–17 applied a streamlining initiative, particularly as nearly all approvals had conditions consistent with the condition-setting and outcomes-based policies:

The EPBC Act condition-setting policy outlines the Australian Government’s approach to considering state and territory approval conditions when approving a project under the Act. It aims to streamline regulatory process by avoiding duplicative or unnecessary approval conditions between jurisdictions where state or territory conditions manage environmental impacts on a matter of national environmental significance.

The outcomes-based conditions policy specifies the environmental outcome that must be achieved by an approval holder, without prescribing how that outcome should be achieved. Outcomes-based conditions allow approval holders to be innovative and achieve the best environmental outcomes at the lowest cost, while increasing public transparency of the required outcomes. The policy is now embedded in business practice and used where appropriate, subject to agreement with proponents.

At the end of the reporting period, the Department was assessing 92 projects under bilateral assessment agreements. In 2016–17, we commenced new bilateral assessments in Queensland (10), Victoria (three), South Australia (two), the Australian Capital Territory (two), the Northern Territory (one), Western Australia (six) and New South Wales (five).As a further streamlining initiative, we added a ‘revised management plan’ condition to existing conditions of approval. Older conditions that require ministerial approval of a management plan required that any proposed variation to the approved plan be submitted for further ministerial approval. The ‘revised management plan’ condition removes this requirement if the revised plan does not represent a new or increased impact on matters of national environmental significance. We are opportunistically inserting this condition—which is already in more recent approvals—into older approvals. We are improving internal reporting and data collection so that trends (such as an increase or decrease) in the application of streamlining policy initiatives can be more meaningfully reported in future years.

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Data and information generated or commissioned by the Department are used by stakeholders and/or support evidence-based decision-making.


The Department makes guides and digital databases available to the public, empowering users—including government bodies, developers, community groups, scientists and members of the public—to make decisions that support the interests of Australia’s heritage and biodiversity.

Heritage

Results from the Department’s 2016 survey of National Heritage place managers on the condition and management of heritage places informed the Australia State of the Environment Report 2016. These results are informing our priorities for and future approaches to management and promotion of National Heritage places. The Australian National Shipwrecks Database continued to provide valuable information to cultural resource managers, businesses, the public and stakeholder governments. We continued to work with the state and territory governments on the statutory administration and management of underwater cultural heritage, using the database as the single nationwide system for storing management information and processing statutory actions such as permits and notifications of discovery or possession of a historic shipwreck or relic. We share information from the database with our New Zealand Government counterparts, who use it as their primary inventory of historic shipwrecks.The database now includes the records of 10,447 shipwrecks, sunken aircraft and other types of submerged cultural heritage, along with 52,547 associated protected relics. A new public research portal introduced in 2016–17 allows individuals and research groups to contribute historical information and data from citizen science projects. www.environment.gov.au/heritage/historic-shipwrecks/australian-national-shipwreck-database

Biodiversity

The Department published lists of threatened and migratory species and threatened ecological communities, and associated conservation advice, recovery plans and wildlife conservation plans on the Species Profile and Threats (SPRAT) Database. This continued to be the most frequently accessed of our online databases, averaging 50,000 visits a month. The information it contains is used by development proponents, land managers and natural resource management groups to inform decision-making in relation to referrals under the EPBC Act, recovery actions for threatened entities, and grant applications.www.environment.gov.au/cgi-bin/sprat/public/sprat.pl Threat abatement plans establish a national framework to guide and prioritise Australia’s response to key threatening processes under the EPBC Act. We publish all approved plans on our website. www.environment.gov.au/biodiversity/threatened/threat-abatement-plans/approved In 2016–17, we published three guides to help stakeholders identify, protect and manage threatened ecological communities. The guides are for Eucalyptus Woodlands of the Western Australian Wheatbelt, Banksia Woodlands of the Swan Coastal Plain, and—accompanying the conservation advice for its 2015

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http://www.environment.gov.au/biodiversity/threatened/threat-abatement-plans/approved

http://www.environment.gov.au/biodiversity/threatened/threat-abatement-plans/approved

http://www.environment.gov.au/cgi-bin/sprat/public/sprat.pl

http://www.environment.gov.au/heritage/historic-shipwrecks/australian-national-shipwreck-database

http://www.environment.gov.au/heritage/historic-shipwrecks/australian-national-shipwreck-database


Data and information generated or commissioned by the Department are used by stakeholders and/or support evidence-based decision-making.national listing—Southern Highlands Shale Forest and woodlands of the Sydney Basin Bioregion. They include information on:

when the ecological communities are present at a particular site and what condition they are in

what the listing means for landholders, including EPBC Act obligations and opportunities to help conserve and restore ecological communities

actions local residents and other groups can take to protect and promote the recovery of bush remnants.

The Department provides data on Australian trade in species listed under CITES and on illegally traded wildlife seized at the Australian border to the CITES secretariat annually. This data is included in the international CITES trade database and is used for monitoring of global trade in protected species. www.environment.gov.au/biodiversity/wildlife-trade/cites

Referrals and assessments

We published EPBC Act assessment and referral documents relating to particular proposals, as well as guidelines and policy statements to help stakeholders and make EPBC Act regulation more transparent and predictable.In November 2016, we deployed an online referral application form for use by proponents. The online form aims to improve access to information for stakeholders and be more efficient for the Department and proponents. As this is a new business improvement, it will be 12 months before data is available to assess success in this area.We reviewed and improved our environmental impact assessment system to ensure accuracy and reliability. This included introducing a process for cross-checking notices published on the internet against decisions recorded on the system. We began a further post-implementation review to ensure that these improvements are working. The system is an essential tool to ensure correct data is available for evidence-based decision-making.

Target All guidance documents including conservation advices, recovery plans, wildlife conservation plans and threat abatement plans are developed and published within statutory time frames.


Recovery plans and conservation advices

We published two recovery plans in 2016–17, covering six marine turtle species and one snail (see Appendix 4, ‘Operation of the EPBC Act’ Tables 4A.9 and 4A.10, page 302).Out of a total 921 listed threatened species and ecological communities that require a recovery plan under the EPBC Act, 739 (80 per cent) had a plan in force at 31 December 2016.Recovery plans are overdue for 145 species and ecological communities. These comprise 73 entities which are yet to have a recovery plan in force and 72 which had existing plans ‘sunset’ under the Legislation Act 2003 (sunsetting of

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http://www.environment.gov.au/biodiversity/wildlife-trade/cites

Target All guidance documents including conservation advices, recovery plans, wildlife conservation plans and threat abatement plans are developed and published within statutory time frames.these legislative instruments occurs automatically after 10 years). All of these entities have a current, approved conservation advice in place and published on the Department’s Species Profile and Threats Database. www.environment.gov.au/cgi-bin/sprat/public/sprat.plDuring 2016–17, new or updated conservation advices for 133 species and two ecological communities were approved and made publicly available on the Species Profile and Threats Database.Following a decision by the Attorney-General, in March 2017, to align the sunsetting dates of recovery plans under a ‘thematic review’, the Threatened Species Scientific Committee is focusing on preparing conservation advices for species and ecological communities with recovery plans that will sunset over the coming five years, and reviewing whether there is a continuing need to have a recovery plan in place.

Wildlife conservation plans

No wildlife conservation plans were made in 2016–17.

Threat abatement plans

We made two threat abatement plans during 2016–17, and completed them within the statutory time frame—for competition and land degradation by rabbits (December 2016), and for infection of amphibians with chytrid fungus resulting in chytridiomycosis (August 2016). The threat abatement plan for predation, habitat degradation, competition and disease transmission by feral pigs ceased on 1 October 2015, and we made a new plan in February 2017. The threat abatement plan for reduction in impacts of tramp ants on biodiversity in Australia and its territories ceased on 1 October 2016. We began preparing a new plan and expect to complete it in early 2018. We began preparing a new threat abatement plan for the biological effects, including lethal toxic ingestion, of cane toads. We expect to complete this in early 2018.During 2016–17, we released for public comment draft threat abatement plans concerning the impacts of marine debris on vertebrate marine species, the incidental catch (or bycatch) of seabirds during oceanic longline fishing operations, and disease in natural ecosystems caused by Phytophthora cinnamomi. The threat abatement plans for the incidental catch (or bycatch) of seabirds during oceanic longline fishing operations and for disease in natural ecosystems caused by Phytophthora cinnamomi were due to sunset on 1 April 2017, but this was deferred until 1 April 2018 to permit the development of replacement plans.




World Heritage

At the resumed 40th session of the World Heritage Committee in July 2016, we advocated for a transparent system for tentative list nominations and supported a resolution to reduce the number of World Heritage nominations the committee

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can consider each year, to improve the financial sustainability of the World Heritage Fund. The draft decision on the Great Barrier Reef prepared for the committee’s consideration at its 41st session in July 2017 welcomes Australia’s progress on the inception and initial implementation of the Reef 2050 plan and the establishment of the Reef 2050 Plan Investment Framework.The Budj Bim Cultural Landscape was included on Australia’s World Heritage Tentative List in January 2017. Budj Bim was added to Australia’s National Heritage List in 2004. The Gunditjmara Aboriginal people and the Victorian Government are preparing a nomination dossier, which the Australian Government will be responsible for submitting. If included on the World Heritage List, the Budj Bim Cultural Landscape will be the first Australian property to be nominated exclusively for its Aboriginal cultural values. Located in south-west Victoria, Budj Bim includes evidence of one of the world’s largest and oldest aquaculture systems, dating to about 6600 years ago.whc.unesco.org/en/tentativelists/6167/ Australia helped Papua New Guinea (PNG) to undertake consultations for a revised management plan for the Kuk Early Agricultural Site, PNG’s only World Heritage site. This continues Australia’s broader capacity building of PNG’s Conservation Environment Protection Authority under the Kokoda Initiative. New and existing stakeholder engagement mechanisms are helping us to improve and develop relationships with World Heritage stakeholders. We established a new engagement group for non-government organisations, which met in October 2016 and June 2017. We initiated a regular World Heritage stakeholder newsletter.

International trade in endangered species

To help protect species threatened by international trade, Australia cooperated internationally in 2016–17 to support legal, well-managed and sustainable international wildlife trade, and to combat wildlife trafficking. As a party to the Convention on International Trade in Endangered Species, Australia sought endorsement of stronger penalties for wildlife traffickers and stronger measures to pursue the proceeds of wildlife crime. The Department represented Australia at the 17th Conference of the Parties to CITES, held in South Africa from 24 September to 4 October 2016, where we contributed significantly to the outcomes of the conference. We successfully proposed measures to improve the sharing of scientific information used for decision-making on international wildlife trade matters; a review of border clearance processes to ensure they reflect modern, streamlined approaches; and the strengthening of actions to combat illegal wildlife trade. As part of a strategic focus on building regional capacity for managing wildlife trade, we participated in an Oceania workshop in Nadi, Fiji in May 2017. We contributed to the sharing of information and technical resources to better enable Pacific Island CITES parties to enforce CITES requirements and promote regional efforts to combat wildlife trafficking. We progressed the development of a pilot project to help Pacific Island countries better monitor and report on trade in wildlife.

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http://whc.unesco.org/en/tentativelists/6167/



Throughout 2016–17, the Department represented Australia on the United Nations General Assembly (UNGA) Group of Friends on Poaching and Illicit Wildlife Trafficking, where we worked for the successful adoption of the second UNGA resolution on tackling illicit trafficking in wildlife. We reiterated Australia’s commitment to addressing wildlife trafficking through the Hanoi Conference on Illegal Wildlife Trade in November 2016.

Whales and whaling

Australia continued to provide global leadership on whale conservation to uphold the global moratorium on commercial whaling, bring about a permanent end to all forms of commercial and so-called scientific whaling, and reform the International Whaling Commission into a contemporary, multilateral conservation organisation. Australia consistently makes representations urging Japan to cease its whaling programs, particularly in the Southern Ocean. Australia played a lead role at the 66th Commission meeting in October 2016. The meeting passed two Australia-led resolutions, which advance our conservation and governance reform objectives. We hosted a successful side event to celebrate the commission’s Southern Ocean Research Partnership, which has repeatedly demonstrated that it is not necessary to kill whales in order to study them. Australia chairs the commission’s conservation management plans working group. These plans are an important conservation initiative of the commission and support the recovery of critically endangered cetacean populations. Australia is leading a mid-term review of the Conservation Management Plans Work Plan 2014–2020 to identify and focus priorities and improve processes to ensure strong conservation outcomes. See the case study ‘International Whaling Commission resolutions’, page 74.In April 2017, Australia supported representatives from five Pacific countries to attend the Secretariat of the Pacific Regional Environment Programme’s Whales in a Changing Ocean Conference, the flagship event of the Pacific Year of the Whale. The Department represented Australia at the conference, where we joined 10 countries in signing the Pacific Islands Year of the Whale Declaration and supported a voluntary commitment on the conservation of whales in the Pacific to take to the United Nations Oceans Conference. The Whales in a Changing Ocean Conference was an opportunity to reflect on the success of international whale conservation efforts, and to consider what lessons this offers for cooperation on broader oceans governance issues.

Marine environment

Australia, represented by the Department, continued to actively engage in the United Nations preparatory committee process on the development of a new international legally binding instrument under the United Nations Convention on the Law of the Sea. The instrument will support the conservation and sustainable use of marine biological diversity in areas beyond national jurisdiction. The Department is the lead agency for the four-year Australian aid funded Enhancing Pacific Ocean Governance project. This project, which concludes in August 2017, continued to progress activities including:

helping Pacific Island countries and the Secretariat for Pacific Communities with defining legal maritime boundaries

developing geospatial planning tools to support marine spatial planning in Kiribati and the Solomon Islands, and providing technical support to the

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Secretariat of the Pacific Regional Environment Programme facilitating new and strengthened relationships in the region through

regional workshops on oceans and sustainable use of marine resources initiating an evaluation of the project, to be completed in 2017–18.

The project funded Geoscience Australia and the Attorney-General’s Department to support Pacific Island countries with maritime boundary delimitation. This included facilitation of two workshops in Sydney, bringing together officials from Pacific Island countries to negotiate maritime boundaries. The project funded the Commonwealth Scientific and Industrial Research Organisation (CSIRO) to continue to support national and regional agencies with marine spatial planning. CSIRO worked with and trained officials of the governments of Kiribati and the Solomon Islands on the use of geospatial planning tools for decision-making and planning for marine areas. CSIRO partnered with the Office of the Pacific Ocean Commissioner, the Pacific Ocean Alliance, and the Sustainable Ocean Initiative to host a workshop in Apia, Samoa to promote Pacific-wide discussion on sustainable use of marine resources for economic development.The project financially supported the Office of the Pacific Ocean Commissioner, enabling it to continue its important role as advocate and coordinator of regional engagement on oceans policy. The commissioner’s office facilitated regional workshops in March 2017 in the lead-up to UN preparatory meetings on the new international instrument on biological diversity in areas beyond national jurisdiction (April and July 2017), and the UN Ocean Conference on Sustainable Development Goal 14 (June 2017). This investment provided the opportunity for Australia to engage in discussions with our Pacific neighbours to develop a shared understanding and regional approach to international engagement on oceans. Australia, as a member of the Secretariat of the Pacific Regional Environment Programme and represented by the Department, supported the secretariat with the development of its 10-year (2017–2027) strategic plan. The plan, endorsed by members in September 2016, identifies climate change as the secretariat’s principal concern and recognises the increasing importance of good oceans management. We continued to work closely with the Department of Foreign Affairs and Trade to contribute to the secretariat’s governance and performance-reporting goals.Australia is an official development partner of the Coral Triangle Initiative on Coral Reefs, Fisheries and Food Security, whose member countries are Indonesia, Malaysia, Papua New Guinea, the Philippines, Solomon Islands and Timor Leste. We administer Australian aid funds in support of this initiative. Our achievements in 2016–17 include:

agreement on a regional standard for planning and management of large marine areas which will facilitate transboundary cooperation between member countries (the Coral Triangle Initiative seascapes model)

agreement on a regional standard for nature-based tourism, including a vision to help tourism enterprises gain Coral Triangle Initiative accreditation

strong engagement by Solomon Islands and PNG communities in marine planning and management activities: four communities in the Engineer Islands engaged with marine resource management plans developed in PNG, 11 fisheries officers trained to deliver marine planning skills to communities in the Solomon Islands, and training and outreach to 45

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Solomon Islands communities beginning a fisheries extension program in the Arafura Sea.

We had ongoing and active engagement with PNG, both in supporting their goals under the Coral Triangle Initiative and in enabling their officials to attend the annual Environmental Management Committee under the Torres Strait Treaty.

London Protocol

The Environment Protection (Sea Dumping) Act 1981 fulfils Australia’s international obligations under the 1996 Protocol to the Convention on the Prevention of Marine Pollution by Dumping of Wastes and Other Matter 1972 (London Protocol). The Sea Dumping Act requires a permit for the disposal of waste and other matter at sea. Permits are most commonly issued for disposal of dredged material and the creation of artificial reefs. Permits are issued for dumping vessels, platforms and other artificial structures and for burials at sea. In 2016–17, the Department issued 11 permits and four permits were varied in the same period.All relevant permits issued under the Sea Dumping Act were assessed in accordance with Australia’s international obligations under the London Protocol. Dumping activities were reported to the London Protocol secretariat in accordance with Australia’s obligations under the protocol.

Conservation of Migratory Species

The Convention on the Conservation of Migratory Species of Wild Animals (CMS) provides a global platform for the conservation of migratory animals and their habitats. It brings together the states through which migratory animals pass and lays the legal foundation for internationally coordinated conservation measures throughout a migratory species’ range. Species subject to the convention must be listed as matters of national environment significance under the EPBC Act. No new species were required to be listed during 2016–17.An officer of the Department, representing Australia in its capacity as the Oceania regional representative to CMS, chaired an intersessional working group established to identify and recommend best practice implementation review mechanisms for consideration at the 12th Conference of the Parties, scheduled for October 2017. Australia will continue in this role until the completion of the conference.Australia is a signatory to the Memorandum of Understanding on the Conservation of Migratory Sharks agreed under the CMS (CMS sharks MoU) and represents Oceania on the CMS sharks MoU advisory committee. At the second meeting of the signatories to the CMS sharks MoU, held in Costa Rica in February 2016, the signatories agreed to convene a conservation working group to help the advisory committee. The Department represented Australia at the first meeting of the working group, held in Bristol, UK, in October 2016. Notable outcomes include a detailed prioritisation of species-specific research and conservation needs, and identification of priority work areas for the 2017–2019 period.Australia is among 26 signatories to the Memorandum of Understanding on the Conservation and Management of Dugongs (Dugong dugon) and their Habitats throughout their Range (Dugong MoU) under the auspices of the CMS. The Dugong MoU seeks to ensure the long-term survival of dugongs and their

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habitats. It provides a mechanism to enhance community-based stewardship at important locations, educate and improve fishing practices, and build dugong conservation into national policies and planning. The third meeting of signatories, held in Abu Dhabi on 13–14 March 2017, was an opportunity for us to ensure that outcomes of discussion on the conservation and management plan and draft program of work align with Australia’s priorities and contribute to the management of dugongs and their habitat, taking into account native title rights of Indigenous peoples. At this meeting, Australia requested to be involved in the development of the terms of reference for a forthcoming review of the Dugong MoU conservation and management plan. We deemed the Dugong bycatch questionnaire a useful tool for gathering preliminary information to determine hotspots for targeting future research.

