Healthy Catchments Quality Water Always

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Healthy Catchments Quality Water Always Sydney Catchment Authority | Annual Report 0607 I Healthy catchments Quality water Always Sydney Catchment Authority | Annual Report 2006–07 Figure 1: SCA drinking water catchments Sydney Catchment Authority | Annual Report 2006–07 Sydney Catchment Authority 1 Annual Report 2006–07 Contents Letter to the Minister 2 About the SCA 4 Our key areas of performance 7 Report from the Chairman 8 Report from the Chief Executive 10 Corporate governance 14 Our organisation 16 KRA 01 Threats to water quality minimised 19 KRA 02 Sustainable and reliable water supply 29 KRA 03 Commercial success 41 KRA 04 Building and sharing knowledge 49 KRA 05 Results through relationships 59 KRA 06 Dynamic, supportive workplace 67 KRA 07 Quality systems and processes 69 Financial reporting 76 Appendices 135 SCA Division Report 157 Glossary 200 Acronyms 201 Annual Report 2006–07 compliance checklist 202 Sydney SydneyCatchment Catchment Authority Authority | Annual | ReportAnnual 2006Report–07 2006–07 2 Sydney Catchment Authority | Annual Report 2006–07 Healthy catchments, quality water – always 3 Above: The Nepean/Avon deep water access project involved constructing a new pumping station at the base of Nepean Dam and a two kilometre pipeline to deliver water to Avon Dam, which supplies the Illawarra. Sydney Catchment Authority | Annual Report 2006–07 About the SCA The Sydney Catchment Authority SCA business plan principles 4 Annual Report 2006–07 Our vision The 2006–07 annual reports for the Sydney Catchment Healthy catchments, quality water – always Authority (SCA) and Sydney Catchment Authority Division of the Government Service (SCA Division) Our key values provide details of organisational performance over the past year. Changes to the NSW Government’s • Being accountable employment legislation in early 2006 resulted in the • Caring for the environment SCA being provided with personnel services pursuant • Behaving ethically to a contract with the SCA Division of the Government • Working together Service. As a consequence of the Pubic Sector • Acting professionally Employment Legislation Amendment Act 2006, which amended the Public Sector Employment Management • Being respectful Act 2000, the SCA has additional reporting • Ensuring safety requirements. The SCA Division’s annual report for 2006–07 begins on page 157. Our key result areas The SCA and the SCA Division reports are organised Threats to water quality minimised against the key result areas of the SCA Business Plan • Sustainable and reliable water supply 2002–2007 (as outlined on page 11). From 30 June • Commercial success 2007, the business plan will be replaced by the SCA • Building and sharing knowledge Corporate Plan 2007–2012. • Results through relationships Each year, the SCA also produces reports on water quality monitoring, and catchment management • Quality systems and processes and protection activities that cover these aspects of • A dynamic and supportive workplace the SCA’s operations in detail. The SCA’s annual report, along with these other reports, is available The SCA at a glance on our website – www.sca.nsw.gov.au. Who we are The Sydney Catchment Authority (SCA) is a statutory corporation established in 1999, pursuant to the Sydney Water Catchment Management Act 1998 (the SWCM Act), by the New South Wales Government. The SCA Division currently employs about 300 staff. The SWCM Act is the legislation that defines the roles, functions and objectives of the SCA. Sydney Catchment Authority | Annual Report 2006–07 What we do The SCA’s performance against the terms of its operating licence is subject to annual audit by The role of the SCA is to: 5 IPART. • manage and protect the catchment areas and catchment infrastructure works The operating licence may be reviewed mid-term and is required to be reviewed at the end of the • be a supplier of bulk water term. • regulate certain activities within or affecting catchment areas. How we are funded Our objectives and functions SCA activities are funded by the sale of bulk raw water to customers at prices determined by IPART. The SWCM Act sets out the principal objectives of the SCA as being to: • ensure that the catchment areas and catchment Principal legislation infrastructure works are managed and protected The Sydney Catchment Authority is constituted so as to promote water quality, the protection under the SWCM Act. The Act sets out the SCA’s of public health and safety and the protection of functions and the role of the SCA Board. It provides the environment for financial accountability by the SCA Board to the Minister and the Treasurer through the Statement of • ensure that water supplied by the SCA complies Financial Framework. The statement includes the with appropriate standards