2015-16 2015-16 2015-16 ANNUAL REPORT REPORT ANNUAL ANNUAL REPORT Department of Economic Development, Jobs, Transport and Resources DEDJTR Authorised and published by the Victorian Government. Department of Economic Development, Jobs, Transport and Resources 1 Spring Street, Melbourne, VIC 3000 Telephone (03) 9208 3333 October 2016 ISSN 2205-6513 (print) ISSN 2205-6521 (online) Print managed by Finsbury Green Printed on Ecostar (Fsc) 100% recycled paper Unless indicated otherwise, the work is made available under the terms of the Creative Commons Attribution 3.0 Australia Licence. To view a copy of this licence, visit creativecommons.org/licenses/by/3.0/au It is a condition of this Creative Commons Attribution 3.0 Licence that you must give credit to the original author which is the State of Victoria. Accessibility If you would like to receive this publication in an accessible format, such as large print or audio, telephone 03 9208 3333 or email [email protected]. This document is also available in accessible Word and PDF format at economicdevelopment.vic.gov.au CONTENTS SECTION 1: OVERVIEW 3 Secretary’s foreword 4 SECTION 2: FINANCIAL PERFORMANCE 17 SECTION 3: NON-FINANCIAL PERFORMANCE 193 SECTION 4: APPENDICES 247 Appendix 1: Budget portfolio outcomes 248 Appendix 2:Capital projects/asset investment programs 254 Appendix 3: International Victorian Government Business Offices network 257 Appendix 4: People and workplace 257 Appendix 5: Office-based environmental performance 272 Appendix 6: Implementation of the Victorian Industry Participation Policy 278 Appendix 7: Government advertising expenditure 278 Appendix 8: Consultancy expenditure 280 Appendix 9: Disclosure of major contracts 280 Appendix 10: Information and Communication Technology expenditure 281 Appendix 11: Freedom of Information 282 Appendix 12: Feed-in tariffs 282 Appendix 13: Advanced Metering Infrastructure (AMI) 286 Appendix 14: Better Roads Victoria Trust Account 287 Appendix 15: Compliance and attestations 288 Appendix 16: Grants and related assistance 291 Appendix 17: Ministerial Statements of Expectations 320 Appendix 18: Additional departmental information on request 320 Appendix 19: Acronyms in this report 321 Appendix 20: Disclosure index 322 DEDJTR Annual Report 2015-16 1 2 DEDJTR Annual Report 2015-16 01 OVERVIEW DEDJTR Annual Report 2015-16 3 01 OVERVIEW SECRETARY’S FOREWORD I am pleased to report on the progress made • Organising the launch of Target One Million, in 2015-16 by the Department of Economic a $20 million investment in recreational Development, Jobs, Transport and Resources fishing in Victoria to get families outdoors (DEDJTR), towards our goal of improving the living and fishing together, contributing to local standards and wellbeing of Victorians. economies and jobs. Various initiatives will achieve this, including more fish stocking, The department has been operating for 18 months. new recreational fishing reefs and improved In the first six months, we began implementing many boat launching facilities. of the Victorian Government’s policy and election commitments. We established our new department • Research, development and extension services and developed possible initiatives for the government were delivered to improve productivity growth to consider later in the parliamentary term. in our $13.1 billion agricultural industries while safeguarding biosecurity. Developments 2015-16 saw an acceleration of delivery, planning in plant phenomics underpinned new grain for the future, responses to major contingencies, varieties, and our scientists successfully and a consolidation of our new organisational completed Australia’s first horticultural trial design. For example, we responded to drought, of medicinal cannabis. fire recovery, blue-green algae outbreaks, • The first round of funding from the $15 million the downturn in dairy prices and an unexpected Target minerals exploration program was rate of wheel wear on V/Line trains. We advised awarded, with a continued focus on developing on our expectations of economic and industry low-emission resources technologies, and reforms transformation, population growth, technological were made to the Earth Resources Regulator to disruption and workforce changes. better protect the community, provide certainty for industry and promote transparency. Our key achievements included: • The $20 million New Energy Jobs Fund opened • Designing and delivering the commitment and the first recipient has been announced. of $37 million for Victoria’s drought-affected Reduced emission and new jobs were set in train farmers, small businesses and communities. through an auction of energy certificates under • Supporting the launch of the $200 million the Renewable Energy Target. The