Conservation of migratory birds

The Department hosted representatives from the governments of Japan, China and the Republic of Korea in Cairns, Queensland, in October 2016 to progress the implementation of the Japan–Australia, China–Australia and Republic of Korea–Australia migratory bird agreements. These three agreements provide an important mechanism for pursuing conservation outcomes for migratory birds in each country. Cairns was chosen for its close proximity to and accessibility of migratory shorebird habitat.The formal bilateral meetings were an opportunity for us to report on the recent listing of eight migratory shorebirds on the EPBC Act threatened species list. The declines of these species are largely driven by habitat loss, particularly in the Yellow Sea region of China and the Republic of Korea. In these meetings we discussed Australia’s Wildlife Conservation Plan for Migratory Shorebirds and our draft Single Species Action Plan for eastern curlew (Numenius madagascariensis) before its adoption at the 9th Meeting of the Partners of the East Asian–Australasian Flyway Partnership in January 2017. Of particular interest was learning about, and encouraging, actions being taken in Japan, China and the Republic of Korea to protect migratory birds and their habitats. Australia, Japan, China and the Republic of Korea agreed to progress a set of important actions over the next two years. These include monitoring important species and sites, exchanging information on the critically endangered eastern curlew and great knot (Calidris tenuirostris), and facilitating joint research between experts. Japan will host the next consultative meetings in late 2018.

Case Study – International Whaling Commission resolutions

The Department is the lead agency for Australia’s engagement in the International Whaling Commission. Australia played an important role at the biennial International Whaling Commission meeting held in October 2016, by leading two resolutions that will support our conservation and governance reform objectives. The first resolution focused on ensuring that the commission properly debates and makes recommendations on Japan’s so-called scientific whaling programs in the North Pacific and Southern Ocean at its 2018 meeting. This initiative will ensure that these programs are subjected to greater scrutiny. The resolution was co-sponsored by New Zealand and supported by a clear majority of commission members present at the meeting.

We worked closely with like-minded countries to develop a majority statement on Japan’s Southern Ocean whaling program. The statement declared that the program is ‘not for

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purposes of scientific research’ and called on Japan to stop killing whales in the name of science. This was the first time the commission has made such a clear statement on so-called scientific whaling.

Australia’s focus in the lead-up to the next commission meeting in 2018 is to implement the two resolutions described above, provide continued support for non-lethal whale research, support robust scientific scrutiny of Japan’s whaling programs, and promote the commission’s conservation agenda.


All Australian property included on the list of World Heritage is well managed.


Management plans

The World Heritage Convention requires a management plan for all property on the World Heritage List. The EPBC Act provides a framework for developing management plans for Australia’s World Heritage properties, including through application of the World Heritage management principles that set out how the significant heritage aspects of each place should be managed. State and territory governments are responsible for managing most of Australia’s World Heritage places and developing their management plans. We review management plans made by place managers for alignment with the World Heritage management principles (EPBC Regulations). Plans are not finalised unless they are consistent with the principles.Management plans are in place for all 19 World Heritage properties managed by the Australian Government. The Commonwealth components of two World Heritage properties (Ningaloo Coast in Western Australia and the Lord Howe Island Group in New South Wales) are under transitional management arrangements until new management plans for Commonwealth marine reserves, within which these properties are located, are finalised. No changes were made to the transitional arrangements in 2016–17.In December 2016, the Tasmanian Government completed a new management plan for the Tasmanian Wilderness World Heritage Area. This was in response to a commitment in the April 2016 state party report to the World Heritage Committee on the state of conservation of the property. Further information on this property is included below. The new management plan is consistent with the Australian World Heritage management principles and substantively addresses issues raised by the United Nations Educational, Scientific and Cultural Organization (UNESCO) reactive monitoring mission conducted in November 2015 and the World Heritage Committee’s decision on the property in July 2016. These issues include coverage of the entire property, protection of cultural values, engagement with the Tasmanian Aboriginal community, and the need for sensitive and appropriate tourism development. The Wet Tropics Management Authority is reviewing the Wet Tropics Management Plan 1998. The review process requires two rounds of public consultation and is expected to be completed in 2018. The first round of public consultation was open from 2 May to 30 June 2017. Management plans for the Kingston and Arthurs Vale Historic Area on Norfolk Island and for Cockatoo Island, New South Wales were finalised in October 2016. Both properties are included in the Australian Convict Sites World Heritage serial listing.

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All Australian property included on the list of World Heritage is well managed.

World Heritage Committee meeting

In July 2016, the World Heritage Committee commended Australia’s commitment to implement all of the recommendations made by the 2015 reactive monitoring mission to the Tasmanian Wilderness World Heritage Area, including ruling out all forms of commercial logging and mining in the whole of the property.The committee requested that Australia submit a state party report on the state of conservation of the Tasmanian Wilderness World Heritage Area by 1 December 2017 for consideration at its meeting in mid-2018. Further, the committee requested that Australia submit a synthesis report of all available information on cultural sites in the Tasmanian Wilderness World Heritage Area. The Department submitted this report to the UNESCO World Heritage Centre in June 2017. The report is a review of the archaeological research undertaken in the Tasmanian Wilderness World Heritage Area over the past 35 years. In preparing it, we were guided by Aboriginal Heritage Tasmania and the Tasmanian Aboriginal Heritage Council, which receive funding support from the Australian Government.The committee requested that Australia develop a detailed plan for a comprehensive cultural survey of the Tasmanian Wilderness World Heritage Area. We made progress on developing the plan and will provide it to the World Heritage Centre later in 2017.

World Heritage management training

In February 2017, we delivered an online best practice guide to World Heritage management in Australia, in partnership with the Australian World Heritage Advisory Committee. The guide is designed particularly for property managers and advisory committees to build understanding of World Heritage processes. It showcases examples of how World Heritage properties are managed in Australia. www.environment.gov.au/heritage/about/world/management-australias-world-heritage-listed/managing-world-heritage-australia


Improved compliance with national environmental legislation.


In 2016–17, the Department received 476 allegations of/enquires about potential non-compliance with Part 3 of the EPBC Act. This resulted in 77 new compliance cases. This is a decrease on the 2015–16 reporting period where there were 146 new compliance cases. Other compliance activity during the year included:

four audits that were required by approval conditions, and three random audits of projects approved under the EPBC Act

four audits of coal seam gas projects 119 compliance monitoring inspections.

The Australian National Audit Office (ANAO) conducted a follow-up audit to an earlier audit conducted in 2014—the ANAO Report No. 36 2016–17: Monitoring Compliance with Environment Protection and Biodiversity Conservation Act 1999

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http://www.environment.gov.au/heritage/about/world/management-australias-world-heritage-listed/managing-world-heritage-australia



Conditions of Approval: Follow-on audit. The report recognised that the Department has adopted a sound approach to monitoring compliance with conditions of approval. The ANAO reported that three of the five original recommendations had been met, and substantial progress had been made to meeting the remaining two recommendations. Overall the report noted that the Department is continuing to improve its approach to risk-based compliance activities.The Department conducted a joint-agency investigation with the Australian Federal Police into illegal wildlife crime. Criminal charges were laid against several suspects for their alleged involvement in organised syndicates engaged in multi-million dollar wildlife trafficking. Operation Melville used innovative, specialist intelligence tradecraft to uncover sophisticated transnational criminal involvement in illicit wildlife trade. We worked effectively with the Australian Federal Police, with embedded officers assisting in the success of the investigation. The success of Operation Melville was leveraged to build important, strategic relationships with Interpol and international co-regulators and the intelligence community to coordinate further risk-based compliance outcomes globally. The Department’s first intelligence database has been developed, enabling us to engage effectively with the broader intelligence community through a secure protected network. Intelligence reports have significantly contributed to investigations such as Operation Melville. We also engaged with Interpol on our first contribution to a global intelligence project.


The Alligator Rivers Region environment remains protected from uranium mining effects consistent with statutory requirements.


The Supervising Scientist’s monitoring program has not detected any environmental impacts caused by mining in the Alligator Rivers Region. The monitoring program uses multiple lines of evidence for impact assessment, including real-time surface water quality monitoring for short-term impacts and biological assessments for long-term ecosystem impacts. For example, results of the annual end of wet season macroinvertebrate monitoring program for Magela and Gulungul creeks indicated there were no significant ecological impacts, based on the data that had been analysed as at 30 June 2017.For detailed information on supervision, monitoring and research activities, results and publications, refer to the Supervising Scientist Annual Technical Report 2016–17.www.environment.gov.au/science/supervising-scientist/publications/ss-annual-technical-report-2016–17See the following target for specific data on evidence of water quality condition.

Target Ensure the concentrations of mine derived contaminants in surface water downstream of Ranger Mine do not exceed statutory water quality objectives.


There were no exceedances of the Ranger water quality objectives for the 50

http://www.environment.gov.au/science/supervising-scientist/publications/ss-annual-technical-report-2016-17


Target Ensure the concentrations of mine derived contaminants in surface water downstream of Ranger Mine do not exceed statutory water quality objectives.contaminants of potential concern (uranium, magnesium, manganese, ammonia) for both Magela and Gulungul creeks throughout the 2016–17 wet season.Concentrations of uranium in surface water downstream of the Ranger mine remained below 2.8 μg/L throughout the 2016–17 wet season (September to June). This result is consistent with monitoring results from previous years and the requirements of the Ranger Water Quality Objectives under the Northern Territory Mining Management Act (see Figure 2.6).

Figure 2.6: Uranium concentration downstream of Ranger mine

Target Annual research and monitoring programs are endorsed by the Alligator Rivers Region Technical Committee.


The Alligator Rivers Region Technical Committee endorsed the 2016–17 research and monitoring program in August 2016, confirming the program’s focus on the highest priority requirements for rehabilitation of the Ranger mine.The committee endorsed 32 research and six monitoring projects, of which nine were completed during 2016–17, and published in 26 peer-reviewed scientific articles.The committee endorsed the Key Knowledge Needs: Uranium Mining in the Alligator Rivers Region report at its 37th meeting in November 2016. This document sets out the critical knowledge requirements for achieving successful rehabilitation of the Ranger mine site, and will continue to be the primary driver for guiding our research program. With CSIRO, we began a more focused cumulative risk assessment which will examine interactions between risks and determine implications for risk management and knowledge needs. This information will further inform the rehabilitation of the Ranger mine.We publish research and monitoring program outcomes in the Supervising Scientist Annual Technical Report 2016–17.

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Target Annual research and monitoring programs are endorsed by the Alligator Rivers Region Technical Committee.www.environment.gov.au/science/supervising-scientist/publications/ss-annual-technical-report-2016–17See Appendix 5: 'Operation of the Environment Protection (Alligator Rivers Region) Act 1978', page 308.

Analysis against the activity’s intended resultResults against our performance criteria and targets for this activity show tangible outcomes for Australia’s environment and heritage. We identified, protected and conserved threatened species and ecological communities, whales and dolphins, and migratory and marine species. We delivered efficient and effective regulation under the Sea Dumping Act and on matters of national environmental significance under the EPBC Act, and we contributed to protection of the Alligator Rivers Region from the impacts of mining. We protected internationally traded flora and fauna consistent with our international obligations and engaged effectively with stakeholders to achieve improved outcomes for species and heritage places.

Factors that affected our performance and reporting of results are described in the following paragraphs. Across our regulatory functions we apply a high level of expertise and knowledge to our decisions, drawing on the qualifications, corporate knowledge and experience of our staff.

Modernising multilateral bodies The leading role we play in multilateral bodies is helping to position them to protect domestic and global biodiversity into the future. In 2016–17, we led and contributed to resolutions and proposals that benefit the domestic and international environment and support sustainable changes to these bodies. This engagement supports Australia’s global reputation, facilitates sustainable wildlife trade and shapes global decision-making to achieve better biodiversity outcomes.

For example, in our capacity as the Oceania regional representative to the Convention on the Conservation of Migratory Species we helped identify best practice implementation review mechanisms and explored possibilities for strengthening the convention’s implementation.

Australia played a lead role at the 66th International Whaling Commission meeting in October 2016. The meeting passed two Australia-led resolutions, which advance our conservation and governance reform objectives.

Through our leadership, parties to the Convention on International Trade in Endangered Species agreed to promote better sharing of scientific information to support sustainable trade in wildlife and to review requirements for physical endorsement (wet stamping) of CITES permits by border officials. The review will explore international options to move to digital permit endorsement as well as streamline border clearance processes for businesses involved in international wildlife trade. We introduced new resolutions in CITES to strengthen international cooperation on actions to address illegal wildlife trade, including increased offences for international wildlife crimes involving transnational criminal groups and investigation of new approaches to improve forensic testing of seized wildlife specimens.

Statutory time framesIn 2016–17, we faced challenges in meeting some statutory time frames under this activity. Factors that affected our ability to meet time frames include resource and administrative constraints, the federal election, and the complexity of assessments and related consultation with business and the community.

Late statutory decisions are often caused by delays that arise when working with project proponents. Any delays are negotiated and managed transparently with stakeholders. The Department is taking steps to improve compliance with statutory time frames and to maximise

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the use of resources. For example, in 2016–17, we began working with the Australian Heritage Council to streamline assessment processes and ensure new places added for assessment have the support of property owners.

Improving our regulatory maturityThe release in April 2016 of the Regulatory Maturity Project Final Report (Woodward review) and the Department’s response is directly relevant to the Department’s responsibilities under this activity and has ongoing implications for delivering against the criteria and targets we report on. See Part 3, Management and Accountability, ‘Improving our regulatory capability’, page 154.

Assessments under the EPBC ActThe Department continued to deliver high-quality assessments on matters of national environmental significance and to pursue continuous improvement and streamlining initiatives and processes. In October 2015, we implemented a workflow system that monitors referral and assessment decisions and relevant due dates, and notifies the assigned officer that due dates are approaching. In 2016–17, our compliance, monitoring, investigations and post-approvals work played a significant role in enabling us to sustain and manage our objectives for EPBC assessments effectively and efficiently.

Data availability continues to hinder full assessment against the target relating to the number of hectares of habitat protected by offsets. We do not yet have the IT systems in place to support collection of this data to allow meaningful performance reporting.

We are planning to improve internal reporting and data collection so that the data and information we generate or commission will be better tracked and reported. In response to a recommendation of the Woodward review, the Department is assessing our existing regulatory performance measures. This project will identify a more comprehensive suite of measures and identify data and information required to enable improved performance reporting.

Fisheries assessmentsSince 2015, the Department has moved 49 fisheries that present a lower environmental risk to a 10-yearly approval cycle under the EPBC Act. This change rewards fisheries that are already well managed and provides a greater incentive for higher risk fisheries to improve their management. It allows us to focus our assessments and advice on the fisheries that pose the greatest risk to the environment.

Protecting the Alligator Rivers Region In 2016–17, we significantly strengthened our supervision function by employing additional staff and increasing our capability in critical areas such as project management and hydrogeology. By working closely with other Australian and Northern Territory government departments, we ensured that the Supervising Scientist Branch could adequately oversee the regulatory processes that relate to uranium mining and mine rehabilitation in the Alligator Rivers Region.

The quality of our advice and our engagement and consultation with Aboriginal communities ensured that our work and objectives remained transparent and accessible to stakeholders and the public. Throughout the year we consulted with the Mirarr traditional owners, the Gundjeihmi Aboriginal Corporation and the Northern Land Council. As part of this we provided communication products that capture the results of our scientific work, with the information tailored according to the intended audience.

Where necessary, we directly advised relevant ministers and decision makers, to ensure their decisions are informed by the best available science.

Activity: Environmental health53

The Department works to protect Australia’s environmental health by implementing national and international approaches to the management of hazardous wastes, substances and pollutants.

We perform an important stewardship role as the Australian Government leader in developing and reforming air quality, fuels and chemicals frameworks. We work closely with states and territories, through forums such as meetings of environment ministers and the heads of environment protection agencies, to ensure there is discussion and collaboration on cross-jurisdictional environmental health matters.

We administer legislation relating to environmental health, including the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989, the Product Stewardship Acts, the Hazardous Waste (Regulation of Exports and Imports) Act 1989, and the Fuel Quality Standards Act 2000. We work to progress reforms under policies such as the National Waste Policy, the National Clean Air Agreement and the Council of Australian Governments (COAG) chemical reforms.

Effective administration of environmental health legislation and implementation of our policies helps us meet our international obligations and represent Australia’s interests at international forums on environmental health matters.

Results against performance criteria and targetsIntended result: Protect the environment through national approaches to effectively and efficiently manage hazardous wastes, substances and pollutants.




In 2016–17, the Department worked to ensure that Australia fulfilled its obligations under international environmental agreements.

Montreal Protocol on Substances that Deplete the Ozone Layer

Australia met all its obligations under the Montreal Protocol on Substances that Deplete the Ozone Layer, including obligations to phase out production and import of hydrochlorofluorocarbons (HCFCs) and methyl bromide for controlled uses. Australia imported 2.48 ozone-depleting potential (ODP) tonnes of HCFCs and 17.85 ODP tonnes of methyl bromide for controlled uses, complying with the Montreal Protocol limits of 55 ODP tonnes and 17.85 ODP tonnes respectively.The Department implements the Montreal Protocol in Australia through the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 and related Acts and regulations, which protect the environment by reducing emissions of ozone-depleting substances and synthetic greenhouse gases. We represented Australia in international negotiations to pursue our national interests, minimise costs and secure environmental benefits. In 2016, Australia played a lead role in agreeing an amendment to the protocol (the Kigali Amendment) to phase down production and imports of hydrofluorocarbons (HFCs) by 85 per cent in developed countries, 80 per cent in most developing countries and 85 per cent in the remainder of developing countries (see case study on page 84). Australia co-facilitated the negotiations, and the Australian delegation was influential in negotiating the final agreement. The agreement supports Australia’s HFC phase-down, which is a measure in meeting our 2030 greenhouse gas emissions commitment.We continued to administer end-use controls in the refrigeration, air-conditioning and fire protection sectors to reduce emissions of ozone-depleting substances and synthetic greenhouse gases. These controls reduce emissions by imposing

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minimum requirements on technicians and businesses so that gas and equipment are handled only by appropriately skilled people. See Appendix 10 for information on the operation of the Ozone Protection and Synthetic Greenhouse Gas Management Act, page 322.

Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal

Australia is delivering its obligations under the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal. Our obligations are to minimise generation of hazardous waste; ensure its environmentally sound management, disposal and control; reduce its international movement; and prevent its illegal traffic. Australia was an active participant in the 13th Conference of the Parties to the Basel Convention in April–May 2017.The Department implements the Basel Convention in Australia through the Hazardous Waste Act, which controls the export, import and transit of hazardous waste through use of a permit system. In 2016–17, we issued 24 permits. We issued 58 permits in 2015–16 and 54 permits in 2014–15. Cost recovery fees were increased in 2016–17.Under the Basel Convention, we facilitated the export of 135 tonnes of waste hexachlorobenzene (HCB) from Australia to Finland for destruction by high-temperature incineration. In October 2016, the Minister authorised the export, subject to strict conditions under the Hazardous Waste Act. This is an important first step in removing the risks posed by the ongoing storage of a 15,000-tonne HCB stockpile. See Appendix 8 for information on the operation of the Hazardous Waste Act, page 318. Australia cooperates with other parties to the Basel Convention to provide timely information to the convention secretariat on transboundary movements of hazardous wastes. Where movements could not be completed as planned, we cooperated with the relevant international authorities to ensure that the relevant information was provided to the secretariat.

International obligations relating to chemicals

Australia is an active participant in the Stockholm Convention on Persistent Organic Pollutants, and the Rotterdam Convention on the Prior Informed Consent Procedure for Certain Hazardous Chemicals and Pesticides in International Trade. The Department represented Australia at meetings of the governing bodies of the Stockholm, Basel and Rotterdam conventions (conferences of the parties) that were held from 24 April to 5 May 2017. At the meetings three persistent organic pollutants were listed under the Stockholm Convention, including decabromodiphenyl ether and short-chained chlorinated paraffins. Four chemicals were made subject to the prior informal consent procedure under the Rotterdam Convention. We began domestic treaty-making processes, including consultation, for the new chemical listings for both conventions.Australia remained an expert member of the subsidiary bodies of the Stockholm Convention and the Rotterdam Convention. These conventions last met in September 2016. During this meeting Australia’s expert provided input to scientific consideration of high-visibility chemicals such as perfluorooctanoic acid

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(PFOA).

