Upload
informa-australia
View
281
Download
2
Tags:
Embed Size (px)
DESCRIPTION
Antony Sprigg delivered the presentation at 2014 National PPP Summit. The National PPP Summit is the leading annual event for industry stakeholders to gather and discuss the issues across the national and global PPP markets. The 2014 agenda reviewed current and emerging financing models as well as showcasing best practice strategies for the procurement process, risk transfer and whole-of-life project management. For more information about the event, please visit: http://www.informa.com.au/PPPSummit14
Citation preview
Advancing sustainability in infrastructure
planning, procurement, delivery and operation.
Antony Sprigg
CEO
0414 454 723
www.isca.org.au
Sustainability Trends in Infrastructure Project Procurement
• Infrastructure Sustainability Council of Australia (formerly Australian Green Infrastructure Council)
• Member based, not-for-profit, industry council
Enhancing the liveability and productivity of ourmajor cities and our regional communities through advancing sustainability in infrastructure planning,
procurement, delivery and operation.
2
ISCA Overview
ISCA then to now
• Bipartisan industry initiative
• 5 years old
• 70 members
• Australia and NZ
• $A 5M to develop
• IS globally benchmarked and locally tailored
3
ISCA Members
4
ISCA Members (cont’d)
5
Global Trend
BUILDINGS
• GBCA – Green Star
– Started 2003
– Over 600 rated + 500 registered
• NABERS
• LEED (USA)
• BREEAM (UK)
INFRASTRUCTURE
• CEEQUAL (UK)
– Started 2003
– Over 150 rated
• ISI - Envision (USA)
– Started 2012
6
What is Infrastructure Sustainability
• Infrastructure sustainability
• Sustainable infrastructure
• Green infrastructure
Infrastructure sustainability (IS Technical Manual) ,” …
infrastructure that is planned, designed, constructed and
operated to optimise environmental, societal and economic
outcomes over the long term”.
7
• Common national language for sustainability in infrastructure
• Consistent application and evaluation of sustainability in tendering processes
• Scoping whole-of-life sustainability risks for projects and assets, enabling smarter solutions that reduce risks and costs
• Fosters resource efficiency and waste reduction, reducing costs
• Fosters innovation and continuous improvement• Builds an organisation’s credentials and reputation in
its approach to sustainability in infrastructure
8
IS Benefits
IS Rating Scheme Drivers
Traction
10
Status Number Value ($m)
Certified 2 350
Registered 23 35,000
Potential 30 30,000
IS relative to asset
lifecycle
Development need
Pre-Feasibility
Feasibility
Concept / tender
design
Detailed Design
Construction
Handover
Project Cycle
Ab
ilit
y t
o I
nfl
ue
nce
QB
L o
utc
om
es
Concept
Detailed
Design
Construction
Ab
ilit
y t
o I
nfl
ue
nce
pro
cu
rem
en
t, m
ate
ria
ls a
nd
wa
ste
12
Business Case
Procurement
Design Construction
Operations
Master Planning
IS Scheme
Why use the IS scheme (slide 1)
13
Why use the IS scheme (slide 2)
Master PlanningInform/challenge master plan through TBL performance assessment of the proposed underpinning infrastructure.• Mitigate perverse outcomes• Enhanced integration• Appreciation of material impacts and opportunities
Business CaseBenchmark, evaluate and gap analyse for TBL aspects in the business case for a new infrastructure project.• Informs and articulates the ‘story’ underpinning the project need• Establishes a TBL governance and performance framework which can be pulled
through each project phase• Identifies and incorporates high value sustainability considerations early• Informs procurement• ‘Bottom up’ due diligence ESG assessment framework for investors • Stream line approvals
14
Why use the IS scheme (slide 3)
DesignAn integrated framework which encourages ‘centralising’ of sustainability ownership, increasing the likelihood of unlocking design solutions which can meet both fit for purpose, cost and sustainability whole of life expectations and outcomes. • Facilitates continuous improvement and innovation• Facilitates sustainability in design processes• Provides a reporting platform
ProcurementA TBL performance framework to assess and identify sustainability objectives, targets and innovations pretender by client and as part of tender response by tenderers. • Consistent industry language and benchmarks, thus reducing costs and improving
