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Ichthys LNG Project Social Impact Management Plan

August 2014

PRINCIPAL SOCIAL IMPACT MANAGEMENT PLAN

iii Document no.: C075-AH-PLN-00080 Security Classification: Business - Restricted Revision: 0 Date: 16 JAN 2014

TABLE OF CONTENTS 1 EXECUTIVE SUMMARY ........................................................................... 1

2 INTRODUCTION........................................................................................ 6

2.1 Background ............................................................................................ 6

2.2 Requirements for the Social Impact Management Plan .......................... 6

2.3 INPEX Requirements .............................................................................. 7

2.4 Approach to Social Impact Management Plan Development ................... 7

2.5 Supporting Planning ............................................................................... 8

3 PROJECT SUMMARY ..............................................................................10

3.1 Project Description.................................................................................10

3.1.1 Key Project Activities ..........................................................................10

3.1.2 Project Proponent ..............................................................................17

3.1.3 Project Workforce ...............................................................................17

3.1.4 Project Accommodation Village ..........................................................18

3.1.5 Project Area of Influence ....................................................................19

4 EXISTING SOCIO–ECONOMIC AND CULTURAL ENVIRONMENT ........21

4.1 Population, Demography and Diversity ..................................................21

4.2 Housing Availability and Affordability .....................................................24

4.3 Education and Training ..........................................................................26

4.4 Economy ...............................................................................................28

4.5 Health and Wellbeing .............................................................................32

4.5.1 Public Safety ......................................................................................32

4.5.2 Public Order .......................................................................................32

4.5.3 Health ................................................................................................34

4.5.4 Emergency Services ..........................................................................35

4.5.5 Road Traffic Management ..................................................................35

4.5.6 Marine Traffic Management ................................................................37

4.6 Social Infrastructure, Local Facilities and Services ................................37

4.6.1 Utilities ...............................................................................................37

4.6.2 Rail Transport ....................................................................................38

4.6.3 Port and Shipping ...............................................................................38

4.7 Recreation .............................................................................................38

4.8 Residential Amenity ...............................................................................39

4.8.1 Community Vitality and Identity ..........................................................39

4.8.2 Visual Amenity ...................................................................................39

4.8.3 Noise ..................................................................................................39

4.9 Cultural Heritage ....................................................................................40

4.9.1 Aboriginal Cultural Heritage................................................................40

4.9.2 Non-ATSI Cultural Heritage ................................................................41

5 STAKEHOLDER AND COMMUNITY ENGAGEMENT .............................43

5.1 Environmental Impact Statement Consultation ......................................43

5.2 EIS Supplement Consultations ..............................................................44

5.3 Accommodation Village .........................................................................44

5.3.1 Pre-Development Approval ................................................................44


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5.3.2 Exceptional Development Permit .......................................................45

5.3.3 Construction .......................................................................................45

5.4 Road Transport ......................................................................................46

5.4.1 Dredging ............................................................................................46

5.5 Stakeholder Feedback and Dispute Resolution .....................................47

5.6 Specific Community Engagement ..........................................................48

5.6.1 Aboriginal and Torres Strait Islander Communities .............................48

5.6.2 Business Community..........................................................................48

5.7 Community Partnership and Investment ................................................50

5.7.1 ATSI-Specific Community Investment ................................................51

5.7.2 Environmental and Social Offsets.......................................................52

5.7.3 Community Infrastructure ...................................................................53

5.7.4 The Project’s Contractor Community Investment ................................53

6 IMPACT MANAGEMENT AND MITIGATION ...........................................55

6.1 Overview ...............................................................................................55

6.2 Social Impact Analysis ...........................................................................55

6.3 Commitments Tables .............................................................................56

6.3.1 Housing and Housing Affordability......................................................56

6.3.2 Social Integration ...............................................................................66

6.3.3 Road Traffic .......................................................................................74

6.3.4 Employment, Education and Training .................................................82

6.3.5 Business Opportunity .........................................................................96

6.3.6 Regions ............................................................................................ 104

6.3.7 Health and Wellbeing ....................................................................... 108

6.3.8 Emergency Services ........................................................................ 120

6.3.9 Recreation ........................................................................................ 123

6.3.10 Marine Traffic ................................................................................... 130

6.3.11 Public Safety .................................................................................... 133

6.3.12 Defence............................................................................................ 136

6.3.13 Commercial Fishing ......................................................................... 138

6.3.14 Tourism ............................................................................................ 142

6.3.15 Utilities ............................................................................................. 151

6.3.16 Cultural Heritage .............................................................................. 153

6.3.17 Visual Amenity ................................................................................. 162

6.3.18 Noise ................................................................................................ 165

6.3.19 Cumulative impacts .......................................................................... 169

6.4 Residual Risks ..................................................................................... 172

7 REPORTING, MONITORING AND REVIEW .......................................... 175

7.1 Implementation of the Principal SIMP .................................................. 175

7.3 SIMP Implementation Reporting .......................................................... 175

7.4 Monitoring Framework ......................................................................... 176

8 REFERENCES ....................................................................................... 177


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LIST OF TABLES Table 3-1: Key Project milestones of the Ichthys Gas Field Development Project .15

Table 3-2: Project employment as at Q4, 2012 ......................................................18

Table 3-3: Typical workforce accommodation arrangements .................................19

Table 4-1: Summary of baseline demographic characteristics ...............................22

Table 4-2: Top three employment and occupation categories, 2011 ......................24

Table 4-3: Commercial fisheries in Commonwealth Government and Northern Territory waters.....................................................................................29

Table 4-4: Northern Territory victimisation rate ......................................................32

Table 5-1: EIS consultation undertaken by the Project in the Northern Territory ....43

Table 5-2: Consultation activities with the NT business community .......................48

Table 5-3: Major Project forums ............................................................................49

Table 6-1: Social impact themes............................................................................55

Table 6-2: Assumed base case median house price growth, Greater Darwin 2012–2013 to 2019–2020 ...............................................................................58

Table 6-3: Commitment table: housing and housing affordability ...........................63

Table 6-4: Commitment table: social integration ....................................................69

Table 6-5: Commitment table: road traffic ..............................................................77

Table 6-6: Commitment table: employment, education and training .......................86

Table 6-7: Commitment table: business opportunity ............................................ 100

Table 6-8: Commitment table: regions ................................................................. 106

Table 6-9: Commitment table: health and wellbeing ............................................ 111

Table 6-10: Commitment table: emergency services ............................................. 121

Table 6-11: Commitment table: recreation ............................................................. 125

Table 6-12: Commitment table: marine traffic ........................................................ 131

Table 6-13: Commitment table: public safety ......................................................... 134

Table 6-14: Commitment table: defence ................................................................ 137

Table 6-15: Commitment table: commercial fishing ............................................... 139

Table 6-16: Commitment table: tourism ................................................................. 145

Table 6-17: Commitment table: utilities .................................................................. 152

Table 6-18: Commitment table: cultural heritage ................................................... 159

Table 6-19: Commitment table: visual amenity ...................................................... 163

Table 6-20: Commitment table: noise .................................................................... 167

Table 6-21: Timeline of major projects commenced or approved with influence on Greater Darwin ................................................................................... 169

Table 6-22: Commitment table: cumulative impacts .............................................. 171

Table 6-23: Summary of residual risks .................................................................. 172

Table 6-24: Key impacts requiring most attention .................................................. 173