Stockholm Convention

The Department progressed work to strengthen Australia’s management of the chemicals perfluorooctane sulfonate (PFOS) and its salts and perfluorooctane sulfonyl fluoride (PFOSF), which are listed in Annex B of the Stockholm Convention. We prepared to begin consultations on an early assessment regulation impact statement to inform a government decision on potential management options to support ratification of the listing. We worked with other Australian Government agencies to develop agreed guidance on managing PFOS and PFOA, and published the draft guidance on our website at the end of 2016.www.environment.gov.au/system/files/pages/dfb876c5-581e-48b7-868c-242fe69dad68/files/draft-environmental-mgt-guidance-pfos-pfoa.pdfAs well as supporting sound management of chemicals listed under the Stockholm Convention, this guidance is being used to set conditions for assessments under the EPBC Act, where those conditions need to consider contamination by PFOS and PFOA.Our activities to implement the Stockholm Convention included environmental monitoring to assess the effectiveness of actions taken and strong engagement in the scientific assessment process for chemicals being considered for listing under the convention.

Rotterdam Convention

At the 8th Conference of the Parties to the Rotterdam Convention in April–May 2017, the Department led the Australian delegation, which provided strong support for the listing of chrysotile asbestos under the convention. Earlier in 2016–17, we led a related intersessional process on improving the effectiveness of the convention in listing chemicals. A workshop was held in mid-2016, the final report of the process was finalised in the second half of 2016 and we successfully co-led discussions at the conference of the parties on next steps. This process followed a proposal by Australia in 2015 that aimed to break an 11-year deadlock on the listing of chrysotile asbestos. In 2016–17, in our capacity as Australia’s designated national authority for industrial chemicals, the Department continued to administer on time, routine obligations under the Rotterdam Convention regarding export notifications and explicit consent requests relating to the international movement of industrial chemicals between parties.

Case Study – The Kigali Amendment to the Montreal Protocol

The Kigali Amendment to the Montreal Protocol represents an agreement by parties to the protocol to phase down the production and import of HFCs.

The global agreement was reached in October 2016, at the 28th meeting of the parties in Kigali, Rwanda. This was the culmination of seven years of negotiations, beginning in 2009. The Department played a central role in negotiations to reach agreement to amend the protocol.

The HFC phase-down agreement was a key objective for the Australian Government, consistent with international commitments.

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The global HFC phase-down is the most significant amendment to the Montreal Protocol since the chlorofluorocarbon and halon phase-out was agreed in 1990. It will reduce greenhouse gas emissions equivalent to 72 billion tonnes of carbon dioxide between 2019 and 2050, or the equivalent of one and one-third years of total greenhouse gas emissions. The United Nations Environment Programme has described the Kigali Amendment as the most significant environmental breakthrough since the 2015 Paris Agreement. It has estimated that it will prevent up to 0.5°C of global warming.

We were prominent in the negotiations, as a co-chair and as consensus-builders. We ensured Australia was involved in all key discussions and in-principle decisions, helped to identify and resolve outstanding issues, and played a critical role in the final stages of negotiations and approval of the final negotiated text.

Throughout the preparation and negotiation period we worked closely with stakeholders in the private sector and other government agencies. This included consulting on projected demand of HFCs, releasing updates on progress and consulting regularly on details of the proposed agreement. We worked particularly closely with the Department of Foreign Affairs and Trade to ensure that the negotiating mandate, which included an understanding of future financial obligations, was approved in time for the final negotiating meeting in Kigali. Stakeholders strongly supported an HFC phase-down and Australia’s negotiating position.

We managed the Ozone Protection and Synthetic Greenhouse Gas Management Legislation Amendment Act 2017 to provide for the HFC phase-down and the national interest analysis to support the treaty-making process. We supported the passage of the Act through the Parliament on 19 June 2017 and the tabling of the national interest analysis on 22 June 2017.

Target All activities required by legislation are conducted within statutory time frames.Source PBS 2016–17 p. 47, Corporate Plan 2016–17 p. 29Result Achieved

In 2016–2017, the Department met the statutory time frames under the Hazardous Waste Act. We submitted all permit notifications and assessed all new applications and permit variation applications within statutory time frames.We also met all statutory time frames under the Ozone Protection and Synthetic Greenhouse Gas Management Act and under the Fuel Quality Standards Act. See Appendices 6, 8, and 10 for information on these Acts, pages 313, 318 and 322.




In 2016–17, the Department provided data and information for stakeholders’ use and to support evidence-based decisions on environmental protection matters.

Basel Convention

The Basel Convention secretariat used data on waste provided by the Department to prepare their annual report and inform discussion on aspects of, and amendments to, the convention. We released three reports on hazardous waste issues:

Spent pot lining project (feasibility of an agreement based approach to clear stockpiles)

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Report on thermal capacity opportunities in Australian hazardous waste infrastructure

Hazardous waste bans, conditional disposal restrictions and product stewardship.

Waste industry stakeholders have used the reports to support evidence-based decisions for their businesses. For example, a recent German delegation to Australia used our reports to identify which technologies and services would best suit the Australian market.

Ozone Protection and Synthetic Greenhouse Gas Program

In 2016–17, the Department generated data on imports, exports and manufacture of ozone-depleting substances and made it publicly available to support the Ozone Protection and Synthetic Greenhouse Gas Management Program. The data showed that Australia is meeting its international obligations under the Montreal Protocol. It included trend data to support policy and decision-making and inform Australia’s negotiating position. We worked with stakeholders to develop Australia’s negotiating position on the proposed HFC phase-down under the Montreal Protocol (see the case study ‘The Kigali Amendment to the Montreal Protocol’, page 84), including sharing projections of demand and emissions reductions over the next 20 years. We delivered effective compliance monitoring under the Ozone Protection and Synthetic Greenhouse Gas Management Act. In mid-2016, we developed and implemented a prioritisation model that generates a risk score for referred cases, enabling us to identify matters of highest risk for appropriate action. As this is a new business improvement, we have not yet collected the data or analysed its stakeholder value.

Stockholm Convention

The Department commissioned work to generate data to inform policy options for government relating to the Stockholm Convention. To inform regulatory impact analysis, we collected data in relation to the chemical PFOS, including long-term monitoring of PFOS levels in human blood, testing to determine its presence in imported articles, and monitoring of potential releases from landfills and sewage treatment plants. The information collected has assisted government consideration of management options for this chemical at the Commonwealth, state and territory levels.We commissioned an independent scientific consultancy to develop levels for PFOS and a related chemical, PFOA, in water as part of the broader updates to the Australian and New Zealand guidelines for fresh and marine water quality. The Department of Agriculture and Water Resources is the policy agency for updates to the guidelines. We used this analysis to inform the draft Commonwealth Environmental Management Guidance on Perfluorooctane Sulfonic Acid (PFOS) and Perfluorooctanoic Acid (PFOA), which was finalised and published in late 2016.

Minamata Convention on Mercury

Australia is considering whether to ratify the Minamata Convention on Mercury. In December 2016, the Department released the National Phase down of Mercury: Ratification of the Minamata Convention on Mercury final regulatory impact statement exposure draft, which is published on our website.

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Data and information generated or commissioned by the Department are used by stakeholders and/or support evidence-based decision-making.Consultation with industry and the Australian community on this document and on the 2015 report, Costs and benefits of Australia phasing-down mercury, took place early this year, ending in March 2017. The comments and submissions received are being analysed and will form part of a final regulation impact statement. This will help inform Australia’s decision on whether to ratify the convention.

Fuel Quality Standards Act

The Department runs a compliance monitoring program under the Fuel Quality Standards Act. In 2016–17, this program continued to focus on ensuring wide-ranging national visibility in both metropolitan and regional areas. Inspections were guided by trend analysis and reports of potential non-compliance received from the public. During the year we made progress on developing an intelligence product to inform more targeted compliance activity.

National Clean Air Agreement

The Department worked with state and territory governments to publish data and other information on progress in delivering actions under the National Clean Air Agreement’s initial two-year work plan. The work plan includes strengthening national reporting standards for particle pollution and establishing Commonwealth framework legislation to set emissions standards for certain products. The information we released will inform the priority-setting process to help focus future efforts where they are needed most to improve Australia’s air quality.We released a paper in December 2016 providing updated information on the proposed national product emissions standard for non-road spark ignition engines and equipment (garden equipment and marine outboards). We used feedback from industry to inform our work towards developing the new national standard.www.environment.gov.au/protection/air-quality/publications/working-towards-australian-emission-standards-nrsiee-update-paper

COAG chemical reforms

The Department worked with state and territory governments in developing a national standard for environmental risk management of industrial chemicals. On behalf of all jurisdictions, we commissioned research and expertise in delivering a draft national standard. We published on our website a discussion paper, the draft national standard and an explanatory document, which provided the basis for broad consultation with governments, industry and the community. We are using feedback from stakeholders to refine the proposed national standard, which is due for completion in 2018.




The Department administered national legislation on environmental health matters: the Hazardous Waste Act, the Ozone Protection and Synthetic Greenhouse Gas Management Act and the Fuel Quality Standards Act.

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http://www.environment.gov.au/protection/air-quality/publications/working-towards-australian-emission-standards-nrsiee-update-paper

http://www.environment.gov.au/protection/air-quality/publications/working-towards-australian-emission-standards-nrsiee-update-paper



We partially met our compliance activities relating to the Fuel Quality Standards Act and the Ozone Protection and Synthetic Greenhouse Gas Management Act. In 2016–17:

We undertook 328 fuel quality inspections (out of a target of 450), with 29 non-compliances detected and referred to the Department.

In December 2016, we issued the first ever infringement notice under the Fuel Quality Standards Act to a Melbourne service station for supplying non-compliant diesel.

We undertook 62 ozone inspections (out of a target of 100).We continued to improve compliance with the Hazardous Waste Act. This included work with the Australian Border Force and Interpol to prevent illegal exports of hazardous waste, including hazardous electronic waste. In 2016–17, we received five referrals from the Australian Border Force, two of which were confirmed as containing hazardous waste. The Department established a strategic intelligence capability and delivered our first strategic intelligence reports, including a review of the Australian Refrigeration Council data in relation to ozone compliance. This was the first time the ozone compliance data had been reviewed in detail. The analysis highlighted several compliance issues as well as opportunities for improving our engagement with industry and the Council.

Analysis against the activity’s intended resultIn 2016–17, we continued to protect the environment through national approaches to manage hazardous wastes, substances and pollutants. We delivered this through effective and efficient delivery of our regulatory functions, policies and programs; application of a risk-based approach to compliance and enforcement activities; strong international engagement; and collaboration with states and territories. We made significant progress in implementing government reforms in relation to environmental health. We met all statutory time frames associated with our environmental health responsibilities.

ConstraintsWe continued to implement significant election commitments relating to environment protection and health matters, including:

the Surf Life Saving Cleaner Outboard Engines Scheme

an HFC phase-down (see case study page 84)

a National Food Waste Strategy and summit.

Managing these commitments placed resource constraints on the Department. We managed this risk within the available resources to ensure that frameworks adequately protected against and responded to issues affecting environmental health.

Despite these limitations, we achieved significant outcomes in environmental health matters.

Environmental health reformsWe made significant progress in implementing government reforms in relation to environmental health. This included:

the Department performing strongly in the chemical and e-waste areas, where we managed

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several high-profile issues. We oversaw the recycling of 46,000 tonnes of e-waste under the National Television and Computer Recycling Scheme and 275 million litres of used motor oil under the Product Stewardship (Oil) Act 2000. We also supported the launch of an industry-funded recycling scheme for waste paint

developing national emissions standards for non-road spark ignition engines and equipment, which is a priority under the National Clean Air Agreement. Emissions from non-road spark ignition engines and equipment are estimated to contribute up to 10 per cent of overall air pollutants in Australian urban environments at peak times

the first changes to hazardous waste permitting cost recovery since 1996. From 1 July 2017 the hazardous waste permit system is fully cost recovered, consistent with the Australian Government’s cost recovery policy. This provides an incentive for companies to consider dealing with hazardous wastes domestically rather than exporting them, consistent with the objectives of the Basel Convention

the passage through the Parliament of the first phase of amendments to Australia’s national hazardous waste legislation, which will improve regulatory efficiency and effectiveness and reduce costs to business

securing agreement from industry and state governments to an overhaul of the Australian Packaging Covenant and to the first comprehensive review of the National Pollutant Inventory in a decade

reviewing Australia’s fuel standards to improve the quality of fuels supplied in Australia and align our fuel standards with international best practice. We consulted on five options to amend fuel standards and received more than 70 submissions from stakeholders, which informed a cost–benefit analysis completed in June 2017. The submissions also informed a draft early assessment regulation impact statement and a regional Australia impact statement

the Australian Government’s agreement to Australia’s HFC phase-down, which starts earlier and with a limit lower than that agreed under the Montreal Protocol

amending the Ozone Protection and Synthetic Greenhouse Gas Management Act to implement the outcomes of the review of the Ozone Protection and Synthetic Greenhouse Gas Management Program. The amendments include implementing Australia’s phase-down of HFC imports from January 2018

undertaking criminal investigations of offences under the Hazardous Waste Act. The Department also established new intelligence reporting systems and formal intelligence-sharing arrangements with external stakeholders.

Climate changePurpose: Develop and implement a national response to climate change.

Activity: Reducing Australia’s greenhouse gas emissionsThe Department helps develop and implement a national response to climate change through policies and programs that reduce emissions. This includes boosting energy productivity, storing carbon in the landscape, increasing renewable energy, driving innovation and supporting an effective international response.

We are responsible for implementing components of the Emissions Reduction Fund (crediting, purchasing and safeguarding) and the Carbon Neutral Program. We encourage the uptake of renewable energy and energy innovation through the Renewable Energy Target and we support and work with the Australian Renewable Energy Agency and the Clean Energy Finance Corporation.

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Results against performance criteria and targetsIntended result: Shape the global response to climate change and achieve Australia’s greenhouse gas emissions reduction targets through effective emissions reduction mechanisms, including the Emissions Reduction Fund, the Carbon Neutral Program and the Renewable Energy Target.


Australia meets its obligations under international climate change agreements.


The Department is responsible for implementing Australia’s mandatory international reporting requirements under the United Nations Framework Convention on Climate Change (UNFCCC), including through the National Greenhouse Accounts. We design and implement domestic abatement measures to enable Australia to achieve its international emissions reduction targets and measures, and report on and verify progress towards these targets. We support negotiations on the implementation of the Paris Agreement and build other countries’ capacity to contribute to the global response to climate change by sharing our unique expertise and experience in emissions measurement, reporting, verification and accounting.

Paris Agreement and Doha Amendment

In 2016–17, we supported Australia’s ratification of both the Paris Agreement and the Doha Amendment to the Kyoto Protocol on 10 November 2016. These treaties, which together formalise Australia’s 2020 and 2030 emissions reduction targets, were tabled in the first sitting week of the new Parliament. Our work on the national interest analyses and our participation in the hearings of the Joint Standing Committee on Treaties contributed to the committee’s recommendation to ratify the agreements. Ratification of these agreements reaffirmed Australia’s strong commitment to effective global action on climate change.In 2016–17, we worked closely with the Department of Foreign Affairs and Trade on ongoing UNFCCC negotiations to develop the implementing rules for the Paris Agreement, due for completion at the end of 2018. We provided technical expertise on priority issues such as emissions accounting, reporting and review, and advocated for outcomes consistent with Australia’s circumstances and policies.

Biennial report to the UNFCCC

During 2016–17, we successfully engaged with the UNFCCC technical team reviewing Australia’s second biennial report under the convention. The review team assessed Australia highly, highlighting the completeness and transparency of our reporting. The report was presented to the 22nd UNFCCC Conference of the Parties meeting in Marrakech in November 2016. It has received positive feedback from domestic and international stakeholders.

Greenhouse gas inventory system: international and domestic reviews

A UNFCCC technical expert review team confirmed that Australia’s annual National Inventory Report on our greenhouse gas inventory system complied with the monitoring, reporting and verification requirements. In August and September 2016, the team scrutinised our inventory system, data estimates for 1990–2014, methods and sources against the international reporting requirements of the UNFCCC and its Kyoto Protocol.

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Australia meets its obligations under international climate change agreements.

The Australian National Audit Office undertook a performance audit of the national inventory over 10 months to July 2017. Its objective was to assess the effectiveness of arrangements for preparing and reporting Australia’s greenhouse gas emissions estimates in the National Inventory Report 2014 (revised). The audit office reported that the Department had established appropriate processes to prepare, calculate and publish the 2014 inventory. The report concluded that emissions estimates were calculated using relevant contemporary data and appropriate quality assurance and that control procedures were in place for inventory data processing, emissions calculations and reporting. The Department calculated that the impact of data issues identified in the national inventory for the years from 1990–2014 was less than 0.1 per cent of total emissions in each year.

Capacity building activities

We continued to shape the global response to climate change by applying and sharing our expertise in emissions measurement and accounting to support the building of the capacities in developing countries to meet Paris Agreement obligations. This was done through direct bilateral support to the governments of Indonesia and Thailand to develop emissions measurement and reporting systems. Australia’s continued leadership of the Global Forest Observations Initiative provided necessary satellite data to developing countries for monitoring emissions from the land sector and guidance on how to use these data. The value of the initiative was also recognised by the direct involvement of the World Bank, Intergovernmental Panel on Climate Change and UNFCCC secretariats, Germany and the United Kingdom.Further elaboration of capacity building activities is set out in the case study ‘Shaping the global response to climate change—Thailand’ below.Our work with developing countries included support of Brunei Darussalam to host the second Asia-Pacific Rainforest Summit in August 2016. The summit attracted 600 attendees from business, civil society, academia and governments from more than 40 countries. The summit successfully promoted the importance of forests and the land sector in reducing emissions for countries in our region.

Domestic climate change action

For reporting on domestic programs and policies to meet Australia’s international climate change obligations, including the 2020 and 2030 targets, see the targets under this activity on pages 93–104.

Case Study – Shaping the global response to climate change—Thailand

The Department is supporting Thailand’s efforts to implement the UNFCCC Paris Agreement. In partnership with Thailand’s Office of Natural Resources and Environmental Policy and Planning, we are supporting the design and development of the Thailand Greenhouse Gas Emissions Information System, known as TGEIS.

TGEIS is modelled on the Australian Greenhouse Emissions Information System. It will centralise Thailand’s greenhouse gas emissions estimations, national account compilation and international reporting into a single IT system. By producing timely, high-quality and transparent greenhouse gas emissions data, TGEIS will be a critical input into Thailand’s climate action. It will support the design and implementation of effective domestic emissions reduction measures and help fulfil Thailand’s international reporting obligations. Beyond the technical and environmental benefits it will deliver, TGEIS is being promoted as advancing

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Thailand’s economic transformation agenda, ‘Thailand 4.0’.

Thailand has publicly acknowledged our contribution to its climate change response. At the May 2017 UNFCCC negotiating session, Thai officials generously thanked the Department for our help in creating a system they believe will be the best in the developing world. The officials highlighted that our assistance will enable Thailand to apply the same emissions estimation guidelines as developed countries. This is a significant step towards one of the Paris Agreement goals: encouraging all countries to enter a more level playing field of rules and commitments.

Target Australia meets its 2020 emissions reduction target.Source PBS 2016–17 p. 54, Corporate Plan 2016–17 p. 31Result In progress

The Department provides climate change policy advice to the Government and contributes to the development and delivery of policies and programs geared towards meeting Australia’s 2020 emissions reduction target. This includes the Emissions Reduction Fund and its safeguard mechanism, the Renewable Energy Target and the Carbon Neutral Program. The National Greenhouse Accounts track progress towards Australia’s 2020 target. The latest accounts, the Quarterly update of Australia’s national greenhouse gas inventory: December 2016, report that Australia’s emissions for the year to December 2016 were 2 per cent below 2000 levels. They also report that emissions per capita and emissions per dollar of real gross domestic product (the emissions intensity of the economy) were at the lowest levels in 27 years (see Figure 2.7).www.environment.gov.au/climate-change/greenhouse-gas-measurement/publications The Department’s latest emissions projections, published in December 2016, estimate that Australia will over-achieve on its 2020 cumulative abatement task10 by 224 million tonnes of carbon dioxide equivalent (tCO2-e) including carryover11, or 97 million tCO2-e without carryover (Figures 2.8 and 2.9). www.environment.gov.au/climate-change/publications/emissions-projections-2016The previous projections, in April 2016, estimated that Australia would over-achieve on its 2020 target by 78 million tCO2-e with carryover (Figures 2.8 and 2.9). The changes since the April 2016 estimate reflect significantly lower than expected emissions growth across the economy, due in particular to:

factoring in the closure of Hazelwood power station in Victoria in April 2017

increased energy efficiency leading to reduced demand for electricity

reduced levels of land clearing leading to lower emissions in the land sector.