outcomes• Reduces risks for clients and increases certainty for tenderers• Provides measureable and quantifiable targets
15
Why use the IS scheme (slide 4)
ConstructionAn industry developed best practise standard for applied sustainability in construction associated with civil and infrastructure projects.• Common industry sustainability language• A framework which can be used to identify and value resource
efficiency, innovation and other environmental and community opportunities• Centralises and maintains sustainability ownership during delivery • Informs project KRA’s/KPIs and associated targets• ‘Voluntary’ and outcomes based, therefore can be a project culture enhancer
OperationA ‘bottom up’ applied sustainability tool and management framework which can be used to benchmark asset performance and inform continuous improvement. • Value creation and risk identification for investors• Baseline asset/network TBL performance for asset owner/operators• Facilitates identification of risks and opportunities and informs continuous
improvement targets• Informs corporate reporting
IS Themes and Categories
16
Themes Categories
Management and Governance
Management Systems
Procurement and Purchasing
Climate Change Adaptation
Using Resources
Energy and Carbon
Water
Materials
Emissions, Pollution and Waste
Discharges to Air, Land and Water
Land
Waste
Ecology Ecology
People and Place
Community Health, Well-being and Safety
Heritage
Stakeholder Participation
Urban and Landscape Design
Innovation Innovation
IS rating scheme
17
Benchmarking
18
Level 1
GoodLevel 2
Excellent
Level 3
Leading
Beyond Compliance
Business
as Usual
Measurement
Implementing
Initiatives
No net impact Restoration &
Enhancement
Compliance
Level of
Performance
IS Scheme Ratings and the Brand
19
Rating Types
20
Rating Type:
Project Phase:Planning &
DesignConstruction Operation
Design RatingOperation
Rating
As Built Rating
Design – As Built - Operation
21
IS in the Planning Support Phase (pre-
procurement)• Options comparison.
• Evaluate sustainability related risks and
opportunities to inform the design and planning
processes.
• Realise the areas you want the private sector to
demonstrate performance and innovation against
(from EOI, to short list, to preferred tenderer).
• Use our performance benchmarks to inform and set
requirements/ expectations for project and thus
leveraged for each procurement stage.
• Use IS to inform your project’s story.
22
Registered Projects
Project/Asset Location Rating Type Asset Status Capital Value ($m)
Whitsunday STP Upgrades
QLD
Sewerage Certified rating awarded
45
Great Eastern Highway Upgrade
WA
Road Certified rating awarded
300
Enlarged Cotter Dam ACT As Built Water Supply and Storage
Verification underway
300
Rous Head Industrial Park
WA As Built Port Self-assessment underway
15
Gold Coast Light Rail (Stage 1)
QLD As Built Light Rail Verification underway
437
Elizabeth Quay WA As Built Roads, wharfs and utilities
Self-assessment underway
438
23
Registered Projects
Project/Asset Location Rating Type Asset Status Capital Value ($m)
Gateway WA - Perth Airport & Freight Access
WA Design As Built
Road Self-assessment underway
1,000
Googong Water Treatment Plant Chemical Facility Upgrade
ACT Design Water Supply
Self-assessment underway
9
North West Rail Link - Early Works
NSW As Built Railway Self-assessment underway
80
Wynyard Walk NSW Design As Built
Cycleways and Footpaths
Self-assessment underway
286
North West Rail Link - Tunnel and Station Civils
NSW Design As Built
Railways Self-assessment underway
1,100
CBD and South East Light Rail
NSW Design As Built Operation
Light Rail Planning and Procurement
1,600
24
Registered ProjectsProject/Asset Location Rating Type Asset Status Capital
Value ($m)
NorthLink WA WA Design As Built
Road Self-assessment underway
1,000
Whitsunday STP Upgrades
QLD As Built Water Supply
Self-assessment underway
45
Confidential Road Asset Management
NSW Operation Pilot
Road Registration 700
Capital Metro ACT Design As Built Operation
Light Rail Self-assessment underway
614
Confidential NSW Design As Built
Road Registration 2,700
Madden and Pakenham St Road Upgrade
NZ NZ Design Pilot
Road Self-assessment underway
13
North West Rail Link – Surface and Viaducts Civil
NSW Design As Built
Railway Self-assessment underway
340
City Rail Link NZ NZ Design Pilot As Built
Railway Registration 2,800
Major projects/PPPs using IS
• Westconnex
• Northconnex
• NWRL
• BAT
• East West?