LIST OF FIGURES Figure 1-1: Relationship of SIMP Documents .......................................................... 2

Figure 3-1: Location of the Ichthys Field showing the proposed gas export pipeline route .....................................................................................................11

Figure 3-2: Indicative schematic of the offshore floating facilities ............................12


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Figure 3-3: Greater Darwin Area .............................................................................14

Figure 3-4: Indicative schematic of Blaydin Point onshore and nearshore infrastructure ........................................................................................15

Figure 4-1: Dwelling completions in Darwin and NT ................................................26

Figure 4-2: Recorded crimes: data for Darwin 2007–2012 ......................................34

Figure 4-3: Recorded crimes: data for Palmerston 2007–2012 ...............................34

Figure 6-1: Difference from the base case scenario, by scenarios, median house prices, June 2012 to June 2020. ...........................................................59

Figure 6-2: Median house prices, by scenario, Greater Darwin, June 2012 to December 2017 ....................................................................................59

TABLE OF APPENDICES APPENDIX A: IMPACT ANALYSIS ....................................................................... 184

APPENDIX B: STAKEHOLDER ENGAGEMENT REGISTER ............................... 185

APPENDIX C: TABLE OF PROJECTS IMPACTING GREATER DARWIN 2012–2013 ............................................................................................... 186


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GLOSSARY

Abbreviation Definition

ADF Australian Defence Force

AIP Australian Industry Participation

ATI Advanced Training International

ATSI Aboriginal and Torres Strait Islander

bbl Barrel(s)

bbl/d Barrel(s) per day

CEMP Construction Environmental Management Plan

CPF Central processing facility

CSR Corporate social responsibility

CWA Civil works area

DCM Department of the Chief Minister

EIS Environmental Impact Statement

EDP Exceptional Development Permit

EPC Engineering, procurement and construction

EPC contractor Engineering, procurement and construction contractor

ESIA Environment and Social Impact Assessment

FIFO Fly-in, fly-out

FLNG Floating liquefied natural gas (method of LNG production)

FPSO Floating production, storage and offtake

GDP Gross domestic product

GL Gigalitres (billion litres)

Gm3 Giga-cubic metres (billion cubic metres)

GEP Gas export pipeline

GSP Gross state product

HSE Health, safety and environment

http://www.total.com/en/our-energies/natural-gas-/exploration-and-production/our-skills-and-expertise/liquefied-natural-gas/innovations/floating-lng-202112.html


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Abbreviation Definition

IFC International Finance Corporation

INPEX INPEX Browse, Ltd.

IPP Industry Participation Plan

LNG Liquefied natural gas

LPG Liquefied petroleum gas

MMRF Monash multi-regional forecasting

Mt Million tonnes

Mt/a Million tonnes per annum

NPV Net present value

NAXA Northern Australia Exercise Area

OEMP Operational Environmental Management Plan

Project Ichthys Gas Field Development Project

SIA Social Impact Assessment

SIMP Social Impact Management Plan

* Refer to table below for Northern Territory Government agency revised naming and organisation


ix Document no.: C075-AH-PLN-00080 Security Classification: Business - Restricted Revision: 0 Date: 16 JAN 2014

GOVERNMENT AGENCY ARRANGEMENTS AS AT 3 JANUARY 2013

Previous Organisation New Arrangement (as at 3 January 2013)

Department of the Chief Minister Department of the Chief Minister

NT Police, Fire and Emergency Services NT Police, Fire and Emergency Services

Department of Lands and Planning Department of Lands, Planning and the Environment

Department of Transport

Department of Resources Department of Primary Industry and Fisheries

Department of Mines and Energy

Department of Legislative Assembly Department of Legislative Assembly

Department of Education and Training Department of Education and Children’s Services

Department of Children and Families Office of Children and Families

Department of Justice Department of the Attorney-General and Justice

Department of Correctional Services

Department of Health Department of Health

Department of Construction and Infrastructure Department of Infrastructure

Department of Housing, Local Government and Regional Services

Department of Local Government

Department of Regional Development and Women’s Policy (formerly Department of Regional Development and Aboriginal Advancement)

Department of Housing

Tourism NT Tourism NT

Natural Resources, Environment, Arts and Sport Department of Arts and Museums

Department of Sport and Recreation

Department of Lands, Planning and Environment

Parks and Wildlife Commission of the NT

Department of Land Resource Management


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Previous Organisation New Arrangement (as at 3 January 2013)

Department of Business and Employment Department of Business

Department of Corporate and Information Services

NT Treasury Department of Treasury and Finance

Power and Water Corporation Power and Water Corporation

Darwin Port Corporation Darwin Port Corporation

Auditor-General Office

Land Development Corporation


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1 EXECUTIVE SUMMARY

The Ichthys LNG Project (Project) Principal Social Impact Management Plan (Principal SIMP) encompasses consultation and research undertaken by the Project and the Northern Territory Government (NTG) since 2008.

This document consolidates analysis of socio-economic and socio-cultural impacts and outlines strategies for mitigating impacts.

The Principal SIMP comprises seven sections:

Section 1: Executive Summary;

Section 2: Purpose and structure of the SIMP, with background to SIMP development;

Section 3: Introduction to and overview of the Project;

Section 4: A baseline description of the socio-economic environment;

Section 5: Stakeholder engagement activities undertaken in support of the Project to date;

Section 6: Summary of social and economic impacts and benefits analysis, and commitments; and

Section 7: Framework for the proposed monitoring, reporting and review program.

Ichthys Project Overview

The Ichthys LNG Project is a Joint Venture between INPEX group companies (the Operator), major partner TOTAL group companies and the Australian subsidiaries of Tokyo Gas, Osaka Gas, Chubu Electric Power and Toho Gas.

Gas from the Ichthys Field, in the Browse Basin, offshore Western Australia, will undergo preliminary processing offshore to remove water and raw liquids, including condensate. The gas will then be exported to onshore processing facilities in Darwin via an 889 km pipeline.

The Project is expected to produce 8.4 million tonnes of LNG and 1.6 million tonnes of LPG per annum, along with more than 100 000 barrels of condensate per day at peak. Detailed engineering, procurement and construction (EPC) of the Project is ongoing with production scheduled to start by the end of 2016.

Approach to the SIMP Process

Management of social impacts is a requirement of INPEX corporate standards and the lending policies of the Project’s financiers. A Social Impact Management Plan is a requirement of development permits under the NTG’s Planning Act. The Department of the Chief Minister (DCM) has coordinated the Government’s response during development of the SIMP.

A social impact assessment was undertaken between 2008 and 2009 and the findings summarised in the Project Environmental Impact Statement (EIS) upon which the decision to approve the Project was made. The purpose of the SIMP is to:

Identify opportunities to enhance the positive, and mitigate the negative, social and economic impacts of the Project on communities;

Detail strategies to deal with potential Project impacts;



Identify potential cumulative impacts on the community from multiple simultaneous projects

Identify appropriate stakeholder responsibilities;

Identify appropriate monitoring, reporting and review mechanisms; and

Outline a process to engage with relevant stakeholders and communities as the Project proceeds and the SIMP is implemented.

A Project proposal for a phased approach to SIMP development was approved by the NTG and included:

1. An early construction phase Preliminary SIMP document;

2. A Principal SIMP, building on the Preliminary SIMP, to address all construction activities and actions required to prepare for the operations phase; and

3. An Operations SIMP to include further information on the impacts associated with operational activities and additional mitigation measures to be approved by the NTG prior to start-up of operations.

