Annual Report 2006 Bendigo Creek Sewer Augmentation Project. Gordon McKern, Coliban Water Chairman, David Bannear, Heritage Victoria, and Geoff Michell, Coliban TABLE OF CONTENTS Water Chief Executive, walk along Bendigo Creek.
Chairman & Chief Executive’s Report ...... 2 Profile ...... 4 Strategic Directions ...... 6
Securing Water for the Future ...... 7 Customers and Service ...... 9
Water Resource Management ...... 14 Working with Wastewater ...... 21
Organisational Sustainability ...... 23 Environmental Sustainability ...... 28 Economic Performance ...... 32 Statutory Information ...... 33 Performance Report ...... 35 Financial Statements ...... 41 Auditor General’s Report ...... 66 ISO 14001 Lic20398 AS 4801 Lic20179 ISO 9001 Lic8286 Disclosure Index ...... 68 SAI Global SAI Global SAI Global
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Photographs by Bendigo Modern Press, Richard Gibbs Photography, The Advertiser (Bendigo) and Coliban Water.
PG 1 Coliban Water Annual Report 2005–06 CHAIRMAN & CHIEF EXECUTIVE’S REPORT
Two key projects have been fast-tracked to respond to the ongoing drought. A pipeline link from the Goulburn system to Lake Eppalock was chosen as the best solution to obtain water from outside our region. It will cost an estimated $75 M and planning commenced immediately following the project announcement in May. The other key project is a pipeline from the Bendigo Water Reclamation Plant in Epsom to Spring Gully Reservoir which will allow us to use recycled water for public gardens, sporting grounds, rural irrigation and for passing flows to save water currently used from our drinking water supply. The ongoing challenges facing our region are: • the continuing drought; • stresses on the River Murray and its tributaries such as the Coliban, Campaspe and Loddon Rivers, and the likely drying of our catchments with climate change; • accelerating population growth in our major regional centres, particularly along the Calder Corridor and Murray River with new connections continuing at unprecedented levels; and • increasing demands on our water resources associated with regional growth and development. This growth is supported by the Victorian Government through a range of initiatives but in particular from a water perspective through its 2004 White Paper ‘Securing Our Water Future Together’, the ‘Bendigo Regional Action Gordon McKern, Chairman, and Plan’, launched in September 2005, which focuses on Geoff Michell, Chief Executive. Water Policy implementation in our immediate district, and partial funding of the Goulburn Campaspe Link and the Bendigo Recycled Water project.
It has again been a year of significant achievements and Customers and Service many challenges. As the impact of ongoing low rainfall Our overall customer satisfaction remained at 95% which continues, we face a growing challenge to provide both was extremely pleasing given ongoing water restrictions short-term and long-term security for our customers. for a significant percentage of our customer base, and the We have adopted many of the initiatives outlined in the various impacts on our customers as a result of our water State Government’s action plan for water reform, Our shortage. Water Our Future. Community awareness of the need to We introduced a stepped tariff pricing system at the start save water is at an all time high, and there is also growing of the financial year and this has been broadly accepted acceptance of the need to make water saving habits a by our customers as a fair and effective way to encourage way of life. conservation. Securing water for the future Using various mechanisms we continued to engage our community. Our community communications program Our water security plan Waterplan 2055 was approved by expanded in early in 2006 and included a variety of the Minister in March 2006 and details how the long term tactics to increase awareness of our plans and actions for sustainability of the region will be achieved from a water water security for our region. perspective. This community endorsed plan takes into consideration: Our extensive program of community consultation over the past year included a series of community workshops • the total water cycle; and focus group meetings with input from our Customer • the social, environmental and economic costs and Consultative Committee, Rural Advisory Committee, and benefits of options; Youth Advisory Council. Community support is central to the success of the Water Security Plan and we will • the financial impacts of options; and continue to engage with our customers and the wider • risk management; including climate change, deviations community during its development and implementation. from predicted population growth, environmental We also continue to raise awareness of sustainable impacts and public health requirements. water use through our school and community education This strategy has four key action areas: urban savings, program. rural savings, greater use of recycled water and sourcing additional supplies. Our focus is now on implementation.
Coliban Water Annual Report 2005–06 PG 2 Organisational Sustainability stewardship and minimise adverse environmental impacts. Also this financial year we entered into a During the year we conducted an organisational review Cleaner Production partnership with the EPA to establish and implemented a number of structural changes which Waste Minimisation plans with three companies in the have allowed us to align our structure with our strategic Bendigo Region. plan. To date the changes implemented have proven beneficial in improving business function and efficiencies. Part of planning for our future is to continue to make We thank our skilled, capable and committed staff. better use of what we have. We are making progress on greater use of recycled water to reduce industrial water An Employee Consultative Committee was established usage, to substitute for water used for irrigation and to to improve communication between all levels of staff supplement environmental flows for the long term health and the Board, and to provide an environment for staff of our river systems. Community support for the use of to table workplace issues and provide feedback. The recycled water was demonstrated in our annual Customer Committee is already actively involved in a review of Satisfaction Survey, and two key partnerships were signed Coliban’s performance development and appraisal during the year. One with Bendigo Mining to supply process. Coliban Water with recycled ground water, and the other It is important to acknowledge that our success is with the City of Greater Bendigo to use recycled water on dependent on the support of various stakeholders. parks, gardens and sporting facilities. These include our urban, rural and non-residential Also of note is the success of our Greener Office program. customers, the Victorian Government, various State and Our Bridge Street office in Bendigo has increased paper Commonwealth Agencies, Local Government authorities recycling by 95%, has reduced waste being sent to representing the communities we serve, and various landfill by 85%, and has 98% of general recycling items community and industry groups. being recycled. Partnerships continue to be in an important part of our In the 2005/06 financial year Coliban Water reported a day-to-day operations. The expertise of Campaspe Asset loss of $12.4m. Impacts on our revenue from the drought Management Services (CAMS), Bendigo Water Services, and the revised manner in which our BOOT schemes ETE Coliban and Veolia Water continues to help Coliban must be accounted for were significant factors in the Water deliver excellence in quality water and wastewater result. services. CAMS manage the operations and maintenance of water and wastewater networks including treatment As Coliban faces large capital programs targeted at plants, as well as asset management, information providing water security and recycling, we will be technology and revenue services. This financial year introducing a manageable level of debt to the Balance concludes the third successful year of a 10-year contract. Sheet, consistent with that of an infrastructure business. This is part of our long term financial strategy, and is Occupational Health and Safety has remained a focus monitored by our regulator. and during the year we reported no Work Safe reportable incidents, injury resulting in days lost or lost time due to Coliban Water has paid no dividend during the 2005/06 injuries. Our Safety Management System was certified year, and based on the 2005/06 result, will pay no during the year. dividend in the 2006/07 year. Thank-you to the ongoing commitment of our Board It is a pleasure to present the 2005/06 Annual Report. members. During the year we welcomed Mr David The report is based on the triple bottom line principles of Beard who joined the Board and we thank retiring Board social, environmental and financial performance. member Keith Rowland for his contribution to good We look forward to continuing to work with our governance and strategic direction. communities to make a positive impact on our We wish to acknowledge the commitment of a long- environment and regional prosperity. serving staff member Gerry Curtain who was killed in an Yours sincerely, accident earlier this year. Gerry worked more than 30 years of his career for Coliban Water and its predecessor organisations and is greatly missed.
Environmental Sustainability Our delivery of water and wastewater services in our Geoff Michell region has an impact on the natural environment and Chief Executive we are committed to improving our environmental performance for the betterment of the whole region. While continuing to implement sound policies and procedures, we applied considerable effort during the last financial year to improve our Environmental Management System (EMS). The result was a certification against the AS/NZS ISO 14001:2004 international standard for environmental performance. Gordon McKern We implemented our Good Neighbour Strategy during Chairman the year where we aim to manage facilities and land in a manner that demonstrates good environmental
PG 3 Coliban Water Annual Report 2005–06 PROFILE
Coliban Water was established on 1 July 1992 under the businesses including milk processors, abattoirs, a variety Water Act 1989 as a Regional Urban Water Authority. of food processors (such as dairy products, small goods We are responsible to the Minister for Water, the Hon. and tomatoes), major laundries, saleyards, wineries, John Thwaites MP, and our shareholder is the Victorian carpet yarn manufacturers and health services. Government. Coliban Water is one of the larger Victorian regional Assets urban water authorities, with an area of responsibility The business utilises a wide range of assets to deliver covering approximately 20 percent of Victoria. Coliban services including: Water manages, maintains and operates over 50 reservoirs • 2,053 km of water mains; and water storage basins across North-Central Victoria and provides water and wastewater services to rural and • 1,652 km of sewer mains; urban customers across an area of 16,550km. • 494 km of rural channels; The service area includes 55 towns or service systems, • 70 km of main channel; extending from Cohuna and Echuca in the north to Kyneton and Trentham in the south. The western • 220 water and wastewater pumping stations; boundary incorporates Boort, Wedderburn, Bealiba and • 25 water treatment facilities; and Dunolly and the eastern boundary includes Heathcote • 16 water reclamation facilities. and Tooborac.
Customers Asset type Value ($m written down value) Number Land 12.273 Residential properties 56,691 Buildings 3.336 Non-residential properties 6,466 Water infrastructure 265.280 Rural licence holders 1,746 Water distribution infrastructure 31.059 Total Customers 64,903 Sewer infrastructure 239.049 Rural 30.716 Services Headworks 114.224 The major activities of Coliban Water are to provide water and wastewater services to urban and rural customers. Corporate assets 0.432 These services encompass water harvesting and storage, TOTAL $696.369 urban water supply, wastewater collection, treatment, reuse and disposal, and rural water supply. Coliban Water also provides wastewater collection services, including trade waste treatment, to a number of large
Coliban Water Annual Report 2005–06 PG 4 Map of Coliban Water Region
PG 5 Coliban Water Annual Report 2005–06 STRATEGIC DIRECTIONS
The following table is an excerpt from our Strategic Plan 2006 -2011. From our consultation with the community, our customers and other stakeholders, we have identified four key result areas (KRA) that impact on our customers and business operations. Our principles for how we will approach them and the objectives we have set for them are:
KRA Securing Water for the Future Principle We seek to provide for our customers water needs by a suite of actions including minimising water losses, reducing demand, use of recycled water and obtaining additional supplies. We will take all steps possible to ensure that we work within our current bulk water entitlements to minimise our environmental impact. Objective To secure sufficient sustainable water resources for the future needs of the region.
KRA Customers and Service Principle We acknowledge that our customer segments have different needs and we will base our actions on an understanding of their needs gained through meaningful and validated market research and consultation processes. We commit ourselves to acknowledging and providing a timely response to community concerns and ensuring that the needs of our growing regional community and existing customer base will be satisfied. We will provide ongoing investments to improve and maintain assets in all our systems. We will meet the service responsiveness commitments in our Customer Charter. Objective To deliver high quality services to meet current and future customer needs and expectations.
KRA Organisational Sustainability Principle We will maintain sound governance, maximise resource efficiency and ensure that our investment decisions are sustainable and balance those investments against levels of service and risk. We aim to provide a safe and enjoyable work environment for our people and to reward performance in delivering our business objectives. Objective To be an organisation that has people and systems in place to ensure organisational sustainability.
KRA Environmental Sustainability Principle We will work and invest to ensure that our environmental impact is minimised. Our investment in the environment will extend beyond our own operations to other spheres of the regional environment. Objective To contribute to the sustainability of the regional environment.
Coliban Water Annual Report 2005–06 PG 6 John Thwaites, Minister for Water, Geoff Michell, Coliban Water Chief Executive, Don Cummins, Chairman Goulburn Murray Water, and Gordon McKern, Coliban Water Chairman, discuss the plan to pipe water to supply the Coliban System from the Goulburn System.
SECURING WATER FOR THE FUTURE
During the first half of the 2005–06 financial year we • Conservation programs continued with KR Castlemaine continued work on finalising our plans to meet the Foods and Strathfieldsaye Primary School receiving long–term water supply needs of the Coliban supply funding from the Smart Water Fund, while Bendigo system. In September 2005 the Victorian Government Harness Racing Club and Bendigo Health received released the Bendigo Regional Action Plan, then in funding from the Stormwater and Urban Water February 2006 the more detailed WaterPlan 2055 was Conservation Fund. These four projects alone will result published, providing detailed proposals to secure water in water savings of over 60 ML/year. supplies for the next 50 years. In brief, WaterPlan 2055 has four key action areas: Coliban - Summary of Savings Urban Savings – 4000 ML Phase 1 and Phase 2
Rural Savings – 4000 ML 1 Jan 2003 to 13 July 2006 Product Rebate Rebates Est Total Recycled water substitution – 6000 ML Amount ($) Approved Water Additional supplies – 22,000 ML Savings Achievements in each of these key areas have been in: (ML) AAA Dishwashers 100 170 0.51 Urban Savings AAAA Washing • Permanent Water Saving Rules have been developed Machines 150 346 5.54 and are implemented in towns where restrictions are AAA Shower Rose 10 78 1.01 not in place. Dual-flush Toilet 50 190 2.47 • The Urban Leakage Reduction Program has commenced in Bendigo and Castlemaine. Greywater Permanent 500 11 0.28 Tank System • The stepped tariff system for water pricing was introduced in July 2005. High Pressure 30 162 0.21 Cleaning Device • Customers took advantage of the Government Water Smart Gardens and Homes Rebate Scheme. Rainwater Tank to 150 14 0.48 Toilet System • Councils in the region commenced preparation of their Sustainable Water Use Plans, aimed at reducing water Rainwater Tanks 150 886 18.96 use in council managed facilities. Water Conservation 30 13 0.13 • Planning for the water sensitive residential development Audit of the former Coliban Water site in Golden Square, Rebate when Purchasing 30 1009 5.05 Bendigo. $100 worth of goods • Continued support for non–residential conservation, ($20 for Phase 1) including savings in industry and schools’ water TOTAL 2879 34.62 efficiency programs.
