ANSWERS TO WRITTEN QUESTIONS - Answered by 28 March 2006
16 August 2005
5. Darwin City Waterfront – Convention Centre
Ms CARNEY to MINISTER for INFRASTRUCTURE and TRANSPORT
So, the total costs for Territorians to run and maintain the convention centre will be at least $75m.
1. What will the Territory have to pay to get the convention centre back into our control after 25 years?
ANSWER
1. DCEC operations:
From the first stabilised year of operation onwards (2012) the budgeted operational contribution is estimated to be in the order of $2.5m per annum.
Both the concession holder and the operator are highly motivated to outperform by way of incentives and deductions based upon (1) base case threshold numbers for international and national delegates, and (2) achievement of operating KPIs. The concession holder’s equity is at risk for delegate performance and the operator’s management fee is at risk for achieving operating KPIs.
Both the operator and the concession holder are incentivised to outperform through an incentive payment based on minimum delegate numbers.
DCEC maintenance:
The cost to maintain the convention centre asset is built into the Territory payment and is based on a fixed sum (indexed) for maintenance and capital replacement.
2. The Territory pays $1 at the end of the 25-year concession period. The asset then reverts to Territory ownership and control.
3. The DCEC is designed to have an operational life in excess of the 25-year concession period. Subject to market requirements at the time, it is to be expected the DCEC will be operational far in excess of this time frame. The asset, when handed back to the Territory in year 25 for $1, will be ‘as new’.
4, There are stringent standards by way of an integrated and comprehensive asset maintenance plan.
47. Chief Minister - Overseas Travel by Staff
Ms CARNEY to CHIEF MINISTER
1. Would you please provide the detail of any overseas trips undertaken by any of your ministerial staff that you were not present on where that staff member was travelling on your behalf?
2. Please detail the purpose of such trips and costs incurred by the ministerial staff on any such trips.
3. Detail the duration of each such trip.
ANSWER
1. No such trip undertaken.
2. Nil.
3. Nil.
111. Manufacturing Base - Northern Territory
Ms CARNEY to MINISTER for BUSINESS, ECONOMIC and RESOURCE DEVELOPMENT
What has the government done over the past four years to attract a manufacturing base to Darwin, given the overwhelming trade imbalance?
ANSWER
The Territory’s goods trade balance in the year to June 2005 was a surplus of $219m.
In terms of manufacturing the government has:
over the last four years provided financial assistance of $336,040 to the Chamber of Commerce NT to support the operational activities of the Manufacturing Council;
over the last four years provided financial assistance of $2m to the NT Industry Capability Network to support the marketing of NT business capability to the major projects;
developed and implemented the ‘Building Northern Territory Industry Participation’ policy;
implemented the requirement for Industry Participation Plans (LIPP) as a result of the above policy;
developed Local Industry Participation Plans for:
established the Manufacturing Consultative Group related to the Manufacturing Industry Strategy - made up of NT unions, the Northern Territory Industry Capability Network, the NT Manufacturers Council, key manufacturing firms and relevant government agencies;
appointed a dedicated Manufacturing Industry Client Manager within the Department of Business, Economic and Regional Development; and
assisted members of the Manufacturing Council and Manufacturing Consultative Group to attend the National Manufacturing Summit in Melbourne in December 2005.
239. Darwin City Waterfront – Contaminated Soil
Ms CARNEY to MINISTER for PLANNING and
LANDS
1. In relation to the Darwin City Waterfront development, what amount of contaminated soil is to be removed and where is it going to be placed?
2. What are the ongoing costs to the Northern Territory government for the storage of this contaminated soil from the Darwin City Waterfront development?
ANSWER
1. The primary source of contaminated soil results from petroleum hydrocarbons which have leaked into the soil over time.
This material presents as a smear in the zone of soil affected by the groundwater table. This material is only likely to be intercepted at a few locations where excavations intercept the groundwater table. Investigations indicate a total of 5000 m3 is likely to be encountered and require removal in the Stage 1 works, and a total of 15 000 m3 has been estimated for the remainder of the site over the duration of the development. These quantities may vary dependent on what is encountered during construction and associated requirements of the Contaminated Land Auditor to ensure endorsement of the remediation works is obtained.
The hydrocarbon impacted material will be treated by a process of biopiling which reduces the hydrocarbon impact through bacterial action and renders the soil suitable for use as land fill. This process may take place on site or, alternatively, at the Shoal Bay waste disposal site subject to satisfactory commercial arrangements being negotiated with the Darwin City Council.
Metals impacted soils will be encountered in subsequent stages of the development in the Fort Hill area of the site. Investigations indicate a total of 5000 m3 is likely to be encountered requiring disposal. Further studies are currently under way to determine the responsiveness to stabilising the metals within the soil matrix prior to disposal.
2. There will be no ongoing costs for the storage of the material, and the decontaminated soil will become available for future beneficial uses.
5. Darwin City Waterfront – Convention Centre
Ms CARNEY to MINISTER for INFRASTRUCTURE and TRANSPORT
So, the total costs for Territorians to run and maintain the convention centre will be at least $75m.
1. What will the Territory have to pay to get the convention centre back into our control after 25 years?
ANSWER
1. DCEC operations:
- Costs to Territorians to operate the convention centre are based on actual performance against budgeted performance. The budget is set by the Territory in conjunction with the operator. The Territory is not obligated to budget any more than the base case business model.
