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2018–19 Annual Report Port Authority of New South Wales

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2018–19 Annual Report Port Authority of New South Wales Annual Report Port Authority of New South Wales 2018/19 Overview This Annual Report contains audited Financial Statements. If you experience difficulty accessing this content please contact David Kenny, General Manager, Corporate Planning and Reporting. T 02 9296 4602 E [email protected] Port Authority of New South Wales (Port Authority) is a state-owned corporation (SOC) ABN 50 825 884 846 T 02 9296 4999 F 02 9296 4742 E [email protected] W portauthoritynsw.com.au Street address: Level 4, 20 Windmill Street, Walsh Bay, NSW 2000 Postal address: PO Box 25, Millers Point, NSW 2000 Business hours: 9 am–5 pm, Monday to Friday Service hours: 24 hours a day, seven days a week Front Cover: Hornby Lighthouse, Sydney. © structuresxx - stock.adobe.com Table of contents Letter of submission 5 12 Port Kembla 64 12.1 Overview 64 1 Overview 6 12.2 Marine Operations 65 2 Highlights 7 12.3 Summary review of operations 65 2.1 Our people 7 12.4 Community engagement 2.2 Total vessel visits (cruise and trade) 9 and sponsorship 67 2.3 Cruise 9 12.5 The year ahead 67 2.4 Trade 12 13 Port of Eden 68 2.5 The Bays Precinct 13 13.1 Overview 68 2.6 Projects 13 13.2 Summary review of operations 69 2.7 The year ahead 14 13.3 Port development 70 3 Summary review of operations 17 13.4 Other highlights 71 3.1 Financial performance 17 13.5 Community engagement and sponsorship 71 3.2 Marine Operations 17 13.6 The year ahead 71 4 Port highlights 19 14 Port of Yamba 72 5 Chair’s report 22 14.1 Overview 72 6 Chief Executive Officer’s report 24 14.2 Pilotage and navigation services 72 14.3 Summary review of operations 73 7 Board of Directors 26 14.4 Port development 73 8 Executive team 30 15 Sustainability 74 9 Vision, objectives and values 32 15.1 Introduction 74 10 Sydney Harbour and Port Botany 33 15.2 Management of port impacts 74 10.1 Port Botany 33 15.3 Penrhyn Estuary 76 10.2 Sydney Harbour 33 15.4 Vehicle and marine fleet 77 10.3 Trade vessel visits 34 15.5 Energy and waste 78 10.4 Marine Operations 35 15.6 Indigenous sponsorship 78 10.5 Emergency response 37 15.7 Environmental penalties 78 10.6 Cruise in Sydney Harbour 40 15.8 The year ahead 78 10.7 The Bays Precinct 45 10.8 Security 48 16 Heritage 79 16.1 Overview 79 10.9 Capital projects 49 16.3 The year ahead 79 10.10 Community engagement and sponsorship 52 17 Communications highlights 80 11 Newcastle 58 17.1 Overview 80 11.1 Overview 58 17.2 The year ahead 81 11.2 Marine Operations 59 11.3 Summary review of operations 59 11.4 Community engagement and sponsorship 63 11.5 The year ahead 63 Table of contents • 3 18 Financial statements 83 19.16 Board composition 157 Director’s declaration 84 19.17 Chief Executive Officer 157 Annual Report 2018/19 Annual Report Independent auditor’s report 85 19.18 Board independence 157 Statement of comprehensive income 88 19.19 Access to information and Statement of financial position 89 independent professional advice 158 Statement of changes in equity 90 19.20 Conflict of interest 158 Statement of cash flows 91 19.21 Other board memberships 158 Notes to the financial statements 92 19.22 Board meetings and their conduct 158 Statement of land holdings 145 19.23 Attendance at Board meetings 19 Statutory disclosures 146 2018/19 159 19.1 Charter, aims and objectives 146 19.24 Attendance at committee 19.2 Guarantee of service: meetings 2018/19 159 Port Safety Operating License 146 19.25 Director remuneration, 19.3 Relevant legislation 147 appointment and education 160 19.4 Changes in Acts and 19.26 Board performance 160 subordinate legislation 147 19.27 Equity, diversity and inclusion 160 19.5 Economic or other factors 19.28 Work Health and Safety 162 affecting achievement of operational objectives 148 19.29 Overseas travel by Port 19.6 Performance relative to the Authority of New South Wales 4 Statement of Corporate Intent 148 employees 163 19.7 Exemptions for the reporting 19.30 Funds granted to period provisions 148 non-government 19.8 Response to significant issues community organisations 164 raised by the Auditor General 149 19.31 Community engagement/ 19.9 Government Information consumer response 164 (Public Access) Act 2009 150 19.32 Publications 164 19.10 Corporate governance 153 19.33 Annual report cost 164 19.11 Role of the Board 153 19.34 Land disposal 164 19.12 Board committees 153 19.35 Executive positions 164 19.13 Code of conduct 155 19.36 Public interest disclosures 165 19.14 Risk management 156 19.15 Insurance activities 156 Port Authority of New South Wales thanks all employees whose images of our working ports and waterways have been used to illustrate this report. Port Authority of New South Wales of New Authority Port Letter of submission 27 September 2019 The