PG 7 Coliban Water Annual Report 2005–06 Rural Savings Additional Supplies Works were undertaken to repair serious leaks at six sites During the year a further 235 ML of permanent water in the rural channel system, and will continue at other entitlement was purchased from the Campaspe Irrigation sites in the future. District. Consultation has commenced with customers in the pilot In early June 2006, it was announced that a pipeline areas for the Rural Reconfiguration Project. Information would be constructed between the Waranga Western days have been held in Raywood (Cockatoo Hill System), Channel at Colbinabbin and Lake Eppalock, thus Huntly (Ascot System), Junortoun (Axe Creek System) and providing the first ever physical upstream link between Harcourt (Harcourt System). Rural customers attending the Goulburn and Campaspe supply systems. This these information sessions have been very supportive of pipeline will have the capacity to provide up to 100 ML/ our plans to pipe the rural system. day to Lake Eppalock and will not only provide benefits Over $400,000 was spent on the first stage of installing for Bendigo, but all the towns in the Coliban System. The automated flow measurement and control structures Victorian Government will provide on the Coliban Main Channel. This will allow staff to $30 M funding support for what is estimated to be a accurately measure flows being released for rural supply $75 M project. Detailed planning is underway with and enable them to remotely control water releases and construction planned to commence late in 2006. transfers. Bendigo Mining Recycled Ground Water Recycled Water Substitution In May 2006 an agreement between Bendigo Mining and Planning for the construction of a pipeline from the Coliban Water was announced for the use of recycled Bendigo Water Reclamation Plant at Epsom to Spring ground water. Gully Reservoir is well advanced, with construction Bendigo Mining pumps up to 3.5 ML of water from the planned to commence in the latter part of 2006. This underground workings each day and 0.5 ML of treated water will be supplied to rural customers on the Ascot water is provided for community use. As operations and Axe Creek Channel systems. Recycled water will expand the water treatment plant at Bendigo Mining will also be supplied to the Rosalind Park precinct and other be upgraded to produce up to 5 ML of treated water per community facilities. A pipeline to supply Rosalind Park day. has already been installed in conjunction with the new The Bendigo Mining water will be integrated into the sewer pipeline along Bendigo Creek. Epsom to Spring Gully Recycled Water Project to use At Kyneton, Stage 1 of the pipeline to the Coliban River substitute recycled water for irrigation purposes, including is about to start, with a pipeline being constructed to the sporting grounds and public gardens. Campaspe River. The Environment Protection Authority The commitment to use treated mine water is part of has requested further investigation be done before this the ‘Bendigo Bounty’, a project launched in 2003. The pipeline continues on to the Coliban River at Malmsbury. Bendigo Bounty master plan has focused on investigations Work was also completed on the recycled water storage into the use of recycled water from the Bendigo Water at the Kyneton and District Racing Club, and water Reclaimation Plant and treated water from underground started flowing into it in June 2006. An estimated 60 mining. It has been supported by the Victorian ML – 80 ML per year of recycled water will be used on Government, City of Greater Bendigo, Coliban Water and the racecourse and surrounds, replacing water that had Bendigo Mining. previously been drawn from the Campaspe system. Coliban Water has been working closely with developers Perseverance Corporation Recycled Water and the City of Greater Bendigo on the proposed During the year Perseverance Corporation and Coliban residential development of the Jackass Flat area in Water entered into an agreement for the supply of up Bendigo. It is planned that this new development to 2000 ML/year of recycled water from the Bendigo could be the first area in Central Victoria to have dual Water Reclamation Plant to the Fosterville gold mine. reticulation installed. Recycled water would be used for Perseverance has constructed a 22 km pipeline to its site irrigating parklands and residential gardens, and possibly and will use the recycled water in the gold processing even for indoor toilet use. operation. The alternative for Perseverance was to use water from the severely depleted Campaspe System via Lake Eppalock.
Coliban Water Annual Report 2005–06 PG 8 National Water Week activities. Sebastian McMahon is helped by Ben Winspear to make his mark on a Maple Street Primary School mural. CUSTOMERS AND SERVICE Management of Social and Economic responsibilities. They are available on request, and on Impacts our website. We meet regularly with our customer groups, including Coliban Water recognises that drought, pricing and the Customer Consultative Group, Rural Customer service levels have a social and economic impact on Advisory Group, Aboriginal representatives and Youth the region. We held a series of community workshops Advisory Council. Key initiatives are discussed with these related to the proposed changes to water restrictions groups, who provide valuable insights during planning and the introduction of the Permanent Water Saving and implementation stages. Plan, to ensure our customers are informed and have the opportunity to provide feedback. Coliban Water has also produced an extensive range of publications to ensure that information about water Coliban Water has adopted the Hardship Code developed restrictions, pricing changes, how to save water, support by the Victorian water industry to ensure that customers for hardship customers and other services is readily experiencing financial hardship receive information about available to our customers. Our Customer Service team alternative payment arrangements, relevant government answer customer enquiries between 7.30 am and assistance and financial counselling. 5.30 pm, and Coliban Water has a 24-hour emergency The introduction of the stepped tariff from 1 July 2005 for line for service difficulties or faults. residential customers was accompanied by widespread Our advertising complies with requirements to publish general advertising, as well as information brochures in official notifications and tenders where required. each account. Broad–scale advertising for general announcements or Our “Customer Charter for Urban and Supply by community education is undertaken where appropriate. Agreement” customers and “Rural Customer Charter” Our preference is to send targeted information directly to for licence holders outline customers’ rights and the customer wherever possible.
Annual Customer Satisfaction Survey A system referred to as weighting has been applied to the 2004–05 data. The procedure applies more weight to the population segments under–represented in the sample, ie: males and younger people, as a higher proportion of females and older people respond. Changes between 2003–04 and 2004–05 may be slightly overstated.
#/,)"!. 7!4%2 /6%2!,, 3!4)3&!#4)/. %XTREMELY 3ATISFIED 3ATISFIED
PG 9 Coliban Water Annual Report 2005–06 Community Service Obligations The table below summarises the concessions/rebates processed during the past five years. Concessions for residential tenants who paid water consumption accounts were limited to a maximum concession of $75. Residential owner– occupiers could claim a maximum concession of $75 each for water and sewerage. From 1 July 2005 the maximum concession was increased to $150 per annum, for the customer’s total water & sewer bill. 2005–06 2004–05 2003–04 2002–03 2001–02 Not for profit rebates $267,444.62 $257,783.21 $244,228.06 $242,666.26 $228,860.37
Pension Concessions $2,613.673.87 $2,358,468.10 $1,920,882.99 $1,970,409.81 $1,898,641.79
Water Smart Rebates Customer Consultative Group The State Government’s Water Smart Homes and Rebate The Customer Consultative Group was established scheme provides rebates to customers for water saving in 2005 to provide feedback on customer issues and products including AAAAA shower roses, dual flush to ensure a balance between technical and financial toilets, and water saving garden devices. The total amount considerations, and customer expectations. The group rebated to Coliban Water customers under the scheme comprises of eight representatives, and provides an from July 2005 – June 2006 was $38,700. important avenue for feedback on concerns, issues and possible solutions from the perspective of various Energy and Water Ombudsman customer groups. The Energy & Water Ombudsman scheme in Victoria The group met four times during the year to consider covers water, gas and electricity. For the period July issues including Water Security Planning, submissions to 2005 – June 2006, Coliban Water received 9 cases for the ESC, New Customer Connections, amendments to the investigation. In addition, 12 enquiries were noted for Customer Charter in line with the Customer Service Code, Coliban Water. At the beginning of July 2005, Coliban Water Allocation Model and debt management processes. Water had one carryover case from the previous reporting The first group membership was offered an extension of period, but this had been a complex negotiation between tenure in 2006. Casual vacancies have arisen during two parties. the year. After advertising for expressions of interest, three additional members have been appointed and will Community Inclusiveness commence with the August meeting. Coliban Water seeks to work within the State Government’s policy framework in respect of multicultural Rural Customer Advisory Group issues, women, youth and indigenous affairs to ensure The Rural Customer Advisory Group met four times the delivery of culturally appropriate communications during the year. This group provides an important link that reflect the needs and expectations of our customers. with rural customers, helping the business understand the Coliban Water utilises the services of the Telephone key issues for this customer segment. Interpreter Service and TTY to assist customers’ communication with us. The rural system is undergoing significant change. A major review of channel operations and efficiency is Occasional community newsletters have been distributed underway. The Rural Customer Advisory Group has been to customers affected by specific issues such as Envirosafe heavily involved in pre-planning for the implementation sewerage schemes, as well as areas affected by sewer of this review, as well as providing ongoing feedback odour. during the process. As part of the rural system review, customers in pilot The ‘Rural Channel’ newsletter for rural licence customers study areas have been invited to information gathering was distributed twice during the year. days, or contacted directly for their input. Youth Advisory Council Customer Charter This is the third year of this innovative youth initiative Coliban Water has a Customer Charter in place for urban program for year 10–12 students conducted in partnership and supply–by–agreement customers. A summary version with Lead On, providing Coliban Water with a youth of the document is sent to all new urban and supply– by– perspective on water issues. The experience is a two–way agreement customers. This Charter was reviewed during process with both Coliban Water and the Youth Advisory the year to ensure it was consistent with the Customer Council participants sharing information and ideas and Service Code produced by the Essential Services both benefiting from the program. Participants make Commission. The summary version of the revised Charter friends with students from other schools with similar was released to all customers in August 2005. interests and can make use of opportunities to assist with Coliban Water events and activities. These young adults Rural Customer Charter develop their skills in a formal business setting and gain Coliban Water has a Rural Customer Charter that explains an understanding of the water and natural resources the rights and responsibilities of Coliban Water and its industry by interacting with staff working in this field. This rural licence customers in relation to their rural water year, for the first time, we have two international students supply. from La Trobe University Bendigo taking part to provide a global perspective.