This relationship is shown in Figure 1-1.

Figure 1-1: Relationship of SIMP Documents

Preliminary SIMP

Early construction

Principal SIMP

Occupation of Accommodation Village

Operations SIA & SIMP

Completed six months prior to first gas

Future opportunities

Future opportunities and construction resulting from Project may require further social impact planning



Existing Social Environment

The onshore development area on Blaydin Point was undeveloped vacant Crown land with Middle Arm Peninsula identified as a site for future industrial development under the Northern Territory Planning Scheme.

The adjacent land and marine environment on Middle Arm Peninsula includes an immigration detention centre (and an alternative place of detention) and associated workforce accommodation village, a power station, an aquaculture facility (Channel Island) and the ConocoPhillips Darwin LNG plant and offloading facility at Wickham Point.

The Darwin Harbour marine area is used intensively for commercial shipping, recreational boating and military activities. Underwater power and communication cables extend across the Harbour on the seafloor between Mandorah and Myilly Point, and the Bayu–Undan pipeline to the Darwin LNG plant runs through the centre of the Harbour. The Harbour also hosts tourism activities such as charter fishing, sailing and general boating.

The area is the traditional land of the Larrakia people and includes both sacred sites and cultural heritage artefact sites. Darwin Harbour is the site of several significant World War II ship and plane wrecks and the surrounds include enviable recreational assets and public services, including a full tertiary public hospital, a private hospital and Charles Darwin University.

Darwin and the Northern Territory have experienced a variety of major construction projects, including Darwin LNG, the Adelaide-Darwin railway, Strategic Indigenous Housing and Infrastructure Program, the Darwin Waterfront, the Alcan Gove Alumina Refinery and Montara Oil Project. Despite this, supply of both skilled construction labour and housing remain a challenge.

Identified Positive Impacts

The consolidated Social Impact Assessment identified the Project’s most significant positive impacts, including:

Increased employment and training opportunities;

Expanded business opportunities from direct Project expenditure and as a result of general economic growth;

Further business opportunities from indirect Project and workforce expenditure, such as construction worker spending as a boost to local businesses; and

Significant upgrades to community infrastructure, particularly roads and waste water.

Impact Challenges

Various mitigation strategies are outlined in this SIMP to address potential negative impacts of the Project. Many have already been developed and successfully implemented and will continue to be closely monitored. Areas targeted include:

Housing availability and housing affordability;

Road and marine traffic safety;

Wage competition/labour shortages for local businesses;



Tourism accommodation availability, effects on tour operators and long-term tourism sector stability;

Potential additional demand on health services; and

Cumulative impacts of simultaneous construction projects.

Commitments Tables

A series of commitments tables are set out in Section 6.3 and document the Project’s measurable commitments to manage and mitigate identified socio-economic impacts and leverage relevant opportunities. These tables are designed to provide greater clarity to stakeholders, community members and potential partner organisations on the tasks and engagement activities planned.

While all mitigation strategies are listed, many have already been undertaken and completed to address potential impacts.

NTG agency actions relevant to managing strategic growth issues have been included as context for Project commitments. Proposed actions/contributions of other parties have been assumed, pending confirmation through consultation as a basis for focused stakeholder engagement. Each commitment table details:

A summary of potential impacts;

Identified impact management objectives and strategies, including relevant NTG stated objectives;

Key stakeholders and potential partner organisations;

Specific actions required by the Project (including contractors), NT or Commonwealth governments, or peak community groups;

Performance indicators to monitor outcomes; and

Review mechanisms – how monitoring data will be collected for reporting to the NTG.

Key commitments, some of which have already been fulfilled, include:

Construction of a temporary construction worker Accommodation Village;

Funding contributions for the Larrakia Trade Training Centre to augment skills training capacity in the Northern Territory and towards Charles Darwin University’s North Australian Centre for Oil and Gas ($3 million respectively);1

Road transport management plans;

Execution of an Industry Participation Plan with obligations that flow on to subcontractors;

Cultural heritage management plans to protect sacred sites and cultural heritage sites; and

Environmental monitoring programs and a program of specific environmental offsets.

1 $ = Australian dollars ($ are Australian dollars throughout this document unless specified otherwise)



Community Engagement Development of the Principal SIMP has drawn on information gathered throughout the extensive existing regular and ongoing, community consultation, including:

Preparation of the Project’s EIS, including the public comment period;

Preparation of the health impact assessment, social impact assessment and traffic impact assessment for the accommodation Village at Howard Springs;

Regular community information sessions to provide updates on Project activities;

Supplier and contractor briefings with Aboriginal and Torres Strait Islander (ATSI) and non-ATSI businesses; and

Ongoing liaison with the Larrakia Development Corporation and Larrakia Nation Aboriginal Corporation.

Targeted consultation with NTG agencies was initiated in February 2013 and stakeholder and public engagement will continue throughout the development and implementation of the SIMP.



2 INTRODUCTION

2.1 Background

In May 2008 the Project sought approval from the Northern Territory and Commonwealth Governments for the development of the Ichthys gas and condensate field to produce liquefied natural gas (LNG), liquefied petroleum gases (LPGs) and condensate for export to markets in Japan and elsewhere. (The Ichthys Project is hereafter referred to as the Project).

The main environmental approvals for the Project under the Environment Protection and Biodiversity Conservation Act 1999 (Cwlth) and Environmental Assessment Act (NT) required the preparation of an Environmental Impact Statement (EIS) which described the Project’s potential environmental, social and economic impacts and outlined how the Project planned to manage these impacts.

The EIS process included the preparation and submission of the Project's Draft EIS for government and public review. Following the receipt of review submissions from government agencies and the public, the Project prepared the EIS Supplement containing INPEX’s responses to submissions. The EIS Supplement included a number of additional studies and incorporated changes to the Project's scope which arose after publication of the Draft EIS.

The Project received environmental approvals from the NTG in May 2011 and from the Commonwealth Government in July 2011 (Commonwealth Government Approval Decision EPBC 4208/2008).

2.2 Requirements for the Social Impact Management Plan

As part of the environmental approval process, the then NTG Department of Natural Resources, Environment, the Arts and Sport (NRETAS) prepared Assessment Report 65 documenting the findings of the environmental assessment completed under the Environmental Assessment Act (NT) (EA Act) and the associated Administrative Procedure. A set of recommendations was also provided to the Minister for consideration and, where appropriate, promulgation in subsequent environmental approvals. Recommendation 20 of this Assessment Report required the preparation of a SIMP for the Project. Specifically, the recommendation states:

A Social Impact Management Plan (SIMP) is to be developed by INPEX in collaboration with NT Government. The SIMP must address social issues that have been raised in the EIS and this assessment report. The SIMP should also be informed by the outcomes of a Health Impact Assessment undertaken as part of the accommodation village assessment process.

NRETAS 2011



The Project applied for and was granted a development permit and an exceptional development permit for the onshore processing plant site (DP12/0065) and the Accommodation Village at Howard Springs (EDP11/0016) respectively, under the Planning Act (NT). The Development Permit for the Blaydin Point site includes as Condition 23:

Prior to commencement of use, or at a later date as agreed by the NT Department of the Chief Minister, the owner of the land shall develop a Social Impact Management Plan (SIMP) for the Ichthys Gas Field Development Project in consultation with the NT Department of the Chief Minister, to the satisfaction of the Consent Authority.