Emissions projections are informed by a range of factors, including contributions

10 Australia’s 2020 emissions reduction target under the Cancun agreement is to reduce emissions to 5 per cent below 2000 levels in 2020, expressed as an emissions budget. A trajectory to achieve the emissions budget is calculated by taking a linear decrease from 2009–10 to 2019–20, beginning from the Kyoto Protocol first commitment period target level and finishing at 5 per cent below the emissions in 2020. The cumulative abatement task for the 2020 target is the difference in cumulative emissions over the period 2013 to 2020 between projected emissions and the target trajectory.

11 Carryover refers to Australia’s over-performance during the Kyoto Protocol’s first commitment period.64

http://www.environment.gov.au/climate-change/publications/emissions-projections-2016

http://www.environment.gov.au/climate-change/publications/emissions-projections-2016

http://www.environment.gov.au/climate-change/greenhouse-gas-measurement/publications

http://www.environment.gov.au/climate-change/greenhouse-gas-measurement/publications

Target Australia meets its 2020 emissions reduction target.from the Government’s climate change policies. During 2016–17, we contributed to climate change programs and policies to achieve the 2020 target. The high-level outcomes of these are summarised below.

Emissions Reduction Fund

The Emissions Reduction Fund rewards businesses and the community for undertaking projects to reduce their emissions by issuing Australian carbon credit units. They can then sell these credits back to the Government under contracts awarded through a reverse auction process or sell them to other private sector purchasers. The Clean Energy Regulator is responsible for administering the fund including issuing Australian carbon credit units. More information is on their website. www.cleanenergyregulator.gov.au/ERF/project-and-contracts-registers/project-register Under the fund, the Department is responsible for developing the methods of emissions reduction activities that are eligible for the scheme. During 2016–17, we released six draft determinations, including variations of existing methods, for public consultation. The Minister for the Environment and Energy made variations to two methods: the method for reducing fugitive methane emissions at coal mines and the method for reducing emissions by improving beef cattle herd management. The Clean Energy Regulator held two fund auctions, one in November 2016 and another in April 2017. The two auctions contracted 45.6 million tCO2-e of emissions reductions at a cost of $500 million. Total contracted abatement for the Emissions Reduction Fund over the five auctions since April 2015 now stands at 189 million tCO2-e. More than $300 million remains for future purchases.

Safeguard mechanism

The Emissions Reduction Fund’s Safeguard Mechanism began on 1 July 2016. The objective of the mechanism is to ensure that emissions reductions purchased by the Government are not offset by significant increases in emissions above business-as-usual levels elsewhere in the economy.It does this by setting emission limits (baselines) for around 140 businesses with facilities that emit more than 100,000 tCO2-e a year. These baselines apply to facilities representing around half of Australia’s emissions. The Clean Energy Regulator, which implements the Safeguard Mechanism, is working with facilities to establish baselines in accordance with the legislation.

Carbon Neutral Program

In 2016–17, the Department delivered workshops to encourage businesses around the country to participate in the Carbon Neutral Program. In December 2016, we released draft standards for carbon neutral buildings and carbon neutral precincts for public consultation. Based on advice received during consultations with the property sector and other businesses, the standards are likely to increase the number of program participants. We are on track to finalise the standards in 2017.Four new participants joined the program in 2016–17, and there was a strong increase in participant use of Australian carbon credit units for offsetting. During the 2016 calendar year, Carbon Neutral Program participants offset 70,000 tCO2-e of emissions through Emissions Reduction Fund projects and almost 60,000

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http://www.cleanenergyregulator.gov.au/ERF/project-and-contracts-registers/project-register

http://www.cleanenergyregulator.gov.au/ERF/project-and-contracts-registers/project-register

Target Australia meets its 2020 emissions reduction target.tCO2-e through other Australian projects.

Renewable Energy Target

For a summary of outcomes, see the target ‘Electricity generation from eligible large-scale sources reaches the legislated target of 33,000 GWh in 2020’ on pages 99–101.

Figure 2.7: Emissions per capita and per dollar of real GDP (including land use, land use change and forestry), 1991 to 2017

Figure 2.8: Change in cumulative emissions reduction task over time, 2020 target

Source: Australia’s emissions projections 2016.

Figure 2.9: Change in projected 2020 emissions level in recent projections

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Source: Australia’s emissions projections 2016.

Case Study – Monitoring of land re-clearing and regrowth using satellite data

As part of fulfilling Australia’s international reporting commitments, the Department uses Landsat satellite data to estimate carbon emissions and sequestration from forests. We process Landsat images collected since 1972 to track land use changes in Australia.

In 2016–17, we implemented improvements to satellite data analysis, in collaboration with Commonwealth Scientific and Industrial Research Organisation (CSIRO) and Geoscience Australia. These improvements have extended the capability of the system to monitor the entire range of woody vegetation, including sparse woody vegetation (5 per cent to less than 20 per cent canopy cover) and forest lands (20 per cent or more canopy cover). This enabled us to compile a complete record of land clearing and regrowth history from 1972 to 2016 for the entire continent at a resolution suitable to detect project level activities, allowing us to report net emissions from land use changes under the UNFCCC and the Paris Agreement.

Our latest report, submitted in May 2017, showed that about 56,000 ha of primary forest were converted to other land uses in 2015—a reduction of 90 per cent from 600,000 ha in 1990. There was about 301,000 ha of additional clearing of secondary forests in 2015 for pasture maintenance purposes. This reflects land management practices of managing bush encroachment or forest regrowth on pastures and the use of woody vegetation for fodder. An important driver of reductions in net emissions from the land sector across Australia has been a declining rate of primary forest conversion to other land uses.

The image above shows clearing and managed regrowth of forest reported in the national inventory over an area under an Emissions Reduction Fund project, demonstrating the additional benefit of being able to use the inventory data to assess regrowth activities funded through Australian Government initiatives such as the Emissions Reduction Fund and 20 Million Trees Program.

Case Study – North East Arnhem Land Fire Abatement Project

The North East Arnhem Land Fire Abatement project in the Northern Territory is a recently registered Emissions Reduction Fund project contributing to Australia’s emissions reduction targets and providing invaluable environmental, social, cultural and economic benefits.

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Operated by the Yirralka Rangers in north east Arnhem Land, the project is undertaking early dry season fire management to avoid high intensity wildfires later in the season, reducing greenhouse gas emissions and protecting the natural and cultural assets of the Laynhapuy Indigenous Protected Area.

In 2016, the Yirralka Rangers traversed 10,000 km of remote country by vehicle and 4,200 km by helicopter to undertake ground and aerial burning. Their hard work resulted in a very productive year, earning more than 110,000 Australian carbon credit units through the fund, where one Australian carbon credit unit represents one tonne of emissions reductions.

The project successfully bid into the Clean Energy Regulator’s fourth reverse auction in November 2016, where they contracted 100,000 tonnes of abatement, allowing the project to sell their Australian carbon credit units to the Australian Government over coming years. Across the five auctions to date, the average price for contracted fund projects is $11.83 per tonne of emissions reductions achieved. Private investors and corporations can also purchase Australian carbon credit units from projects like the North East Arnhem Land Fire Abatement project to voluntarily offset their carbon emissions and support environmental, cultural and social co-benefits.

The North East Arnhem Land Fire Abatement project is the fifth fire project to be registered in Arnhem Land by ALFA (NT) Ltd—a company owned exclusively by Aboriginal people with custodial responsibility for those parts of Arnhem Land under active bushfire management. The five fund fire projects they support cover almost 80,000 km2—an area larger than Tasmania—and have been issued with over 1.8 million Australian carbon credit units to date.

ALFA (NT) Ltd emphasises the high value of co-benefits generated by Indigenous fire projects, including Indigenous employment, supporting Aboriginal people to return and remain on their country, biodiversity protection, transfer of knowledge to younger generations, maintaining Aboriginal languages, and higher standards of mental and physical health.

The Yirralka Rangers and the Laynhapuy Indigenous Protected Area are supported by the Australian Government’s Indigenous Protected Area and Working on Country—Indigenous Ranger programs. These programs maintain and enhance the biodiversity of the land and sea, protect cultural sites, develop alternative sources of income and build the Yolngu people’s skills and capacity to undertake activities like those covered by the fund. The role of the Yirralka Rangers goes beyond the physical to the nurturing of spiritual components—essential to the Yolngu people’s relationship with their land.

‘Caring for country is not just about plants and animals, it is also about songlines and sacred sites within the country. Under Yolngu law we must protect these places. Ranger djama (work) is good because it gives us more ways to fulfil our obligation to look after country while continuing to live on our ancestral lands. Living on the homelands is the vision of our old people.’—Mungurrapin Maymuru, Yirralka Rangers Cultural Manager

Target Electricity generation from eligible large scale sources reaches the legislated target of 33,000 GWh in 2020. With support from small scale and other renewable energy generation, such as the Small-scale Renewable Energy Scheme and the Solar Programs, this delivers 23.5 per cent from renewable sources in 2020.

Source PBS 2016–17 p. 54, Corporate Plan 2016–17 p. 31, PAES 2016–17 p.36Result In progress

The Renewable Energy Target scheme comprises the Large-scale Renewable Energy Target and the Small-scale Renewable Energy Scheme.

Large-scale Renewable Energy Target

Accredited large-scale renewable energy power stations have reported 68

Target Electricity generation from eligible large scale sources reaches the legislated target of 33,000 GWh in 2020. With support from small scale and other renewable energy generation, such as the Small-scale Renewable Energy Scheme and the Solar Programs, this delivers 23.5 per cent from renewable sources in 2020.generation of about 18,300 GWh of renewable energy above their baselines for 2016. This is an increase on the 16,000 GWh reported as generated above baseline in 2015.The number of accreditations of new renewable power stations was considerably higher in 2016 than in any of the previous three years (Figure 2.10). As at June 2017, there were 615 large-scale renewable energy power stations accredited under the Renewable Energy Target.The Clean Energy Regulator estimated that 6000 MW of new renewable energy capacity would need to be committed over 2016 to 2018 and built by 2019 to meet the 2020 target. In 2016, 1350 MW of new capacity was committed. This is lower than was considered necessary for satisfactory progress towards the 2020 target. However, investment activity accelerated in the second half of 2016, with 1024 MW of new projects committed between July and December 2016. A further 1418 MW was committed between January and June 2017, with 1229 MW considered likely to be committed in the near future. As at 30 June 2017, the combined 3977 MW total of committed and probable projects is more than half of the 6000 MW required, providing greater confidence than 12 months ago that the 2020 target will be achieved. The Clean Energy Regulator has advised in its annual statement released in March 2017 that the 2020 target is achievable provided the investment momentum continues in 2017.

Figure 2.10: Renewable power stations accredited, January 2013–June 2017

Source: Clean Energy Regulator.

Target Electricity generation from eligible large scale sources reaches the legislated target of 33,000 GWh in 2020. With support from small scale and other renewable energy generation, such as the Small-scale Renewable Energy Scheme and the Solar Programs, this delivers 23.5 per cent from renewable sources in 2020.

Small-scale Renewable Energy Scheme

Unlike the Large-scale Renewable Energy Target, the Small-scale Renewable

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Target Electricity generation from eligible large scale sources reaches the legislated target of 33,000 GWh in 2020. With support from small scale and other renewable energy generation, such as the Small-scale Renewable Energy Scheme and the Solar Programs, this delivers 23.5 per cent from renewable sources in 2020.Energy Scheme does not have specific targets. As at 30 June 2017, more than 2.7 million small-scale systems were installed under the Small-scale Renewable Energy Scheme. The Clean Energy Regulator estimates that these small-scale renewable energy systems, such as household solar photovoltaic systems, will generate around 7700 GWh of electricity a year, while solar hot water systems and air source heat pumps will displace around 3400 GWh of electricity use a year. Since 2011 there has been a decline in small-scale system installations, in part due to reductions in the level of state and Australian Government support. This trend is expected to continue, given the relatively high penetration rates that have now been achieved. Starting in January 2017, support under the Small-scale Renewable Energy Scheme for each new system is gradually reducing each year. While the number of installations has declined since 2011, the average capacity of installed solar photovoltaic systems has increased from 2.3 kW to 5.6 kW.

Renewable energy generation

The Department estimates that renewable energy contributed about 16 per cent of total electricity generation in the 12 months to December 2016, up from 14 per cent in the previous 12 months. This is the highest share of renewables since the late 1970s. Non-renewable generation decreased by 1.4 per cent over the same period (Figure 2.12).Generation from wind and both large-scale and small-scale solar continued to grow over the last 12 months. Hydro generation recovered to levels similar to those achieved in 2013–14 (Figure 2.11).www.environment.gov.au/energy/publications/australian-energy-update-table-o

Figure 2.11: Per cent renewable generation year to date, June 2014–December 2016

Source: Department of the Environment and Energy, 2017.

Figure 2.12: Electricity generation year to date, June 2014–December 2016

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https://www.environment.gov.au/energy/publications/australian-energy-update-table-o

Source: Department of the Environment and Energy, 2017.

Target A doubling of Australian Government expenditure on clean energy research and development on 2015 levels by 2020 consistent with Australia’s Mission Innovation pledge.


Australia joined the global Mission Innovation initiative when it was launched at the Paris Climate Change Conference in November 2015. Australia pledged to double Government clean energy research and development expenditure of $104 million over the five years to 2020–21. During 2016–17, the baseline expenditure was revised to $108 million, reflecting differences between projected spend and actual spend in 2015–16, as well as improved data on clean energy research and development activities.Based on projected data, Australia’s clean energy research and development expenditure is expected to have declined slightly to $104 million during 2016–17. However, there was qualitative progress in areas, which should support expenditure growth in future periods.In September 2016, the Government reinstated $800 million in funding to the Australian Renewable Energy Agency (ARENA) over five years, commencing from the 2017–18 financial year. ARENA spends across the clean energy innovation chain—research and development, demonstration, and deployment. Only spending on research and development contributes to the Mission Innovation pledge. The ARENA board decides where it directs funds.In May 2017, the ARENA board released a detailed investment plan setting out four investment priorities that will guide how ARENA’s new funds are directed over the coming years. It also opened a new grant funding round of approximately $20 million targeting research and development projects aligned with the investment plan. www. arena.gov.au/about/funding-strategy-investment-plan/ In June 2017, CSIRO published a Low Emissions Technology Roadmap for Australia, which made recommendations on Australia’s future clean energy research and development priorities, including where to focus domestic research and opportunities to collaborate internationally to deliver clean energy solutions for Australia. Further information on the roadmap is provided under the ‘Energy market reform and energy efficiency programs’ activity, page 125.

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https://www.arena.gov.au/about/funding-strategy-investment-plan/

Target A doubling of Australian Government expenditure on clean energy research and development on 2015 levels by 2020 consistent with Australia’s Mission Innovation pledge.We engaged closely with our international partner countries throughout the year on priority research areas for multilateral collaboration, and we represented Australia at the second Mission Innovation ministerial meeting in Beijing in June 2017.


Support ARENA and the CEFC to increase the investment of funds into the Australian economy supporting clean energy technologies, including the number of projects progressing beyond the research and development phase of the innovation chain.


The Department supported processes to have Australian Government priorities reflected in the investment mandate of the Clean Energy Finance Corporation (CEFC) and in the general funding strategy of ARENA. We helped to set ARENA’s forward year funding allocation and the allocation of CEFC funding to particular investment funds, including the Clean Energy Innovation Fund. We continued to provide governance support, including board appointments and ministerial liaison. We supported ARENA by providing staff and corporate services under a service level agreement. ARENA supported projects to increase the supply of renewables in Australia, in particular to speed up the commercialisation of promising renewable energy technologies or solutions so that Australians can have affordable access to them as soon as possible. As at 30 June 2017, ARENA had committed $1.032 billion to over 317 projects. This has been matched by $2.530 billion in co-funding from private investors, making the total $3.562 billion.The CEFC committed a record $2.1 billion to new investments in the Australian clean energy sector in 2016–17, contributing to projects with a total value of $6.5 billion.The CEFC’s total commitments since it began investing in 2013 now stand at almost $4.3 billion, contributing to a diverse range of projects with a total value of $11 billion.The Government has now established three funds through the CEFC, drawing on its existing legislated funding. These are:

the $200 million Clean Innovation Fund, which provides support for emerging technologies from demonstration through to commercial deployment. ARENA is jointly managing this fund

the $1 billion Sustainable Cities Investment Program for clean energy projects that support the Government’s Smart Cities Plan by improving the productivity, liveability and accessibility of cities

the $1 billion Reef Program, which will contribute to the implementation of the Government’s Reef 2050 plan by investing in clean energy projects that improve water quality by reducing the levels of nutrients, sediments and pesticides in land-based run-off, and reducing amounts of marine debris.

Case Study – AGL virtual power plant

Through ARENA, the Department is providing up to $5 million towards AGL Energy Limited’s 72

$20 million virtual power plant project.

The virtual power plant will use batteries that ‘talk’ to each other through a cloud-based platform to form a connected system that operates as a 5 MW solar power plant. The batteries will be installed in up to 1000 homes and businesses in Adelaide.

The cloud-based system will allow AGL to operate the system virtually rather than sourcing electricity from large power stations. It will harness power from the sun, captured and stored from rooftop solar panels. This virtual power plant will support the grid in times of instability and provide electricity to the grid in periods of peak demand.

This innovative project, the first of its kind, will enable home owners and small businesses to use more of the energy generated from their own rooftop solar systems to lower their power bills, reduce emissions and help to stabilise the electricity grid.

Case Study – Innovative CEFC financing programs reduce emissions and increase productivity

The CEFC has financed more than 1000 clean energy assets for businesses across Australia to help them lower their energy consumption and reduce their carbon emissions.

Working with some of Australia’s largest banks—National Australia Bank, Westpac and the Commonwealth Bank—the CEFC is making it easier for businesses to invest in clean energy technologies with the benefit of discounted asset finance. Overall CEFC has committed more than $600 million to national programs that offer finance to businesses wanting to upgrade to renewable, energy-efficient and low-emissions technologies.

Switching to more productive and energy-efficient equipment and processes typically reduces the energy costs of a business by 10 to 20 per cent.

The many success stories from CEFC co-financing programs include: Cane farmers who switched from winch irrigation to lateral irrigation have achieved

electricity savings of more than 50 per cent, enabling them to increase productivity by irrigating areas they could not previously manage.

Farmers who financed self-propelled sprayers with wider booms have increased productivity by reducing the time it takes to spray their fields. One farmer reported that the new sprayer had halved fuel costs.

A road-base supplier who used the funding to buy stone crushers and excavators has saved around 35 per cent on fuel costs.

A manufacturer who installed new beam lines to cut, drill and weld steel has increased job turnaround while using far less energy.

A flower producer who replaced diesel with biomass has reduced overall energy costs.

Analysis against the activity’s intended resultIn 2016–17, Australia remained on track to meet its 2020 emissions reduction targets, made progress towards its 2030 target and supported an effective international response to climate change. Australia’s ratification of the Paris Agreement and the Doha Amendment to the Kyoto Protocol in November 2016 reaffirmed our commitment to shaping an effective global response to climate change.