Coliban Water Annual Report 2005–06 PG 10 Indigenous Consultation Community Events and Festivals Heritage assessments for the Kyneton to Campaspe • Campaspe Business Excellence Awards (category River recycled water pipeline, and the Castlemaine sponsor) recycled water pipeline, were undertaken by Clarkeology. • Smart Gardens Program Clarkeology consulted with the Jaara Aboriginal Corporation from Kyneton and the Jarra Association • National Water Week from Castlemaine, who provided recommendations after • Outdoor Living and Gardening Expo, Bendigo participating in fieldwork and survey discussions. • Bendigo Business Excellence Awards (category Regional Resource Management sponsor) Community Engagement Networks • Echuca Riverboats Jazz, Food and Wine Festival Coliban Water participates in these informal networks • Victorian Landcare Network Forum of government agency, local government and water • Greater Bendigo Parks Bike Ride authority staff involved in public relations, community • Harcourt Applefest capacity building, education and marketing. Participants update the group on current projects, share ideas, • Eaglehawk Dahilia and Arts Festival workshop strategies and conduct collaborative projects. • Day at the Lake (Bendigo Easter Fair) The networks have proven to be valuable and innovative • Young Water Professionals AWA regional event regional professional development forums, as well as providing opportunities for Coliban Water to participate • Envirosafe Sewer Superdraw for Axedale, in events and projects. Dunolly, Newstead and Wedderburn • Macedon Ranges Business Excellence Awards Catchment Management Authority • 2006 Science and Engineering Challenge WIOA Coliban Water continued to work in partnership with conference the North Central Catchment Management Authority • Water Security presentations and briefing (NCCMA) over the past year, including through the sessions provision of formal representation on steering committees for environmental projects, studies and assessments, • Latrobe University Alumni presentation as well as for natural resource management initiatives. Coliban Water also continued to foster a positive strategic alliance with the NCCMA working on a number of • Langley Landcare Group; and activities including data sharing, coordinating current activities, partnering in a project in the Upper Coliban • Goulburn Valley Environment Group. System to address issues affecting water quality and river health, and sharing information about climate change. Lake Eppalock Consultative Committee Lake Eppalock and its immediate catchment are identified Landcare Groups as being of high economic, social and environmental Coliban Water is committed to proactively fostering value. Protection of these values from various threats relationships and partnerships with community-based requires an integrated and concerted effort from all those Landcare and Catchment Groups, and over the year has who utilise waterways and their surrounding catchments. focused on building strong working partnerships that The continuing dry conditions have only served to further protect water catchments. highlight the need for urgent action in this catchment. With one of our major water security projects involving Coliban Water participated in the continued operation of land and river systems outside our north-central service the Lake Eppalock Consultative Committee during 2005: delivery region, Coliban Water acknowledges the need a partnership–based committee with representatives to also have open working relationships and effective from the City of Greater Bendigo, Goulburn Murray dialogue with other environmentally oriented community Water, North Central Catchment Management Authority, groups. Department of Sustainability and Environment and the Department of Primary Industries. The role of the Coliban Water acknowledges and commends the committee evolved in early 2006 to result in the group following group efforts for considering catchment splitting to create an overarching Steering Committee management impacts on potable water supply catchments and a Technical Advisory Panel that would oversee the and contributing to healthy catchments: future planning and catchment health issues facing Lake • Upper Campaspe Combined Landcare Groups; Eppalock and its surrounds. • Muckleford Landcare/Catchment Group; The initial intention to develop a Master Plan changed during the year, and the intention now is to develop a • Ravenswood Landcare/Loddon Catchment Group; Special Area Plan (SAP). The SAP development process • Malmsbury Friends of the Gardens Group; will create a shared vision for the future condition of the • Elphinstone Land Management Association; catchment that will require the support of the community and government. • Friends of Campbells Creek; The SAP will define the main issues and problems • Tylden Landcare Group; in the catchment and develop recommendations for
PG 11 Coliban Water Annual Report 2005–06 management activities. Where appropriate, the SAP improvement. The program recognises the important will identify the need for specific land use conditions role landscapers and nursery staff can play in providing for both current and future land uses, and the planning the community with good advice on water efficient, mechanisms required to manage land use change. The sustainable gardening practices. SAP will cover the breadth of water quality, security and Another partnership approach for the Smart Gardens extraction issues, surrounding land use, land management program was taken in enhancing an existing practices, environmental values and recreation. demonstration garden by funding and producing The SAP will be developed by a consultancy supported interpretive material, including on-site vitreous enamel by a Steering Committee during 2006–07 under the signage and an accompanying promotional flier. An auspices of the North Central Catchment Management initiative of the Bendigo Field Naturalists Club and the Authority. The SAP must be developed in accordance Bendigo Native Plant Group, the Indigenous Garden with the Catchment and Land Protection Act 1994 and in High Street Golden Square has been established will be based on thorough community and stakeholder with the assistance of the City of Greater Bendigo, and consultation and engagement. is maintained by volunteers from the two community groups. The garden features many species of local plants Education Initiative in a bush setting. The new ‘Water: Learn it! Live it!’ education resource kit has been released to over half the schools in the National Water Week in North–Central Coliban Water region, in association with professional Victoria development training sessions for teachers. Annually, National Water Week presents an opportunity As a valuable resource to support the teaching of water to highlight the importance of water, and bring to the education and sustainability programs in schools, the kit public arena issues relating to the use and management of contains curriculum links to the new Victorian Essential this precious resource. Learning Standards. In recent years an increasingly effective program has been Coliban Water’s education program continues to provide delivered in North–Central Victoria through the collective professional development sessions for teachers, speakers participation of industry partners with a coordinated for school visits, tours of facilities for tertiary groups, and approach. educational materials. Key partners include State Government agencies, water The schools’ education program is an important element authorities and organisations with roles encompassing of our Water Security Plan. urban water and wastewater services, waterway and stormwater management and environmental regulation. Coliban Water continued to sponsor North Central Regional Waterwatch, identifying many opportunities Collaboration has allowed a broader coverage for to collaborate in conducting events and presenting an activities throughout the region, the targeting of a more integrated approach to activities in schools. diverse demographic, and enabled a united approach to media and promotion of events. Smart Gardens Examples of National Water Week events conducted This program is a long-standing partnership of Coliban during October 2006 include: Water, the City of Greater Bendigo and the Department of • environmental theatre performances and activities for Primary Industries, to assist gardeners to plan and manage Echuca schools; their activities in an environmentally sustainable manner • Smart Gardens seminar for gardeners in Bendigo; with a particular emphasis on water–efficient design and management principles. • Primary schools’ “Water for Life” poster competition; A seminar for gardeners, catering for 120 participants, • Bendigo Creek discovery walk and activities day for provided opportunities for stakeholder organisations and schools; supporting businesses to participate with displays and • Campaspe River catchment tour; demonstrations. The seminar was held at the Department of Primary Industries, Bendigo as a regional feature during • “Storm Boy” film screening at the Eaglehawk Star October 2005 in National Water Week. Cinema; and In addition, the first regional Our Water Our Future • collaborative print media feature. Green Gardeners TAFE accredited training program for gardening professionals was held in Bendigo during August–September 2005. Conducted for 50 participants at the BRIT restaurant in Bendigo, the sessions were jointly funded by The Victorian Government’s Stormwater and Urban Water Conservation Fund and the Smart Gardens education program. The Our Water Our Future Green Gardeners program was presented by Sustainable Gardening Australia to provide practical advice and information that can be passed on to homeowners, on topics such as water conservation, non- invasive plants, low chemical use, reduced stormwater pollution, greater use of local plants and natural soil
Coliban Water Annual Report 2005–06 PG 12 Victorian Water Educators Coliban Water is an active participant in the Victorian Water Educators group, comprising staff from Victorian water businesses and authorities who have a role in Fact Sheets and Brochures schools and community education. This previously Coliban Water provides a series of fact sheets and informal network now has a task group, coordinated by brochures to customers on a range of topics, as the Victorian Water Industries Association, that will guide listed below: future directions. • 20 Ways to Save Water Sponsorship • Be waterwise in the home • Building & Renovating Your Home Coliban Water has continued its program of supporting community groups and events through sponsorship, • Coliban Water History – Joseph Brady Story including: • Customer Charter • Coliban Water Smart Gardens program, in conjunction • Enquiries and Complaints with our stakeholders: City of Greater Bendigo and the Department of Primary Industries; • From Rivers to Reservoirs • Coliban Water Day at the Lake (Bendigo Easter Fair); • Guide for Registered Consultants • Coliban Water’s Jazz on High at the Echuca Riverboats, • Introduction to Coliban Water Jazz Food and Wine Festival; and • Minor Trade Waste • Bendigo Business Excellence Awards (category • Our Water Our Future sponsor). • Privacy and You Coliban Water also provides smaller sponsorships and • Renting donations to help support small community events and initiatives. • Residential Water Meters • Rural Water Supply • Smart Gardens for Dry Times • Stage 1 – 4A Water Restrictions • Starting a New Business • Subdivisions and Mains Extensions • Thanks for valuing our water • Water Audit • Water for Health • Waterwise garden planner calendar • Water conservation shower hanger for accommodation and hospitality businesses • Water Security Plan – Options Paper
New publications for 2005–06 were: • Coliban Water’s Water Security Plan – Waterplan 2055 • Waterplan 2055 brochure • Customer Hardship brochure • Rural Reconfiguration project fact sheets • Bendigo Sewer Augmentation Project fact sheets • Barker’s Creek Dams Improvement project fact sheet • Coliban Plumber Newsletter • Customer Advisory Group Newsletter • Rural Advisory Group Newsletter • Rural customer newsletter updates • Permanent Water Saving Rules brochure
PG 13 Coliban Water Annual Report 2005–06 Geoff Michell, Coliban Water Chief Executive, Gordon McKern, Coliban Water Chairman, and Bob Cameron, the Member for Bendigo West, at the announcement of a plan to reconfigure the Coliban rural channel system. WATER RESOURCE MANAGEMENT
Rainfall 2005–06 percent of the full reservoir capacity). By the end of June 2006 the volume of water in the Coliban Storages During the first half of the financial year, June–December decreased to 14,672 ML (19.6 percent) and Coliban 2005, Bendigo received a total of 421 mm of rainfall, Water’s share of Lake Eppalock was at 3,026 ML (5.3 8.5 percent down on the average of 460 mm. Bendigo’s percent) including 321 ML of temporary transfer of rainfall for Spring was 148 mm (average 146 mm), with Campaspe Water Entitlement that took place during May better than average October and November, making 2006. up for a poor September. Rainfall was recorded on 33 days over spring with 4 days or more than 10 mm and 7 days or more than 5 mm. Other than these few good Rural Usage downpours, drizzle was the primary source of the average An initial seasonal allocation of 40 percent licence rainfall – which does wonders for gardens and crops, but volume was made on 22 September 2005 to licensees in provides very little run-off. the Coliban Rural System. The allocation was raised to 50 percent on 14 October 2005 and did not rise further The Bendigo region experienced a slightly drier than through the season. Customers took delivery of 5,160 ML normal December, with 40 mm of rain. (66 percent of the water allocated), resulting in an overall The region had a wet start to 2006, with 60 mm of rainfall usage of 33 percent of licence volume (15,568 ML). recorded in Bendigo during January (almost twice the average of 31.5 mm). This rainfall has led to a reduction Water Extracted by Source in the demand on the days of rainfall, but given the hot conditions throughout the month, the overall demand was 2005–06 ML high, and inflows into storages minimal. Direct river extraction 5,579 During June 2006, Bendigo only had 18.8 mm of rainfall Groundwater 301 in total: well below the average of 61 mm. It was the Draw from dams/impounding reservoirs 23,640 driest June on record for the last 80 years. Due to a lack of rain the Coliban System storages continued to drop. Channel supplies 1,968 The yearly rainfall at Malmsbury Reservoir was 590 mm: Total 31,438 well below the average of 730 mm. The spring rainfalls were also considerably below average. Most of the Water Storage Levels inflows into the storages occured during spring, (October– 30 June 30 June November) 2005. Above average spring/summer rains, 2006 (%) 2005 (%) when the ground is dry and the water quickly evaporates, failed to produce runoff into our reservoirs. Upper Coliban 4.1 17.5 Lauriston 58.2 70.1 Water Harvesting Malmsbury 9.6 23.7 Water volumes within the Coliban River storages, and Eppalock 5.3 5.6 Coliban Water’s share of Lake Eppalock, were severely depleted during 2005–06. The season started with the Total 13.7 21.4 Coliban Storages holding 24,646 ML (33 percent of the full reservoir’s capacity) and Coliban Water’s share of 18 percent Lake Eppalock was holding 3,100 ML (5.5
Coliban Water Annual Report 2005–06 PG 14 Bulk Water Entitlements Coliban Water holds Bulk Water Entitlements in the Campaspe, Coliban, Goulburn, Loddon, Murray and Wimmera systems and groundwater licences for extraction in Elmore and Trentham (Groundwater Supply System). The bulk entitlement for the Loddon System was finalised and gazetted on 17 November 2005. The volumes taken during 2005–2006 were as follows: Supply System Source of Supply Bulk Raw Water Reporting requirement in accordance with BE Clause Entitlement Volume Volume (ML) Taken (ML) Campaspe1 Campaspe River Axedale & Goornong 108 118 6.1- Annual Diversion Rate for Axedale & Goornong – 108 ML 6.2 - Annual Diversion Rate for Rochester – 0 ML 12.1(e) - Temporary or permanent transfer of all or part of BE - Nil Rochester2 0 0 12.1 ((g), (h)) - Any amendment to BE, or new BE for Axedale, Goornong & Rochester – Yes. Amendment Order gazetted on 20 October 2005, Gazette No G42. 12.1(i) - Yes. See note 5 Coliban3 Coliban River, Campaspe River Bendigo area, Coliban River 6.1- See notes 6 & 7 Castlemaine area Reservoirs: 50,572 23,640 6.2 - See notes 8 & 9 Kyneton area, Malmsbury and 18.1(k) - Temporary or permanent transfer of all or part of BE - Heathcote area & Lauriston & See note 10 Coliban Rural Lake Eppalock 18.1(l) - Any transfers of entitlement or licence to Authority - See note 11 Goulburn Waranga Western Channel Boort 425 234 (6.1, 13.1(b)) - Annual diversion – 2420 ML in total Dingee 50 5 (9, 13.1(c)) - Amount and location of water taken from other than Lockington 130 68 specified point – Nil Macorna 40 10 (12, 13.1(e)) - Metering program -Deliveries to the basin measured by Mitiamo 60 53 Goulburn - Murray Water Mysia 15 6 13.1(g) - Temporary or permanent transfer of all or part of BE – NIL Pyramid Hill 300 230 (13.1(h),(i),(j)) - Any transfers of entitlement to, amendment of BE, or Rochester 1400 1202 new BE for Boort - Nil (13.1(k) - Any failure to comply with BE - Nil Groundwater Groundwater Elmore 284 187 Trentham N/A 114 Loddon Loddon River Bridgewater & (13.1(b), 7.1(a)) - Annual diversion – 497 ML Inglewood, (13.1(c), 9.1) - Any credits granted - Nil Laanecoorie, 820 497 (13.1(d), 12.2) - Metering program -Nil Dunolly, Bealiba 17.1(g) - Temporary or permanent transfer of all or part of BE - Nil & Tarnagulla 13.1(g) - Any amendment to BE - Nil Serpentine & Jarklin 13.1(h) - New BE granted- Nil (13.1(i) - Any failure to comply with BE - Nil Wimmera4 Wimmera Channel Korong Vale & 17.1(b) - Annual diversion – 160 ML Wedderburn, 385 160 (17.1(e), 16.3) - Metering program - See note 12 Borung & Wychitella 17.1(g) - Temporary or permanent transfer of all or part of BE - Nil 17.1(h) - Any BE or other entitlement transferred to supply primary entitlements under this order - Nil 17.1(i) - Any amendment to BE - Nil 17.1(j) - New BE granted- Nil (17.1(k) - Any failure to comply with BE - Nil Murray Murray River Cohuna, Echuca, (20.1(b), 15.1) - Annual diversion - 4964 ML Gunbower & 6285 4964 (20.1(c), 15.1) – New offtake points - Nil Leitchville (20.1(d), 15.2 or 15.3) - Water returned - Nil (20.1(e), 19.2) - Metering program - See note 13 20.1(f) - Temporary or permanent transfer of all or part of BE - Nil 20.1(g) - Any BE or other entitlement transferred to supply primary entitlements under this order - Nil 20.1(h) - Any amendment to BE - Nil 20.1(i) - New BE granted- Nil (20.1(j) - Any failure to comply with BE - Nil
See following page for footnotes.
