Victorian Ports Corporation (Melbourne) Annual Report 2017-18
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ANNUAL REPORT 2017-18 Victorian Ports Corporation (Melbourne) Street address Level 5, 530 Collins Street Melbourne Victoria 3000 Australia Postal address GPO Box 261 Melbourne VIC 3001 Australia Tel: +61 3 8347 8300 Fax: +61 3 8347 8301 www.vicports.vic.gov.au Annual Report Ports Corporation (Melbourne) 2017-18 Victorian Authorised by the Victorian Government. This publication is produced by Victorian Ports Corporation (Melbourne). Proudly designed and produced by abCreative productions www.abCreative.com Printed on 100% recycled paper. Responsible Body’s declaration The Hon. Luke Donnellan MP Minister for Ports 1 Spring Street Melbourne Victoria 3000 The Hon. Tim Pallas MP Treasurer 1 Treasury Place East Melbourne Victoria 3002 Dear Ministers, Victorian Ports Corporation (Melbourne) 2017-18 Annual Report I have much pleasure in submitting to you the Annual Report of Victorian Ports Corporation (Melbourne) for the period 1 July 2017 to 30 June 2018, in accordance with the provisions of the Transport Integration Act 2010 (Vic) and the Financial Management Act 1994 (Vic). Yours sincerely, James Cain Chairman 29 August 2018 Victorian Ports Corporation (Melbourne) 2017-18 Annual Report 1 2 Victorian Ports Corporation (Melbourne) 2017-18 Annual Report Contents Responsible Body’s declaration 1 Section 1: Year in review 5 From the Chairman 6 From the Chief Executive Officer 7 Mission, vision and values 8 An overview of VPCM 9 Manner of establishment 9 Purpose and responsibilities 9 Functions, objects and powers 10 Significant legislative changes 11 Operations review 12 Financial information summary 17 Section 2: Governance and organisational structure 21 Corporate governance 22 Directors 23 Board and Committee meetings 26 Organisational structure 27 Executive Management Team 28 OH&S and employment principles 29 Section 3: Workforce data 31 Our people 32 Comparative workforce data 32 Section 4: Other disclosures 35 Local Jobs First – Victorian Industry Participation Policy 36 Disclosure of government advertising expenditure 36 Consultancy expenditure 36 Information and Communication Technology expenditure 37 Disclosure of major contracts 37 Freedom of Information 37 Compliance with building and maintenance provisions of Building Act 1993 (Vic) 38 Competitive Neutrality Policy 39 Compliance with the Protected Disclosure Act 2012 (Vic) 39 Privacy 40 Statement of availability of other information 40 Attestation for financial management compliance with Ministerial Standing Direction 5.1.4 41 Section 5: Financial statements 43 Section 6: Appendices 105 A - Disclosure index 106 B - Statement of Corporate Intent 108 Victorian Ports Corporation (Melbourne) 2017-18 Annual Report 3 4 Victorian Ports Corporation (Melbourne) 2017-18 Annual Report Section 1: Year in review Victorian Ports Corporation (Melbourne) 2017-18 Annual Report 5 From the Chairman 2017-18 was the first full year of operations for I want to thank my fellow Board members for their Victorian Ports Corporation (Melbourne) (VPCM) work during the year in establishing the foundation following the long-term lease of the port in and direction for VPCM. I also wish to recognise November 2016. James Chen, whose term as a Director concluded on 31 January 2018. The Board is now focused on consolidating and growing the business in a sustainable manner On behalf of the Board, I would like to thank the to ensure it continues to meet the needs of Chief Executive Officer, Rachel Johnson, and her its customers, stakeholders and the Victorian management and staff for their dedication and work community. To do this, VPCM must adapt to ensure during another very busy year. it meets the technological and industry challenges that arise. This will ensure the port of Melbourne continues to be the gateway for trade in Victoria and home to the state’s premier cruise ship and interstate ferry facility at Station Pier. With this in mind, VPCM is pursuing two James Cain major initiatives: the upgrade of the Vessel Chairman Traffic Services (VTS) navigation system and investigations into whether the port can accommodate some of the larger container vessels now being deployed by the shipping lines. The work reinforces our focus on marine safety and navigation and will enhance our service delivery and the safety of the shipping operations in Port Phillip Bay. The larger vessel investigations are a collaborative effort with Port of Melbourne aimed at meeting emerging industry needs with the shipping lines. In May 2018, VPCM received funding in the Victorian Government budget to enable planning to accommodate the growing maritime passenger industry at Station Pier. This is in response to the increasing number of cruise ships and cruise passengers visiting Melbourne each season and the announcement by the Tasmanian Government that TT-Line is purchasing two new, larger vessels for its domestic ferry service. 