EDP 11/0016 Condition 33 has the same requirement.

2.3 INPEX Requirements

The SIMP has also been prepared in accordance with INPEX’s own internal standards and policies governing the management of environmental and social impacts resulting from a project. These include INPEX’s Environment and Social Impact Assessment (ESIA) Standard and associated guidelines, and INPEX’s policy of Corporate Social Responsibility (CSR).

The INPEX CSR program in Australia aims to:

Align CSR strategies with overarching INPEX corporate principles and goals;

Further develop and maintain INPEX’s social standing and licence to operate in communities impacted by its activities;

Help build and maintain the INPEX brand as an employer of choice within the Australasian resources sector; and

Develop and maintain a management framework for improved due diligence and better CSR outcomes.

INPEX’s Environment and Social Impact Assessment (ESIA) Standard and guidelines outline expectations for the management of both existing and potential environmental and social impacts. The Standard is designed to conserve and protect both the environment and social values of areas in which INPEX activities take place.

The Project has secured finance from financial institutions that have adopted the Equator Principles and will comply with relevant International Finance Corporation (IFC) Performance Standards on Social and Environmental Sustainability (2006) and supporting Environmental, Health and Safety Guidelines (2007) 2. This SIMP is also a requirement under the Project's Environmental and Social Management Plan.

2.4 Approach to Social Impact Management Plan Development

The geographic area covered by the SIMP is restricted to the Northern Territory. Management of the Project’s social impacts outside the Northern Territory are managed through other plans.

2 The Equator Principles (EPs) is a credit risk management framework for determining, assessing and managing environmental and social risk in project finance transactions. EPs are primarily intended to provide a minimum standard for due diligence to support responsible risk decision-making.



The NTG approved a Project proposal for a phased approach to SIMP development. The first development step, a Preliminary SIMP, was based on initial discussions with select government agencies and included a desktop research review of publicly available material, and that already completed by the Project and the NTG. The Preliminary SIMP served as a basis for further, and ongoing, engagement with stakeholders to develop actions and partnerships for the Principal SIMP.

In February and March 2013, consultations with NTG agencies were undertaken as part of the development of the Principal SIMP. In particular, consultation helped:

Further explore potential social benefits and risks of the Project to the Northern Territory, as well as relevant and potential agency responses for incorporation into the Principal SIMP; and

Identify and document additional stakeholders to be engaged during future development of the Principal SIMP.

Consultation with NTG agencies took various forms.

A series of government agency workshops was held, with further follow up interviews with relevant agencies, addressing themes of:

Cost of living;

Operational and practical issues;

Economic activity;

Liveability; and

Cumulative impacts.

The resulting Principal SIMP primarily addresses impacts of the Project’s construction phase, but also includes analysis of foreseeable impacts during the operations phase. More detailed analysis of impacts and opportunities associated with operational activities will be included in the Operations SIMP, to be completed six-months before first gas delivery. The relationship between the SIMP documents is shown in Figure 1-1.

The Northern Territory’s Department of the Chief Minister (DCM) is the lead agency coordinating the NTG response throughout the SIMP’s development and the Project routinely reports to the DCM on its implementation. Responsibility for implementing NTG actions identified in the SIMP is allocated across a range of government agencies in this document.

Project actions within this SIMP are assigned to either INPEX or EPC contractors.

2.5 Supporting Planning

The SIMP provides a framework to manage anticipated socio-economic impacts identified during the completion of the Environmental Impact Statement (EIS) and the Environmental, Social and Health Impact Assessment (ESIA) of the Accommodation Village at Howard Springs, which accompanied the application for an Exceptional Development Permit. Management measures, especially actions required of engineering procurement and construction (EPC) contractors, are frequently given effect by other statutory and non-statutory requirements for plans, specifications, standards or procedures. The SIMP consolidates commitments and addresses gaps where other mitigations are insufficient or narrowly focused on management of environmental or technical issues. Examples of requirements that give effect to the SIMP include:



Community Engagement Plan – Construction: Governs community relations and operation of a community feedback mechanism;

Integrated Stakeholder Engagement Plan for the Ichthys Dredging Program: Addresses communications required with several contractors simultaneously working in Darwin Harbour;

Community Investment Program: A commercial strategy of the Project to invest in community development and sponsorship programs;

Construction Environment Management Plan: Comprises several key statutory environmental management plans (and mirrored by subcontractors) to manage a variety of site social impacts, including dust and noise/vibration;

Accommodation Village Operational Environmental Management Plan (OEMP): Details environmental management measures and controls necessary to avoid, reduce or mitigate environmental impacts;

Dredging and Spoil Disposal Management Plan (DSDMP): The key environment management plan for dredging works addressing many social impacts related to the environment, health and construction;

Greater Darwin Land Transport Management Strategy – Construction Phase: An INPEX-owned plan responding to traffic impact assessments with significant investment in the regional road network and safety communications;

Emergency Management Plan: Procedures for onshore construction sites developed to ensure the consistent and successful interface of NTG agency procedures and INPEX standards; and

Medical Services Plan: Outlining provision of medical services to the construction workforce, avoiding extra demand on public health facilities.



3 PROJECT SUMMARY

3.1 Project Description

3.1.1 Key Project Activities

In August 1998, INPEX CORPORATION (as Indonesia Petroleum, Ltd.) was awarded a petroleum exploration permit for permit area WA-285-P in the northern Browse Basin about 200 km north-west of Western Australia’s Kimberley coast, at the western edge of the Timor Sea. That same year, the subsidiary company INPEX Browse, Ltd. was established.

The exploration drilling program carried out by INPEX Browse, Ltd (INPEX) from March 2000 to February 2001 resulted in a significant gas and condensate discovery in what is now called the Ichthys Field. Based on that discovery, INPEX commenced the Ichthys Gas Field Development Project (the Project). In August 2006 INPEX transferred a 24 per cent participating interest in the Project to Total E&P Australia (TOTAL).

In September 2008 the Ichthys Joint Venture (between INPEX and Total) announced the selection of Blaydin Point on Middle Arm Peninsula in Darwin Harbour as the site for the Project’s onshore LNG processing facilities. In September 2009, Petroleum Retention Lease WA-37-R over the Ichthys Field was granted to INPEX Browse, Ltd. as the Operator of the Ichthys Project. On 1 March 2012 the Joint Authority (consisting of Western Australia’s Minister for Mines and Petroleum and the Commonwealth’s Minister for Resources and Energy) issued production licences WA-50-L and WA-51-L to INPEX for the development of the Ichthys Field (see Figure 3-1).



Figure 3-1: Location of the Ichthys Field showing the proposed gas export pipeline route

Development Concept Description

Offshore, the Project intends to install a floating central processing facility (CPF) to develop the Ichthys Field. The greater part of the condensate will be transferred from the field via a subsurface pipeline to a nearby floating production storage and offtake (FPSO) vessel where it will be treated and transferred to offtake tankers for export (Figure 3-1). Natural gas from the field will be directed through an approximately 889 km gas export pipeline from the field to the onshore facilities at Blaydin Point, for processing into LNG and LPG. A small percentage of the condensate will also be sent to Blaydin Point via the gas export pipeline and shipped from Darwin after treatment.