PG 15 Coliban Water Annual Report 2005–06 Water restrictions in the Coliban Region Supply system Summary of Restrictions 2005–06 Campaspe • Stage 3 was in force at 1 July 2005. Axedale & Goornong • Stage 4A (modified stage 4) applied from 1 November 2005 and remained in force on 30 June 2006 Coliban Urban Bendigo area, Castlemaine area, Kyneton area (Kyneton, Malmsbury & Tylden) Heathcote & Tooborac Coliban Rural • Initial seasonal allocation of 40% licence volume announced on 22 September 2005. • Revised allocation of 50% announced on 14 October 2005. • End of season allocation remained at 50%. Goulburn • Stage 1 remained in force for the whole year. Boort, Dingee, Lockington, Macorna, Mitiamo, Mysia, Pyramid Hill & Rochester Groundwater • Stage 1 remained in force for the whole year. Elmore & Trentham Loddon • Stage 1 was in force at 1 July 2005. Bridgewater & Inglewood, • Stage 3 introduced on 1 September 2005. Laanecoorie, Bealiba, Dunolly & • Reduced to Stage 1 on 23 November 2005. Tarnagulla, • Stage 1 remained in force on 30 June 2006 Jarklin & Serpentine Murray • Stage 1 remained in force for the whole year. Cohuna, Echuca, Gunbower & Leitchville Wimmera • Stage 3 remained in force for the whole year. Korong Vale & Wedderburn, Borung & Wychitella
Footnotes from table on previous page. Temporary Transfer of Bulk Water 1 An allocation of 50% of the Bulk Entitlement was granted Entitlement (BWE) for the year for Axedale & Goornong and 0% allocation for Rochester During 2005–2006, Coliban Water made the following 2 Ten-year average must be below 134 ML/year. temporary transfers of BWE: 3 Entitlement Volume Coliban Water to Third Party Coliban Water’s 50,260 ML base BWE was reduced by 50 Coliban Water transferred 50 ML to Perseverance ML by transfer to Perseverance Mining and increased by 362 ML of temporary transfer of own water entitlements from Exploration, Fosterville as per the extended agreement Rochester area. to supply the mining company to 2007, from the Lake Eppalock BWE on 15 December 2005. 4 Entitlement Volume Coliban Water’s 450 ML base BWE was reduced to 385 ML Third Party to Coliban Water for 2005/06 season. Purchase of temporary water from a third party did not 5 Despite a high level of water restrictions in place, water usage take place during 2005–06 financial year. slightly (10) ML exceeded 50% of BE volume allocated for 2005/06. Coliban Water to Coliban Water 6 18,467 ML discharged from Malmsbury Reservoir to Coliban Temporary transfer of water entitlements, 362 ML in total, Main Channel. from Rochester Water Reclamation Plant and Rochester 7 868 ML discharged from Lauriston to Kyneton system. Irrigation (both held by Coliban Water) to Eppalock Bulk 8 330 ML pumped from Lake Eppalock to Heathcote. Supply, took place on 14 June 2006. 9 3,975 ML pumped from Lake Eppalock to Eppalock-Bendigo Pipeline. Permanent Water Purchase 10 Temporary transfer of 50 ML from Lake Eppalock BWE During the year, Coliban Water acquired 235 ML of water mentioned in note 3. entitlement from the Campaspe/Rochester Irrigation area. 11 362 ML of temporary transfer of own water entitlements from Rochester area as mentioned in note 3. 12 Bulk water taken from Wimmera Irrigation Channels is measured by Dethridge raw water meters. 13 Bulk water taken from Gunbower Creek, Taylors Creek and the Murray River is measured by raw water meters.
Coliban Water Annual Report 2005–06 PG 16 Water restrictions Customer Service Objectives – water Coliban Water’s Drought Response Plan was enacted in reticulation 2002. • Our stated response time of four hours to begin fixing a Affected by the prolonged and longest drought on record, priority one supply problem was met on 100 percent of Coliban Water’s main storages began the year well below occasions. full capacity. Only modest inflows were received during • Our stated response time of 24 hours to begin fixing a winter and spring 2005, and they were again depleted by priority two supply problem was met on 99 percent of winter 2006. occasions. At the start of the 2005–06 year all towns across the • Our stated response time of five hours to restore Coliban Water region were on water restrictions, and customer supplies was met 98.9 percent of the time. during the year Coliban Water implemented staged water restrictions. • Our fully treated water supplies met their quality targets for customers 100 percent of the time. Water Storage • Our partially-treated water supplies met their quality targets for customers 99.8 percent of the time. Dams Improvement Project Construction works for the Dams Improvement Project Water Quality Improvement Program (DIP) commenced in 2002. With the recent completion of the spillway upgrade for Barkers Creek Reservoir the Installation of a pipeline to enable treated water to be overall DIP is now effectively complete. supplied to Tooborac from Heathcote was substantially completed. Commissioning has been delayed due to tank A contract was awarded to Leed Engineering and construction difficulties. Easements have been obtained Construction in early 2005 for the construction of a new along the route of a proposed pipeline to supply treated spillway at Barkers Creek Reservoir. The new spillway water to Axedale from Bendigo. Water Treatment Plant is required meet the flood capacity of the reservoir in improvement plans, prepared as part of Coliban Water’s accordance with current Australian dam safety guidelines. Water Quality Risk Management Plans for Drinking Construction works started in November 2005 and were Water Supplies, have been further developed, and completed in June 2006. Significant environmental implementation commenced in 2005–06. measures were required during the works to protect four rare and endangered flora species at the site, including Safe Drinking Water Act 2003 the translocation of all these species that grew within the construction footprint. The works were completed under The Safe Drinking Water Act 2003 came into effect in the $3.1 M budget. Victoria on 1 July 2004 and established a new legislative framework for assuring drinking water quality in Victoria. Minor finalisation works were carried out at the Trentham Reservoir in July and August 2005, to complete the As required by the Act, Coliban Water implemented upgrade works that were commenced in 2004. risk management plans in July 2005, entered into undertakings with the Department of Human Services that Crusoe/No 7 Reservoirs outlined actions to be taken to address expected water Since July 2005 the City of Greater Bendigo (COGB) quality non-compliances, and reported water quality has managed these dams. Coliban Water completed performance to that department. minor works during 2005 and maintained dam safety The Water Quality Improvement Program was further surveillance. COGB staff will undertake training to developed with the objective of implementing actions in finalise the transfer of management of these dams. 2006 and 2007 to ensure that risks identified in the Risk COGB has completed public consultation on a Management Plans are controlled. management plan for the area, and is developing public facilities. Coliban Water pays an annual levy of $27,088.00 to fund the administration of the Act. Other Installation of new spillway gate–operating gear on Lauriston Reservoir has been completed at a cost of $280,000. This replaces the hand–operated gearboxes originally installed to operate the ten spillway gates on the dam in 1956. This, combined with painting the gates and infrastructure as well as safety considerations, has required us to restrict public access to the dam wall. We have also resealed the public access road around the recreational area at Lauriston Reservoir.
PG 17 Coliban Water Annual Report 2005–06 Water Quality Water Quality This table shows the compliance of potable water supply systems with water Non-compliance 2005–06 quality standards specified in the Safe Drinking Water Act 2003. Axedale 1. Aluminium non-compliances due Town/Supply Zone E. coli Aluminium Turbidity Disinfection to water treatment plant difficulties. (0/100ml) (<= 0.2 mg/L) ( <=5 NTU) By-Products The Axedale Water Treatment Plant is Compliance planned to be decommissioned and treated water supplied from Bendigo Axedale Yes No(1) Yes Yes in 2007. An undertaking with the Bealiba Yes Yes Yes Yes Department of Human Services is in Bendigo: place for this parameter. Belvoir Park Yes Yes Yes Yes Bridgewater / Inglewood Big Hill Yes Yes Yes Yes 2. Disinfection by-product non- Edwards Road Yes Yes Yes Yes compliances (THMs) due to high salinity levels in the raw water. Conversion Huntly Yes Yes Yes Yes of the disinfection system at the Junortoun Yes Yes Yes Yes Bridgewater Water Treatment Plant Marong Yes Yes Yes Yes to chloramination was completed in Sandhurst Yes Yes Yes Yes 2006 to enable future compliance. An Spring Gully Yes Yes Yes Yes undertaking with the Department of Human Services was in place for this Boort Yes Yes Yes Yes parameter. Bridgewater Yes Yes Yes No(2) Castlemaine Yes Yes Yes Yes Dunolly 3. Disinfection by-product non-compliance Chewton Yes Yes Yes Yes (THMs) for no apparent reason. All other Cohuna Yes Yes Yes Yes results in this system were compliant. Dunolly Yes Yes Yes No(3) Gunbower Echuca Yes Yes Yes Yes 4. Disinfection by-product non- Elmore Yes N/A Yes N/A compliances (dichloroacetic and Fryerstown Yes Yes Yes Yes trichloroacetic acids) due to high Goornong Yes Yes Yes Yes organic content in the raw water supply. Disinfection process is to be optimised Guildford Yes Yes Yes Yes in 2006, with decommissioning of Gunbower Yes N/A Yes No(4) the Gunbower Water Treatment Plant Harcourt Yes Yes Yes No(5) and supplying of treated water from Heathcote Yes Yes Yes Yes the Leitchville Water Treatment Plant, Inglewood Yes Yes Yes No(2) expected in 2009. An undertaking with the Department of Human Services is in Korong Vale Yes Yes Yes Yes place for these parameters. Kyneton: Harcourt Kyneton Yes Yes Yes Yes 5. Disinfection by-product non-compliance Park Valley Yes Yes Yes Yes (formaldehyde) for no apparent reason. Laanecoorie Yes Yes Yes Yes All other results in this system were Leitchville Yes Yes Yes Yes compliant. Lockington Yes Yes Yes Yes Serpentine Maldon Yes Yes Yes Yes 6. Disinfection by-product non- Malmsbury Yes Yes Yes Yes compliances (THMs) due to high salinity levels in the raw water. Conversion of Newstead Yes Yes Yes Yes the disinfection system at the Serpentine Pyramid Hill Yes N/A Yes Yes Water Treatment Plant to chloramination Raywood Yes N/A Yes Yes was completed in 2006 to enable future Rochester Yes Yes Yes Yes compliance. An undertaking with the Serpentine Yes Yes Yes No(6) Department of Human Services was in place for this parameter. Taradale/Elphinstone Yes Yes Yes Yes Tarnagulla Yes Yes Yes Yes Tooborac Tooborac Yes N/A Yes No(7) 7. Disinfection by-product non- compliances (THMs and trichloroacetic Trentham Yes N/A Yes Yes acids) due to high salinity levels and Tylden Yes Yes Yes Yes organic content in the raw water. The Wedderburn Yes Yes Yes Yes Tooborac Water Treatment Plant is to be decommissioned and treated water The following towns are supplied with non-potable water: supplied from Heathcote in 2006. An Borung, Dingee, Jarklin, Macorna, Mitiamo, Mysia, Sebastian, Wychitella. undertaking with the Department of Human Services is in place for these parameters.