6 Victorian Ports Corporation (Melbourne) 2017-18 Annual Report From the Chief Executive Officer The 2017-18 year has seen Victorian Ports While Port Phillip Bay is the gateway for Corporation (Melbourne) (VPCM) move forward commercial shipping it is also a much-loved confidently and set a firm foundation for the future. community asset used for boating, fishing, yachting and other aquatic pastimes. With this in mind, we We continued to deliver safe and efficient services are supporting The Nature Conservancy with its to all of our customers during 2017-18. This program of re-establishing shellfish reefs in the bay included facilitating 3795 ship visits to Port Phillip and their populations of water purifying shellfish. Bay which ensured the smooth continuation of trade through the ports of Melbourne and Geelong. I would like to thank the Chairman and Board of Directors for their guidance and support throughout With safety one of our highest priorities, a new fully the year, which has enabled us to move forward revised edition of our major marine and navigation with confidence. I also want to express my publication, the Port Information Guide, was appreciation to the Executive Management Team published in March 2018. This followed a similar and the staff of VPCM for their commitment and revision of the Harbour Master’s Directions in June work and thank them for all of our achievements in 2017. Together, these two publications set out 2017-18. the rules and protocols for safe navigation in Port Phillip Bay. We are also concerned with the safety of recreational users of the bay and to spread the safety messages to more people we have increased our support activities for our ongoing Rachel Johnson Steer Clear boating safety patrols. Chief Executive Officer Those support activities included the production of two educational safety videos, courtesy of a grant from the Minister for Ports, and an ongoing program of visits by senior staff members to boating, yachting and angling clubs around Port Phillip Bay. We successfully catered for the largest cruise shipping season ever seen in Melbourne – a record 108 cruise ship visits to Station Pier with a record 331,614 passengers and crew using the pier between October 2017 and June 2018. We have restructured our fees and charges to better reflect the actual use of Station Pier by visiting cruise ships. This involved removing the time-based berth hire fee and introducing the new Site Occupation Charge. Increases to other fees and charges were kept to a modest 1.9% in line with CPI. Successful negotiations were concluded during the year for a new staff Enterprise Agreement (EA) which has been approved by the Australian Fair Work Commission. The EA sets out a range of contemporary terms and conditions of employment for VPCM staff covering a period of four years. Victorian Ports Corporation (Melbourne) 2017-18 Annual Report 7 Mission, vision and values Our mission We contribute to the enhancement of the economic and social prosperity for the people of Victoria by providing vital infrastructure and services for trade and tourism. We do this by: • ensuring safe and efficient navigation of vessels • providing essential connectivity to Tasmania • realising Victorian trade and tourism opportunities for seaborne passengers and freight. Our vision We will be recognised for providing Victoria’s premier gateways for trade and tourism. Our values • Safety - we lead the way in the provision of safe navigation and services. • Innovation - we deliver excellence in sustainable and practical solutions. • People - we support, respect, and challenge each other – we value diversity. • Customers and communities - we put our customers and communities at the centre of everything we do. • Integrity - always. 8 Victorian Ports Corporation (Melbourne) 2017-18 Annual Report An overview of VPCM Manner of establishment Purpose and responsibilities Victorian Ports Corporation (Melbourne) (VPCM) VPCM is responsible for: is a Victorian Government statutory authority. • channel management and safe navigation in Established on 1 November 2016, VPCM’s Melbourne’s port waters statutory objectives, powers and functions are • waterside emergency and marine pollution carried out under the Transport Integration Act 2010 response (Vic). • the management of Station Pier as Victoria’s premier cruise shipping and interstate VPCM is part of Victoria’s integrated transport passenger ferry facility. portfolio, led by Transport for Victoria (TfV). Shipping and navigation TfV leads a user-centred, outcomes focussed and VPCM engages a licensed Harbour Master for the integrated approach that guides smart, long-term port waters of the port of Melbourne in accordance investments that support the state’s connectivity, with Chapter 6 of the Marine Safety Act 2010 (Vic). prosperity and liveability. It is also empowered to authorise persons to act as Assistant Harbour Masters, in accordance with TfV has a strategic approach to designing and section 229 of the Marine Safety Act. managing the network and is building a modern transport system. VPCM operates modern vessel traffic services (VTS) at the Port Operations Control Centre in The integrated transport portfolio is working to Port Melbourne (Melbourne VTS) and at the Point enable an optimised network where transport Lonsdale Lighthouse (Lonsdale VTS).