of quality SCA’s financial purposes, payment of dividends, tax • conduct its activities in compliance with the equivalents and guarantee fees. principles of ecologically sustainable development where the SCA’s activities affect We are also required to comply with a water the environment management licence administered by the Department of Water and Energy (DWE). The licence • manage the SCA’s catchment infrastructure places conditions on the SCA’s management of works efficiently and economically and in water, including access to water resources within accordance with sound commercial principles. our area of operations, extraction, and the release The role, objectives and functions of the SCA are of water to rivers. performed subject to an operating licence which is The SCA is required to enter into arrangements with granted by the Governor under section 25 of the Sydney Water Corporation (Sydney Water) regarding SWCM Act. The purpose of the licence is to set out our supply of water to Sydney Water, and to enter the terms and conditions under which the SCA into memoranda of understanding with certain undertakes its statutory functions. The licence regulatory agencies. expires on 30 June 2010. The licence also requires us to comply with quality and performance The lands adjacent to Sydney’s water storages are standards in the licence or to be developed through defined as ‘Special Areas’. The SWCM Act provides the licence. Compliance under the terms and for the SCA’s joint management of the Special Area conditions of the licence is regulated by the lands with the Department of Environment and Independent Pricing and Regulatory Tribunal Climate Change (DECC). This involves preparing (IPART). The Governor is able to renew the licence plans of management for all Special Areas to for a maximum of five years at a time. maintain ecological integrity and protect water quality. The plans guide the SCA’s programs of works in the Special Areas. Sydney Catchment Authority | Annual Report 2006–07 Principal regulations Consultation during development of the plan highlighted community expectation that the 6 The SCA regulates activities that impact on catchment government act to provide a secure supply of water. lands and water quality. It uses regulations made The NSW Government’s aim is to ensure that reliable under the SWCM Act and planning instruments made supplies remain available and affordable while under the Environmental Planning and Assessment Act populations grow and conditions change. In 1979 (EPA Act). addition, the government aims for this supply to be The Sydney Water Catchment Management delivered in the most cost efficient and sustainable (General) Regulation 2000 allows the SCA to way. Secure supplies of quality water are needed for regulate access and activities in its controlled and drinking, farming, industry and residential use, and Special Areas. The Sydney Water Catchment for sustaining the health of our rivers and wetlands. Management (Environment Protection) Regulation The 2006 Metropolitan Water Plan, already in place, 2001 allows us to protect water quality and manage identifies actions to secure water for Sydney’s the catchments by exercising certain regulatory future, by increasing recycling, reducing demand, functions under the Protection of the Environment and increasing supply. For the SCA, this involves: Operations Act 1997 with regard to non-scheduled premises and activities. • accessing deep water in our dams Under Section 117 of the EPA Act, the SCA is able to • developing options for increasing water influence development in the catchments and transfers from the Shoalhaven council amendments to local environmental plans • preparing to tap into groundwater reserves if (LEPs). The purpose is to ensure the plans contain needed to respond to worsening drought adequate measures to protect the catchments and conditions water quality. • researching the impact of climate change on The SCA is managed by the Chief Executive in water supplies accordance with policies and directions as • implementing new environmental water releases determined by the Board who is also subject to any from dams to improve river health which require direction of the Minister for Climate Change, building new outlet works at several dams and Environment and Water given in accordance with identifying works that may be required to weirs the SWCM Act. downstream of these water supply dams to allow the passage of the flows and fish past Our responsibilities under these barriers. the State Plan The State Plan, A New Direction for NSW, was launched by the Premier, the Hon Morris Iemma, on 14 November 2006. The State Plan sets out five areas of activity, including ‘Environment for living’ in which the government commits to protect the environment while delivering practical
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