The most likely resource estimates of the Ichthys Field are 12.8 trillion cubic feet (tcf) of natural gas and 527 million barrels (bbl) of condensate. The Project is expected to produce 8.4 million tonnes (Mt) of LNG and 1.6 Mt of LPG per annum3. It will also produce more than 100 000 barrels per day (bbl/d) of condensate at peak4. The estimated life of the Ichthys Field is 40 years.

3 In metric measure this equates to 361 Giga-cubic metres (billion cubic metres (Gm3) of gas and 83 Gigalitres (million litres) (GL) of condensate. 4 Note: the hydrocarbon resources reported in this document are based upon the “Statement of Hydrocarbon Resources” which was registered with Western Australia’s Department of Mines and Petroleum on 27 March 2009. The P50 resources notified were 12.8 tcf of sales gas and 527 MMbbl of condensate. These figures were INPEX’s best estimates at the time of preparation of this document, but are subject to subsequent review.



Figure 3-2: Indicative schematic of the offshore floating facilities

The Project’s infield facilities, including the offshore component of the subsea pipeline, fall under Commonwealth jurisdiction, while the nearshore and onshore facilities in Darwin fall under Northern Territory jurisdiction.

The nearshore infrastructure will consist of:

Approximately 27 km of subsea gas export pipeline stretching from the mouth of Darwin Harbour to the pipeline shore crossing on the western side of Middle Arm Peninsula;

A module offloading facility on Blaydin Point for receiving prefabricated gas processing modules;

A two-berth product loading jetty on the north-western end of Blaydin Point; and

A navigation channel, turning basin and berthing pocket for the product tankers.

The onshore facilities at Blaydin Point will include:

A 7 km onshore pipeline corridor from the shore crossing area to the Blaydin Point gas processing plant site;

Two gas liquefaction trains, each capable of producing approximately 4.2 Mt/a of LNG;

An LPG (propane and butane) fractionation plant;

A condensate stabilisation plant;

Seven storage tanks (two for LNG, three for condensate, one for propane and one for butane); and



Associated utilities and administration facilities.

Figure 3-3 illustrates the location of the onshore development area at Blaydin Point on the northern side of Middle Arm Peninsula, as well as the location of the Project’s Accommodation Village and relevant road network.



Figure 3-3: Greater Darwin Area



Figure 3-4 is an indicative schematic of the main components of the onshore and nearshore infrastructure at Blaydin Point showing the processing plant, the module offloading facility and the product loading jetty in the foreground.

Figure 3-4: Indicative schematic of Blaydin Point onshore and nearshore infrastructure

Key project milestones are outlined in Table 3-1.

Table 3-1: Key Project milestones of the Ichthys Gas Field Development Project

Project Activity/Milestone Approximate Timing

Commencement of preliminary dredging activities Q2 2012

Staged construction of the Accommodation Village at Howard Springs commences (site preparation and clearing)

Q2 2012

Stage 1 Accommodation Village complete (1000 rooms available) Q2 2013




First production Q4 2016



Further project information is available in the following online documents at <http://www.inpex.com.au/>:

INPEX Browse, Ltd. 2010. ‘Ichthys Gas Field Development Project: Draft Environmental Impact Statement’. Report prepared by INPEX Browse, Ltd., Perth, Western Australia, for review by the general public and by the Commonwealth Government, Canberra, ACT, and the Northern Territory Government, Darwin, Northern Territory.

INPEX Browse, Ltd. 2011. ‘Ichthys Gas Field Development Project: Supplement to the Draft Environmental Impact Statement’. Report prepared by INPEX Browse, Ltd., Perth, Western Australia, for the Commonwealth Government, Canberra, ACT, and the Northern Territory Government, Darwin, Northern Territory.

Project Execution

The Project comprises onshore and offshore portions with most social impacts associated with the onshore portion.

Onshore The bulk of the onshore portion has been awarded as a single engineering, procurement and construction (EPC) contract to JKC Australia LNG Pty Ltd. The Project directly manages the major package of dredging, undertaken by Van Oord Australia. Onshore packages comprise:

LNG facility consisting (JKC):

Civil and site preparation at Blaydin Point;

Downstream LNG plant modules – trains one and two;

Module Offloading Facility and jetty;

Accommodation Village at Howard Springs;

Storage tanks, related piping and racks;

Combined Cycle Power Plant.

Onshore Dredging (Van Oord).

Offshore Offshore packages comprise:

Central Production Facility (CPF);

Floating Production, Storage and Offtake (FPSO) vessel and FPSO mooring systems;

CPF/FPSO rotating equipment;

CPF and FPSO anchor chains;

Subsea production system;

Umbilical risers and flowlines; and

Gas export pipeline, including nearshore dredging (Saipem).



3.1.2 Project Proponent

The Ichthys LNG Project is a Joint Venture between INPEX group companies (the Operator), major partner TOTAL group companies and the Australian subsidiaries of Tokyo Gas, Osaka Gas, Chubu Electric Power and Toho Gas.

INPEX’s parent company INPEX CORPORATION is a worldwide oil and gas exploration and production company currently involved in more than 70 projects across 29 countries. INPEX is ranked in the top 100 global energy companies and is listed on the Tokyo Stock Exchange. Part of the Australian business community since 1986, the company is active in a number of projects in Australia and the Timor Sea in addition to the Ichthys LNG Project. Other projects include the Prelude Floating Liquefied Natural Gas (FLNG) project, Van Gogh, Ravensworth and Kitan oil projects, and the Bayu-Undan condensate development and associated Darwin LNG.

INPEX has also worked hard to establish itself with the Darwin and Northern Territory communities.

JKC Australia LNG Pty Ltd (JKC) is the Joint Venture between JGC Corporation, KBR (Kellogg Brown & Root Pty Ltd) and Chiyoda Corporation. JKC was appointed onshore EPC contractor for the Project and will execute this work, using a variety of subcontractors.

There are two packages with significant activity within or close to Darwin Harbour. Van Oord was appointed primary dredging contractor and Saipem was appointed as construction contractor for the gas export pipeline (GEP).

3.1.3 Project Workforce

It has been forecast that the onshore Project will require a peak workforce of 3500 fly-in-fly-out workers living in an accommodation village at Howard Springs with another 1000 managers and workers living locally. The actual locally-resident portion is dependent upon a number of factors with a key influence being the outcomes of multiple commercially competitive bids for contracts and sub-contracts. Workforce estimates are routinely reviewed and the Project regularly updates the NTG.

The order of magnitude of local hires who work on the Project has implications for the degree of labour competition faced by local businesses and to the size of the population induced to move to the Territory. Some workers will move to Darwin to take up employment opportunities either vacated by locals working on the Project or to work for business benefiting from increased spending by Project suppliers and local hire workers. However, it is difficult to predict with great accuracy how many local people will be successful in gaining work on the Project as this depends greatly on the outcomes of subcontracting tenders that have not yet taken place. The overall employment effect similarly depends upon factors including the spending patterns of local businesses and people hired onto the Project.

Given construction is well underway, the number of local hires to date is known and this provides some context. It is possible to provide commentary on how the skills required for the remainder of construction generally match the capability of NT-based suppliers and provide a sense of how the local hire component of the workforce may change.



Table 3-2 below shows that in late 2012, there were more than 100 local trade workers on the Project and more than 700 non-trades local workers (and more than 1200 NT workers in total have been mobilised to site). These numbers reflect the majority of activity being site clearing and civil engineering works – a sector where Territory businesses have the skills and equipment and are competitive. As the Project progresses, there is an increasing need for skills in mechanical and electrical engineering and specialist skills not readily available in the Territory workforce.