Hon. Dominic Perrottet MP The Hon. Damien Tudehope MLC Treasurer Minister for Finance and Small Business 52 Martin Place 52 Martin Place SYDNEY NSW 2000 SYDNEY NSW 2000 Dear Mr Perrottet and Mr Tudehope, REPORT ON OPERATIONS FOR THE YEAR ENDING 30 JUNE 2019 We are pleased to submit Port Authority of New South Wales’ annual report detailing performance, operations and financial results for the year ending 30 June 2019. The report has been prepared in accordance with the Annual Reports (Statutory Bodies) Act 1984, and the applicable provisions of the Public Finance and Audit Act 1983 and the State Owned Corporations Act 1989, and is submitted for presentation to Parliament. Yours sincerely, Mr Robert Dunn Mr Grant Gilfillan Chair Chief Executive Officer and Director Letter of submission • 5 1 Overview Port Authority of New South Wales • management of: (Port Authority) is a state owned Annual Report 2018/19 Annual Report • cruise facilities and terminal services corporation that manages the navigation, security and operational safety needs of • common user berth facilities commercial shipping in Sydney Harbour, • retail/commercial properties Port Botany, Port Kembla and the ports • governance of Hunter Coal of Newcastle, Eden and Yamba. Export Framework. Port Authority’s statutory objectives and functions are derived from the provisions Port Authority is responsible for all of the State Owned Corporations commercial shipping functions in the Act 1989 (NSW), Ports and Maritime ports of Sydney (Port Jackson and Administration Act 1995 (NSW) and Botany Bay), Newcastle, Port Kembla, the Port Safety Operating Licence Eden and Yamba. issued under section 12(2) of the Ports Port Authority has the role of Harbour and Maritime Administration Act 1995. Master in all commercial ports in NSW. (See Section 19.3 for more information.) Each Harbour Master is appointed We operate to keep our ports safe under section 85 of the Marine Safety for shipping and secure for everyone, Act 1998 (NSW). The general function and to protect port environments. of a Harbour Master is outlined in section 6 87 of the Marine Safety Act and can We work to provide our customers with be summarised as having ‘powers a professional service that consistently to direct and control the movement, aims to add value and takes their entry and exit of vessels within port business needs into full consideration. areas’. Port Authority is also the lead The primary role and responsibilities agency for responses to maritime of Port Authority and associated incidents in coastal waters stretching business activities include: from Fingal Head, Port Stephens in the north, to Gerroa, south of Port Kembla. • safe navigation of shipping movements within each port Port Authority owns and manages key NSW assets including common • survey of harbour/port approaches, user berths at Glebe Island and White channels and berthing boxes Bay in Sydney Harbour. Port Authority • pilotage (marine pilot safely navigating also provides land on long-term lease a ship in and out of a port adjacent to berths at Glebe Island. • port security Port Authority owns and manages • safety of port operations Sydney Harbour cruise facilities at the Overseas Passenger Terminal at Circular • response emergency Quay and White Bay Cruise Terminal including the clean-up of spills at Rozelle. in the marine environment • dangerous goods administration, as contained in Part 11 of the repealed Dangerous Goods Regulation 1999, and preserved by the Work Health and Safety Regulation 2011 Port Authority of New South Wales of New Authority Port 2 Highlights Pilot cutter approaching a container ship off Sydney 2.1 Our people The preparedness of employees to challenge the way we have done things in the past has resulted in new ideas Work, Health and Safety and the initiation of safer design, safer Port Authority has recorded our lowest controls and safer outcomes for both injury rates and best safety performance employees and the public interface. We since the amalgamation of marine continually review protocols, particularly services in the Sydney, Newcastle and in regards to marine and pilot operations, Port Kembla Port businesses in 2014. to promote standardisation across all our ports. The ongoing challenge to continually improve operational safety, the Leadership and coaching value of incident review and a better understanding and application of A key aspect of Port Authority’s preventative and mitigating controls organisational goals is leadership and in risk management is supporting the the coaching of employees to develop safety improvement that has occurred. skills in leading others. Port Authority’s The leading indicators we measure Coaching for Success program supports include near miss reporting, safety these goals, with managers and conversations, audit inspections and employees engaging quarterly.
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