From the first stabilised year of operation onwards (2012) the budgeted operational contribution is estimated to be in the order of $2.5m per annum.
Both the concession holder and the operator are highly motivated to outperform by way of incentives and deductions based upon (1) base case threshold numbers for international and national delegates, and (2) achievement of operating KPIs. The concession holder’s equity is at risk for delegate performance and the operator’s management fee is at risk for achieving operating KPIs.
Both the operator and the concession holder are incentivised to outperform through an incentive payment based on minimum delegate numbers.
DCEC maintenance:
The cost to maintain the convention centre asset is built into the Territory payment and is based on a fixed sum (indexed) for maintenance and capital replacement.
2. The Territory pays $1 at the end of the 25-year concession period. The asset then reverts to Territory ownership and control.
3. The DCEC is designed to have an operational life in excess of the 25-year concession period. Subject to market requirements at the time, it is to be expected the DCEC will be operational far in excess of this time frame. The asset, when handed back to the Territory in year 25 for $1, will be ‘as new’.
4, There are stringent standards by way of an integrated and comprehensive asset maintenance plan.
- The concession holder is required to maintain the total asset including replacement of major capital plant and equipment at regular planned intervals.
- Under the concession deed, the concession holder must also replace, at its risk, any major plant and equipment items which fail before their planned replacement date.
- The concession holder is highly motivated to maintain the asset by way of severe deductions to its daily payment if a functional space is not available for normal use. This can be as high as 75% of the total payment due.
- As a further control, the Territory will conduct an asset audit three years prior to the expiry of the concession period. The concession holder is obliged to rectify any plant and equipment assessed as not being to the required standard, and is also required to provide a bank guarantee to the value of the outstanding items from the asset audit. Should the concession holder not rectify outstanding items, the bank guarantee is available to the Territory to undertake the works.
47. Chief Minister - Overseas Travel by Staff
Ms CARNEY to CHIEF MINISTER
1. Would you please provide the detail of any overseas trips undertaken by any of your ministerial staff that you were not present on where that staff member was travelling on your behalf?
2. Please detail the purpose of such trips and costs incurred by the ministerial staff on any such trips.
3. Detail the duration of each such trip.
ANSWER
1. No such trip undertaken.
2. Nil.
3. Nil.
111. Manufacturing Base - Northern Territory
Ms CARNEY to MINISTER for BUSINESS, ECONOMIC and RESOURCE DEVELOPMENT
What has the government done over the past four years to attract a manufacturing base to Darwin, given the overwhelming trade imbalance?
ANSWER
The Territory’s goods trade balance in the year to June 2005 was a surplus of $219m.
In terms of manufacturing the government has:
over the last four years provided financial assistance of $336,040 to the Chamber of Commerce NT to support the operational activities of the Manufacturing Council;
over the last four years provided financial assistance of $2m to the NT Industry Capability Network to support the marketing of NT business capability to the major projects;
developed and implemented the ‘Building Northern Territory Industry Participation’ policy;
implemented the requirement for Industry Participation Plans (LIPP) as a result of the above policy;
developed Local Industry Participation Plans for:
established the Manufacturing Consultative Group related to the Manufacturing Industry Strategy - made up of NT unions, the Northern Territory Industry Capability Network, the NT Manufacturers Council, key manufacturing firms and relevant government agencies;
appointed a dedicated Manufacturing Industry Client Manager within the Department of Business, Economic and Regional Development; and
assisted members of the Manufacturing Council and Manufacturing Consultative Group to attend the National Manufacturing Summit in Melbourne in December 2005.
239. Darwin City Waterfront – Contaminated Soil
Ms CARNEY to MINISTER for PLANNING and
LANDS
1. In relation to the Darwin City Waterfront development, what amount of contaminated soil is to be removed and where is it going to be placed?
2. What are the ongoing costs to the Northern Territory government for the storage of this contaminated soil from the Darwin City Waterfront development?
ANSWER
1. The primary source of contaminated soil results from petroleum hydrocarbons which have leaked into the soil over time.
This material presents as a smear in the zone of soil affected by the groundwater table. This material is only likely to be intercepted at a few locations where excavations intercept the groundwater table. Investigations indicate a total of 5000 m3 is likely to be encountered and require removal in the Stage 1 works, and a total of 15 000 m3 has been estimated for the remainder of the site over the duration of the development. These quantities may vary dependent on what is encountered during construction and associated requirements of the Contaminated Land Auditor to ensure endorsement of the remediation works is obtained.
The hydrocarbon impacted material will be treated by a process of biopiling which reduces the hydrocarbon impact through bacterial action and renders the soil suitable for use as land fill. This process may take place on site or, alternatively, at the Shoal Bay waste disposal site subject to satisfactory commercial arrangements being negotiated with the Darwin City Council.
Metals impacted soils will be encountered in subsequent stages of the development in the Fort Hill area of the site. Investigations indicate a total of 5000 m3 is likely to be encountered requiring disposal. Further studies are currently under way to determine the responsiveness to stabilising the metals within the soil matrix prior to disposal.
2. There will be no ongoing costs for the storage of the material, and the decontaminated soil will become available for future beneficial uses.
Last updated: 04 Aug 2016