Broadly speaking, steel fixers, concrete workers and riggers/steel erection/crane operators make up the largest proportion of the workforce in the middle stages of construction and continue to be required (but in smaller numbers) during the next three years. In later stages, more mechanical fitters, pipe fitters, welders and electricians are required. Building tradespeople will be required in relatively stable numbers through a major construction like this but work (and contractors) will change from concreting and foundations in early stages to building construction and finishing later in the build. Instrumentation, insulation and specialist painting skills are required towards the end of construction.

Numbers of non-trade local hires cannot be predicted with great confidence but the types of work with most potential for local people include site civil engineering and provision of services at the Accommodation Village such as bus drivers, security and other service activities.

A workforce of approximately 240 direct INPEX hires and 100 contractors will operate the LNG plant.

Once in production, the LNG facility will require periodic maintenance campaigns (around two months, typically three to four years apart) and will need a temporary workforce of approximately 1000.

Table 3-2: Project employment as at Q4, 2012

Manual Non manual

TOTAL Apprentices Unskilled Trades Supervisors Other

Northern Territory 20 724 130 73 278 1225

Other Australian 0 338 31 69 249 687

Non-Australian 0 40 34 14 97 185

TOTAL 20 1102 195 156 624 2097

An analysis completed in late 2012 showed the median age of Project workers at that time was 39.

3.1.4 Project Accommodation Village

The Project assessed 12 parcels of land in the vicinity of Darwin to determine their suitability for the development of Project accommodation facilities. After a rigorous site selection process, including consultation with potentially impacted local communities, the Project selected a site at Howard Springs.

The Project continues to work with stakeholders to ensure that the Accommodation Village at Howard Springs has minimal impact on the local community.



The Project has completed an Environmental and Social Impact Assessment (ESIA), a Health Impact Assessment (HIA) and a Traffic Impact Assessment for the Accommodation Village. It has liaised closely with relevant NTG agencies and local government authorities to minimise associated social impacts during the design phase. As a result of this work, Accommodation Village facilities will be grouped into precincts depending on their use and to manage factors, including noise.

Precincts include:

Accommodation: Accommodation buildings, linen stores and personal laundries;

Administration: Administration offices, emergency first aid and medical centre;

Catering: A kitchen, diner and tavern;

Recreation: An indoor and outdoor sports complex and recreational building; and

Facility Management: Barbeque areas and bus stops.

The NTG will decide on subsequent use of the site, development and/or remediation.

In addition to the Village, the accommodation types that may be utilised by the Project for the projected 1000 workers living outside the Village are shown in Table 3-3.

Table 3-3: Typical workforce accommodation arrangements

Accommodation Type Workforce Characteristics

Temporary worker accommodation facilities

FIFO construction workers

Houses Majority of existing resident construction workers and new resident construction workers with families Small proportion of JKC construction management Small proportion of INPEX construction management INPEX corporate management

Full-serviced furnished apartments (as distinct from short-term self-catering holiday lets)

Minority of existing resident construction workers Large proportion of JKC construction management Large proportion of INPEX construction management

Motels/hotels Short-stay accommodation, including end of FIFO work rotation for the small number of workers living on vessels visiting management and consultants/contractors

3.1.5 Project Area of Influence

The Project predominantly influences the cities of Darwin and Palmerston and the Litchfield Municipality. The environment or development area in which the Project will operate can be divided into three main components:

Offshore development area: Includes the Ichthys Field in the Browse Basin off the north coast of Western Australia as well as the pipeline route from the field to the mouth of Darwin Harbour (south of Wickham Point on Middle Arm Peninsula). The associated Project workforce will work and live primarily on



vessels and transit to offshore locations via Broome and, in some cases, Darwin;

Nearshore development area: Includes pipeline route from the mouth of Darwin Harbour, south to the waters around Blaydin Point and Middle Arm Peninsula, as well as the offshore spoil disposal area about 15 km north of the entrance to Darwin Harbour; and

Onshore development area: Includes the onshore LNG processing facilities at Blaydin Point on the northern side of Middle Arm Peninsula and the onshore pipeline corridor from the shore crossing south of Wickham Point to the Blaydin Point plant. It also includes the Accommodation Village at Howard Springs.

The Project may cause indirect impacts in regional areas of the Northern Territory – most likely through competition for skilled labour. Further economic opportunity impacts on regional areas are acknowledged, assessed and managed as part of the SIMP.

Impacts on Broome and Western Australia as a result of supply operations for drilling or offshore project support functions are being assessed and managed through separate processes and are not included in this SIMP.



4 EXISTING SOCIO–ECONOMIC AND CULTURAL ENVIRONMENT

The onshore development area on Blaydin Point was undeveloped vacant Crown land under the jurisdiction of the Litchfield Council. Middle Arm Peninsula was identified and classified as a site for future industrial development by the NTG under the Northern Territory Planning Scheme.

Current use of the land and marine environment on the Middle Arm Peninsula includes an immigration detention centre, power station, an aquaculture facility on Channel Island and ConocoPhillips’ Darwin LNG plant and offloading facility at Wickham Point. The Blaydin Point area has previously been used for 4WD and recreational fishing/camping.

The Darwin Harbour marine area is used intensively for commercial shipping, recreational boating and military activities. Underwater power and communication cables extend across the Harbour on the seafloor between Mandurah and Myilly Point, and the Bayu-Undan pipeline to the Darwin LNG plant runs through the centre of the Harbour. The Harbour also hosts tourism activities such as charter fishing, sailing and general boating.

4.1 Population, Demography and Diversity

At June 2011, the estimated resident population of the Northern Territory was 211 945 people (ABS 2012a) and 119 627 people (56 per cent) residing in the combined local government areas of the City of Darwin, the City of Palmerston and the Litchfield Municipality (ABS 2012b; 2012 c; 2012d).

For ABS purposes, these three local governments form the Greater Darwin Greater Capital City Statistical Area Structure (being hereafter referred to as Darwin and formerly referred to as the Darwin Statistical Division). Between 2006 and 2011 Darwin’s population increased by approximately 13.8 per cent (ABS 2007d; 2012e).

The population of the Greater Darwin region is projected to grow to 138 202 in 2015 and 166 359 by 2025 (NTG 2011a). The population of the Territory is similarly projected to rise to 310 000 by 2030 and 356 000 by 2040 (NTG 2011b). Revised population projections are expected around the time of the 2013–14 Northern Territory budget (post release of this SIMP).

The population of Darwin is younger when compared with that of broader Australia. In addition, the population is ethnically diverse, with approximately 22 per cent of people born outside the country (ABS 2012e).

A significant proportion (26.8 per cent) of the Northern Territory population in 2011 identified as Aboriginal or ATSI compared with 2.5 per cent nationally (ABS 2012f). In Darwin, ATSI peoples made up 9.2 per cent of residents (ABS, 2012f). Over the period between Censuses 2006–2011, Darwin's ATSI population grew from 10 259 to 11 101, an increase of 842 people or 8.2 per cent (ABS 2007d, 2012f)5. 5 It has been established that the ABS faces significant methodological difficulties in delivering an accurate count of ATSI people and official figures may significantly underestimate their numbers (Taylor 2008).



