Annual Report 2011 Accountable Officer’s declaration In accordance with the Financial Management Act 1994, I am pleased to present the Department of Sustainability and Environment’s Annual Report for the year ending 30 June 2011. Greg Wilson Secretary Department of Sustainability and Environment 31 August 2011 Cover image: Johanna Beach, Great Ocean Road Photo: Robert Blackburn Credit: Tourism Victoria Secretary’s foreword This 2010–11 Annual Report represents a year of significant Melbourne, Living Victoria Roadmap, set out key priority areas achievements for DSE. In one of the wettest years on for guiding urban water reform and establishing Victoria record, the department undertook an unprecedented flood as a leader in integrated water cycle management. response and recovery program, while still making significant DSE’s legislative program this year included a lead role in progress towards the State Government’s increased planned development of the Climate Change Act 2010, as passed by burning commitments. Following the 2010 election, the the Victorian Parliament in September 2010. The act creates department focused its efforts on implementing the incoming a legal framework for key actions and initiatives in responding government’s vision and commitments, including delivering to climate change in Victoria. With the enactment of the the Living Melbourne, Living Victoria policy roadmap within Traditional Owner Settlement Act 2010, DSE signed its first five months. DSE ended the year having established a new, two Traditional Owner Land Management Agreements with community-focused organisational model, aimed the Gunaikurnai People of Gippsland and the Yorta Yorta at strengthening regional services. People of northern Victoria. These achievements, and the many others outlined in the Collaboration with Victorian communities and stakeholders report, have been made possible with the commitment, continues to be a priority for the department. This year the dedication and professionalism demonstrated by staff across department has put in place a new regional model with a the organisation. Yet again, DSE’s teams across the state greater emphasis on place. With the establishment of five DSE worked resiliently to support Victorians at a time in which regions, and strengthened regional leadership teams, DSE has our natural environment placed critical challenges on many a more visible presence across the state. The department now communities. I am proud that DSE’s staff worked hard to has better capacity to act and respond at a local level, based not only implement policies but to support the Victorian on regional relationships and intelligence. communities in which we work. This level of commitment helps ensure that DSE can progress initiatives in line with the government’s expectations, and those of all Victorians. Looking ahead to 2012 Priorities for 2011–12 will continue to include an emphasis on Areas of focus in 2010–11 responding to flood events (including repair and expansion of the flood warning network) and implementing the government’s Heavy rainfall in September 2010, and from December to response to the Victorian Bushfires Royal Commission. March 2011, resulted in significant flooding across the state, with the majority of western Victoria experiencing its highest The government has set out that its environmental approach rainfall on record. These floods affected homes, businesses is to be delivered through strong partnerships with local and communities and resulted in large-scale damage to the communities, ensuring the protection of biodiversity and natural environment, including Victorian parks and reserves. ecosystems, improving the sustainability of natural resources and planning ahead for rivers, wetlands and marine environments. Staff across DSE and its portfolio agencies were immediately deployed in flood emergency response, with crews working Implementation of DSE’s new service delivery model will around-the-clock to assist communities impacted by the support this vision, enabling the department to more waters and assess risks to life, property, infrastructure and effectively deliver on it priorities for 2012. the environment. With the state’s flood warning system significantly damaged, the subsequent recovery program In the coming year, DSE will retain an organisational focus has included implementation of the Flood Warning Network on improving coordination, integration and governance and Improvement Initiative and a Flood Recovery Employment across the portfolio, as well as working to ensure that DSE Program to support regional Victorians directly impacted is a visible and supportive resource for all sectors of the by floods. Victorian community. The record rainfall also delivered obvious challenges to our annual planned burning program – which has significantly increased targets, in response to the 2009 Victorian Bushfires Royal Commission recommendations. Despite the record wet conditions, DSE staff were able to increase planned burns by 29 per cent to 188,997 hectares. Early planning and Greg Wilson preparation allowed for major activity over the days Secretary available for burning. Department of The department also continued to provide input into the Sustainability and Murray-Darling Basin Plan process, complemented by the Environment establishment of Victoria’s first Environmental Water Holder. The Water Holder will streamline the management of environmental water across catchments. Meanwhile, delivery of the government’s key water policy framework, The Living i Contents Secretary’s foreword (i) Report of operations 1 Overview 2 Year in brief 3 About DSE 5 Organisational structure 7 Corporate governance 10 Organisational performance 12 Environmental performance 13 Social performance 24 Financial performance 34 Output performance 38 Efficiently managing water resources 39 Reducing the impact of major bushfires 46 Providing effective stewardship of the environment 54 Increasing community benefits from Victoria’s public land assets 66 Adapting effectively to the impacts of climate change 71 Providing high quality land and property information services 76 Financial report 80 Appendices 165 1. Disclosure index 166 2. Executive officers – DSE and portfolio authorities 168 3. Sustainability Victoria workforce information 173 4. Budget portfolio outcomes 175 5. Disclosure of grants and transfer payments 180 6. Major public entities 191 7. Implementation of the Victorian Industry Participation Policy 192 8. Consultancies 192 9. Disclosure of major contracts 192 10. Compliance with Victorian Government Purchasing Board guidelines 192 11. National Competition Policy 192 12. Compliance with the Building Act 1993 193 13. Freedom of information 193 14. Compliance with the Whistleblowers Protection Act 2001 194 15. Additional information available on request 201 16. Water resource assessment program 202 17. Sustainable water strategies 206 18. Environmental contributions 209 19. Planned burning 2010–11 211 20. Major publications 212 21. Common acronyms 212 22. Glossary of terms 213 Index 214 ii Department of Sustainability and Environment Annual Report 2011 Report of operations The report of operations provides an overview of DSE and details the key projects, programs, services and achievements for 2010–11. The department’s performance against output targets as set out in the State Budget papers is also reported in this section. In many cases the department works with portfolio agencies and other partners to achieve objectives and this is indicated in the text. 1 Overview This section sets out the department’s role and purpose, strategic priorities, values and key highlights for the year. It also provides details on the department’s organisation structure and governance arrangements. 2 Department of Sustainability and Environmentonment Annual Report 2011 Year in brief A snapshot of the department’s achievements during 2010–11. Flood response and recovery Victorian Bushfires Royal Commission A series of significant flood events occurred across Victoria In response to recommendations from the 2009 Victorian in 2010–11, severely affecting homes, businesses and Bushfires Royal Commission, DSE and its partner agencies, communities and resulting in large-scale damage to the continued to implement a number of initiatives, including: environment and the parks and reserve system. UÊ Significantly increasing the level of planned burning Staff across DSE and its portfolio agencies were deployed in conducted each year. DSE and Parks Victoria conducted the response effort, assisting the Victorian State Emergency 748 planned burns, treating a total of 188,997 hectares of Service in various roles ranging from filling sandbags, dropping public land. This is 29 per cent more than last year and more supplies to isolated communities, participation in incident than has been achieved in any of the past 20 years. management teams, to the provision of technical expertise UÊ Identifying and assessing potential places of last resort, relating to mapping, floodplain management and dam safety which could be designated as a Neighbourhood Safer Place. issues. Rapid Risk Assessment Teams assessed risks to life and More than 170 designated sites have been identified. property, infrastructure and the environment on public land UÊ Commencing biodiversity monitoring programs, such as affected by floods across regional Victoria. HawkEye, to understand the long term effect of fire on the Recovery works are underway, including stream and waterway Victorian landscape. clean up and works to