Graham Perrett (Moreton, Australian Labor Party) Share this | Link to this | Hansard source

On behalf of the Parliamentary Standing Committee on Public Works, I present the committee's report No. 3 of 2023 entitled Cocos (Keeling) Islands—West Island, Seawater Reverse Osmosis Plant Project and other works.

Report made a parliamentary paper in accordance with standing order 39(e).

by leave—This report considers three proposals referred to the committee in February and March with a combined value of just under $104 million. The first proposal, from the Department of Infrastructure, Transport, Regional Development, Communications and the Arts, is for a seawater reverse osmosis plant for the Cocos (Keeling) Islands's West Island, which we visited. The second proposal, from the Australian Taxation Office, is for a fit-out of existing leased premises at 200 Collins Street, Hobart, Tasmania. The third proposal, from the Department of Foreign Affairs and Trade, is for the proposed construction and decommissioning of the Australian Pavilion at the World Expo 2025 in Osaka, Kansai, Japan.

The department of infrastructure's reverse osmosis plant will bring water security to the important community of West Island. The only current water supply for the community is considered extremely vulnerable to contamination, a threat that is compounded by the risk of further contamination during the upcoming airfield upgrades. The total cost of the proposed project is $19.6 million. The committee considers that this project is of the utmost importance to ensure that the community of West Island has permanent access to safe drinking water. The committee is aware that the island's community is looking forward to a secure and reliable water source. This plant will also support future economic and tourism development on Cocos (Keeling) Islands.

The second proposal in this report is the ATO's fit-out of existing leased premises at 200 Collins Street, Hobart. The total cost of the proposed project is just under $24½ million. At our public hearing, the committee heard about staff concerns that there had been a lack of consultation in relation to the project. The CPSU believed that there had been missed opportunities in the design process for workers to participate and share their views. The committee was somewhat reassured by the ATO, who discussed that design changes have been made based on feedback and that there would be more opportunities for feedback on the final design. The committee still has concerns and has recommended that the ATO should be conducting broader staff consultation during the design phase of future fit-outs, which should be reflected in any future submissions to the committee.

The third project in this report is the Department of Foreign Affairs and Trade's proposed construction and decommissioning of the Australian Pavilion for the World Expo in Osaka. The total cost of the public works is $59.8 million. Australia's participation in the 2025 World Expo came at the request of the Japanese government and will offer an important opportunity for Australia to further strengthen its relationship with a key strategic and economic partner. Although the expo pavilion will be built and then removed after six months, the committee is satisfied that DFAT is considering environmental impact and options for waste reduction. The committee supports this project.

The committee would like to extend its thanks to all those who provided written and oral evidence in support of these inquiries. We'd also like to thank personnel from the Department of Infrastructure, Transport, Regional Development, Communications and the Arts, the ATO and the Department of Foreign Affairs and Trade for their presentations on these projects and for facilitating site inspections in Hobart and on Cocos (Keeling) Islands.

For each project, the committee recommends that it's expedient that the proposed works be carried out. I commend the report to the House.

Keith Pitt (Hinkler, National Party) Share this | Link to this | Hansard source

by leave—I will make a very brief contribution. I acknowledge the work of the chairman of the committee on these very important matters—particularly on Cocos (Keeling) Islands, which we know are critical in terms of Australia's forward-facing infrastructure, particularly for Defence and others. I also acknowledge the forbearance of those that live on the Cocos (Keeling) Islands. They will have a competitive edge and competitive costs when it comes to the matter of the seawater reverse osmosis plant project, which is relatively unique: saltwater bores enter reverse osmosis to provide fresh water for the residents that live there, along with a number of others who live on the defence base, and for the airport et cetera.

Unfortunately, I couldn't make it to the tax office facility in Tasmania, so I'll leave that alone. But I will come to recommendation 4, in regard to the proposed work by the Department of Foreign Affairs and Trade at the World Expo 2025 Osaka facility. We did have long discussions—as acknowledged by the chair and others—and I thank DFAT and others for putting forward their propositions. Whilst it is supported, I do still have concerns about the cost of the proposal, at $60 million, but it is up to the government to demonstrate value for money. Japan is a critical partner in trade, along with a number of other matters on which we deal with them on an international level.

I also had some concerns about DFAT's priorities, in terms of what was being put forward on the forward-facing part of the facility and the pavilion, given that our major exports to Japan are coal and gas, and our major reasons for trading with them are around coal and gas exports and of course the opportunities for tourism and education on a two-way-trade basis. It didn't seem that that lined up with DFAT's priorities for the expo. I do look forward to seeing them have a successful expo, and I congratulate them on the work they do, but I am concerned about the cost, given what has been expended on previous expos around the world, and as to whether it's value for money.

I thank the committee. I thank all of those who showed up as witnesses. And I thank you for your forbearance, Mr Deputy Speaker.