Table 4-1: Summary of baseline demographic characteristics

Key population demographics

Greater Darwin (GCCSA) Northern Territory Australia

Total persons 120 586 211 945 21 507 719

ATSI peoples as a % of the population

9.2% 26.8% 2.5%

Australian citizens 78.8% 82.6% 84.9%

Age characteristics

Median age 33 31 37

Dependent children (0–14)

21.0% 23.2% 19.3%

Workforce age (15–64) 72.6% 71.1% 66.7%

Seniors (65+) 6.3% 5.7% 14.0%

Family composition

Couple-family without children

24.8% 21.4% 26.0%

Couple-family with children

60.3% 60.9% 59.7%

One-parent family 14.4% 17.2% 14.3%

Other family (multiple/lone household)

1.2% 1.4% 1.2%

Household characteristics

Average household size 2.7 2.9 2.6

Tenure

Fully owned 18.4% 16.3% 32.9%

Being purchased 37.8% 31.8% 35.8%

Rented 43.2% 51.0% 30.4%

Other tenure type 0.6% 3.8% 0.9%

Educational institutions attending

Pre-school 6.7% 7.1% 6.7%

Primary school 36.8% 42.5% 35.2%



Key population demographics


Secondary school 28.2% 26.9% 26.8%

TAFE 6.0% 5.8% 9.5%

University 18.8% 14.3% 18.7%

Other institution 3.4% 3.5% 3.2%

Highest education level attained

Year 12 or equivalent 54.0% 46.5% 53.8%





Did not go to school 0.8% 1.8% 0.9%

Highest non-school qualification

Postgraduate degree 7.0% 6.6% 8.1%

Graduate diploma/certificate

4.4% 4.5% 3.8%

Bachelor's degree 26.6% 25.9% 30.0%

Diploma/advanced diploma

16.7% 16.2% 17.9%

Certificate 45.2% 46.9% 40.2%

Employment status of total labour force

Unemployed 2.8% 3.8% 3.7%

Median income

Median weekly individual income

$897 $745 $577

Median weekly household income

$1806 $1759 $1234

Source: ABS 2012a; 2012e; 2012g



Table 4-2: Top three employment and occupation categories, 2011


Top three industries of employment

Public administration and safety (21.9%)

Public administration and safety (22.3%)

Health care and social assistance (11.9%)

Construction (9.3%) Construction (13.3%) Retail Trade (10.8%)

Retail trade (8.7%) Retail trade (6.8%) Manufacturing (9.2%)

Top three occupations of employment

Professionals (19.9%) Professionals (20.4%) Professionals (21.7%)

Clerical and administrative workers (16.6%)

Technicians and trades workers (25.5%)





Source: ABS 2012a; 2012e; 2012g

4.2 Housing Availability and Affordability

Accommodation and housing for the Project’s construction workforce and potential Darwin housing market impacts from an increased population were key socio-economic issues identified during stakeholder consultation in preparation of the EIS and in subsequent discussions with NTG stakeholders.

Darwin's existing demand for housing continues to pressure housing affordability and availability (Department of Lands and Planning, 2012a). Greater Darwin’s population has increased by 21 per cent since 2001; faster than the national average (ABS, 2012k) and second only to Perth over the past five years. Above average fertility rates and strong interstate and overseas net migration underpin this growth and associated household formation and housing demand.

Employment growth in the Greater Darwin and Northern Territory economies is a major attractor of new residents, particularly younger working age households. Strong employment growth since 2004 has been underpinned by a high share of full time jobs (69.4 per cent in Greater Darwin compared to 59.7 per cent nationally) (ABS, 2012e). This has helped keep the Northern Territory’s unemployment rate below the national average in recent years.

The construction sector is a major driver of local employment, business and economic activity. Construction activity in both residential and non-residential sectors has, and is expected to continue to underpin, employment and income growth. Incomes in Darwin remain strong and well above the national average. This is reflected in the above average share of individuals with incomes of $1000 per week and above.

Despite this strong income and employment market, net household wealth in the Northern Territory remains low. This is believed to reflect a combination of higher levels of household debt and below average rates of home ownership, with Darwin households more heavily dependent on earning capability to maintain financial sustainability.



Despite the lower levels of household wealth, the strength of the Northern Territory economy is such that the rate of personal insolvency and bankruptcy remains just over one third the national average (ITSA, 2013). However, the risk of financial hardship will continue for households with low net wealth, making promotion of home ownership an ongoing priority for government.

The cost of housing in Darwin is a major constraint to home ownership. As at June 2012, Darwin was the second most expensive city in Australia after Sydney, with a median house price of approximately $580 000. Figures for Darwin’s housing prices, particularly in the past 12 months, have also risen quite rapidly (RPS, 2012). This has worsened whole-of-market affordability, with the ratio of house price to household income increasing from just over four times in 2006 to up to 5.5 times in 2011 (RPData, 2013), which is above the benchmark maximum affordable level of four to 4.5 times.

Interestingly, the growth in overall dwelling price in the 12–18 months to mid 2013 was not driven by apartments, usually expected in response to major energy project investments such as Ichthys, but instead centred on detached houses. These prices experienced rapid growth, rebounding after the decline in 2010 to reach new highs in 2012 (RPData, 2013). RPS (unpublished, 2013) has attributed this to a number of factors, including:

An existing oversupply of apartment product in the market;

The repositioning of product to lower, more affordable price points, impacting the overall median price for apartments; and/or

Greater investor attraction to detached housing due to strong potential capital growth in the medium term.

According to 2012 data, median weekly rent in Greater Darwin was $360 per week, compared to $285 per week nationally and $225 in the Northern Territory (ABS 2012a; ABS 2012e; ABS 2012g). The median price of established house sales in Darwin in December 2011 was $505 000 (ABS, 2012j).

The ABS also reported that as at June 2012, there were a total of 36 hotels, motels and serviced apartments in the Darwin tourism region, equating to 3390 rooms and 9 054 beds with bed occupancy rates in tourism accommodation in Darwin recorded at 48.2 per cent compared to 67.1 per cent for the Northern Territory as a whole (ABS, 2012h).

The NTG is working to manage the issue of housing affordability through the launch of the Real Housing for Growth – an initiative to address housing affordability and accelerate housing supply. The previous ALP Government released the Greater Darwin Plan 2012 (Department of Lands and Planning 2012b) as the key land-use strategy document outlining its response to population growth and associated demands on housing, accommodation and infrastructure. It is now under review by the present CLP Government. The plan lists the short-, medium- and long-term actions to be undertaken by the Government to implement eight sub-regional area plans, along with the Darwin Regional Land Use Framework.



Based on Darwin’s current household size approximately 23 500 extra dwellings would be required to accommodate Treasury’s population growth projection of 62 000 people. In 2011, Greater Darwin had a total private housing stock of 48 542 dwellings. This was up 9.9 per cent over the five years from 2006, which is faster than the 6.2 per cent growth of the previous five years. Despite this acceleration in dwelling growth, it was slower than the rate of population growth over the same period (12.9 per cent). There were 287 new residential buildings completed in the Darwin region in September quarter of 2012 and 352 in the December quarter (ABS Customised Report, 2013). Historic annual dwelling completions for Darwin and the Territory are shown in Figure 4-1.

Figure 4-1: Dwelling completions in Darwin and NT

There were 1108 dwelling approvals granted in Darwin in 2010–11 and 1095 in 2009–10 (ABS 8731.0).