We contributed to securing Australian influence in the UNFCCC negotiations and other international forums and promoted international climate change action in line with Australia’s interests. As Australia’s national focal point for the Intergovernmental Panel on Climate Change, we contributed to refining the panel’s guidance on emissions estimation to reflect Australia’s world-

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leading research and modelling expertise, promoted the comparable treatment of all countries in international review processes and built confidence in the quality of emissions estimates.

The Department successfully implemented the Government’s climate change policies, as detailed in the performance tables above.

Our December 2016, emissions projections showed that Australia is expected to surpass its 2020 abatement target. These projections indicated that reaching our 2030 target will require 990 million to 1055 million tCO2-e in emissions reductions between 2021 and 2030.

We are leading the Government’s 2017 review of climate change policies, with broad consultation, to ensure that Australia is in the best position to achieve our 2030 target. We began the review in February 2017 and will complete it by the end of 2017. In 2016–17, the Minister released terms of reference for the review, and we engaged with business, industry and other organisations on its scope, and released a discussion paper for public consultation on issues, including opportunities and challenges of reducing emissions on a sector-by-sector basis.

By applying and sharing our expertise in capacity building and international partnerships and delivering programs that enable developing countries to meet Paris Agreement obligations we continued to shape the global response to climate change. We represent Australia on, and chair, the lead team of the multilateral partnership Global Forest Observations Initiative. We are leading the development of methodology for the initiative. This gives us an unprecedented opportunity to influence global climate change institutions, including the UNFCCC, the Reducing Emissions from Deforestation and Forest Degradation in Developing Countries (UN-REDD) program and the World Bank’s capacity-building programs.

Activity: Adapting to climate change The Department supports research and produces practical information and tools to help businesses, governments and communities to identify climate change impacts, take appropriate actions and build their capacity to adapt to a changing climate. We work with Australian Government agencies to improve their understanding and consideration of climate risk and opportunities to their operations, programs and policies.

Our climate adaptation work links closely with our environmental science and research enabling activity (see page 135), which improves our understanding of climate change and promotes informed decision-making.

Results against performance criteria and targetsIntended result: Provide the guidance, information and national coordination needed to ensure that Australian Government operations and activities are resilient to climate change impacts, and that businesses and communities are better placed to manage their own risks.




In 2016–17, the Department commissioned a range of tools, information and data to assist evidence-based decision-making. In particular, we provided funding for Phase 2 of the National Climate Change Adaptation Research Facility’s Project Plan 2014–2017. Phase 2 of the plan focuses on decisions concerning coastal assets, communities and ecosystems.

CoastAdapt

In May 2017, as part of Phase 2 of the Project Plan 2014–2017, the National Climate Change Adaptation Research Facility released the final version of

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Data and information generated or commissioned by the Department are used by stakeholders and/or support evidence-based decision-making.CoastAdapt, its online tool for managing coastal climate risk. Results from the user testing of the beta version of the tool included the following:

Respondents to the online user feedback survey were overall very satisfied with CoastAdapt and were very likely to recommend CoastAdapt to others.

Qualitative feedback from 19 workshops held around Australia in September–October 2016 indicated that CoastAdapt is a useful ‘one stop shop’ for climate change related information.

Within the first quarter of its release, CoastAdapt had received 6152 visitors. As of May 2017, the overall number of new visitors rose to 14,317, with the monthly average rising to around 2000 visits.

www.coastadapt.com.au

Practical knowledge for adaptation

Through funding from the Australian Government, in 2016–17, the National Climate Change Adaptation Research Facility completed and began disseminating a series of information products including synthesis summaries, climate change adaptation briefing notes, policy guidance briefs and the adaptation library for policymakers and decision makers. The material contains relevant and accessible information that synthesises adaptation research. Themes and content were informed by stakeholder engagement and cover issues such as extreme weather events, community vulnerability and resilience, and regional hotspots. An independent organisation is collecting information about the use of these products. Results so far indicate that end users, including local governments, have found them to be valuable resources. As of 30 June 2017, there had been 28,000 visitors to the National Climate Change Adaptation Research Facility’s websites to access information and tools and 1344 registrations for a series of webinars on the material.

Adaptation research networks

Through funding from the Australian Government, in 2016–17, the National Climate Change Adaptation Research Facility continued to oversee four adaptation research networks. The networks, hosted by four universities across Australia, are communities of researchers and practitioners working to advance climate change adaptation knowledge. The networks are producing a series of research plans, which identify critical gaps in the information that governments, industry and the community need to develop and implement effective adaptation responses to climate change. The National Climate Change Adaptation Research Facility reviewed five of the existing research plans. The reviews identified priority questions to inform future research across the Australian research community.www.environment.gov.au/climate-change/adaptation/climate-change-adaptation-program/research-facility


The Department supports capability development across Government in adaptation and understanding climate risk.


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http://www.environment.gov.au/climate-change/adaptation/climate-change-adaptation-program/research-facility

http://www.environment.gov.au/climate-change/adaptation/climate-change-adaptation-program/research-facility

https://coastadapt.com.au/


The Department supports capability development across Government in adaptation and understanding climate risk.

Result Achieved The Australian Government Disaster and Climate Resilience Reference Group (see next performance criterion) is developing tools, guidance and case studies to enable Australian Government agencies to consider disaster and climate resilience in policies, in programs and for assets. The Department is leading this activity.

Climate Risk and Information Services Platform

We worked with CSIRO to finalise the Climate Risk and Information Services Platform—a prototype online decision support tool. The prototype was developed in partnership with Infrastructure Australia and brings together expertise on best practice adaptation, and climate data and projections. It assists decision makers in the infrastructure sector to consider how to manage implications from a changing climate on their project or program. Future iterations have the potential to assist decision-making across different sectors and geographic locations.

Climate Compass

The Department worked with CSIRO to develop a five-step process to assist Australian public servants to manage climate risks to their policies, programs and assets at all stages. The process can be applied at any stage from strategic policy to operational decision-making. The proposed process will undergo user testing in 2017–18.


National coordination, including collaboration with jurisdictions, leading to identification of cross-cutting climate risks and development of future national climate change adaptation priorities and resilience measures.


In 2016–17, to improve governance and coordination of work on disaster and climate resilience, climate science and climate risk, the Department supported several national bodies in their work on climate risk information. We managed the new Australian Government Disaster and Climate Resilience Reference Group and the new National Climate Science Advisory Committee and continued our participation in the intergovernmental Adaptation Working Group. These three groups play important roles in identifying cross-cutting climate risks, articulating adaptation and climate science policy and research priorities, and informing strategies and actions to ensure an effective national response to climate change.

Australian Government Disaster and Climate Resilience Reference Group

The Department took on the role of co-chair, with the Attorney-General’s Department, of the new Australian Government Disaster and Climate Resilience Reference Group. The group’s purpose is to better integrate disaster and climate resilience into policies, programs and asset management at the national level. The group includes representatives from 22 Australian Government agencies. It first met in July 2016 and then in November 2016, March 2017 and June 2017. In March 2017, the group agreed and began to implement a work plan to guide

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National coordination, including collaboration with jurisdictions, leading to identification of cross-cutting climate risks and development of future national climate change adaptation priorities and resilience measures.priorities and track progress. Under this plan, we are leading activities to:

develop tools, guidance and case studies to enable Australian Government agencies to consider disaster and climate resilience in policies, programs and assets management (see previous performance criterion)

oversee the mapping of Australian Government policies, programs and assets that relate to disaster and climate resilience and identify linkages and interdependencies

establish an officer-level network of representatives from all member agencies.

National Climate Science Advisory Committee

In December 2016, the Government established the National Climate Science Advisory Committee. The Department manages the committee jointly with the Department of Industry, Innovation and Science. The committee’s role is to improve the strategic planning and national coordination of climate science. The committee comprises 12 members (including ex officio members) with expertise across climate change science and adaptation, climate modelling, Antarctic and meteorological fields. It will develop and advise the Government on a nationally aligned and integrated approach to climate science to inform the direction and sustainability of Australia’s climate science capability and research priorities. At its first meeting in March 2017, the committee considered the challenges and changes to Australia’s climate science capability, ways to increase engagement with the international climate science community, and the development of a national strategy on climate science. The committee expects to meet two to three times a year.

Adaptation Working Group

The Department continued to work with the states and territories through the quarterly meetings of the Adaptation Working Group. This group’s achievements in 2016–17 included contributing to the development of the CoastAdapt tool for managing coastal climate risk and sharing knowledge and information on adaptation approaches across jurisdictions.

Analysis against the activity’s intended resultStrong engagement and collaboration between the Department and our partner agencies is vital to achieving successful national coordination to improve climate change resilience and climate risk management. Our investment in these relationships and in tools such as CoastAdapt allowed us to provide guidance, information and coordination to build climate resilience across the Australian Government in 2016–17. These investments meant that businesses and communities are better placed to manage their own risks.

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AntarcticaPurpose: Advance Australia’s strategic, scientific and environmental interests in the Antarctic.

Activity: Antarctic science, policy and presence The Department is responsible for leading, coordinating and delivering the Australian Antarctic Program, protecting the Antarctic environment, administering the Australian Antarctic Territory and the Territory of Heard Island and McDonald Islands, and contributing to Antarctica’s freedom from strategic and political confrontation. We deliver high-priority Australian Antarctic scientific research in accordance with the goals of the Australian Antarctic Science Strategic Plan 2011–12 to 2020–21 and the safe operation of four Antarctic and sub-Antarctic research stations and an associated logistical network. The Australian Antarctic Strategy and 20 Year Action Plan, launched in April 2016, sets out Australia’s national Antarctic interests and corresponding actions over the next 20 years.

The Department administers the Australian Antarctic Territory through legislation that sets out a system of permits and authorisations and environmental protection measures. We lead Australia’s international involvement in the Antarctic Treaty system.

Results against performance criteria and targetsIntended result: Conduct scientific research in Antarctica and the Southern Ocean that supports Australian Government policy and environmental management priorities.


The Antarctic Treaty system remains in force under sound governance and its values are understood and supported.


The Antarctic Treaty system remains in force and is sound. It is the framework for the governance of the Antarctic area. The Treaty’s 53 signatories have agreed to use the continent for expressly scientific purposes. On 4 October 2016, Australia joined the other parties to the Antarctic Treaty in celebrating the 25th anniversary of the adoption of the Protocol on Environmental Protection to the Antarctic Treaty, and reiterating the strong international commitment to the treaty and protocol. This involved online public communications on the ongoing efforts to protect the values of Antarctica and promulgation of the Santiago Declaration which was adopted at the 39th Antarctic Treaty Consultative Meeting in May–June 2016. An official from the Australian Antarctic Division chairs the Antarctic Treaty Consultative Meeting’s Committee for Environmental Protection. Australia’s involvement through this high-profile position demonstrates our ongoing commitment to and leadership within the Antarctic Treaty system. The 40th Antarctic Treaty Consultative Meeting was held in Beijing, China, from 23 May to 1 June 2017. At the meeting, Antarctic Treaty parties reaffirmed their commitment to maintaining and strengthening the Antarctic Treaty system as the international framework for governance and management of the Antarctic region. During the meeting, Australia updated the parties on actions undertaken and planned in accordance with the Australian Antarctic Strategy and 20 Year Action Plan, presented a successful proposal to enhance collaboration between parties on shared strategic science priorities, and reported on Antarctic Treaty inspections that Australia carried out at the South Pole in December 2016.The Commission for the Conservation of Antarctic Marine Living Resources

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The Antarctic Treaty system remains in force under sound governance and its values are understood and supported.(CCAMLR) forms an integral part of the Antarctic Treaty system. The Department supports strong governance of CCAMLR and holds one senior position, Convener of the Working Group on Fish Stock Assessment. This position assists CCAMLR’s Scientific Committee in developing a more strategic approach to the annual work.A highlight of the 35th CCAMLR meeting (17–28 October 2016) was the adoption of the Ross Sea region Marine Protected Area. Australian proposals on krill and compliance matters were successful. These measures reflect the objective of the Convention on the Conservation of Antarctic Marine Living Resources and demonstrate how CCAMLR members can work together on difficult issues to reach consensus. This in turn demonstrates the effectiveness of the Antarctic Treaty system, of which CCAMLR is a part.

Target Implementation of Year One of the Australian Antarctic Strategy and 20 Year Action Plan.


The Australian Government released the Australian Antarctic Strategy and 20 Year Action Plan in April 2016. The strategy and action plan set out Australia’s national Antarctic interests and actions to advance these interests over the next 20 years. The Department’s Australian Antarctic Division coordinates the implementation of the strategy and action plan. An interdepartmental committee, led by the Department and the Department of Foreign Affairs and Trade, oversees its implementation. During 2016–17, we made significant progress towards achieving the year one commitments under the strategy:

In October 2015, the Government announced that it planned to replace the Aurora Australis with a new icebreaker by 2020. The Government has finalised the contract arrangements and work on building Australia’s new icebreaker has started.

To provide certainty for the Australian Antarctic Program, the Government has established sustainable, ongoing funding of $20 million a year for the program over the next 10 years.

On 14 October 2016, the Government announced that, in addition to the $2.2 billion being invested to support the Australian Antarctic Strategy and 20 Year Action Plan, it would invest $50 million in a new state-of-the-art research station on Macquarie Island. The new station will be the most advanced of its type in the Southern Ocean, capable of supporting the full scope of priority research and ensuring a permanent and recurring year-round presence on the island. Due to its position as the only base between Australia and Antarctica, Macquarie Island is an important global monitoring location for scientific research, including monitoring southern hemisphere weather and climatic data. The new station guarantees continued support for high-priority science and long-term monitoring by the science community, including the Bureau of Meteorology, Geoscience Australia and the Australian Radiation Protection and Nuclear Safety Agency.

A formal memorandum of understanding and operational support program—Operation Southern Discovery—was established with

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Target Implementation of Year One of the Australian Antarctic Strategy and 20 Year Action Plan.

Department of Defence for their support of the Australian Antarctic Program. Under the program, during the 2016–17 Antarctic summer season, the Royal Australian Air Force conducted six flights, one of which involved a deep-field airdrop of aviation fuel in a remote location near Casey research station to support an important science project investigating the contribution of the East Antarctic ice sheet to sea level rise.

The Government has invested up to $45 million for an overland traverse capability, with associated ice core drilling and mobile station and research support, to join the global search for a million-year ice core.

We began preliminary work to support investment decisions on major infrastructure and capabilities needed to support Australia’s position of future science leadership, including year-round aviation access and options to modernise infrastructure at Australia’s three Antarctic research stations.

We began work on the year two (2017–18) commitment to establish an Antarctic Foundation in conjunction with the private sector. The foundation will augment Australian Government investment in Antarctic science with private funding to conduct new and iconic scientific research.Due to budgetary pressures and competing priorities, some year one actions were not delivered—for example, the scheduled Heard Island and McDonald Islands management voyage for 2016–17 was cancelled. Operational planning continues to prioritise delivery of major projects in the Australian Antarctic Program.We are assessing our progress in achieving our national Antarctic interests and delivering on the action plan at the end of year one (2016–17). More information on the Australian Antarctic Strategy and 20 Year Action Plan is on our website.www.antarctica.gov.au/about-us/publications/20-year-australian-antarctic-strategic-plan


Antarctica and the Southern Ocean are protected, valued and understood.


The Department works to ensure that Antarctica and the Southern Ocean are protected, valued and understood primarily through our engagement in the Antarctic Treaty system. Our activities in 2016–17 have included reinforcing the importance of the Protocol on Environmental Protection to the Antarctic Treaty, which provides for the comprehensive protection of Antarctica as a natural reserve devoted to peace and science. In October 2016, we joined with the other parties to the Antarctic Treaty in celebrating the 25th anniversary of the adoption of the protocol.In May 2017, a departmental official chaired the 20th meeting of the Committee for Environmental Protection, held in conjunction with the 40th Antarctic Treaty Consultative Meeting in Beijing, China. Australia put forward successful proposals to enhance the scientific basis for environmental decision-making, improve the protection of important Antarctic bird colonies, update guidance on cleaning up contaminated sites in Antarctica, and promote environmental

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http://www.antarctica.gov.au/about-us/publications/20-year-australian-antarctic-strategic-plan

http://www.antarctica.gov.au/about-us/publications/20-year-australian-antarctic-strategic-plan


Antarctica and the Southern Ocean are protected, valued and understood.

protection in the planning and conduct of Australian Antarctic Program activities.Outside the Antarctic Treaty system, the Department engaged with Antarctic nations bilaterally and in other multilateral forums. For the first time in October 2016, we participated as an observer in the Asian Forum for Polar Sciences. In 2016–17, we had in place four season quid pro quo arrangements for logistics support in the Antarctic region—with New Zealand, China, France and the United States—as well as an agreement with Norway to provide logistical support to their program on a user charging basis.We began negotiating a high-level arrangement on Antarctic and Southern Ocean co-operation with Norway and are planning a joint East Antarctic science workshop with China in September 2017, further encouraging international collaboration. Among other things, we use international collaboration as a means to promote best practice in environmental stewardship and to encourage other nations to ensure that their activities minimise impact on the Antarctic environment. In 2016–17, under the Australian Antarctic Division’s Communications Strategy, there was a significant shift to better integration of social media into public engagement channels. A Facebook presence was launched in December 2016 to support the annual expeditioner recruitment campaign. The Facebook page and our Twitter account have proved extremely successful in supporting not only recruitment activities but various other initiatives and programs, including the Australian Antarctic Arts Fellowship and Media Program and an updated Classroom Antarctica education resource. They have helped to promote our scientific and operational achievements. We used social media as a major platform for promoting a competition for Australian schoolchildren to name the new Antarctic icebreaker. Facebook and Twitter feeds both reached around 10,000 followers, with some individual posts receiving more than 100,000 views. The Australian Antarctic Strategy and 20 Year Action Plan recognises that understanding, protecting and conserving Antarctica and the Southern Ocean is in the interests of Australians. Further information on implementation of the strategy and action plan is provided in the previous target.

Target Australian Antarctic program complies with relevant environmental legislation.Source PBS 2016–17 p. 60, Corporate Plan 2016–17 p. 35Result Achieved

Australia has obligations under international agreements and national legislation to protect the Antarctic environment. These obligations are implemented through Australian laws. Activities associated with the Australian Antarctic Program must comply with relevant Australian Antarctic environmental legislation, including by obtaining relevant authorisations and permits under the Antarctic Treaty (Environment Protection) Act 1980 and the Antarctic Marine Living Resources Conservation Act 1981 for activities that will be carried out south of 60 degrees south or that involve marine organisms in the CCAMLR area. Subject to the applicable legislation, environmental approvals are granted by way of authorisations and/or permits, including variations to authorisations and/or permits. Any participant in the Australian Antarctic Program who wishes to conduct an activity that would otherwise be an offence under the Act (as prescribed in the relevant legislation) must obtain a permit. As administrators of Australia’s Antarctic environmental legislation, the Department is responsible for issuing authorisations and permits and investigating possible non-compliance

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Target Australian Antarctic program complies with relevant environmental legislation.with environmental legislation (including conditions attached to environmental authorisations and permits issued under Australian Antarctic environmental legislation). In 2016–17, we issued 67 authorisations under the Antarctic Treaty (Environment Protection) Act 1980. We issued 17 variations to authorisations under the Act, together with one initial environmental evaluation and two variations to initial environmental evaluations. We issued 18 permits under the Act (with three subsequent variations), together with 10 permits. By comparison, 50 authorisations, 38 permits, 16 variations to authorisations and 11 permit variations were issued to participants in the Australian Antarctic Program in 2015–16. Where we were made aware of possible issues of non-compliance with the environmental legislation, we initiated investigations. In 2016–17, nine non-compliance issues were investigated in accordance with the Australian Antarctic Division’s Environmental Compliance Framework.


Australia leads Antarctic science and operations in the Australian Antarctic Territory and consolidates Hobart as the premier Antarctic gateway city for East Antarctica.