Coliban Water Annual Report 2005–06 PG 18 Water Treatment Process The following table shows how Coliban Water treats our water to make it safe to drink. WATER WATER TREATMENT PROCESS ADDED SUBSTANCES TREATMENT QUALITY PLANT ZONE LOCATION Clarification Filtration / odour algae toxin Taste removal pH correction Disinfection Alum / alum chlorhydrate Polyelectrolyte Carbon Activated Ozone Lime / soda ash caustic Acid Carbon Dioxide Sulphuric Chlorine Ammonia Fluoride
AXEDALE Axedale ¸ ¸ ¸ ¸ ¸ ¸ ¸ BENDIGO Belvoir Park ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Big Hill ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Edwards Rd Tank ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Huntly ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Marong ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Sandhurst ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Specimen Hill ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Strathfieldsaye ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ BOORT Boort ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ BRIDGEWATER Bridgewater ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Inglewood ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ CASTLEMAINE Castlemaine ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Chewton ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Elphinstone / Taradale ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Fryerstown ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Guildford ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Harcourt ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Maldon ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Newstead ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ COHUNA Cohuna ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ECHUCA Echuca ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ELMORE Elmore ¸ ¸ ¸ GOORNONG Goornong ¸ ¸ ¸ ¸ ¸ ¸ ¸ GUNBOWER Gunbower ¸ ¸ ¸ HEATHCOTE Heathcote ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ KORONG VALE Korong Vale ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Wedderburn ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ KYNETON Kyneton ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Malmsbury ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Park Valley ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Tylden ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ LAANECOORIE Bealiba ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Dunolly ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Laanecoorie ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ Tarnagulla ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ LEITCHVILLE Leitchville ¸ ¸ ¸ ¸ ¸ ¸ ¸ LOCKINGTON Lockington ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ PYRAMID HILL Pyramid Hill ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ RAYWOOD Raywood ¸ ¸ ¸ ¸ ¸ ¸ ¸ ROCHESTER Rochester ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ SERPENTINE Serpentine ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸ TOOBORAC Tooborac ¸ ¸ ¸ TRENTHAM Trentham ¸ ¸ ¸ ¸ ¸ ¸ ¸ ¸
PG 19 Coliban Water Annual Report 2005–06 Water and Wastewater Services Consumption Data 2005–06 Water Consumption & Water Customer Numbers by System Water *Non- 3 Year Water Supply revenue Average Supply Non Water Annual Consumption Wastewater Residential Residential Total Urban Demand Variation Water Supply System No. No. ML No. ML No. ML ML Campaspe Axedale 34 105 18 12 5 117 24 26 -8% Goornong 0 146 34 26 8 172 41 43 -5% 34 251 52 38 13 289 65 53 69 -6% Coliban Bendigo 35,206 34,531 6,439 3,105 2,455 37,636 8,894 9,305 -4% Castlemaine 3,882 5,024 846 453 508 5,477 1,354 1,428 -5% Elphinstone/Taradale 0 221 36 15 5 236 41 43 -5% Heathcote 777 1,033 154 127 71 1,160 225 224 0% Kyneton 2,299 2,191 366 397 284 2,588 649 696 -7% Maldon 690 844 134 113 44 957 177 190 -7% Malmsbury 255 254 38 23 27 277 64 53 21% Newstead 138 294 47 41 8 335 56 60 -7% Raywood 0 80 19 15 6 95 25 24 4% Sebastian 0 63 14 4 <1 67 15 17 -12% Tooborac 0 50 9 8 2 58 11 11 0% Tylden 87 102 17 10 5 112 21 20 0% 43,334 44,687 8,119 4,311 3,415 48,998 11,532 2,873 12,071 -4% Goulburn Rochester 1,336 1,310 458 185 616 1,495 1,074 1,173 -8% Lockington 217 203 49 28 9 231 59 57 4% Dingee 0 29 7 15 4 44 11 10 10% Mitiamo 0 50 9 11 3 61 12 12 0% Mysia 0 10 1 2 <1 12 1 1 0% Macorna 0 26 1 3 <1 29 1 1 0% Pyramid Hill 130 263 73 51 114 314 188 208 -10% Boort 216 388 140 114 71 502 212 199 7% 1,899 2,279 738 409 817 2,688 1,558 250 1,661 -6% Groundwater Elmore 386 365 98 75 65 440 163 153 7% Trentham 242 384 58 66 18 450 77 74 4% 628 749 156 141 83 890 240 61 227 6% Loddon Jarklin 0 9 1 4 <1 13 2 2 0% Serpentine 0 72 21 19 9 91 30 25 20% Inglewood 347 411 71 40 34 451 105 98 7% Bridgewater 202 192 41 33 16 225 57 53 8% Bealiba 0 85 11 14 2 99 13 13 0% Dunolly 128 386 60 62 15 448 76 77 -1% Laanecoorie 0 37 7 4 <1 41 7 7 0% Tarnagulla 0 119 13 13 3 132 16 16 0% 677 1,311 225 189 79 1,500 306 191 291 5% Murray Cohuna 1,055 1,015 437 347 318 1,362 755 715 6% Echuca 5,862 5,505 1,957 791 1,255 6,296 3,212 3,156 2% Gunbower 120 133 49 43 21 176 70 64 9% Leitchville 102 148 63 121 344 269 407 438 -7% 7,139 6,801 2,506 1,302 1,938 8,103 4,444 520 4,373 2% Wimmera Borung 0 21 3 3 <1 24 4 4 0% Korong Vale 0 126 20 8 <1 134 21 20 5% Wedderburn 201 452 72 63 28 515 100 89 12% Wychitella 0 13 2 2 <1 15 2 2 0% 201 612 97 76 28 688 127 33 115 10% Total 53,912 56,690 11,893 6,466 6,373 63,156 18,272 3,981 18,807 -3%
* Non-revenue Water-Urban is water that is lost from within the system through leaks, bursts, meter inaccuracy, theft, etc.
Coliban Water Annual Report 2005–06 PG 20 Bendigo Mining and Coliban Water agreement to use recycled ground water. Doug Buerger, Managing Director Bendigo Mining, and Geoff Michell, Chief Executive Coliban Water, at Lake Neanger. WORKING WITH WASTEWATER Wastewater at the water reclamation plants in Bendigo, Bridgewater, Cohuna, Elmore, Heathcote, Lockington, Rochester, Boort Coliban Water provides wastewater service to 52,374 and Pyramid Hill. The remaining two licences were only properties in our region. Sixteen water reclamation plants held by Coliban Water for part of the year, with the EPA are operated by Coliban Water and our partners across licence for Castlemaine WRP transferred to Coliban Water the region. Those at Bendigo, Kyneton, Castlemaine and in September 2005, and the EPA licence for Kyneton WRP Echuca provide tertiary treatment, and the remainder are transferred to Coliban Water in January 2006. secondary treatment facilities. The licence for the water reclamation plant that services Customer Service Objectives – sewage Echuca is held by one of our public–private partners, ETE Coliban Pty Ltd. collection Compliance was achieved with EPA licence conditions for • Our stated response time of one hour to begin fixing all parameters, with the exception of the following minor a sewerage problem was met on 99.6 percent of non-compliances: Kyneton WRP (increased suspended occasions. solids and BOD levels in irrigation water due to algae • Our stated time of five hours to restore a customer’s growth in lagoons – acceptable under reuse guidelines; service was met 99.5 percent of the time. Echuca WRP (elevated phosphorus and salinity levels due to influent – satisfactorily dealt with by irrigation • A total of 1462 sewer blockages fell from 1544 the practices) and Heathcote WRP (increased suspended previous year. solids during February 2006). • The 632 sewer spillages this year was down on last year’s total of 706. Water Reclamation Plants Water Services Agreement Standards Kyneton Water Reclamation Plant Reclaimed water from the Kyneton Water Reclamation We contained 99.5 percent of sewer spillages within 5 Plant has previously been reused for on-site irrigation hours. with the excess discharged to Snipe’s Creek, which flows Report on EPA Compliance to the Campaspe River. A project was completed in 2005–06 to enable 20 Coliban Water holds wastewater discharge licences from percent of the reclaimed water that would have been the EPA that set limits for the volume and quality of discharged to Snipes Creek to be transferred, stored and discharges to land and water. These licences also set the used for irrigation at Kyneton Racecourse. monitoring and reporting requirements, as well as the environmental management requirements. All wastewater Planning was completed for another project to enable all effluent discharges are periodically sampled and tested reclaimed water previously discharged to Snipe’s Creek for various parameters to monitor compliance with the to be discharged directly into the Campaspe River. This licence conditions. will satisfy stakeholder and EPA desires for an improved environmental outcome. Works will be completed prior In 2005–06 Coliban Water held 11 waste treatment and to the end of September 2006. This is the first stage of discharge licences, 9 of which covered the full 12 months
PG 21 Coliban Water Annual Report 2005–06 a project involving additional treatment of the water to Discharge of treated effluent to waterways enable its use as substitution flows in the Coliban River, Plant Discharge to waterways downstream of Malmsbury Reservoir. Bendigo Water 4,023 ML to Bendigo Creek Bendigo Water Reclamation Plant Reclamation Plant Works were completed to enable up to 1825 Ml/year of Castlemaine Water 1,008 ML to Campbells Creek reclaimed water to be transferred to the Perseverance gold Reclamation Plant mine at Fosterville. These works reduced the gold mine Kyneton Water 238 ML to Campaspe River reliance on water diverted from the Campaspe River, and Reclamation Plant from the Coliban Rural System. Works were also undertaken at the Bendigo Sludge Sewer Improvement Strategy Treatment Facilities to reduce odour risks and improve Bendigo Creek Sewer Augmentation Project occupational health and safety. A contract was awarded to Leed Engineering and Castlemaine Water Reclamation Plant Construction in October 2005 for the construction Construction of a 600 m pipeline to supply recycled of the Bendigo Creek Sewer Augmentation Project. water from the Castlemaine Water Reclamation Plant to Construction started on site in late October 2005 and was the Castlemaine Golf Club commenced during June 2006. almost complete by the end of June 2006. The works In addition to the pipeline a new pump–station is to be involved 3.61 km of 750 mm diameter HOBAS sewer constructed at the Castlemaine Water Reclamation Plant. pipe that was constructed in the bed of the Bendigo Creek It is expected that the pipeline and pump–station will be between Maple Street, Golden Square and Bayne Street, completed late in 2006. Bendigo. A total of 35 new inspection holes were installed Volumes of wastewater treated, effluent and securely sealed to ensure no inflow would be discharged and reused experienced when the creek is in flood. A 150 mm recycled water main was installed in the trench between Town Volume of Volume of Volume of Bayne Street and Rosalind Park. In the future this pipe sewage effluent effluent will carry recycled water for use in the park. treated (ML) discharged (ML) reused (ML) The works were required to supplement the existing sewer Axedale 3 0 2 to provide for the continued growth of Bendigo. The total Boort 50 0 0 cost of the project is in the order of $8.4 m. Bendigo 5,881 4,023 1,709 A significant portion of the work involved the excavation Bridgewater/ 77 0 9 and reinstatement of the creek lining which is listed on Inglewood the Victorian Heritage Register. This lining included 1.8 Castlemaine/ 1,008 1,008 0 km of bluestone blocks, 1.2 km of concrete lining, with Harcourt/ the remainder consisting of natural rock reef. The work Maldon/ was undertaken with considerable consultation with Newstead Heritage Victoria to retain the heritage aspects of the Cohuna 242 0 0 creek. Dunolly 1 0 0 Recycle and Influent Pump Upgrade at Epsom Echuca 1,487 0 1,038 Reclamation Plant Elmore 38 0 0 To enhance system operation and security of the Epsom Gunbower/ 50 0 0 Reclamation Plant, KSB Pty Ltd has been engaged to Leitchville design, supply and install 8 large new replacement Heathcote 123 0 67 pumps at the plant. Works were successfully completed Kyneton/ 661 238 368 during 2006. Trentham/ Tylden Lockington 32 0 0 Pyramid Hill 27 0 0 Rochester 331 0 0 Wedderburn 17 0 0
Coliban Water Annual Report 2005–06 PG 22 Coliban Water engineering scholarships. Professor David Finlay, Dean of Science, Technology and Engineering at La Trobe University, chats with Neil Burns, Coliban Water Executive Manager Service Delivery, and students Daniel Watson, Thomas Hocking and Clara Mullholland. ORGANISATIONAL SUSTAINABILITY
Profile of staff by gender and employment Our Staff type Coliban Water employed 65 permanent employees at 2003–04 2004–05 2005–06 the end of 2005–06 compared to 62 in 2004–05. Staff Male 39 39 39 turnover for 2005–06 was 17 percent of permanent staff numbers compared to 15 percent in 2004–05. The Female 22 23 26 breakdown of staff for the authority in 2005–06 is shown Full Time 56 55 57 in the table (left). Part Time 5 7 8 Permanent 61 62 65 Employment Principles and Guidelines Casual 1 2 6 Coliban Water is a respondent to the Public FTE 58.9 58.9 61.3 Administration Act 2004. The State Services Authority produces guidelines and principles for public sector Profile of Staff Function employment, and Coliban Water endorses these 2003–04 2004–05 2005–06 principles and abides by them. They are: Fair and Executive 5 5 5 Reasonable Treatment, Equal Employment Opportunity, Managers Salary Merit in Employment and Reasonable Avenue of Redress > $110,000 Against Unfair and Unreasonable Treatment. We do this Senior Management 13 13 14 by promoting high standards of integrity and conduct that Salary < $110,000 is ethical, accountable and professional, to deliver an Administration Staff 21 21 19 integrated effective, efficient service. Finance Staff 2 3 3 Operational Staff 20 20 24 Coliban Water Enterprise Agreement Total Permanent 61 62 65 The Coliban Water Enterprise Agreement was certified on 29 September 2005, and expires 31 December 2007.