• Northlink (WA)
• GCLR
• CBD & SE Light Rail
• Capital Metro
25
26
Whitsunday STP Upgrades
Proponent: Whitsunday Regional Council
Contractor: Tenix
Infrastructure Type: Sewerage
Rating Type: Design
Location: Whitsundays, QLD
Capital Value: $45m
Start Date: May 2012
Practical Completion: May 2014
The upgrade of two treatment plants at Proserpine and Cannonvale are to serve growing communities and meet the most stringent effluent discharge requirements to protect the Great Barrier Reef. They will also provide benefits to the local community by reducing sewage overflows, and improving noise and odour.
27
Whitsunday STP Upgrades – HighlightsCategory/ Credit
Score Achievements
Management Systems
7.3/10.5• Good management systems integrating the IS rating tool
into practices• Knowledge sharing clearly demonstrated.
Procurement and Purchasing
4.2/5.0
• Strong commitment to and application of sustainable procurement including local procurement:
• 50% of total spend in the Whitsunday region• 30% of total spend in greater Queensland
Climate Change Adaptation
4.2/5.0• Did a thorough, formal climate change risk assessment
and implemented controls to reduce 22 ‘high’ or ‘very high’ risks to a ‘moderate’ or ‘low’ rating
Energy and Carbon
5.1/10.5
• 305 MWh electricity saved over operational life – thus a 14% reduction equating to $75,000 saving/year
• 14,000 tCO2-e avoided over lifecycle• Use of B20 Biodiesel avoiding 272 tCO2-e (cost neutral)
28
Whitsunday STP Upgrades – HighlightsCategory/ Credit
Score Achievements
Water 3.9/7.0• 15% reduction in water use over lifecycle, with
associated cost benefit
Materials 7.0/7.0
• Reduced the materials footprint by 25%:• Used 4,329 tonnes less concrete• Used 298 tonnes less steel• Used eco-cement with 30% fly ash• Eliminated asphalt from the design
Receiving Water Quality
2.9/2.9• >75% reduction in N and >90% reduction in P (44
tonnes less nutrients annually) to the Great Barrier Reef Marine Park
Ecological Value
2.0/2.0• Ecological value enhanced through >5,000 m2 of
regenerated native habitat and 1000 m2 of wetland
29
Whitsunday STP Upgrades – HighlightsCategory/ Credit
Score Achievements
Innovation 5.0/5.0
• World’s-first trial of Parallel Nitrification & De-Nitrification (PND):
• Significantly improves nitrogen removal• More compact• Less construction materials• More energy efficient
Great Eastern Highway Upgrade
A 4.2km section of the Great Eastern Highway between Kooyong Road and Tonkin Highway widened from four to six lanes with a number of ancillary improvements including central medians, upgraded intersections, on road cycling facilities, bus priority lanes and continuous paths for pedestrians.
Proponent: Main Roads WA (MRWA)
Contractor:City East Alliance (MRWA, Leighton Cont., GHD, NRW)
Infrastructure Type: Road
Rating Type: As Built
Location: Perth, WA
Capital Value: $350 million
Start Date: July 2011
Practical Completion: March 2013
Great Eastern Highway Upgrade – Highlights
31
Category/ Credit
Score Achievements
Management Systems
6.3/10.5
• Commitment to mitigating negative environmental, social and economic impacts
• Accredited management systems• Thorough risk and opportunity assessment• Knowledge sharing clearly demonstrated• Strong decision making approach incorporating
sustainability aspects
Water 2.9/7.0
• Opportunities to reduce water use identified and implemented
• Instead of using high-value potable water, the project installed groundwater bores and constructed a weir which, on completion, was handed to the local council to irrigate parks.