The Australian Antarctic Strategy and 20 Year Action Plan highlights the importance of Tasmania as an Antarctic gateway for science and operations. To enhance Tasmania’s status as the premier Antarctic gateway, the Department is playing a leading role in the joint Commonwealth, state and industry task force established by the Joint Commonwealth and Tasmanian Economic Council to prioritise proposals for infrastructure development. In 2016–17, we began preliminary discussions with TasPorts for icebreaker supporting infrastructure in Hobart and improved facilities for foreign research vessels. The federally funded upgrade of Hobart Airport, which will enhance aviation between Hobart and Antarctica, is underway and due for completion in 2018.Quid pro quo arrangements negotiated on an annual basis with China, the United States and France strengthen Hobart as a gateway and Australia’s leadership in East Antarctica. Australia continues to maintain a diverse portfolio of collaboration to support science, and we conduct and facilitate Antarctic and Southern Ocean research. We report on collaboration and research in greater detail under the scientific research target below (see pages 116–117).Under our leadership, Hobart successfully bid to host the 2020 joint meeting of the Scientific Committee on Antarctic Research Open Science Conference and the Council of Managers of National Antarctic Programs Annual General Meeting. These events will attract around 1000 delegates to Hobart in August 2020 and will further enhance Hobart’s status as a major world centre for Antarctic science and logistics.

Case Study – Assessing the effects of ozone depletion on Antarctic climate—the Polar FORCeS project

The Polar Feedbacks between Ozone Recovery and Climate in the Southern Hemisphere (or Polar FORCeS) project aims to collect atmospheric data and use world-class climate models

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to measure ozone recovery in the Antarctic and Southern Ocean region.

Ozone is an atmospheric gas that in the stratosphere (10–50 km above Earth’s surface) acts as a shield protecting life from harmful solar radiation. Over recent decades, human-made ozone-depleting substances (ODS) have caused reductions of up to 70 per cent in stratospheric ozone concentrations. ‘Ozone hole’ events have been observed over Antarctica each spring since the late 1970s. Since the Montreal Protocol on Substances that Deplete the Ozone Layer was agreed in 1987, the production and use of ODS has been subject to international regulation. The regulation is working: during recent years evidence has emerged that indicates the Antarctic ozone hole is diminishing in severity.

Through the Australian Antarctic Science Program and the Polar FORCeS project, the Department and collaborators have produced a set of state-of-the-art climate simulations that help scientists to anticipate how the southern hemisphere climate will respond to expected recovery in ozone levels. Polar FORCeS is assessing changes in Antarctic surface climate during the period of ozone recovery and testing the plausibility of potential climate feedbacks that may speed up the recovery.

Antarctic ozone concentrations are expected to return to 1980 levels by around the middle of this century. The rate of ozone improvement depends on the effectiveness of controls on ODS emissions and how rapidly these emissions are removed from the atmosphere.

Polar FORCeS contributes to Australia’s efforts to anticipate the future state of the Antarctic environment. It is made possible by national scientific collaborations and capabilities that are fostered by the Australian Government’s international engagements in ozone and climate policy.

Target Scientific research conducted in Antarctica and the Southern Ocean is consistent with the Australian Antarctic Science Strategic Plan and internationally recognised.

At least 100 international institutions collaborating in the Australian Antarctic Program during 2016–17 including collaborative agreements or logistics with three or more Antarctic programs of other nations.

At least 100 scientific publications published in peer reviewed journals.Source PBS 2016–17 p. 60, Corporate Plan 2016–17 p. 35Result Achieved

In 2016–17, the Department continued to conduct and facilitate research in areas of Antarctic and Southern Ocean science, particularly areas related to ecosystems, natural resource management and environmental protection. The research is guided by the Australian Antarctic Science Strategic Plan 2011–12 to 2020–21, which is being reviewed in 2017 as part of a planned mid-term review. Australia supports Antarctic and sub-Antarctic research through collaborations with other institutions and by providing logistical support. In 2016–17, we undertook 98 Australian Antarctic science projects with 134 international institutions from 26 countries. Trend data (Figure 2.13) indicate that Australia continues to maintain a diverse portfolio of collaboration.We provided logistical support for the successful resupply of three stations in the Antarctic (Casey, Davis and Mawson) and one station in the sub-Antarctic (Macquarie Island)—a total of 163 shipping days and 21 intercontinental flights. A total of 594 expeditioners were transported to Australia’s Antarctic and sub-Antarctic stations.A total of 144 peer-reviewed publications such as journal articles, edited books, conference volumes, and book chapters published in 2016–17 were lodged with the Australian Antarctic Division’s publications database. Trend data is presented

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Target Scientific research conducted in Antarctica and the Southern Ocean is consistent with the Australian Antarctic Science Strategic Plan and internationally recognised.

At least 100 international institutions collaborating in the Australian Antarctic Program during 2016–17 including collaborative agreements or logistics with three or more Antarctic programs of other nations.

At least 100 scientific publications published in peer reviewed journals.in Figure 2.14. In addition to collaborations and publications, we had a total of 119 scientists participating in Antarctic, sub-Antarctic and Southern Ocean research (21 per cent of the total number of personnel participating in the Australian Antarctic Program).

Figure 2.13: Number of international institutions collaborating in the Australian Antarctic Program per financial year

Figure 2.14: Number of scientific papers published in peer-reviewed journals over the last five years

Analysis against the activity’s intended resultThe Department continues to successfully contribute to scientific research in Antarctica and the Southern Ocean that supports Australian Government policy and environmental management priorities.

As part of the Mid-Year Economic and Fiscal Outlook 2016–17, the Government announced funding of up to $50 million to build a new year-round research station on Macquarie Island and ensure that year-round access is maintained. This new research station, which will further secure the future of scientific research and climate monitoring, is one of the commitments of the Australian Antarctic Strategy and 20 Year Action Plan. It will guarantee continued support for high-priority

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science and long-term monitoring by the science community. This funding is in addition to $2.2 billion already invested to support the Australian Antarctic Strategy and 20 Year Action Plan.

Despite these announcements, budgetary pressures and competing priorities resulted in the scheduled Heard Island and McDonald Islands management voyage for 2016–17 being cancelled. Operational planning continues to prioritise delivery of major projects in the Australian Antarctic Program.

In 2016–17, we made significant progress towards achieving the staged commitments in the Australian Antarctic Strategy and 20 Year Action Plan, which sets out actions to support our national Antarctic interests. Effective inter-agency and international collaboration across logistics and science helped support achievement of intended results in Antarctica and the Southern Ocean by promoting best practice in environmental stewardship and encouraging other nations to ensure that their activities minimise impact on the Antarctic environment.

Strong representation in international forums ensured that Australian objectives were met in CCAMLR and the Antarctic Treaty consultative meetings and reiterated Australia’s strong commitment to the Antarctic Treaty system and Protocol on Environmental Protection to the Antarctic Treaty. We continue to contribute to maintaining strong governance of the Antarctic Treaty and CCAMLR through our official leadership roles.

This reporting period was the first full year of Operation Southern Discovery, which brings together the Australian Defence Force and the Department to strengthen, develop and promote cooperative arrangements in support of the Australian Antarctic Program. This increased capability enables more effective and efficient support for science projects researching the region.

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Energy Purpose: Support the reliable, sustainable and secure operations of energy markets through improving Australia’s energy efficiency, performance and productivity for the community.

Activity: Energy securityThe Department works with its domestic and international partners across industry and government to support the security of Australia’s electricity, gas and liquid fuel supply chains. Focus areas include:

analysing Australia’s electricity, gas and liquid fuels systems and critical infrastructure to identify, monitor and inform responses to domestic energy security challenges

supporting bilateral and multilateral arrangements that deliver collaboration to address shared energy interests

developing a robust mandatory reporting regime for petroleum statistics that minimises the regulatory burden on industry

implementing Australia’s plan to return to compliance with our International Energy Agency oil stockholding obligations.

Results against performance criteria and targetsIntended result: Support the security of domestic and international electricity, gas and liquid fuel supply chains.


Timely and accurate analysis is provided that informs government decisions in relation to energy security.

Source Corporate Plan 2016–17 p. 38, PAES 2016–17 p. 47Result Achieved

In 2016–17, the Department provided timely and accurate information and advice to the Government in relation to energy security through its participation in Australian energy supply emergency advisory committees, including:

the National Electricity Market Emergency Management Forum the National Gas Emergency Response Advisory Committee the National Oil Supplies Emergency Committee the National Operating Committee for Jet Fuel Assurance.

The membership of these committees and forums includes representatives from energy sector organisations relevant to each committee; the Australian Government, through the Department, the Australian Energy Market Operator (for the National Gas Emergency Response Advisory Committee and the National Electricity Market Emergency Management Forum); and state and territory government agency representatives. These committees are advisory bodies responsible for providing consistent and coordinated advice to governments during energy supply interruptions, and ensuring response arrangements function effectively. The National Gas Emergency Response Advisory Committee and the National Oil Supplies Emergency Committee are working groups of the Council of Australian Governments Energy Council and are chaired by the Department. The National Operating Committee for Jet Fuel Assurance was established by the Australian Government to minimise the risks around jet fuel supply disruption at

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Timely and accurate analysis is provided that informs government decisions in relation to energy security. eight major Australian airports: Sydney, Melbourne, Brisbane, Perth, Adelaide, Darwin, Hobart and Cairns.During 2016–17:

The National Electricity Market Emergency Management Forum was convened in response to the 28 September 2016 South Australian black system event that resulted in loss of electricity to much of the state; the heatwave conditions in south-eastern Australia in February 2017 that was at risk of causing widespread load shedding (rolling blackouts) across the Australian Capital Territory, Victoria, New South Wales and South Australia; and protected industrial action at the Loy Yang brown coal mine that may have caused a supply disruption to the electricity generation.

The National Oil Supplies Emergency Committee conducted Exercise Catalyst, a capacity building exercise designed to build stakeholder relationships and test that the National Liquid Fuel Emergency Response Plan remains fit for purpose.

The National Gas Emergency Response Advisory Committee convened in response to the protected industrial action events at the Loy Yang brown coal mine and at the Esso Longford gas plant in Victoria to provide information to governments.

The National Operating Committee for Jet Fuel Assurance was convened in response to a fuel supply disruption at Melbourne Airport in November 2016. Fuel supplier members of the committee developed a strategy to effectively manage the supply disruption and return to business-as-usual fuel management at Melbourne airport within three days. The Department managed the flow of information to other Commonwealth agencies and the Victorian Government.

The Department participated in the Trusted Information Sharing Network, a program established and led by the Attorney-General’s Department that involves seven industry sector groups, including an Energy Sector Group. The membership of the group includes representatives from companies who own and operate critical energy infrastructure assets across liquid fuels, gas and electricity, Australian and state and territory government agencies, federal, state and territory police, energy regulatory agencies, and the Computer Emergency Response Team.The Department provided secretariat support for the Energy Sector Group and coordinated two meetings in 2016–17. These meetings facilitated the sharing of information, including across interdependent sectors, on critical infrastructure resilience to all hazards. For example, the 20th meeting of the group included discussions on cross-sector dependencies with the banking and finance sector, security accountabilities and the identification of critical infrastructure assets. We coordinated internal and interdepartmental policy advice and briefings to inform and support the Minister’s and senior officials’ participation in government-to-government energy dialogues and multilateral energy forums, such as the Asia-Pacific Economic Cooperation and G20 forums, to further Australia’s interests in international energy markets.

Case Study – Exercising electricity, gas and liquid fuel emergency communications processes to provide high-quality advice to decision makers

Exercises present the opportunity to test aspects of emergency communications in a safe and 87

controlled environment. They allow for the identification of aspects of emergency response plans which are no longer fit for purpose due, for example, to changes in the market, new and emerging technologies or changes to supporting legislation. Each exercise serves to improve Australia’s energy emergency preparedness, by ensuring that information sharing protocols remain robust, relevant and reliable.

The Department’s Energy Security Office is working to strengthen electricity, gas and liquid fuel communication processes during emergencies through regular domestic and international exercises that address critical threats and vulnerabilities. These exercises bring together government and private sector participants with emergency management responsibilities to test response and recovery and communication plans during an exercise scenario. The results of these exercises are used to identify gaps in emergency plans, train officers in the operation of their planning procedures and bring organisations together to test the interoperability of their communication and operational plans.

In 2016–17, we participated in a National Electricity Market Emergency Management Forum activation exercise led by the Australian Energy Market Operator, the NOSEC Exercise Catalyst 2017, and observed at the Victorian Government’s Liquid Fuel Working Group exercise.

We participated in international exercises to test Australia’s ability to respond to supply shortages in the global oil and gas markets. In March 2017, Australia held the Asia-Pacific Economic Cooperation Oil and Gas Security Exercise, co-hosted with the Asia Pacific Energy Research Centre. Participating economies included Thailand, Republic of the Philippines and Indonesia, with expert reviewers from the International Energy Agency, the US Department of Energy, Japan’s Institute for Energy Economics and Ministry of Economy, Trade and Industry, the Association of Southeast Asian Nations Centre for Energy, and the Economic Research Institute for Association of Southeast Asian Nations and East Asia.

These exercises build capability and cooperation between industry and officials across jurisdictions to ensure high-quality advice is provided to decision makers during energy emergencies.


Australia progresses towards compliance with its International Energy Agency stockholding obligation.


A core requirement under the International Energy Agency’s Agreement on an International Energy Program, of which Australia is a signatory, is that member countries hold oil stocks equivalent to at least 90 days of their previous year’s average daily net oil imports. In the event of a major oil disruption, member countries must also contribute to International Energy Agency collective actions by way of a stock release, demand restraint, fuel switching, increased production or fuel sharing. Australia has historically relied on commercial stock levels to meet the 90-day requirement. Due to declining domestic production and increased demand for liquid fuels, these stocks are no longer sufficient to meet the 90-day requirement. Australia has been structurally non-compliant with the 90-day stockholding obligation since March 2012. In April 2016, the Government agreed to a compliance plan to return Australia to full compliance with the stockholding obligation by 2026. The International Energy Agency Governing Board noted the plan in June 2016. In 2016–17, we began to implement the Government’s compliance plan.

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Australia progresses towards compliance with its International Energy Agency stockholding obligation.The compliance plan includes the following elements:

introduction of mandatory reporting of Australian petroleum statistics from January 2018

purchase of 400,000 tonnes of oil tickets in 2018–19 and 2019–20 to enable Australia to contribute to an International Energy Agency collective action if needed (see target on page 122)

return to full compliance with the stockholding obligation by 2026, which will include diplomatic engagement to expand the international ticket market in the Asia-Pacific region

establishment of an Energy Security Office within the Department.The Energy Security Office was established on 1 July 2016 and has progressed implementation of a mandatory reporting framework for Australian petroleum statistics. For information on mandatory reporting of petroleum statistics see the next target.During 2016–17, we began negotiations on bilateral arrangements with 11 countries to purchase oil stock tickets. This process included work to expand the currently limited ticket market to new ticket sellers to test the market for future volumes as one of the potential options for sustainable long-term compliance.

Target Stand-alone legislation to deliver mandatory reporting of petroleum statistics introduced March 2017.


The Minister for the Environment and Energy tabled the Petroleum and Other Fuels Reporting Bill 2017 in the House of Representatives on 30 March 2017. Subject to passage of the Bill by the Parliament, the reporting requirements for business on petroleum and related fuels will begin on 1 January 2018. The mandatory reporting framework captures all relevant oil stock at a minimum impost on business.An exposure draft of the Petroleum and Other Fuels Reporting Rules 2017, the subordinate legislation containing the detailed reporting requirements for business, was released for consultation on 7 June 2017.

Target Amendments to the Liquid Fuel Emergency Act 1984 introduced to Parliament by February 2017.

Source Corporate Plan 2016–17 p. 38, PAES 2016–17 p. 47Result Partially achieved

In 2016–17, the Department worked with the Office of Parliamentary Counsel to draft legislative amendments to the Liquid Fuel Emergency Act 1984 that will enable the Government to purchase oil stockholding contracts, also known as ‘tickets’. Tickets are a contractual right to purchase oil that has been reserved for the ticket holder during a specified period. As part of Australia’s plan to return to compliance with our International Energy Agency oil stockholding obligations, the Government aims to purchase 400,000 tonnes of offshore tickets in the 2018–19 and 2019–20 financial years. The Liquid Fuel Emergency Amendment Bill 2017 was introduced into the Parliament on 15 June 2017. Delays due to parliamentary scheduling of legislation resulted in the Bill not

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Target Amendments to the Liquid Fuel Emergency Act 1984 introduced to Parliament by February 2017.being introduced by February 2017 as initially planned. We are still on track to meet the critical deadline for the passage of the amendments, which is the end of 2017. These amendments will allow for the procurement process for tickets to be implemented in early 2018.

Case Study – Driving international collaboration to accelerate emerging technology

Australia’s domestic energy policy landscape is undergoing significant transformation. During this time, it is vital that Australia takes opportunities to engage with international governments, industry and academia so that it can pursue and promote its energy interests and expertise globally. Through international engagement activities, we are able to gain insights, share knowledge and experience of new policy approaches and energy technologies, and apply lessons learnt from the international context to inform our domestic energy policy debate.

There are also significant two-way investment, business and research opportunities that can flow from international engagement. We are proactive in deepening our long-established relationships and forging new ones. Over the past year, we have taken part in high-level bilateral energy dialogues with major trading partners, including China, the Republic of Korea and Germany, to improve collaboration on energy and clean energy technology.

One of our newest international partnerships, the Australia–Germany Energy and Resources Working Group, will be the principal forum for energy and resources cooperation between Australia and Germany. The working group aims to advance the transition to sustainable, secure and affordable energy systems by improving energy efficiency, increasing the deployment of renewable and clean energy technologies and encouraging innovation.

A working group planning meeting was held on 5 May 2017. The meeting discussed ways to facilitate open and constructive dialogue between governments, industry and academia on opportunities for collaboration. These discussions led to an agreed roadmap of cooperation in the fields of energy market design, cost-efficient integration of renewables in the power sector, long-term energy policy planning, energy efficiency in the industrial sector, and the development of long-term low-emissions strategies.

Both countries deemed the meeting highly successful in strengthening government, business and research relationships to drive energy improvements in our respective energy sectors.

During 2016–17, we were actively involved in multilateral energy forums, such as the Asia-Pacific Economic Cooperation Energy Working Group, the East Asia Summit Energy Cooperation Task Force, the Group of 20 Energy Sustainability Working Group and the Clean Energy Ministerial, to examine energy issues including energy security, clean technologies and energy efficiency.

Target Energy Counsellor to progress Australia’s interests in the International Energy Agency in place in early 2017.


The Energy Counsellor was engaged in late 2016 and began work at the Australian Embassy in Paris in January 2017. The Energy Counsellor is progressing Australia’s broad interests in the International Energy Agency across issues such as energy security, energy efficiency and clean energy technologies.Both the Energy Counsellor and the Department engage closely with the International Energy Agency on its modernisation and reform agenda. This

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Target Energy Counsellor to progress Australia’s interests in the International Energy Agency in place in early 2017.agenda was endorsed by International Energy Agency Ministers in November 2015, and includes three key objectives: opening the doors of the International Energy Agency to emerging economies, broadening the International Energy Agency’s core mandate of energy security to take into account the evolution of global oil markets and the increasing role of liquefied natural gas, and transforming the agency to become a global hub for clean energy technologies and energy efficiency. Australia attended the regular International Energy Agency meetings in Paris, including Governing Board and Standing Group on Emergency Questions committee meetings.

Target The third National Energy Security Assessment used by stakeholders and/or supports evidence-based decision-making.