PG 23 Coliban Water Annual Report 2005–06 Organisational Review recommended continued certification under the above Australian Standard. A review of the organisation was carried out in July–August 2005, and changes were made to ensure alignment of the organisation structure and resources with Practices for recording & notification of our strategic objectives. occupational accidents & disease Employee Consultation 2003–04 2004–05 2005–06 Work Safe 0 0 0 The enterprise agreement has had a significant impact reportable on the way consultation occurs. Staff have significant incidents opportunities to contribute using a consultative Workers’ 2 3 2 approach. An employee consultative committee has Compensation been established, and meets on a monthly basis with Claims representatives from each division. The leadership Injury 1 0 0 program has provided opportunities for managers to resulting in engage and empower staff. days lost The SELECT Committee continues to consult on a regular Lost time 16 0 0 basis to develop programs and initiatives requested by due to staff. There have been numerous ‘Lunch Box’ meetings injuries covering a wide range of subjects, from water security to Please note: statistics are for Coliban Water employees human resources issues. only
Staff Recognition Our Private Partners An important objective for Coliban Water is to be an Campaspe Asset Management Services Pty Ltd (CAMS) Employer of Choice. A review of our Performance Appraisal Process commenced earlier this year, and aims CAMS is a consortium of United Utilities Australia and to facilitate regular feedback between managers and their Origin Energy Asset Management. CAMS provide services staff, encourage a process of teamwork, coaching and throughout the region under a 10 year contract that recognition of achievement. Recognition of staff is also commenced on 1 July 2003. These services include: achieved through internal communications, including • operations and maintenance of water and wastewater staff briefings, the SELECT program and other celebratory networks, including treatment plants; events when key milestones are achieved. • asset management; Training and Development • information technology; and Training and development is an important focus for our • revenue. staff. Learning and development priorities are included Bendigo Water Services Pty Ltd (BWS) in all Performance Agreements covering a wide range of activities, including specifically–targeted training BWS owns and operates water treatment plants that courses, conferences and professional activities, internal supply treated-water to the Bendigo, Castlemaine and committee and project experience or experience at an Kyneton areas. A Build Own Operate Transfer contract industry or regional organisation level. During 2005–06 for the provision of these services commenced its 25 year 1788 hours of training was undertaken, compared to operations phase in June 2002. BWS is owned by Veolia 1826 hours in 2004–05. As records were not kept for Water. the duration of 2004–05, the training hours may under– ETE Coliban Pty Ltd (ETE) represent the total hours of training. ETE owns and operates the Echuca Water Reclamation Plant under a Build Own Operate Transfer contract. The Occupational Health & Safety 25 year operations phase commenced in September Occupational Health and Safety (OH&S) has remained 2004. ETE is owned by Earthtech. an area of focus for Coliban Water through the OH&S Veolia Water Australia Committee, OH&S projects and certification of the Safety Veolia Water Australia operates the Kyneton and Management System to AS/NZS 4801:2001 Occupational Castlemaine Water Reclamation Plants under separate Health and Safety Management Systems. The OH&S operations and maintenance agreements. Committee undertook a restructure, with new Health and Safety Representatives elected to comply with the Occupational Health and Safety Act 2004. Newly–elected Health and Safety representatives have completed the required five–day training course. Capital expenditure on OH&S projects for the financial year totalled $586,000, upgrading many existing assets to current standards. Following an audit by SAI Global against AS/NZS 4801, Coliban Water was issued a Certificate of Registration on 23 August 2005 for the Safety Management System. SAI Global undertook a surveillance audit in April 2006 and
Coliban Water Annual Report 2005–06 PG 24 Board Directors Left to Right: Esther Kay, Patricia Cotton and David Beard. Board Directors Left to Right: Gordon McKern, Noel Harvey and Jennifer Dawson.
MEET THE BOARD Board responsibilities The Board of Coliban Water comprises six non-executive Directors, including the Chairman. They are appointed on the basis of their skills by the Minister for Water, the Hon. John Thwaites MP. The Board is responsible for the overall corporate governance of Coliban Water, which includes: • the monitoring of corporate strategies, objectives and targets; • the implementation of appropriate monitoring and reporting systems to manage business risk; and • the assessment and review of senior executive performance. The Board is also responsible for remuneration and the establishment of policies and procedures that ensure Coliban Water satisfies all its legal and ethical responsibilities. A Statement of Obligations outlining the service, accountability and reporting obligations of the Board is available on our website at www.coliban.com.au . The Board meets monthly on a formal basis, with informal meetings as required to discuss specific issues and projects.
Board Members years experience with an international accounting firm, Gordon McKern, FAICD, AASA, AFAIM – Chairman and is a member of the State Government Regional Mr McKern has been Chairman of Coliban Water Development Advisory Committee. She was appointed to since January 1994. He is also Executive Chairman of the Board in October 2001. Envirozel Ltd, Chairman of McKern Building Products Pty Keith Rowland, MAICD (retired 30 September 2005) Ltd, and Deputy Chairman of the Bendigo Art Gallery. A motelier in Echuca for 10 years, Mr Rowland was Noel Harvey, OAM, MIPA, MAICD – Deputy Chairman appointed to the Board in January 1995. He is also a Appointed to the Board in October 2001, Mr Harvey has Director of Landrow Properties, with extensive experience been involved in local government in and around the in agriculture, marketing and property. Macedon Ranges since 1991, was President of the Shire Esther Kay, BA Env Sc, M Env Sci of Kyneton, and twice Mayor of the Shire of Macedon Ranges. Mr Harvey is a Board Member of the North Appointed to the Board in October 2004, Ms Kay is a Central Catchment Management Authority, Parks Victoria, Director for Environment and Land Management P/L. and Chairman of the Victorian Mineral Water Committee. She is a sessional member of Planning Panels Victoria, a He also has extensive experience in the travel, transport member of the Standing Advisory Committee for Planning and tourism industries. Reform, and current President of the Stormwater Industry Association of Victoria. Patricia Cotton, MAICD David Beard, MAICD, FIEAust, CP Eng, MBus Appointed to the Board in July 1998, Mrs Cotton is a former Councillor, twice Mayor of the City of Waverley, Appointed to the Board in October 2005, Mr Beard is and a former Commissioner of the City of Knox. Ms General Manager Commercial Services Victoria for Veolia Cotton is currently a Board member of the Bendigo Environmental Services. He has over 15 years experience and Central Victoria Community Foundation, and Peter in civil engineering, and from 2000–05 served as a Harcourt Disability Services. Director with the City of Greater Bendigo, before taking up his current role. Jennifer Dawson, BBus, MAICD, FCA David has served on the MAV’s Transport Advisory Ms Dawson has extensive experience in the accounting Committee, Goulburn Valley and Calder Regional Waste and auditing field, leading Bendigo Bank’s Internal Audit Management Groups, Calder Highway Improvement Group until her appointment as a non-executive Director Committee, and the Institute of Engineers Australia. of Bendigo Bank Ltd in 1999. Ms Dawson has had 10
PG 25 Coliban Water Annual Report 2005–06 Committees of the Board Executive Management Review Committee Committees of the Board are established to assist This Committee meets at least half-yearly, and is Board and Management in their deliberations, and responsible for ensuring Coliban Water has remuneration ensure compliance with legislated responsibilities. Each policies and practices that fit the strategic goals of the committee has Terms of Reference detailing its role and business. It focuses on senior executive remuneration responsibilities, consistent with best practice corporate and performance, but also considers the business’ governance principles. overall approach to remuneration, current employment practices and compliance. Two Directors, Gordon Audit Committee McKern (Chairperson) and Pat Cotton are appointed to the Committee, with one other Director nominated on an The Audit Committee meets quarterly and at other times ad-hoc basis. The Committee met twice during 2005–06. as required. The Committee is responsible for appointing and monitoring the performance of the internal auditor, for reviewing and approving audit programs, and for evaluating the adequacy and effectiveness of Coliban Water’s administrative, operating and accounting policies and controls. Members of the Committee are Jennifer Dawson (Chairperson), Noel Harvey and David Beard. The Committee met four times during 2005–06. All members of the Audit Committee are independent.
Risk/Environment Committee The Risk/Environment Committee meets quarterly to ensure high standards of risk and environmental management are maintained and processes are in place to identify, evaluate and manage all business, financial, occupational health and safety, and environmental risks. It monitors the effective integration of Coliban Water’s risk management framework, and ensures the existence of planned strategies for dealing with major emergencies likely to: • affect large numbers of customers or sections of the community; • significantly impact on the environment; or • markedly restrict the service provided by the business. All Board Directors are members of the Committee with Noel Harvey as Chairperson. The Committee met four times during 2005–06.
Director’s Meetings The number of meetings of the Board of Directors and Committees of the Board held during the year ending 30 June 2006, and the number of meetings attended by each director, were: Board of Audit Executive Risk/ Directors Committee Management Environment Review Committee Committee Director Attendance Attendance Attendance Attendance G McKern 12 of 12 * 2 of 2 4 of 4 K Rowland(2) 4 of 4 1 of 1 1 of 1 P Cotton 12 of 12 1 of 1 1 of 1 4 of 4 N Harvey 12 of 12 4 of 4 4 of 4 J Dawson 12 of 12 4 of 4 4 of 4 E Kay 11 of 12 4 of 4 D Beard (1) 8 of 8 3 of 3 3 of 3 *The Board Chairman, Gordon McKern is ex-officio on this Committee (1) D Beard was appointed 1 October 2005 (2) Appointment of K Rowland expired 30 September 2005
Coliban Water Annual Report 2005–06 PG 26 Left to Right: Greg Sheehan Executive Manager Planning, Neil Burns Executive Manager Service Delivery, Andrew Hunt Executive Manager Business Services and Geoff Michell Chief Executive. THE EXECUTIVE TEAM Geoff Michell DipCE, MBA, MIEAust, MAICD Chief Executive • Strategic planning • Business direction • Audit • Public Affairs • Secretariat Andrew Hunt BEc, CPA, FAICD Executive Manager Business Services • Financial Services • Treasury • Business Improvement • Information Technology • Human Resources • Property • Administration A Quality Management System is a framework for • Regulation business processes to assist with achieving business Neil Burns DipCE objectives in general. An Environmental Management System is a framework to effectively identify, measure, Executive Manager Service Delivery manage and control environmental impacts. An • Customer Service Occupational Health & Safety Management System is a • Operations method of controlling business activities, to reduce risks • Headworks to staff, contractors and the public. • Projects What is certification? Greg Sheehan BAgSc, BBus The Integrated Quality Management System is designed to comply with national and international best practice Executive Manager Planning for management systems, which is laid down in a series • Asset Imrovement of technical standards. To ensure that the systems and • Systems Planning processes comply with these standards, the Integrated • Catchment and Environment Quality System is regularly audited by SAI Global. • Water Resource Planning The Quality Management System of the Project Management Group has been certified to comply with Business Improvement ISO 9001:2000 since 1996. What has been achieved? What is Business Improvement? The Occupational Health & Safety Management System In 2005 a new function was created to stimulate the has been certified to comply with Australian Standard AS/ continual improvement of systems and processes, to NZS 4801:2001 in August 2005. ensure that quality services are delivered and risk is minimised. The Environmental Management System has been certified to comply with international standard ISO All systems and processes have been merged into an 14001:2004 in June 2006. Integrated Quality System, which includes Occupational Health & Safety, Environmental and Water Quality Different options for a Water Quality Management System Management. have been investigated.