Saving Energy, Future Industries Fund to stimulate investment Growing Jobs initiative was funded, including and job creation in high potential sectors, $10 million to retrofit public housing stock following extensive consultation and analysis. and the homes of Victorians with complex health conditions, to make them more energy efficient • Advising on the Victorian Regional Statement, and to help reduce energy bills. which was released in response to the Regional Economic Development and Services Review. • In transport, the $1.3 billion CityLink Tulla The centrepiece is the establishment of nine Widening Project – jointly funded by the Victorian new Regional Partnerships, with representatives Government, Commonwealth Government drawn from the three tiers of government, and CityLink operator Transurban – commenced business and the community, to identify regional works. It will reduce travel times, improve safety priorities and direct these into the government’s on the two freeways and create more than budget and policy deliberations. 1400 jobs during construction. • Supporting the establishment of LaunchVic to strengthen Victoria’s entrepreneurial and start-up environment, and laying the foundations for Visit Victoria – the new body to increase tourism, major events and conventions in Victoria. 4 DEDJTR Annual Report 2015-16 • Works began on the $5.5 billion Western DEDJTR Connects is our strategy for developing Distributor Project that will reduce congestion our people and the organisation as a whole. along the M1 corridor from Geelong to Pakenham Reflecting the suggestions and feedback from by providing an alternative to the West Gate staff across the department, it plans to develop Bridge. The project will deliver a second river our people, culture, processes and systems. It is crossing, provide extra lanes on the West Gate the internal complement to our externally-facing and Monash Freeways, and remove thousands strategic plan. The two strategies together create a of trucks from inner-west suburban streets. It will strong foundation for a productive and collaborative create more than 5600 jobs during construction. organisation which serves its communities well. • There has been significant progress on a number The dedicated and skilled staff in our young of projects to ease congestion on our roads department and its portfolio agencies achieved and add capacity to our rail network. Four level a great deal for Victorians through their hard and crossings were removed and construction started purposeful work. Their achievements are outlined on another 15. In addition, the Melbourne Metro in this report. It is a pleasure to work with them Rail Project business case was released, an and I would like to thank them publicly for their Environment Effects Statement was prepared professionalism and dedication to improving the and the early works contract awarded. lives of all Victorians. • Victoria’s first creative industries strategy, Creative State, was launched. It delivers more Our 2840 staff – located at five CBD and 14 outer- than $115 million in new funding to create jobs and metropolitan sites, as well as 77 regional sites employment opportunities as well as economic, across Victoria and 18 international offices – have social and cultural benefits to Victorians. delivered through a period of major change and high workload; this has been difficult for some and All this was done while the delivery of core services challenging for most. continued: enabling people and freight to move across the state; facilitating investment, trade Accountable Officer’s declaration and development; supporting our agriculture, In accordance with the Financial Management energy and resources sectors; and developing Act 1994, I am pleased to present the Department our creative industries. of Economic Development, Jobs, Transport and Our advice to government and the implementation Resources Annual Report for the year ended of its programs is underpinned by a sound 30 June 2016. understanding of the state’s economy: its drivers, opportunities and risks. Our DEDJTR Delivers – Strategic Plan 2016 describes how we will deliver a stronger and more inclusive economy. The strategic plan strengthens our understanding and management of the differences in economic Richard Bolt health across the state and among the cohorts of Secretary its population. This annual report reflects how well we have performed against the plan and a new Outcomes Framework will improve our understanding of the impact of our work. DEDJTR Annual Report 2015-16 5 01 OVERVIEW ABOUT THE DEPARTMENT The Department of Economic Our vision Development, Jobs, Transport and Resources seeks to improve the lives A productive, competitive and sustainable and prosperity of all