Source Corporate Plan 2016–17 p. 38, PAES 2016–17 p. 47Result Not achieved

National Energy Security Assessments provide a comprehensive energy security assessment for Australia. They are prepared by the Energy Security Office within the Department to support government decision-making. Two energy security assessments were publicly released in 2009 and 2011. Assessments consider Australia’s ability to meet current and future domestic energy needs by evaluating the effectiveness and reliability of Australia’s electricity, natural gas and liquid fuels markets. Commencement of the third energy security assessment was delayed during 2016–17 while the Government awaited recommendations of the final report of the Independent Review into the Future Security of the National Electricity Market (Finkel review), released on 9 June 2017. This review was initiated to consider current issues affecting the reliability and security of the National Electricity Market. The findings will have a fundamental impact on an assessment of energy security in the electricity sector, including a specific recommendation that the Australian Government lead a process to regularly assess the National Electricity Market’s resilience to human and other environmental threats by mid-2019 and every three years thereafter. This recommendation will be considered in the context of future National Energy Security Assessments.In 2016–17, in the absence of the energy security assessment, we have continued to monitor and brief the Government on energy security matters through our engagement in national energy emergency and critical energy infrastructure resilience forums (see the first ‘Energy security’ activity performance criterion, page 118) and analysis of publications and reports.

Analysis against the activity’s intended resultThe 2016–17 Budget provided $23.8 million over four years to establish the Energy Security Office within the Department and support its activities in meeting the International Energy Agency’s stockholding requirements. The office started on 1 July 2016 and quickly established and progressed its work program.

Our main responsibilities are to provide advice on Australia’s energy security matters, represent the Australian Government in national energy emergency and critical energy infrastructure resilience forums, and monitor important developments in energy markets which may impact Australia’s energy security.

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We support Australia’s consideration of global energy security issues, particularly through engagement with the International Energy Agency. Over 2016–17, a major focus was the development and implementation of Australia’s International Energy Agency oil stockholding compliance plan and Australia’s contribution to a strong International Energy Agency reform and modernisation agenda.

The undertaking of the third National Energy Security Assessment was delayed while the Government considers the recommendations of the Finkel review. The review’s recommendations have implications for the Department’s work on energy security going forward. The Finkel review is discussed further under the ‘Energy market reform and energy efficiency programs' activity, page 125.

Activity: Energy market reform and energy efficiency programs The Department delivers national energy market reforms by working with the Council of Australian Governments (COAG) Energy Council to achieve a secure and reliable, affordable and sustainable energy supply to support our economy and serve the Australian community, as the energy market transitions to a low-emissions future. A focus of COAG’s national reform agenda is accelerating development of a wholesale gas market that provides improved signals for investment and supply while ensuring efficient transportation of gas.

We implement the National Energy Productivity Plan 2015–2030 and administer regulatory responsibilities under the Greenhouse and Energy Minimum Standards Act 2012, the Building Energy Efficiency Disclosure Act 2010 and the Nationwide House Energy Rating Scheme.

Results against performance criteria and targetsIntended results: Lead energy market reform to support investment and market outcomes in the long-term interests of consumers through:

a national approach to the integration of renewable energy and technology into the National Electricity Market

improving the governance of energy markets

implementation of the Gas Market Energy Reform Package.

Increase national energy productivity and energy efficiency performance.


Well-functioning energy markets and a robust governance structure that provides efficient price and investment signals and reliable and secure supply to consumers.

Source Corporate Plan 2016–17 p. 39, PAES 2016–17 p. 48 Result Not achieved

In 2016–17, the Department undertook initiatives to improve the operation of energy markets and the incentives for efficient investment by regulated energy network businesses. These initiatives were progressed in the context of challenging market conditions such as periods of extreme price volatility, increasingly tight supply of gas for the domestic market, rapidly changing technology and consumer preferences, and the black system event in South Australia. We provided high-level support for the Finkel review which recommended reforms to improve the operation of electricity and gas markets, and incentives to increase security and ensure future reliability. Consistent with the Finkel review’s timetable, recommendations will be implemented over 2017–18.

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Well-functioning energy markets and a robust governance structure that provides efficient price and investment signals and reliable and secure supply to consumers.The Department led two COAG Energy Council reviews of investment and accountability mechanisms for electricity and gas network service providers, which will improve the incentives for efficient investment in energy network infrastructure:

the Regulatory Investment Test for Transmission (RIT-T) the Limited Merits Review (LMR) regime.

The COAG Energy Council agreed to the recommendations of the RIT-T review, and the recommendations are being implemented. They are expected to improve the efficiency and effectiveness of the RIT-T process and deliver a more level playing field for network and non-network projects.The LMR regime review concluded that the LMR regime is not meeting its policy intent and is creating significant regulatory and price uncertainty. For further information on the LMR regime review see the relevant target on page 128.In 2016–17, following Department-led stakeholder consultation in February and March 2016, the Energy Council agreed to the National Electricity Law and National Gas Law Amendment Package. The legislative amendments contained in this package came into effect on 15 December 2016. The amendments clarify the Australian Energy Regulator’s information collection and publication powers and provide it with new responsibilities and powers to monitor and report on issues affecting competition in the wholesale electricity market. This will improve the Australian Energy Regulator’s ability to ensure the wholesale electricity market is functioning effectively.

Target Decisions on future governance and funding arrangements of the Australian Energy Regulator.

Source Corporate Plan 2016–17 p. 40Result In progress

Following an independent review on resourcing of the Australian Energy Regulator, conducted for the Treasury in 2017, the Australian Government agreed to further resource the Australian Energy Regulator by $64 million over the next four years to ensure the regulator can operate effectively. Australian Government agencies will continue to work on options for possible separation and cost recovery for operations into 2018.

Target Obtain COAG Energy Council’s agreement to the Gas Market Reform Package.Source Corporate Plan 2016–17 p. 40, PAES 2016–17 p. 48Result Achieved

The Gas Market Reform Package aims to improve competition in the gas market. The package comprises 15 reform measures in four priority areas: gas supply, market operation, gas transportation and market transparency. The reforms aim to provide better information to those trading in the market, create trading hubs in the northern and southern regions, allow easier access to transport infrastructure, provide better pricing information, and encourage increased gas supply and more gas suppliers, while taking account of each jurisdiction’s circumstances.The COAG Energy Council agreed to the reforms in August 2016. The

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Target Obtain COAG Energy Council’s agreement to the Gas Market Reform Package.Department is implementing the reforms. Further information is available on the council’s website:www.coagenergycouncil.gov.au/publications/coag-energy-council-gas-market-reform-package

Target Implementation of the 2016–17 COAG Energy Council energy market reforms as a matter of priority.

Source Corporate Plan 2016–17 p. 40, PAES 2016–17 p. 48 Result Partially achieved

On 28 September 2016, South Australia experienced a black system event that resulted in loss of electricity to much of the state. On 7 October 2016, the COAG Energy Council held an extraordinary meeting to discuss the event. The council then announced the Independent Review into the Future Security of the National Electricity Market and released terms of reference, which stated that the purpose of the review was to develop a national reform blueprint to maintain energy security in the National Electricity Market. A secretariat was established in the Department to support the review through to its conclusion in June 2017. Australia’s Chief Scientist, Dr Alan Finkel AO, led the review and delivered the final report to COAG on 9 June 2017.Gas markets have fundamentally changed since the Liquid Natural Gas industry started exporting in 2015. Coupled with the reduction in global oil prices from late 2014, Australian gas exploration and development has curtailed, resulting in less gas supply for the domestic market and an increase in price. In response, gas market reforms are being expedited by the Department, reflecting the need to alleviate supply and price pressures on gas customers. In December 2016, ministers asked Dr Michael Vertigan AC, Chair of the Examination of the Current Test for the Regulation of Gas Pipelines, to bring forward his recommendations so that implementation could commence. The Gas Pipeline Information Disclosure and Arbitration Framework commenced under the National Gas Rules, on 1 August 2017 following receipt of stakeholder feedback.Both the Regulatory Investment Test for Transmission (RIT-T) and the Limited Merits Review regime reviews were conducted within expedited time frames. Reforms to the RIT-T are being progressed by the Australian Energy Regulator and the Australian Energy Market Commission. On 20 June 2017, the Government announced its intention to abolish the Limited Merits Review regime. The Department is developing legislation to give effect to this decision. In response to the review’s findings, reforms are being progressed. They are expected to improve regulatory certainty and price outcomes for consumers. In 2016–17, we worked with officials from state and territory jurisdictions to progress the Energy Council’s Energy Market Transformation work program, which is reviewing existing regulatory frameworks in light of ongoing changes driven by new technologies such as distributed generation, electric vehicles, storage, and energy management systems. Notable outcomes included development of a Battery Storage Standards Roadmap in conjunction with Standards Australia, submission of a rule change to the Australian Energy Market Commission to support greater contestability in network services, and a cost–benefit analysis to establish a register to collect data on residential battery systems.

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http://www.coagenergycouncil.gov.au/publications/coag-energy-council-gas-market-reform-package

http://www.coagenergycouncil.gov.au/publications/coag-energy-council-gas-market-reform-package


Sound policy advice to support the safe and sustainable operations of energy markets to provide reliable and competitive outcomes for consumers.


Policy advice informs and supports decisions taken by the Minister and the COAG Energy Council. These decisions, implemented through amendments to the various Acts, Regulations and rules that govern Australia’s energy markets, support the safe and sustainable operations of energy markets and provide reliable and competitive outcomes for consumers.During 2016–17, the Department provided the Minister with high-quality, evidence-based advice on matters of national energy policy.We supported the Minister in his role as Chair of the COAG Energy Council by preparing:

117 agenda papers and 89 briefs for the Senior Committee of Officials 76 agenda papers and 60 briefs for the COAG Energy Council.

We circulated 82 out-of-session packages to the Senior Committee of Officials and 13 packages to the COAG Energy Council. We managed the following nine public consultation processes:

Energy Market Transformation Stand-alone Power Systems Energy Market Transformation Consumer Protections Energy Market Transformation Battery Storage Limited Merits Review Regime Review Regulatory Investment Test for Transmission (RIT-T) Review Examination of the Gas Pipeline Coverage Test National Gas Law Amendment Cost–Benefit Analysis on Battery Storage Australian Energy Market Commission Establishment Governance

Amendment.

Target Review the Limited Merits Review Regime.Source Corporate Plan 2016–17 p. 40, PAES 2016–17 p. 48Result Achieved

In August 2016, the COAG Energy Council asked the Senior Committee of Officials to conduct a review of the Limited Merits Review regime. The regime allows the Australian Competition Tribunal to review certain Australian Energy Regulator determinations for regulated network businesses. Officials were required to deliver findings on whether the regime is meeting its policy intent and identify possible reform recommendations by December 2016. The Department led the review.At its December 2016 meeting, the Energy Council found that the LMR regime is failing to meet its policy intent and creating significant regulatory and price uncertainty. The council considered but did not reach agreement on reforms to address identified concerns. On 20 June 2017, the Prime Minister announced that the regime will be abolished.

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Target Support the independent feasibility study of a second Tasmanian interconnector.Source Corporate Plan 2016–17 p. 40, PAES 2016–17 p. 48Result Achieved

In April 2016, the Australian and Tasmanian governments established a joint feasibility study on whether a second Bass Strait interconnector could improve Tasmania’s energy security and facilitate renewable energy investment. The study was initially led by the Hon Warwick Smith AM LLB. Mr Smith completed a preliminary report about the feasibility of a second interconnector in June 2016, in line with terms of reference requirements. In September 2016, Dr John Tamblyn replaced Mr Smith as the lead of the study. Following Dr Tamblyn’s appointment, the timeline for completion of the study was extended to early 2017. A departmental task force supported the study by completing stakeholder consultations, expert modelling and financial analysis. Dr Tamblyn’s final report was publicly released in April 2017. The report found that, while a second interconnector could deliver significant benefits to the national electricity market, those benefits would only outweigh the capital and operating costs if a specific set of preconditions were met. It recommended ongoing monitoring of market developments to allow early identification of changes that would support the development of a detailed business case in the future.

Target Implementation of key elements of the National Energy Productivity Plan 2015–2030 including development of a government energy productivity plan to improve government building operations.

Source Corporate Plan 2016–17 p. 40, PAES 2016–17 p. 48Result In progress

Governments have recognised that businesses and households could be getting better value from the money they spend on energy. In response, the Australian, state and territory governments agreed to a National Energy Productivity Plan (NEPP).The NEPP provides a framework and an initial economy-wide work plan to accelerate the delivery of a 40 per cent improvement in Australia’s energy productivity by 2030. The NEPP brings together new and existing measures from across the COAG Energy Council’s work program, from the Australian Government and industry. The 2016 NEPP Annual Report, released by the Energy Council in December 2016, shows that, in the first year of implementation, there was rapid progress towards meeting Australia’s energy productivity target. The Department’s activities to implement the NEPP included:

In collaboration with industry, we developed five roadmaps for doubling energy productivity in the manufacturing, agriculture, mining, built environment and passenger transport sectors.

City Deals—part of the Smart Cities Plan—are providing opportunities to accelerate the deployment of clean, renewable and efficient energy technologies in our cities. They are financed through the $100 million Sustainable Cities Investment Fund. City Deals were signed with Townsville and Launceston and work is in progress for a City Deal in Western Sydney later in 2017.

We developed information to empower Australia’s household and business energy consumers to improve their energy productivity. Further

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Target Implementation of key elements of the National Energy Productivity Plan 2015–2030 including development of a government energy productivity plan to improve government building operations.

information is available on the following websites:Your Energy Savings: www.YourEnergySavings.gov.auYourHome: www.YourHome.gov.auEnergy Exchange: www.eex.gov.au

We began reviewing and revising the existing energy efficiency in government operations policy.

More information on the NEPP can be found on our website:www.environment.gov.au/energy/national-energy-productivity-plan


Energy cost and use data used by stakeholders and/or supports evidence-based decision-making.

Source Corporate Plan 2016–17 p. 39, PAES 2016–17 p. 48Result In progress

In 2016–17, the Department undertook two projects that aimed to increase the supply of meaningful energy cost and use data to stakeholders and support evidence-based decision-making.

Energy use data model project

In order to improve energy market management and infrastructure planning and support more effective policy reforms and research, it is important to understand how Australians use energy. For this reason, the Government is supporting the Commonwealth Scientific and Industrial Research Organisation (CSIRO) to develop the energy use data model. The model is a repository for data on the way people and businesses use energy. It will help entities, such as the Australian Energy Market Operator, to more accurately forecast electricity demand, reducing the costs of maintaining a secure energy market. In 2015, the Government committed $6 million to CSIRO to develop a pilot model, which is currently under development. A further $13.4 million was announced in the 2017–18 Budget to develop the pilot model into a full scale system and to ensure the model is made available for long-term use by regulators and industry. The pilot model is already demonstrating substantial energy market security and cost benefits. The model incorporates new tools to better predict the effects of air conditioners on summer peak electricity demands and the effects of energy efficiency standards in building codes, allowing for better understanding of the effectiveness of various policies.

Behavioural research projects

The Department worked with Energy Consumers Australia on behavioural research projects relating to the NEPP. These projects, mostly based on learnings from the former Low Income Energy Efficiency Program, are identifying the most effective measures to drive behavioural change, complete consumer segmentation modelling, produce voluntary guidelines and identify regulatory and policy frameworks to address barriers to uptake of interventions.The projects are being used to inform government, industry and providers of services to different vulnerable consumer groups about the needs of different

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http://www.YourHome.gov.au/

http://www.YourEnergySavings.gov.au/


Energy cost and use data used by stakeholders and/or supports evidence-based decision-making.consumer segments. We expect the projects to lead to the development of market-led solutions and information campaigns to encourage consumers to shop around, change their energy use habits to minimise their bills and respond to new tariff designs.

Target Energy Efficiency Programs: Effective delivery of activities to support improved energy productivity of

Australia’s residential and commercial building stock. Maintaining Commonwealth contribution to the ongoing development and

improvement of the National Australian Built Environment Rating System which underpins the Commercial Building Disclosure Program.


In 2016–17, the Department contributed to energy productivity improvements in Australia’s commercial and residential building stock. These improvements included:

lowering the mandatory disclosure threshold for commercial office buildings under the Commercial Building Disclosure Program. On 1 July 2017, the threshold for the size of buildings covered by the program was lowered from 2000 m2 to 1000 m2. The program allows buyers and tenants of commercial office buildings to compare a building’s energy running costs based on the energy rating of the building and its lighting system. Disclosing energy efficiency provides everyone with access to consistent and meaningful information about the building’s performance. This makes it easier for companies to buy or rent more energy efficient office space. An additional 1000 commercial buildings will now disclose energy-efficiency information when the building is listed for sale or lease. This change is expected to lead to an estimated $50 million in energy savings and about 3.5 million tCO2-e of emissions reductions over five years.www.cbd.gov.au

funding the development of National Australian Built Environment Rating System tools for apartments, public hospitals and office tenancieswww.nabers.gov.au

strengthening processes and procedures for the Nationwide House Energy Rating Scheme to prepare the scheme for a proposed major update to energy rating software to improve the accuracy of energy efficiency assessments and support compliance with energy efficiency regulations for new homes.www.nathers.gov.au

The Department undertook work to implement measures in the NEPP that aim to improve energy productivity in the built environment. As part of NEPP measure 5, we contributed to the establishment of a national collaborative approach to residential building ratings and disclosure. As part of NEPP measure 31, we made progress on strengthening minimum building standards. Under NEPP measure 32, we made progress on improving compliance with minimum building standards.The Government maintained its financial contribution to the National Australian Built Environment Rating System.

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Target Greenhouse and Energy Minimum Standards National Legislative Framework:

2016–17 New consultation Regulatory Impact Statements published 5Number of new products registered under the Greenhouse and Energy Minimum Standards (GEMS) Act 2012 4500

Effective implementation of the Equipment Energy Efficiency Program under the GEMS Act 2012


In 2016–17, the Department delivered five consultation regulation impact statements that proposed introducing or changing minimum energy performance standards on lighting products, swimming pool pumps, commercial refrigeration, domestic fridges, and non-domestic fans. Over 5600 new products were registered under the Greenhouse and Energy Minimum Standards Act 2012. This exceeded the target of 4500 new product registrations for 2016–17. The Energy Council’s Equipment Energy Efficiency (E3) Program sets minimum performance standards for equipment and appliances and provides better information to consumers. It aims to increase the energy efficiency of new appliances and equipment sold and therefore reduce energy consumption. It is underpinned by the GEMS Act. The program is being delivered in accordance with the 2016 E3 prioritisation plan and is well received by stakeholders. Evidence of this is the recent delivery of several consultation regulation impact statements, the feedback received at meetings and forums, and responses to the relevant section of the Department’s regulator performance framework self-assessment for 2015–16.The 2016–17 GEMS stakeholder satisfaction survey found that 84 per cent of respondents reported they were satisfied or very satisfied with the level of service they received. More than 150 responses were received, with an overall response rate of 20 per cent. To increase stakeholder satisfaction, improvements are constantly being made to the GEMS registration system. During 2016–17, the GEMS Regulator completed check tests of 86 models of 12 GEMS products. The tests found that 79 met GEMS requirements and seven did not. Of those that did not meet GEMS requirements, the GEMS Regulator cancelled the registration of four models and took alternative enforcement actions against three models.

Target Australia meets its emissions reduction targets.Source Corporate Plan 2016–17 p. 40, PAES 2016–17 p. 49Result In progress

Australia’s performance in meeting its emissions reduction targets is addressed in more detail under the ‘Reducing Australia’s greenhouse gas emissions’ activity (see page 90).In 2016–17, the Department worked with CSIRO to develop the Low Emissions

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Target Australia meets its emissions reduction targets.Technology Roadmap as an input into the broader review of Australian climate policies. The roadmap was released in June 2017.In developing the roadmap, CSIRO undertook an independent assessment, based on extensive stakeholder consultation, modelling and analysis, which aimed to identify:

low-emissions technologies in the electricity, industrial and transport sectors that would assist Australia to meet or exceed its emissions reduction targets

opportunities that exist for Australian industry to take advantage of supply chains for the identified technologies.