Organisation Structure
Board Audit Risk/Environment Executive Committee Committee Management Review Committee Chief Executive
Planning Service Business Delivery Services
PG 27 Coliban Water Annual Report 2005–06 National Water Week. Kangaroo Flat Primary School student Elliott Turner checks a dragonfly nymph. ENVIRONMENTAL SUSTAINABILITY Our Water Our Future systems to ensure its communities have safe, secure and reliable supplies of water for the future, while minimising Like most of Victoria, Bendigo and its surrounding the environmental impact of taking water from our rivers district continues to face key issues in securing future and streams. Our water security plan – WaterPlan 2055, water supplies. Population growth, stressed rivers, nine as approved by the Minister for Water in March 2006 consecutive years of low rainfall and the uncertainties sets out actions to ensure an adequate water supply for of climate change, are just some of the issues facing our the next 50 years. These actions, some of which have region. commenced, are designed to deliver an extra 36,000 ML The State Government’s Our Water Our Future framework per year by 2055. sets out directions to ensure: • all water available through the local water supply Environmental Management System system is used efficiently and effectively; Coliban Water has continued working throughout the • recycled water and other alternative water sources are past year to contribute to the region’s environmental used where they are fit-for-purpose; sustainability, particularly through improving and extending sewerage services to protect the quality of • new water sources are available to improve the security water in rivers and streams, as well as our precious of supply; and regional groundwater resources. • to ensure safe and reliable water and sewerage services. The renewal of the corporate Environmental Policy during the past year reinforced Coliban Water’s intention and Bendigo Regional Action Plan commitment to a longer-term, sustainability approach and The Bendigo Regional Action Plan (RAP), launched in life-cycle impact consideration for all of Coliban Water’s September 2005, furthers the objectives and aims of Our activities. The renewed policy outlines the mitigation Water Our Future by outlining how the State Government, approach required to manage all relevant environmental water authorities and catchment management authorities risk associated with its activities. are working together to address water issues in the Coliban Water had its EMS certified against the AS/NZS Bendigo, Castlemaine, Kyneton and Heathcote areas. ISO 14001:2004 international standard for environmental The RAP outlines specific plans to: performance on 12 June, 2006. • encourage smarter water use in urban areas through The certified EMS identifies environmental aspects smarter water pricing, education and awareness and impacts for all our operational activities, assesses programs and incentive programs; their inherent and residual risk, as well as the level of management controls that are in place. It provides the • secure water for rural use, particularly through realising business with essential procedures and information to the opportunities of recycled water and rural channel mitigate the potential impacts that business activities may loss control and reconfiguration; have on the environment. It also enables us to identify, • restore the health of the Coliban and Campaspe respond to and better manage environmental incidents Rivers by recognising environmental water rights, and when they do occur, such as point–source pollution and undertaking river restoration works; and environmental damage. • protect groundwater aquifers and sustainably manage Coliban Water’s EMS enables: those assets through Groundwater Management Plans • extensive regulatory obligations to be met, and the Everyone in our community has a role to play, and the expensive costs of non-compliance to be avoided; Bendigo Regional Action Plan will ensure we all work • the ecological health of the natural environment to be towards a common purpose. protected; Waterplan 2055 • the risk of serious injury to third parties to be reduced; Following Our Water Our Future, Coliban Water has • the protection of property and reputation; started implementing a number of initiatives and • a business quality system that can demonstrate examining a range of actions across urban and rural environmental due diligence;
Coliban Water Annual Report 2005–06 PG 28 • a proactive program to control environmental incidents if they occur; • direct cost savings to the business by avoiding environmental impact and improving operational practices; and • a system of continuous improvement. Procedures and management plans are in place A Greener Office – Coliban Water to minimise all identified areas of high or extreme Coliban Water’s Greener Office Program was environmental risk. These are monitored and introduced in August 2004 to improve the evaluated regularly by the newly formed Environmental environmental performance of Coliban Water’s Management Group. offices. Several initiatives were undertaken during the past year to A strategic Action Plan with objectives and targets protect our drinking water supplies, including: was developed with staff to focus on the areas of waste minimisation, water conservation and energy Coliban Water entered into a partnership with the North efficiency. The program’s first area of focus was on Central Catchment Management Authority and Greening waste minimisation. Australia to develop and finalise the Coliban Catchment Action Plan (CAP). The final draft of the CAP was To date, the program has seen: released in late June 2006. • a 95 percent increase in paper recycling; One of the key threats to water quality in the Coliban • an 85 percent reduction of waste being sent to Supply System storages is the direct stock access to landfill (by volume); and reservoirs and the inflowing rivers and streams, resulting in significant nutrient and pathogen contamination • 98 percent of general recycling items being potential. A program aiming to fence off storage frontages recycled. and protect storage water quality was initiated during The waste minimisation element of the program has the year, and partnerships were forged with adjoining some further challenges that will require our staff landholders to begin the process of protecting our supply to look beyond recycling, and achieve a greater system from direct stock access. reduction in overall use and therefore wastes. Work continued in partnership with Western Water, Several water conservation initiatives were trialled Goulburn-Murray Water and Southern Rural Water to during 2005–06 involving the benchmarking of develop a Catchment Protection Policy (CPP) for the water use at the office, and the installation of water Macedon Ranges Shire. The CPP acknowledges the saving devices in the toilets. Already we have seen region’s reliance on drinking water supplies that are an improvement in the water conservation element harvested from catchments within the Macedon Ranges of the program, with a reduction in our office’s daily Shire, and recognises that inappropriate land use and water consumption by up to 1000 litres. A more development will undermine the safety and reliability of comprehensive review of office Energy Efficiency these supplies. It will provide the mechanism for water and Water Conservation, and the development of authorities, council and the community to preserve raw definitive objectives and targets, will be the focus water quality throughout the Shire, in order to safeguard of the Greener Office Program for the latter half of public health, protect our water supply values and ensure 2006. a more secure and reliable long-term supply of drinking The program also provides for specialised recycling water. The scope of the policy and the background services to operate within the office, such as documents that underpin it were commissioned over the “e-waste” recycling. This type of waste includes past year, and are on track to be completed by the end of diskettes, CD’s, CD covers, old video cassettes, etc, 2006. and enables appropriate collection and handling for Coliban staff were involved in proactive catchment their recycling. protection as a strategic referral authority for the Eppalock Coliban Water has continued to participate in Proclaimed Catchment Area, recognised in each of the the “Cartridges for Planet Ark” program where all Municipal Planning Schemes present in the Coliban photocopier and printer consumables are collected catchment (particularly through Sections 12, 55, 52 and and recycled, with the aim of a ‘zero waste to 173 of the Planning and Environment Act 1987). Coliban landfill’ outcome for the entire waste stream. Water considers its involvement in the statutory referral process as an integral way of influencing development The program is supported by a Greener Office Team, within the catchment, ensuring the sustainability of made up of a number of staff members who volunteer on-site wastewater treatment and disposal, applying their time to the group and champion the program’s Ministerial guidelines that can control threshold implementation. development densities in rural areas, and preventing problem and high risk areas from becoming worse. Coliban Water continued to actively seek Planning Scheme amendments that were compatible with our catchment and water quality protection objectives.
PG 29 Coliban Water Annual Report 2005–06 Good Neighbour Strategy vegetation retention controls and offset calculations and significant biodiversity species in the north central During the past year Coliban Water implemented its region and the application of the Environment Protection Good Neighbour Strategy to address a critical element Biodiversity Conservation Act 1999. of the Environmental Policy, where we aim to manage facilities and land in a manner that demonstrates good environmental stewardship, and minimises adverse Rivers and Aquifers environmental impacts. The Good Neighbour Strategy The rivers and aquifers in the North–Central Victorian enables us to demonstrate our ‘duty of care’ to the wider region are considered to be important community community for managing environmental issues that exist assets. These waterways provide water for households, on Coliban Water managed land, to prevent any adverse agriculture and industry, and have environmental, environmental impacts on adjacent private land. recreational and cultural significance. Several weed control programs were undertaken during Coliban Water continued to work in partnership with the year in response to neighbour requests for the the North Central Catchment Management Authority strategic eradication of pests. The majority of these (CMA) over the course of the year in implementing the were along our rural channels, and adjacent to our North Central Regional Catchment Strategy, and more water supply reservoirs. Coliban Water continues to be specifically, on the improvement of river health. committed to undertaking pest control works as practical Coliban Water is a regional stakeholder agency in to co-operate with and support adjacent land managers the implementation of the five-year North Central and/or local Landcare and Catchment Groups. River Health Strategy, with the overall implementation effort being coordinated by the CMA. We have also Biodiversity Strategy participated in the Campaspe Environmental Flow Coliban Water manages approximately 5700 ha of land Assessment, the North Central Dryland Technical across the north–central region. Many of our activities Reference Committee, and undertaken extensive and operations associated with managing this land and consultation with the CMA for river health, flow and providing the necessary water, wastewater and re-use water quality implications during the investigation phases services have the potential to impact on biodiversity. of the Kyneton Water Reclamation Plant Long-term Re- Coliban Water finalised the renewal of its Biodiversity use project, the Epsom to Spring Gully Recycled Water Strategy in early 2005 and committed to facilitating and Project and the Castlemaine Golf Course Reuse project. increasing business awareness of the need to protect Coliban Water is also developing plans to limit discharge and enhance biodiversity in our region; in particular, from the Bendigo Water Reclamation Plant to the Bendigo to protect threatened flora and fauna species known to Creek by pumping the treated discharge from Epsom to inhabit the land we manage. Continued implementation the Spring Gully Reservoir as part of the recycling plan for of this strategy enables Coliban Water to comply with the plant. the requirements of the Victorian Biodiversity Strategy. Coliban Water maintains a current Biodiversity Asset Groundwater Monitoring Program Register, and no changes to the recorded number of threatened species have been made during the year. Coliban Water’s wastewater treatment and reuse activities Coliban Water’s corporate response has changed slightly, have the potential to impact on groundwater, as a result in that we now have a certified, accredited Environmental of seepage from wastewater lagoons or poor management Management System (ISO 14001) in place that addresses of reclaimed water for irrigation. To monitor and reduce flora and fauna protection. the potential for any groundwater impacts, we have an extensive groundwater monitoring program at each of the Coliban Water carried out further willow control works treatment plants, in line with EPA licence requirements. during the year, in follow up to our willow removal No significant environmental changes were observed program downstream of Malmsbury Reservoir. during the past year. A Land Management Plan was developed to cover 12.2 ha of the Castlemaine Water Reclamation Plant site, consisting of several disused treatment lagoons, degraded land, drainage lines and riverine land abutting Campbell’s Creek, several patches of significant remnant vegetation and a fenced–off area managed by Parks Victoria that contains the Pioneer Cemetery Reserve. The Management Plan has been prepared with the aim of rehabilitating the site so that it more closely reflects the once natural vegetation. The Plan reflects the objectives and values of Coliban Water’s Biodiversity Strategy and will contribute to a net increase in the site’s biodiversity values. Progressive implementation is planned with further partnership work/support for the Friends of Campbells Creek. Numerous Coliban Water staff were involved during the past year in several regional biodiversity workshops run by the Department of Sustainability and Environment to improve our understanding and application of the native
Coliban Water Annual Report 2005–06 PG 30 Energy Use & Greenhouse Gas Emission Environmental Incidents Management A single Penalty Infringement Notice was issued to Coliban Water is a significant consumer of electricity, Coliban Water during the year for an odour issue at with the majority of our pumps, motors and treatment McKenzies Hill, Castlemaine. In addition to incurring a plants using it as the primary source of power. Coliban financial penalty, works involving temporary diversion Water has taken up the Greenhouse Challenge Plus, of the odour outfall were undertaken to satisfy EPA and each year we report on energy usage and energy requirements and community expectations. Investigations reduction initiatives at the Bendigo Water Reclamation are underway to permanently resolve the matter. Plant. The Greenhouse Challenge Plus program is a partnership between the Australian Government and industry to lead the challenge against global warming. By being a participant in the Greenhouse Challenge Plus, Coliban Water agrees to provide an accurate and comprehensive annual report of our greenhouse gas emissions, and develop an action plan to reduce our greenhouse gas emissions. Partnering with the EPA Coliban Water has committed to enhancing energy Coliban Water and the EPA entered into a Cleaner management across our business over the past year by Production Partnership to establish Waste Minimisation finalising a project that aims to understand the current Plans with three companies in the Bendigo Region. The energy use by Coliban Water and its partners, and cleaner production techniques, which reduce the salt and develop an Energy Management Plan to guide effort and organic load of wastewater, will enable the water to be investment. The Energy Management Plan we developed treated more efficiently, and open–up more possibilities provides the strategy and targets necessary to reduce our for water recycling. Since the Cleaner Production energy footprint, and identifies potential opportunities Partnership was initiated, the salt and organic loads at for industry–comparable best practice energy use. the Bendigo Water Reclamation Plant in Bendigo have Sustainable energy management recommendations are fallen significantly, allowing more efficient operation of made across the following three key platform areas: the Water Reclamation Plant. It is expected that loads Energy Efficiency, Emission Offsets, and the reduction of will fall further once the companies involved in the Energy Costs. partnership install trade waste minimisation equipment Activity tCO2-e – allowing greater capacity for more sustainable Transport 819.33 commercial and industrial growth in Bendigo. Administration (Bendigo Office) 597.52 Sewage Pumping 2,138.5 Industry Information Sessions Sewage Treatment 23,764.22 Business and Industry Environmental Network Water Pumping 5,460.48 The Australian Industry Group, City of Greater Bendigo Water Treatment 8,984.92 and Coliban Water launched the Business and Industry Total Greenhouse Gas Emissions 41,764.97 Environmental Network in May 2006. The network will Energy and greenhouse gas emission calculations include emissions provide the opportunity for attendees to improve the generated from all Coliban Water water and wastewater service environmental sustainability of Central Victorian business provision activities including those incurred by contracted public/private partnerships with Campaspe Asset Management Services, Veolia and Earth and industry through networking and workshop events. Tech. Workshops planned for the next twelve months will cover: Water Consumption Corporate Water Consumption (L): 1,367,000 • improving solid waste recycling services in Central Volume DevEFT (L): 14,439.63 Victoria; • water conservation and trade waste improvements; Other Emissions • improving pay–back times for sustainability projects; The National Pollutant Inventory (NPI) is a reporting and database for all industries across Australia that emit • Environmental Management Systems. certain substances to the air, land and water sectors. Depending on the level of emissions of each substance, Plumber Information Sessions reporting may be required. The types of emissions Coliban Water, together with the Master Plumbers’ Coliban Water report are ammonia, total nitrogen and Association and the Plumbing Industry Commission, total phosphorus emissions to air, land and water, as a conducted two information sessions for plumbers and the result of wastewater treatment. Electricity consumption is building trade during 2005–06. Both were well attended, also reported. and provided an opportunity for tradesmen to clarify on Total fuel used by Coliban Water vehicles for 2005–06 issues of concern, and for Coliban Water to emphasise was 45,918 litres for a total of 16.3 cars. Average fuel our requirements for connections, hot tappings and usage was 10.48 litres per 100km. plumbing standards.
