4.1
The Department of Defence (Defence) seeks approval from the Committee to proceed with the proposed JP2008 Phase 5B2 Wideband Satellite Capability Satellite Ground Station – East Facilities Project. This project forms part of the Joint Project 2008 (JP2008) Military Satellite Communications which is a multi-phased project to provide the Australian Defence Force (ADF) with a range of strategic and tactical satellite communications capabilities.
4.2
As part of JP2008 Phase 4, a memorandum of understanding was signed with the United States Government to secure an agreed level of wideband communications satellite capacity and service from the Wideband Global Satellite constellation of satellites providing global coverage in the X and Ka frequency bands.
4.3
The JP2008 Phase 5B2 Wideband Satellite Capacity project aims to:
deliver a Satellite Ground Station – East (SGS-E) to provide anchoring of WGS satellites visible from the east coast of Australia; and
provide the overarching wideband satellite communications Network Management System (NMS).
4.4
The project was referred to the Committee on 22 June 2017.
Conduct of the Inquiry
4.5
Following referral, the inquiry was publicised on the Committee web page and via a media release.
4.6
The Committee received one submission, one supplementary submission and two confidential submissions. A list of submissions can be found at Appendix A.
4.7
The Committee received a briefing from the Department of Defence and conducted public and in-camera hearings on 15 September 2017. A transcript of the public hearing and the public submissions to the website are available on the Committee’s website.
Needs for the works
4.8
In its submission, Defence noted that the ground station for the satellites would provide anchoring of the WGS satellites which are visible from the east coast of Australia as well as providing the overarching wideband satellite communications network management system.
4.9
The ground station includes a facility to house the satellite equipment and associated communication system at a suitable location. The location is near to the southern extremity of the Kapooka Military Area, near Wagga Wagga in New South Wales.
4.10
Defence asserted that the project will ‘…provide us with an increased capacity to anchor and provide better service to our deployed forces.
4.11
When questioned on what would constitute ‘better service,’ Defence explained:
At the moment, we have to restrict the amount of data we can transfer using the extant older systems. This will provide us with a larger station with a larger ability to transfer data faster. We’re also rolling out new fleets of deployable terminals. This will meet that need by giving us a bigger anchor station to anchor those.
Scope of the works
4.12
The proposed scope is outlined in the submission from the Department of Defence which is to deliver fit-for-purpose SGS-E facilities and infrastructure for the strategic anchoring of wideband satellite communications within the Kapooka Military Area.
4.13
The proposed works have been separated into the following three work elements:
1
Work Element 1: The Satellite Ground Station (SGS- E) works;
2
Work Element 2: Defence Terrestrial Communications Network (DTCN) connection to SGS-E; and
3
Work Element 3: Base Utilities, Services and Roads to SGS-E.
4.14
The proposed works for the three elements of the project are as follows:
Work Element 1 - Satellite Ground Station works will include:
Satellite Dish Foundation Infrastructure: This includes concrete pads and services connections from the proposed location of the three satellite dishes to the Transmission building;
Transmission Building: This is a physically secure facility that houses communications equipment to support satellite communication services. The Transmission building includes facilities for up to three maintenance personnel, including workstations, toilets and a kitchenette; and
Supporting Infrastructure which includes:
i
security fencing for the new SGS-E compound;
ii
installation of backup generators and fuel storage;
iii
vehicle access roads and parking; and
iv
water storage tanks to support fire-fighting and on-site water requirements.
Work Element 2 - Connection of the SGS-E to the DTCN which will include:
off-base pit and pipe installation;
fibre optic cabling in the pit; and
pipe infrastructure to connect SGS-E to dual off-base telephone exchanges.
Work Element 3 - The Base Utilities, Services and Roads to the SGS-E site will include:
connection of the base water, electricity, fire monitoring, security monitoring;
building management services to the SGS-E site, sealing of SGS-E access roads; and
provision of stormwater protection external to the SGS-E site boundary.
4.15
The DTCN provides the terrestrial communications connectivity needed by SGS-E to project the Defence strategic networks to deployed ADF assets in support of operations.
4.16
Defence submitted that the satellite dishes and communications equipment within the transmission building are part of the Capability Project materiel acquisition and are therefore separate from the infrastructure and building works required to support the capability.
Cost of the works
4.17
The estimated cost of the project is $33.9 million, excluding GST. The cost estimate includes the construction costs, professional service fees, management fees, contingencies and escalation.
4.18
Defence noted that the operating costs will increase as a result of the proposed works due to the ongoing operation and support services required by the new facilities.
4.19
The Committee received a confidential supplementary submission detailing the project costs and held an in-camera hearing with Defence on the project costs.
4.20
The Committee is satisfied that the costings for the project provided to it have been adequately addressed by the proponent agency.
Committee comment
4.21
The Committee did not identify any issues of concern with the proposal and is satisfied that the project has merit in terms of need, scope and cost.
4.22
Having regard to its role and the responsibilities contained in the Public Works Committee Act 1969, the Committee is of the view that this project signifies value for money for the Commonwealth and constitutes a project which is fit for purpose, having regard to the established need.
4.23
The Committee recommends that the House of Representatives resolve, pursuant to Section 18(7) of the Public Works Committee Act 1969, that it is expedient to carry out the following proposed work: JP2008 Phase 5B2 Wideband Satellite Capability Satellite Ground Station – East Facilities project at Kapooka Military Area, New South Wales.
4.24
Proponent agencies must notify the Committee of any changes to the project scope, time, cost, function or design. The Committee also requires that a post-implementation report be provided within three months of project completion. A report template can be found on the Committee’s website.