The roadmap provides important insights into the emissions potential of various technologies in the energy sector, economic opportunities that Australia could exploit in clean energy technologies, and enabling actions which could be considered to capture that potential.As described under the previous targets, the NEPP and Equipment Energy Efficiency Program (E3) are contributing to meeting Australia’s 2030 emissions reduction goals and helping consumers to better manage their energy costs. The Department continues to manage the E3 program, which is a cross-jurisdictional approach to energy efficiency standards and energy labelling for household and business equipment and appliances sold in Australia and New Zealand. Activities to improve the energy efficiency of appliances and equipment include energy rating labelling, setting minimum energy performance standards, education and training. The E3 program is consulting on new regulations under the Greenhouse and Energy Minimum Standards Act 2012. The new regulations cover lighting, swimming pool pumps, non-domestic fans, refrigerators and freezers, air conditioners, and refrigerator display cabinets. Equipment and appliance regulations reduced Australia’s emissions by 23–35 million tCO2-e between 2000 and 2014. From 2015 to 2020 (based on current regulation developments) it is projected that emissions will be reduced by a further 27–44 million tCO2-e.

Analysis against the activity’s intended resultChallenging market conditions were evident in 2016–17. Periods of extreme price volatility, increasingly tight supply of gas for the domestic market, rapidly changing technology and consumer preferences, and the black system event in South Australia highlighted the need for greater efforts to ensure energy markets are able to manage Australia’s transition to a low-emissions economy. These issues particularly affected the first performance criterion, which was not achieved.

However, the response by governments, the COAG Energy Council and the Department in expediting reforms has greatly ameliorated the potential negatives of the market conditions. Through the ongoing work, and rapid response to these challenges, by the Energy Council, Australian energy markets are increasingly able to support investment and market outcomes in the long-term interests of consumers. For example, in August 2016, the Energy Council agreed to gas market reforms that will allow more gas to be supplied at lower prices through better information and price discovery, additional trading hubs and better transport infrastructure access.

Further, in October 2016, following the South Australia black system event an extraordinary meeting of the Energy Council reconfirmed that energy security remains the top priority for Australia’s energy markets. Following the extraordinary meeting, the council announced the Finkel review, which was tasked with creating a blueprint for reform in the national electricity market. The review considered the outputs of some of our ongoing work streams across energy and climate

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policy and was delivered on 9 June 2017. We provided administrative support for the independent review. The outcomes of the review will impact on the Department’s work going forward.

The factors that led to the success of achieving our other targets and performance criteria include the continued improvements and advancements in the programs and policies the Department manages. This is achieved through a national approach to the integration of renewable energy and technology into the national electricity market, improved governance of energy markets, increased gas market transparency and regulations for competitive gas transport prices.

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Science, information and researchPurpose: The Department’s science, information and research contributes to the delivery of all four of the Department’s purposes in the priority areas of environment and heritage, climate change, Antarctica and energy and ensures that decisions concerning Australia’s environment are based on the best available information. We use this information to provide environmental and spatial information products, advice, analysis and tools.

Cross-cutting activity: Science, information and researchThe environmental and spatial information products, advice, analysis and tools delivered under this activity ensure that decisions concerning Australia’s environment are based on the best available information. Specific examples are:

making fundamental biodiversity information openly accessible to the public, science, business and government, to help decision makers understand and manage Australia’s environment, including providing information to assist decision makers in relation to the EPBC Act

supporting the discovery and classification of Australia’s plants, animals and other organisms through the provision of taxonomic advice

providing data and information to decision makers and the community that addresses critical gaps in scientific understanding of the water-related impacts of coal seam gas and large coal mining development.


Improve understanding of Australia’s environment and inform environmental decision-making through collaborative research and enhanced discovery, access and use of environmental information.

Improve the knowledge of, and inform decision-making on, water-related impacts of coal-seam gas and coal mining development.


Data and information generated by the Department are used by stakeholders and/or support evidence-based decision-making.


National Environmental Science Program

The National Environmental Science Program (NESP) is delivering world-class environmental and climate science to assist decision makers at all levels of government, business and communities, including Indigenous organisations.Research under the six NESP hubs began in June 2015, with 152 projects approved under annual research plans. Of the 39 complete projects, six were completed in 2016–17. NESP data and information provided to the Department and other users has already helped in:

implementing the Reef 2050 plan developing Australia State of the Environment 2016 planning and managing Indigenous Protected Areas and threatened

species and communities throughout Northern Australia developing a service to aggregate and link collections of open marine

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data improving access to marine data through the Australian Geoscience Data

Cube.To support uptake of research, the NESP requires specified positions and funding to be allocated by hubs to knowledge brokering and communications activities for the life of the program. For example, hub knowledge brokers enable engagement between researchers and end users, and increase the relevance of the research outputs. The NESP hubs communicate research activities through their websites and publications such as the Science for saving species magazine, the newsletters View on TWQ, ESCCapades and Urban Beat, social media, and presentations to research users. The impact of knowledge-brokering activities and broader program outcomes will be assessed in evaluations of the program. The first evaluation is scheduled for completion in August 2017. The second will take place at the end of the program in 2019–20.Further information on NESP is available on the Department’s website:www.environment.gov.au/science/nesp

Native flora, fauna and marine measures

As part of its core business the Australian Biological Resources Study (ABRS) provides leadership and support for the discovery, naming and classification of Australia’s living organisms. The ABRS compiles, edits and publishes national biodiversity information that is used by government, business, research, education and community sectors, to improve knowledge and decision-making. In 2016–17, the ABRS continued to make data and information available through the Atlas of Living Australia website. www.ala.org.auThis data is drawn from established ABRS databases such as the Australian Faunal Directory and from platforms such as the National Species List and Flora of Australia Online. Ongoing investment in the Atlas of Living Australia through the National Collaborative Research Infrastructure Strategy has allowed the ABRS to establish important working partnerships to help develop and make available more accurate, consistent and timely data on Australian species, including species that are threatened or may present a biosecurity threat.We support evidence-based decision-making through:

the biodiversity data, information and resources curated and maintained online for departmental and public usewww.environment.gov.au/science/abrs

authenticating and entering new taxon records and updating existing ones in the Species Profile and Threats Databasewww.environment.gov.au/cgi-bin/sprat/public/sprat.pl

ensuring the accuracy and currency of scientific and common names used in documents such as recovery plans, conservation advices for threatened species and ecological communities, and EPBC Act gazettal notices

advising on conservation concerns for species proposed for wild harvest as part of wildlife trade operations

guiding the selection of species for consideration under the common assessment method project to align threatened species listings under the

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http://www.environment.gov.au/science/abrs

http://www.ala.org.au/

http://www.environment.gov.au/science/nesp



EPBC Act with those under state and territory legislation (see ‘Regulating to protect our environment and heritage’ activity page 55).

The Essential Environmental Measures for Australia Program seeks to improve our ability to scientifically describe the environment and improve our capacity to track its change, bringing together experts to identify measures which are essential for tracking change in the state of our environment; and improve the discovery, access and reuse of data and information under those measures. In the long term the program will deliver:

quantifiable observations of aspects of the environment (e.g. vegetation cover) that are key to tracking change in the state of the environment

open access data streams—standardised in-situ and remotely sensed time-series data, which can be consumed for a wide range of analysis and reuse

methods, models and vocabularies to be used by data custodians as resources to improve the collection, management and reuse of measures data.

In 2016–17, two measures pilots, native vegetation and marine, were selected. A set of native vegetation measures were drafted for consideration by an expert panel and a working group was formed to identify marine measures. These pilots will inform the methodology for all future measures. Links were established with the state of the environment reporting cycle and environmental-economic accounting cross-jurisdictional work commissioned by Australia’s environment ministers in December 2016. This cross jurisdictional work has the aim of developing a national strategy for environmental-economic accounting by December 2017.

State of the environment report

On 7 March 2017, the Australia State of the Environment 2016: Overview was tabled in the Parliament and we launched the report’s online platform, SoE Digital.www.soe.environment.gov.auFor the first time the report was published on an interactive, digital platform. This allows audiences to explore and discover information in many ways, including:

comparing main findings across themes and years and searching for trends in assessments

filtering content by theme, trend, grade or reporting framework interrogating data visualisations graphically and spatially downloading data and information for re-use, in most cases under a

Creative Commons licence.Providing open access to more than 300 underlying datasets, the report is more transparent than ever before. It gives users free access to a substantial national information base that enables them to improve their understanding of environmental issues and actions. In the four months to the end of June 2017, the site had attracted around 25,000 unique visitors, with an average session time of four minutes for each visit. We promoted the findings of the report and will continue to do so through strengthening industry partnerships, conducting roadshows and leveraging the 2017 environment conference schedule to increase its reach.

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http://www.soe.environment.gov.au/



Office of Water Science

In 2016–17, the Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development, supported by the Office of Water Science, provided eight pieces of advice to regulators. Further details are available in the target below, page 140.Other data and information generated by the committee was provided to and used by stakeholders to support evidence-based decision-making. Commissioned research will inform regulators and the wider community on the hydrology, ecology and chemicals associated with coal seam gas extraction. The research commissioned, in line with research priorities identified by the committee, was finalised in late 2016 and will be published throughout the course of 2017. An important milestone for this research program was the publication of a report that improves the understanding of ecological responses to groundwater drawdown associated with coal seam gas extraction and coal mining. The publication of the report was supported by three workshops in New South Wales, Queensland and Canberra in June 2017 to inform environmental impact assessment and monitoring of how ecosystems respond to groundwater drawdown. We continued to administer the Australian Government’s Bioregional Assessments Program designed to support evidence-based decision-making by better understanding the potential impacts of coal seam gas and large coal mining developments on water resources and water-dependent assets. The program’s online information portal, launched in April 2016, provides open access to reports, background information, and data and metadata housed on data.gov.au. In 2016–17, we worked on developing an interactive tool, BA Explorer, to enable spatial exploration of the results of assessments. BA Explorer will be available on the portal. The Bioregional Assessments Program will release analytical reports for the Clarence–Moreton, Maranoa–Balonne–Condamine, Galilee and Namoi regions in the second half of 2017. The adoption and use of these products to inform decision-making and community understanding is expected to increase as the reports are published for each region. www.bioregionalassessments.gov.au

Case Study – National Environmental Science Program—informing on-ground approaches to tackling gully erosion in Great Barrier Reef catchments

The NESP is a $145 million program funding six research hubs and emerging priority projects from 2015 to 2021. Research from the program’s Tropical Water Quality Hub is providing evidence for management decisions about the Great Barrier Reef.

Gully erosion is one of the major sources of sediment delivery to the Reef and must be addressed to help meet Reef water quality targets.

The hub project ‘Demonstration and evaluation of gully remediation on downstream water quality and agricultural production in Great Barrier Reef rangelands’ is providing a cost–benefit analysis of erosion remediation strategies and demonstrating the benefits of best-practice erosion control to graziers, with a focus on Queensland’s Burdekin region.

Anticipated project impacts include building support for remediation options and demonstrating progress in sediment management to stakeholders and the public. New knowledge about the

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http://www.bioregionalassessments.gov.au/

links between gully remediation, erosion rates and water quality will help inform the design of future on-ground remediation activities.

The research is already directly supporting on-ground works being funded under the Australian Government’s Reef Trust Gully Erosion Control Program, which aims to reduce fine sediment erosion from gullies in Reef catchments. This hub project is filling a critical knowledge gap by testing the effectiveness of the gully erosion remediation approaches being trialled and advising on how well they control sediment that affects the seagrasses and corals of the Reef.

Strong partnerships between researchers, Australian and Queensland government agencies, natural resource management bodies, non-government organisations and graziers are crucial to the project’s success. The contribution and participation of these organisations not only improves research adoption prospects, but also successfully leverages additional funding from Australian Government investment, increasing the project’s resources and delivering outcomes that benefit all stakeholders.

Further information about the project is available online.

www.nesptropical.edu.au/index.php/round-2-projects

Target Completion and release of the Australia State of the Environment 2016 report and its digital platform.


In March 2017, we released the Australia State of the Environment 2016 and SoE Digital. The 2016 report presents an independent, peer-reviewed assessment of the current state of the Australian environment, how it is managed, recent trends, and the future outlook. It was prepared by 18 lead authors, drawing on material from over 500 contributors, 343 accessible datasets, 72 graded report cards and nearly 1200 graded assessments. It carries through the same reporting structure as the Australia State of the Environment 2011 report, enabling the tracking of change over time. www.environment.gov.au/science/soe

Target All environmental datasets owned by the Department are published under Creative Commons.


As of 30 June 2017, over 146 spatial datasets owned by the Department were published under a Creative Commons licence. Some datasets remain restricted for reasons of sensitivity or confidentiality. Datasets are available from the following sites.www.environment.gov.au/about-us/environmental-information-data/open-data www.environment.gov.au/fed/catalog/main/home.page

Target All advice provided to regulators by the Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development is delivered within statutory time frames and made publicly available.


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http://www.environment.gov.au/fed/catalog/main/home.page

http://www.environment.gov.au/about-us/environmental-information-data/open-data

http://www.environment.gov.au/science/soe

Target All advice provided to regulators by the Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development is delivered within statutory time frames and made publicly available.

Result Achieved Our Office of Water Science continued to support the Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development (IESC), a statutory committee under the EPBC Act. The IESC provides advice that ensures regulatory decisions about coal seam gas and large coal mining developments are informed by the best available science about the potential water-related impacts of those developments. Publication of its advice ensures that the community can have confidence that regulators have access to the latest scientific information when making decisions on development proposals. In 2016–17, the IESC provided eight pieces of advice on development proposals to regulators and published them on its website within the statutory time frames. Advice was requested by the Department and the New South Wales Department of Planning and Environment.www.iesc.environment.gov.au/committee-advice/proposals

Target Completion and release of bioregional assessments for all 13 bioregions by 30 June 2017 to assess the potential water-related impacts of coal and coal seam gas.


In 2016–17, bioregional assessments progressed in all 13 regions. The Bioregional Assessments Program focused on analysing impacts on and risks to the landscape and water-dependent assets in five regions with high coal resource development activity. During the reporting period, 22 technical products, including two supporting sub-methodologies, were published on the information portal (making a total of 59). Over 900 datasets related to the program are now available at data.gov.au. Datasets published by the program were downloaded 3392 times in 2016–17. The program finalised 93 out of 105 technical reports and eight out of 10 supporting sub-methodologies by 30 June 2017. Many of these finalised technical reports are components of larger assessments that will be released when the whole assessment is complete. The remaining reports will be delivered by December 2017.

Target 200 taxa revised or newly described under the Australian Biological Resources Study.


Our result against this target reflects the commitment and expertise of the researchers funded under the Australian Biological Resources Study and represents the impact the program has on the discovery and description of Australian flora and fauna.In 2016–17, 409 taxa were either reported as revised or newly described as outputs of projects funded by the ABRS National Taxonomy Research Grant Program and the Bush Blitz program (administered through the ABRS) (Table 2.7).

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http://www.iesc.environment.gov.au/committee-advice/proposals

Target 200 taxa revised or newly described under the Australian Biological Resources Study.Factors that led to exceeding the target were additional co-investment by researchers, research effort over time culminating in outputs in recent years, improved efficiencies, Bush Blitz expeditions, and improvements in taxonomic research methods. Taxonomic research is becoming more efficient and effective as new digital and genetic technologies aid researchers in analysis, synthesis and faster publication.

Table 2.7: Number of taxa revised or described

Target 2013–14

2014–15

2015–16

2016–17

Taxa revised or described 200 630 2461 660 409

Target At least 64 researchers, including early career researchers, supported under the Australian Biological Resources Study.


The ABRS National Taxonomy Research Grant Program supports taxonomy and systematics researchers, including early-career researchers. These grants help to address the decline in numbers of Australian scientists who work in these fields of research. As at 30 June 2017, 136 researchers, including 66 early-career researchers, are being trained in taxonomy and species discovery through projects funded by the ABRS (under the National Taxonomy Research Grant Program and Bush Blitz). We well exceeded the 2016–17 target (Table 2.8). Bush Blitz’s investment in species discovery expeditions and follow-up taxonomic work has provided significant additional support for the employment or training of early career researchers engaged to revise and describe specimens collected on expeditions.Factors contributing to an increase in numbers of researchers over recent years include the opportunity for successful grant applicants, most of whom are from the university sector, to take advantage of the grant program’s accreditation under the Australian Competitive Grants Register. The register allows successful grant applicants to secure matched funding from other sources. Co-investment from researchers and support from the Government ($1 million) and the industry funded ($10 million) Bush Blitz program also support the work of taxonomic research. These factors combine to add value by increasing the grantee’s capacity to engage additional researchers, including postgraduate students and postdoctoral researchers.

Table 2.8: Number of researchers, including early career researchers, supported

Target 2013–14 2014–15 2015–16 2016–17Researchers supported 64 135 106 81 136

Analysis against the activity’s intended resultThe Department depends on the information and knowledge gained from environmental science and research to develop effective evidence-based policy and to make well-informed regulatory decisions. In 2016–17, we made environmental information publicly accessible to help government agencies, other regulators and the community better understand Australia’s biodiversity and give

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confidence in the science behind environmental regulation. State of the environment, the ABRS and the Bioregional Assessment Program are examples of our successes in 2016–17. The complexity of the research that underpins the Bioregional Assessment Program meant we were unable to complete all assessments during 2016–17. We continue to explore opportunities to better utilise the data and information we generate, commission, and hold.

State of the environment 2016Our publication of the Australia state of the environment 2016 report in March 2017 was an important achievement. The report provides Australians with authoritative information on the state of the environment. The 2016 report kept the same framework, thematic structure and ‘report card’ summaries as the 2011 report, enabling comparison of findings over time. For the first time we presented this information in an interactive digital format with many pathways to information. This will allow readers to explore in ways that suit them, thereby enhancing accessibility. While initial feedback on the digital format of this report is good, evaluation will assist in achieving its continued success and further increase the reach and impact of the report.

Australian Biological Resources StudyIn 2016–17, the ABRS performed strongly with regard to improving understanding of the Australian environment, as evidenced by our contribution to the financial support of 136 researchers (including 66 early career researchers) and by the discovery, description and publication of 409 species and other taxa. Both results well exceed the targets.

The results reported for the ABRS are largely the result of synergies created by the ABRS’s role in coordinating, collating and publishing taxonomic data and information, funding targeted research and surveys through the National Taxonomy Research Grant Program and Bush Blitz, and working in partnership with the Australian taxonomic science and collections’ communities.

In 2016–17, the ABRS contributed to environmental decision-making through collaborative research and enhanced discovery of, access to and use of environmental information. We play an important role in ensuring authoritative base-level scientific data is collated from scientific research and made available for robust, evidence-based decisions relating to our policies and programs such as the Threatened Species Strategy, the National Landcare Program, and for assessment and referral decisions under the EPBC Act.

Raising understanding of water-related impacts of coal seam gas and large coal minesThrough our support for the Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development, we continued to improve the knowledge of water-related impacts of coal seam gas and large coal mining developments. Well-developed procedures and the expert technical assistance of the Office of Water Science enabled us to provide and publish all advice to regulators on the impacts of coal seam gas and large coal mines within statutory time frames.

Delays in the completion and release of bioregional assessments for all 13 bioregions led to a partially achieved result for this target. The delays arose from the complexity of the research (because of its regional scale and the computationally and resource intensive analysis it required) and the need to focus on ensuring the quality and clear communication of the science outputs. The Bioregional Assessment Program Implementation Board is overseeing management of time frames and risks, including through regular status reporting and adapting the product development cycle with our technical partners.

Improving the use of environmental data and informationIn 2016–17, we developed a change management plan, engagement plan and action plan to support our internal Environmental and Energy Information Strategy, which is due to be finalised in December 2017. The strategy’s vision is for environmental information to be valued as an asset that is available to those who need it, when they need it, and to enable delivery against the

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Department’s purposes. The strategy seeks to improve our management and governance of environmental information and data while ensuring we meet whole-of-government requirements.

We appointed the Environmental Research Information Network Assistant Secretary as our Chief Data Officer and created a section to support a new data and information management maturity program. An aim of the program is to increase the usability of data and information by simplifying business processes.

In conjunction with our program partners, we continually review and improve our approach to the dissemination of data and information products in response to the needs of environmental decision makers. For example, the use and uptake of information products from NESP hubs will be informed by the mid-term evaluation being undertaken in 2017.

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