PG 31 Coliban Water Annual Report 2005–06 Youth Advisory Council Left to Right: Rebecca Trembath, Sheldon Flanagan, Ray Shaw, Lead On, Rachel Oakenfull, Kylie Morrisey, Rob Krober, Coliban Water Education Officer, Geoff Michell, Coliban Water Chief Executive, Laura Sifuna ECONOMIC PERFORMANCE and Melissa Robsen. Summary of Financial Results 2005–06 2004–05 2003–04 2002–03 2001–02 2000–01 Revenue Revenue from ordinary activities 50,326 50,203 47,501 45,596 44,479 42,264 Expenditure Expenditure from ordinary activities 62,752 56,739 48,175 46,878 36,847 31,745 Significant items of expenditure from ordinary activities 0 0 0 758 34,230 0 Net Results (12,426) (6,536) (674) (2,040) (26,598) 10,519
Significant Changes in Financial Position • which standards will be regulated; In accordance with A-IFRS Leasing Standard AASB117 • how they will be regulated; we have booked our BOOT scheme as an asset and • special matters that the ESC must take into account a corresponding liability. The value of the asset in the when exercising its powers; 2005–06 financial statements is $97.3 M. • what functions the ESC has in relation to performance Working with the Essential Services monitoring and auditing; Commission • the functions in relation to dispute resolution; and • the regulatory period. On 1st January 2004 the Essential Services Commission (ESC) became the economic regulator of Victoria’s water industry. The Water Plan The broad objectives of economic regulation, as it applies The mechanism used by the ESC to manage its objectives to the water industry, are: and ensure compliance under the WIRO is through the assessment of a Water Plan, that must be submitted by • the efficiency and long–term financial viability of each business, in accordance with requirements under regulated industries; the Statement of Obligations. • to prevent misuse of market power; In order for the Commission to approve prices, the • to facilitate competition and competitive conduct; Commission must satisfy itself that the Water Plan complies with a set of regulatory principles specified in • to ensure regulatory decisions have regard to health, the WIRO. safety, environmental and other legislation applying to the regulated industry; Coliban Water has managed cooperatively its relationship with the Commission through: • to ensure users benefit from the gains of regulation; and • cooperation and timely completion of all requirements • to promote consistency in regulation across states. throughout the Water Plan process; The Water Industry Regulatory Order • consultation with the Commission and its subcontracted expenditure and demand forecasting auditors as The legislative framework for regulation of the Water needed; and Industry is set out in the Water Industry Regulatory Order (WIRO), gazetted on 14 December 2003. Regional Urban • through industry representation on the Performance Water Authorities are linked into the WIRO through the Measurement Working Group, constituted by the Water Industry Act 1994, rather than the Water Act 1989. Commission, to determine appropriate industry The WIRO sets out: performance reports. • what goods and services will be regulated; The Commission announced its decision on the Water Plan for the period 2005–06 – 2007–08 on 15 June 2005.
Coliban Water Annual Report 2005–06 PG 32 STATUTORY INFORMATION
Freedom of Information the Annual Accounts. Coliban Water has introduced competition in service delivery by the extensive The Freedom of Information Act 1982 allows public involvement of the private sector. This has been achieved access to documents held by government entities. All through competitively bid Public–Private Partnership requests must be in writing to the Authorised Officer at contracts for infrastructure projects, and by outsourcing Coliban Water, PO Box 2770 Bendigo DC 3554, or via major functions. email at [email protected] and accompanied by an application fee of $21.50. Coliban Water, as with the whole water industry, is subject to a National Tax Equivalent Regime. This The following officers have been appointed in accordance means Coliban is subject to the Income Tax Assessment with the provisions of the Freedom of Information Act Act, managed through the Australian Taxation Office. 1982: This ensures that Coliban does not gain a competitive • Principal Officer – Chief Executive advantage over private industry in taxation matters. • Authorised Officer – Corporate Secretary Coliban Water is also subject to a Financial During 2005–06 Coliban Water received two Freedom Accommodation Levy (FAL). Under the Borrowing and of Information applications which were processed in Investment Powers Act, Coliban may only source debt accordance with the Act. funding from Treasury Corp. As a Government Agency, borrowings carry with them an implicit Government guarantee which commands a lower borrowing risk Competition Policy premium. To offset this natural advantage, a FAL rate Coliban Water has substantially implemented the premium, structured around a formula based on business National Competition Policy as far as its scope of credit ratings, is levied on all debt sourced to ensure that responsibility permits. For example, we have had no competitive advantage is gained. ‘pay for use’ water pricing, consisting of a fixed and a Coliban Water is closely involved in annual performance variable (volumetric) charge for many years, and cross benchmarking studies through the Victorian Water subsidies between business units are transparent and are Industry Association and Water Services Association of reported in the Annual Report. We continue to monitor Australia. This year we participated in the inaugural Water developments in National Competition Policy. Services Association of Australia’s Asset Management Vertical structural and financial separation of business Benchmark Audit (AquaMark), which identified areas of functions has been in place for a number of years, asset management practices for improvement. and these business functions are reported separately in
PG 33 Coliban Water Annual Report 2005–06 Information Privacy Act 2000 Minor Consultancies The Information Privacy Act 2000 established a regime During 2005–06 19 projects involving the engagement for the responsible collection and handling of personal of consultants at a cost of less than $100,000 each were information in the Victorian Public Sector. All staff have undertaken, for a total expenditure of $374,176. been trained in the requirements for compliance with Coliban Water’s Privacy Policy. Major Contracts Coliban Water did not enter into any contracts during the Building Act 1993 reporting period valued at greater than $10 m. The Authority met all relevant compliance provisions of the Building Act 1993 in building and maintenance Further information activities undertaken during the year. Information about Coliban Water’s operations and performance is provided in the following sources, Coliban Whistleblowers Protection Act 2001 Water Strategic Plan 2005–10, previous Annual Reports, The Act is designed to protect people who disclose the Customer Charter, and our website at www.coliban. information about serious wrongdoing within the com.au . Copies of our publications are available from Victorian Public Sector, and to provide a framework for our offices at 37–45 Bridge Street, Bendigo. the investigation of these matters. Information listed in Appendix 1 of Reporting Direction Coliban Water’s procedures under this Act are included as 22A is held at the Authority’s Office and is available to an insert to this Annual Report. the relevant Minister, Members of Parliament or the public No disclosures have been made or investigated under the on request, subject to the provisions of the Freedom of Whistleblowers Protection Act 2001 during the reporting Information Act 1982. period.
Membership of Industry Associations Our principal industry and business association memberships assist to enhance our organisational benchmarking and network capabilities, as well as to participate in the development of industry codes of practice: • Australian Water & Wastewater Operators’ Association • Water Services’ Association of Australia (WSAA) • Victorian Water Industry Association (VWIA) • Institute of Water Administration (IWA) • International Water Association (IWA) • Australian Water Association (AWA) • Australian Institute of Management (AIM) • Society of Consumer Affairs’ Practitioners • Australian Human Resources’ Institute • Australian Institute of Company Directors
Major Consultancies During 2005–06 Coliban Water undertook three major projects involving consultancies with a value exceeding $100,000 as listed below: • Dams Improvement Scheme ($124,272) EPS Consultants, SMEC, Coffey Geosciences Pty Ltd, Dam Watch. • Bendigo Creek Trunk Sewer Augmentation ($109,358) EPS Consultants, SKM, David Brown, Amazing Photon. • Epsom Spring Gully Recycled Water Project ($321,152) Beca Pty Ltd. Total project fee approved $4,294,771. Future commitment to project consultant $3,973,619.
Coliban Water Annual Report 2005–06 PG 34 PERFORMANCE REPORT
Financial Performance Indicators Corporate Actual Plan Target Result % 2005–06 2005–06 Variance
1. Long Term Profitability Indicator -1.74% -1.63% 5.9% 2. Owners Investment Indicator -1.77% -1.71% 3.9% 3. Long Term Financial Viability Indicator 0.0% 0.0% 0.0% 4. Liquidity and Debt Servicing Indicator (Interest Cover) 0.0% 0.0% 0.0% 5. Immediate Liquidity and Debt Servicing Indicator (Cash Cover) 0.0% 0.0% 0.0% 6. Operating Efficiency Indicator 6.1 Water Supply Bulk (Headworks) no target $93.01 6.2 Water Supply Reticulation no target $347.26 6.3 Water Supply Treatment no target $599.24 6.4 Wastewater Reticulation no target $362.56 6.5 Wastewater Treatment no target $1,503.80
Variance Report 1. Long Term Profitability Indicator The Long Term Profitability Indicator measures profit/(loss) for the current financial year as a % of average total assets over the current and previous financial years. BOOT Scheme Fixed Assets were recognised in the Balance Sheet for the first time in 2005–06; however they were not recognised in the Balance Sheet used to calculate the Corporate Plan Target for this indicator. Consequently, average total assets used in the Corporate Plan target calculations were $100 m less than average total assets for the actual calculations. 3. Long Term Financial Viability Indicator The Long Term Financial Viability Indicator measures net debt as a percentage of total assets. Coliban Water does not have any debt, therefore the value of this indicator is zero. 4. Liquidity and Debt Servicing Indicator (Interest Cover) The Liquidity and Debt Servicing Indicator (Interest Cover) measures the number of times net interest expense is covered by earnings before net interest expense. Coliban Water does not have any debt or interest expenses, therefore the value of this indicator is zero. 5. Immediate Liquidity and Debt Servicing Indicator (Cash Cover) The Immediate Liquidity and Debt Servicing Indicator (Cash Cover) measures the number of times net interest payments are covered by cash flow from operations before net interest payments. Coliban Water does not have any debt or interest payments, therefore the value of this indicator is zero.
PG 35 Coliban Water Annual Report 2005–06 Service Delivery Performance Indicators Water Supply Interruptions Target Actual Variance No of Customers receiving 5 unplanned interruptions in the year 3 1 -66.6% _
Interruption Time Indicators Average duration of unplanned water supply interruptions 145 85 -41.4% _ Average duration of planned water supply interruptions 155 35 -77.4% _
Restoration of Water Supply Unplanned water supply interruptions restored within 5 hours 98% 98% 0%
Reliability of Sewerage collection service indicators Sewer spills from reticulation and branch sewers (priority 1 and 2) N/A 619 N/A Sewer spills from ERS and pumping stations (% of volume transported) N/A 0.0002 N/A
Containment of Sewer Spills Sewer Spills contained within 5 hrs (%) 99% 100% -1%
Customer Complaints’ Indicators Water quality complaints per 1000 customers N/A 4.62 N/A Water supply reliability complaints per 1000 customers N/A 0.99 N/A Sewer service quality and reliability complaints per 1000 customers N/A 0.99 N/A Affordability complaints per 1000 customers N/A 0.01 N/A Billing complaints per 1000 customers N/A 0.43 N/A Pressure complaints per 1000 customers N/A 0.16 N/A Sewerage complaints per 1000 customers N/A 2.09 N/A Other complaints per 1000 customers N/A 3.37 N/A
Reuse Indicators Effluent reuse (volume) 41.55% 37.80% 3.75% Biosolids reuse (dry mass) 95.80% 100% -4.20%
Sewerage treatment standards Number of analyses complying with licence agreementt as % of samples N/A 93.4% N/A
Variance Report • Emphasis was given to replacing mains once there were three bursts in a twelve month period. • Capture of single property interruptions increased, and the use of inhouse resources decreased interruption times. • Increased use of mains connections completed under pressure on large mains has decreased supply interruption times.
Coliban Water Annual Report 2005–06 PG 36 Quality of Wastewater disposal (by treatment or disposal facility) Performance Indicator 2005–06 Actual Aggregate annual performance of town or sewerage systems number of individual test results meeting EPA licence conditions x 100 / total number of individual tests for the year Axedale 100% Bendigo 100% Boort 2 0% Bridgewater/Inglewood 2 0% Castlemaine 100% Cohuna 100% Dunolly 2 0% Echuca 1 78% Elmore 2 0% Gunbower/Leitchville 2 0% Heathcote 100% Kyneton 89% Lockington 2 0% Pyramid Hill 2 0% Rochester 100% Wedderburn 2 0% Short term/persistent compliance with EPA licence number of sets of test results meeting EPA licence conditions x 100 / total number of sets of routine tests for the year Axedale 100% Bendigo 100% Boort 2 0% Bridgewater/Inglewood 2 0% Castlemaine 100% Cohuna 2 0% Dunolly 2 0% Echuca 1 17% Elmore 2 0% Gunbower/Leitchville 2 0% Heathcote 100% Kyneton 50% Lockington 2 0% Pyramid Hill 2 0% Rochester 100% Wedderburn 2 0%
Variation Report: 1 = EPA licence held by other parties. 2 = No discharge during the year.
PG 37 Coliban Water Annual Report 2005–06 Environmental Performance Indicators 2005–06 Actual Wastewater effluent reused to land volume effluent reused x 100 / total volume of effluent produced Axedale 100% Bendigo 30% Boort 0% Bridgewater/Inglewood 100% Castlemaine 0% Cohuna 0% Dunolly 0% Echuca 100% Elmore 0% Gunbower/Leitchville 0% Heathcote 100% Kyneton 61% Lockington 0% Pyramid Hill 0% Rochester 0% Wedderburn 0% Wastewater sludge reused/recycled volume sludge reused x 100 / total volume of sludge Axedale 0% Bendigo 100% Boort 0% Bridgewater/Inglewood 0% Castlemaine 100% Cohuna 0% Dunolly 0% Echuca 0% Elmore 0% Gunbower/Leitchville 0% Heathcote 0% Kyneton 0% Lockington 0% Pyramid Hill 0% Rochester 0% Wedderburn 0%
Coliban Water Annual Report 2005–06 PG 38 DIRECTORS’ DECLARATION
PG 39 Coliban Water Annual Report 2005–06 Coliban Water Annual Report 2005–06 PG 40