Table of contents 3 Letter to the Minister 4 Chief Executive’s message 6 Highlights Published by: 8 Corporate overview Corporate Planning VicRoads 16 Corporate governance 60 Denmark Street Kew Victoria 3101 32 Report on operations September 2006 32 Improving road safety Also published on www.vicroads.vic.gov.au 42 Assisting economic and regional development Graphic design by VicRoads, Graphic and Publication Services. © Copyright State of Victoria 2006 54 Providing integrated and sustainable transport This publication is copyright. No part may be reproduced by 66 Protecting and enhancing the environment any process except in accordance with the provisions of the Copyright Act 1968. 76 Improving customer service Authorised by the Victorian Government 84 Developing and sustaining our capabilities 60 Denmark Street, Kew 94 Financial management Printed by McLaren Press Pty. Ltd. 11-19 Lithgow Street, Abbotsford, Victoria, 3607 104 Financial report VicRoads would like to acknowledge the contributions of all 152 Other mandatory disclosures photographers and particularly thank Abigroup for supplying several photos. 162 Appendices International standards serial number (ISSN): 1832-0732 164 Membership of Advisory Councils VicRoads publication identification number: 01700 167 VicRoads offices This report is printed on 35 per cent recycled Australian made paper. 170 Infrastructure projects completed or in progress in 2005–06 190 Disclosure index 191 General index Letter to the Minister The Honourable Peter Batchelor MP Minister for Transport Level 26 80 Collins Street Melbourne Victoria 3000 Dear Minister VicRoads 2005–06 Annual Report I have much pleasure in submitting to you, for your presentation to Parliament, the annual report of the Roads Corporation (VicRoads) for the period 1 July 2005 to 30 June 2006. Yours sincerely David Anderson Chief Executive Victorian Minister for Transport, Peter Batchelor celebrated the opening of the Edgars Road improvement project with members of the community. page 3 Chief Executive’s message This report outlines the outputs and services delivered by VicRoads in 2005–06 which continued to be driven by Government strategies such as Growing Victoria Together, Melbourne 2030, the Metropolitan Transport Plan and arrive alive! Our achievements in 2005–06 reflect the ongoing improvement to VicRoads capability through extensive management and staff development programs on which I also reported in 2004–05. Having consolidated a great deal of planning activity in 2004–05, particularly in the road network development area, 2005–06 was a year of great productivity for VicRoads. Significant on-ground works resulted in an increase in capital expenditure of $198.2 million when compared with 2004–05. The highly awarded Craigieburn Bypass was completed and significant progress was made on other major road links including the Tullamarine-Calder interchange, Calder Highway upgrade and Deer Park and Pakenham bypasses. A further highlight was VicRoads significant contribution to the transport arrangements for the Commonwealth Games which, from all points of view, were highly successful. I would like to acknowledge the many VicRoads staff who helped ensure that the Games were a wonderful promotion for the State of Victoria. In addition to the huge effort that went into the Commonwealth Games, we also put a great deal of work into planning for a fully integrated transport system, culminating in the Government’s release of Meeting Our Transport Challenges in May 2006. Managing road system assets VicRoads $230 million road and bridge maintenance program contributed to a safe and efficient network. The downward trend in road roughness continued, providing 94 per cent of travel on smooth roads in regional Victoria and 93 per cent in the metropolitan area. VicRoads continued to strengthen bridges, ensuring that 99 per cent of the network remained accessible to high productivity freight vehicles – the highest access level of any Australian state. Whilst dry climatic conditions continue to be helpful in maintaining the good condition of our road network particularly in rural areas, VicRoads has commenced preparing contingency plans that would be used in the event that ‘normal’ rainfall returns. During 2005–06 we also put in place a strategy for the programmed replacement of over $500 million worth of traffic signals and Intelligent Transport Systems (ITS) equipment. The strategy recognises the need to be able to respond flexibly to rapid changes in technology. page 4 Improving road safety As always, improving road safety is a key component of Government strategies and consequently VicRoads activities. The world renowned collaborative arrangements in Victoria continued to provide positive road safety results. With the ongoing investment of funds from the Transport Accident Commission, over 2,000 road safety projects have been implemented or commenced over the past four years. We are now starting to see the benefits that this investment is having on Victoria’s fight against road trauma. The 2006 road toll has the potential to be one of the lowest, if not the lowest, on record. Meeting Our Transport Challenges provides nearly $600 million for further specific road safety programs, ensuring that Victoria will continue to invest about $60 to $80 million per annum in this sort of work. In 2005–06 VicRoads established a comprehensive procedure for managing such a long term and intensive program. Managing the network In 2005–06 VicRoads also bedded down procedures for improving the management of road use, particularly in the metropolitan area of Melbourne, through the adoption of a network approach. We saw significant improvements in travel times in areas where this approach had been adopted and the technique promises to provide significant benefits into the future. Responding to customers With an ever increasing demand for information about Victoria’s roads and road use, VicRoads continued to improve its customer response systems. We launched an Enquiry Tracking System to help ensure a timely response to customer enquiries that require follow up action. We also linked our metropolitan and rural call centres to more effectively respond to the annual growth in telephone calls. VicRoads website received a major design upgrade, allowing customers to more easily access the information they needed, especially during the Commonwealth Games. Developing our capabilities The Developing and sustaining our capabilities section of this report provides a great deal of information about the development of VicRoads people. This continues to be a very high priority for the successful management of Victoria’s principal road network. In 2005–06 VicRoads developed a program to encourage staff to work in regional areas and maintained its focus on improving leadership skills through our Leadership Program which was recognised in the 2005 Victorian (Engineers Australia) Engineering Excellence Awards. Our partnerships with national and international agencies continued to provide VicRoads with extensive information, particularly in the areas of road safety and road network management. With high levels of infrastructure development occurring in Victoria and other parts of Australia, workforce development and management will remain a high priority for VicRoads into the future. Thanks to our people and partners The achievements outlined in this report would not have been possible without the dedication and effort of VicRoads staff who have delivered a huge program of work in 2005–06. I thank all of them for their enthusiasm and ongoing commitment. Our partnerships with other public and private sector organisations have also helped us to get things done. I extend my thanks to the individuals in these organisations with whom we have worked throughout the year. As always, the members of VicRoads Advisory Board and advisory councils have provided valuable advice that has helped us to understand and respond to the needs of Victorian communities. page 5 David Anderson Chief Executive Highlights Melbourne 2006 Commonwealth Games The success of the traffic and transport management at the Melbourne 2006 Commonwealth Games was one of VicRoads major highlights in 2005–06. VicRoads worked in partnership with the Office of Commonwealth Games Coordination, the Department of Infrastructure, Victoria Police, Melbourne City Council and Melbourne’s public transport providers to take on this key challenge. VicRoads primary role was to manage roads and traffic to ensure efficient Games transport services to athletes, officials, media and VIPs, while facilitating the movement of on-road public transport and providing for Melbourne’s normal transport demands. Enhanced signal operations and real time traffic management resulted in key roads being able to carry more traffic than normal during peak periods and there were no significant incidents or problems reported on the road network during the Games. A key to the successful management of traffic in and around Games precincts was the Traffic Operations Centre (TOC), which was set up at VicRoads Kew office to support the Games Operations Centre. Staff from VicRoads, Victoria Police and Melbourne City Council worked in the TOC during the Games to assist with the integrated management of Games traffic operations. Meeting Our Transport Challenges In May 2006 the State Government released Meeting Our Transport Challenges, a fully integrated transport plan for shaping Victoria’s transport system into the future. VicRoads contributed