Great Eastern Highway Upgrade – Highlights
32
Category/ Credit
Score Achievements
Materials 6.2/7.0
• Significant reduction in materials lifecycle impacts through extensive use of recycled materials, reducing the use of non-renewable resources of limestone, sand and bitumen
• The highway now has the largest use of recycled material on any WA State road with 43 per cent of imported material being recycled
Previous Land Use
3.3/3.3• >75% of land used for the project was previously
disturbed
Heritage 2.3/5.0• Thorough approach to heritage assessment and
management• Monitoring overseen by appropriately qualified persons
Great Eastern Highway Upgrade – Highlights
33
Category/ Credit
Score Achievements
Innovation 1.7/5.0
• Warm mix asphalt was used on the project, applying innovative foaming technology to mix the bitumen into the asphalt mix
• This was a first for Western Australia, reducing energy use and GHG emissions
IS Rating Tool – Continuous Improvement
Review andFeedback
IS Rating tool V1
Use of Design and As Built V1
IS Rating Tool - Design and As Built V2
Tool Consolidation
Launch Preparation
Op
eratio
n P
ilot
(IPW
EA)
Econ
om
ic
Wo
rkforce
IS Operation V1
Op
eratio
n
Pilo
t (O
thers)
2012
2015 H1
2013 H1
2013 H2
Review and Feedback
2014 H1
2014 H2
New Themes
Proposed
Operational
Priority
Review
Key
ScopingScoping
35
Scope of the Workforce ThemeWorkforce Theme
Recognising and addressing social aspects is key to achieving sustainable outcomes in infrastructure procurement, delivery and operation.
In the IS rating scheme, the workforce is defined as the people directly working (designing, constructing and operating) on the project/asset including direct employees of all key stakeholders and direct employees of sub-contractors (note that the rest of the supply chain is addressed in the Procurement and Purchasing category).
The results of the scoping study recommended that the Workforce theme covers the categories (and credit topics) below.
Capability and Capacity
Knowledge / sustainability awareness
Corporate knowledge
Learning and development
Career management
Strategic planning
Legacy
Performance/ Competency
Job Design
Diversity and Inclusion
Cultural awareness
Cultural heritage
Organisational culture
Supply chain
Inclusive employment
Flexibility
Workstyles
Language, literacy and numeracy
Workforce Relations
Equal Employment Opportunity (EEO)
Privacy
Fairness
Recognition and reward
Communication
Employee engagement
Industrial relations
Organisational development
Workforce Safety, Health and Wellbeing
Active living
Physical health
Mental health
Safety in design
Safety in construction
Wellbeing
36
Scope of Economics Theme
Economics Theme
Economic sustainability relates to the economic value created by an activity after deducting the cost of all inputs, including the cost of the capital tied up. The definition is synonymous with economic efficiency – employing existing resources optimally so that a responsible and
beneficial balance can be achieved over the longer term.
Overall Economics
This category focusses on the overall economics for the
project or asset in determining the scope and whether to
proceed. How has cast-benefit been analysed? Have wider
benefits been considered? How has this information been used in decision making? How have
the capacity building and productivity been considered?
Options Analysis
This category focusses on economics for the project or
asset in options analysis within projects. How has the cost-
benefit of options been analysed? Have wider benefits been considered? How has this
information been used in decision making? How have the
capacity building and productivity been considered?
Valuing Sustainability
This category focusses on sustainability initiatives
undertaken on a project or asset and how the value of these
initiatives has been recognised. How have sustainability
initiatives and their costs and benefits been
analysed, recognised and reported?
Advancing sustainability in infrastructure
planning, procurement, delivery and operation.
Antony Sprigg
CEO
0414 454 723
www.isca.org.au
Thank you