2.1
The Department of Defence (Defence) seeks approval from the Committee to proceed with the LAND 155 - Enhanced Gap-Crossing Capability Facilities Project at various locations in Australia.
2.2
The estimated cost of the project is $23.4 million (excluding GST).
2.3
The project was referred to the Committee on 2 March 2017.
Conduct of the inquiry
2.4
Following referral, the inquiry was publicised on the Committee’s website and via media release.
2.5
The Committee received two submissions and two confidential submissions. A list of submissions can be found at Appendix A.
2.6
On 5 May 2017, the Committee conducted a public and in-camera hearing. A transcript of the public hearing is available on the Committee’s website.
Need for the works
2.7
The proposed LAND 155 - Enhanced Gap-Crossing Capability (EGCC) Facilities Project seeks to provide the Australian Army with an enhanced gap‑crossing capability through the acquisition of new military bridging equipment and support assets.
2.8
The aim of the LAND 155 infrastructure project is to:
Deliver new and upgraded facilities and infrastructure to support the introduction into service of the EGCC to the Australian Army.
2.9
The infrastructure project would deliver infrastructure to store the enhanced new bridging equipment. Defence told the Committee that:
The LAND 155 EGCC will replace the existing Medium-Girder and Floating Support Bridge capabilities with a new Medium-Girder Bridge (MGB) and Improved Ribbon Bridge (IRB) respectively. Bridge Erection Propulsion Boats (BEPB), to support the facilitation of IRB operations, will be refurbished from the existing fleet. The Dry Support Bridge (DSB) and Foot Bridge (FB) will be introduced as new capabilities.
2.10
Defence submitted that the storage facilities are required because the new gap-crossing capability would need to be sustained and maintained in a manner that is different to the current capability.
2.11
In its submission, Defence stated that the existing facilities are deficient in terms of both sustainment and maintenance:
Sustainment… Secure storage of the new EGCC equipment including vehicle circulation hardstand is deficient in some locations. Shelter for storage of the DSB Build Vehicle and critical equipment is insufficient in some locations to protect equipment from degradation.
Maintenance. The EGCC is a larger and more capable fleet which will be stored in four locations across Australia in close proximity to the Australian Army end user and Joint Logistics Units. Currently, there is no suitable hardstand for equipment inspections and maintenance within the identified storage locations.
Scope of the works
2.12
Defence noted that the key types of facilities proposed include shelters for storage of new critical bridging equipment and hardstand for open storage of non-critical bridging assets:
Shelters will allow for the storage of new critical bridging equipment which includes the DSB Build Vehicle, IRB Bridge Build Interface (BBI) and IRB BEPB.
Hardstand will allow for open storage space for non-critical bridging assets and associated circulation area to support vehicle movement as well as equipment loading and movement. This space will also be utilised for equipment inspections and maintenance where possible to reduce the requirements for transportation.
2.13
Defence also noted that the proposed facilities would be provided at four separate locations across Australia, and the proposed works are categorised into four project elements:
Project Element 1 – Joint Logistic Unit - South Queensland (JLU (SQ)), Wallangarra, QLD.
Project Element 2 – JLU – North Queensland (JLU (NQ)), Lavarack Barracks, QLD.
Project Element 3 – JLU – North (JLU (N)), Robertson Barracks, NT.
Project Element 4 – Liverpool Military Area (LMA), NSW, School of Military Engineering (SME) and Camp Sapper.
2.14
In terms of the extent of infrastructure work required at each site, Defence submitted that:
The extent of infrastructure works by site varies as a result of the differing allocations of equipment, availability of appropriate space within existing infrastructure and outcomes of consultation with stakeholders.
2.15
The proposed works for the four elements of the project are as follows:
Project Element 1 – JLU (SQ) Wallangarra, QLD:
shelter for critical bridging assets;
hardstand for non-critical bridging equipment to be stored, loaded / unloaded from LAND 121 Integrated Load Handling System (ILHS) vehicles and basic equipment maintenance including for non-technical inspections;
security fencing to this new compound; and
pavement upgrade to allow for vehicle access to compound off existing road network.
Project Element 2 – JLU (NQ) Lavarack Barracks, QLD:
shelter for critical bridging assets;
hardstand for non-critical bridging equipment to be stored, loaded / unloaded from LAND 121 ILHS vehicles and basic equipment maintenance including for non-technical inspections; and
security fencing to this new compound.
Project Element 3 – JLU(N) Robertson Barracks, NT:
refit/ reuse of buildings 306 and 308 for storage of critical bridging equipment and vehicles as well as IRB modules;
refit/ reuse of existing hardstand for other non-critical bridge equipment; and
security fencing to this new compound.
Project Element 4 – LMA SME and Camp Sapper, NSW:
shelters for critical bridging assets at SME;
hardstand for non-critical IRB modules to be stored at Camp Sapper; and
security fencing to this new hardstand at Camp Sapper.
2.16
With respect to structural design, Defence told the Committee that the proposed new shelters would be steel framed structures with concrete slabs and metal deck roofs, and no internal wall for the new facilities.
2.17
With respect to materials, Defence submitted that:
External walls for the majority of new and extended buildings will primarily consist of metal cladding. All new buildings will have mono-pitched roofs with overhangs appropriate to their purpose and location. Roofs will be constructed of steel with zincalume or colorbond finished metal roofing (or equivalent).
Cost of the works
2.18
The estimated cost of this project is $23.4 million, excluding GST. The cost estimate includes the construction costs, management and design fees, contingencies and an escalation allowance.
2.19
Defence noted that the operating costs would increase as a result of the proposed project due to the ongoing operation and support services required by the new facilities.
2.20
The Committee received a confidential supplementary submission detailing the project costs and held an in-camera hearing with Defence on the project costs.
2.21
The Committee is satisfied that the costings for the project provided to it have been adequately assessed by the proponent agency.
Committee comments
2.22
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.
2.23
Having regard to its role and 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.
2.24
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: LAND 155 - Enhanced Gap-Crossing Capability Facilities Project, at various locations in Australia.
2.25
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.