Between 2010–2014 and beyond more than 14 000 new proposed and planned lots have been scheduled across greenfield developments in Bellamack, Johnston, Zuccoli, Mitchell, Muirhead, Muirhead North and Weddell. There is also potential for more than 90 000 additional new dwellings across future development in activity centres, infill sites and dual occupancy, and redevelopment of under-utilised land zoned for multiple dwelling and greenfield locations in Darwin, Palmerston, Weddell and the Cox Peninsula (Department of Lands and Planning 2012a).

4.3 Education and Training

The 2011 Census shows 42 104 Darwin residents (34.9 per cent) have completed Year 12 or equivalent (ABS 2012e). This is lower than the national average of 38.1 per cent.

The Northern Territory’s education and training sector, with government and industry, is making a concerted effort in preparing a skilled workforce to meet the needs of the economy.



The Northern Territory's Department of Business is working with industry to develop apprentice and trainee opportunities for the Territory's workforce in line with the growing economy. Darwin is home to Charles Darwin University offering a variety of subjects and disciplines from vocational courses to postgraduate level. INPEX and TOTAL helped establish the North Australian Centre for Oil and Gas with a $3 million contribution.

Larrakia Development Corporation established the Larrakia Trade Training Centre – the biggest cross-training facility under one roof in the Northern Territory. In 2010 INPEX and TOTAL contributed $3 million to fund construction of the Centre. The facility is operated by Advanced Training International (ATI), which manages day-to-day business within a strategic alliance with its project partners, the Larrakia Development Corporation and Kormilda College. The Centre accepted its first students in Q1 2011.

A number of education and training programs specifically targeting ATSI peoples operate throughout the Northern Territory and the Greater Darwin area. Group Training Organisation providers in Darwin with expertise in ATSI clients include Ironbark and Group Training Northern Territory.

Childcare

As with other states in Australia, childcare facilities fall into two main categories:

Long day care: provides part time or all-day care, largely for children 0–5 years, provided by for- or not-for-profit centres as well as local councils, community organisations and employers. They typically operate for eight hours per day for a minimum of 48 weeks per year and are usually run by a mix of qualified and other staff; or

Preschool: curricula or programs provided by qualified staff on a sessional basis in dedicated government and non-government preschools. Preschool is aimed at children in the year before they attend full time schooling, although younger ones may also attend. In some states, preschool is also known as kindergarten.

It is estimated that there are 216 education and care services, in the Northern Territory, including long day care services, three year old kindergarten, family day care schemes, outside school hours care services and preschools).

The role of Commonwealth Government in the provision of child care complements and supports that of the Northern Territory Government. Both levels of government help fund the range of services, provide information and advice to parents and service providers, and help plan, set and maintain operating standards.

The Commonwealth Government is largely responsible for the funding and delivery of long day care (and other childcare services) in the Northern Territory, while the Department of Education and Training on behalf of the NTG is largely responsible for the funding and delivery of preschool services.

Commonwealth Government childcare funding is distributed to families and approved providers through the Child Care Benefit and Child Care Rebate. The NTG provides supplementary funding for childcare through the Northern Territory Early Childhood Services Subsidy (for long day care and three year old kindergarten). The subsidy aims to help families by maintaining fees at a manageable level. In 2011–12, a total of $3.8 million was paid to eligible service providers.



The majority of preschools in the Northern Territory are government preschools that are delivered, funded and staffed by the Department of Education and Training on behalf of the Northern Territory Government. In 2011, 3334 students were enrolled in government preschools. Average attendance rates for ATSI and non-ATSI students were 62 per cent and 88 per cent respectively. Preschool enrolments increased by 72 (two per cent) in 2011 compared with 2010 (Department of Education and Training, 2012).

4.4 Economy

Income and Employment

The Northern Territory has a high workforce participation rate with unemployment rates for both Darwin and the Northern Territory well below the national average (DEEWR, 2011).

The current Census reported an unemployment rate of 2.8 per cent for Darwin, which is lower than the national rate of 3.7 per cent (ABS, 2012f).

Key sectors of employment in the Greater Darwin area were listed as public administration and safety (21.9 per cent), followed by construction (9.3 per cent) and retail trade (8.7 per cent). On a Northern Territory scale, the construction industry, on 13.3 per cent, was again second to employment numbers in public administration and safety.

According to the ABS the mean weekly and disposable household income in Darwin was above the Australian average. Despite this, Darwin was not considered ‘wealthy’. Darwin residents experienced more cash flow problems than other Australians (e.g. inability to pay bills and having to borrow money). Darwin recorded the highest number of renters in the nation with the lowest property and investment assets (ABS 2007b).

Local and Regional Business/Industry

Further information on key Darwin region industries is provided below. These industries are particularly relevant to the Project as they utilise Darwin Harbour and include tourism, Defence, fishing, construction, manufacturing and transport.

Tourism The Northern Territory is divided into nine tourism regions. Darwin Harbour, the cities of Darwin and Palmerston and the outer rural area around the cities are all contained in the ‘Darwin’ tourism region. This region, although relatively small in size, holds a large share of tourism in the Northern Territory.

For the years ended March 2012 and 2013, the Darwin tourism region received 618 000 and 608 000 visitors per year respectively. This represented a drop in visitor numbers of 1.6 per cent during the 12 months to March 2013. In total, the Darwin tourism region accounted for 50.1 per cent of visitors in 2012 and 49.7 per cent of visitors in 2013 to the Northern Territory (Tourism NT, 2013a).

For the years ended March 2012 and 2013, the Northern Territory received 1 234 000 and 1 223 000 visitors per year respectively. This represented a drop in visitor numbers of 0.9 per cent during the 12 months to March 2013. The decrease was largely driven by the fall in international visitors. Despite the decline in visitor numbers, expenditure increased by 1.9 per cent from March 2012 to 2013, from $1 625 million to $1 657 million (Tourism NT, 2013a).



Tourism is an important component of the Northern Territory economy. It generates a significant number of jobs and has a wide-ranging impact upon many other industry sectors. In 2010–11, tourism in the Northern Territory accounted for an estimated $1.4 billion or 8.5 per cent of total Northern Territory Gross Value Added; $1.5 billion or 8.7 per cent of total Gross State Product; and employed around 14 000 people, which amounted to 11.6 per cent of Northern Territory employment (Tourism NT, 2012c).

Recent data to the year ended March 2013 showed there were 7506 rooms available in the Northern Territory, with an average occupancy rate of 64.6 per cent, slightly up on the year ended March 2012. Takings in the accommodation sector amounted to $283 million, an increase of 10 per cent over the previous year. In the Darwin region, there were 38 establishments, offering 3632 rooms, an increase in the number of rooms from the previous year of six per cent. Occupancy rates in Darwin were higher than elsewhere in the Northern Territory, standing at 79.3 per cent for the year ended March 2013, an increase of 7.2 per cent over the previous year. This amounted to takings in Darwin of $178 million, an increase of 19.6 per cent (Tourism NT, 2013b).

Darwin Harbour is a popular recreational and tourism resource for the region. The Stokes Hill Wharf is an example of a successful retail, restaurant and tourism complex within the Harbour. It is managed by the Darwin Port Corporation as a Government Business Division of the NTG, reporting to the Minister for Infrastructure and Transport (Darwin Port Corporation 2009). An upgrade of Stokes Hill Wharf commenced in 2010 with renovation of its function centre followed by further major upgrades to tour operator facilities (Darwin Port Corporation 2011).

Cruise shipping has become an important growth sector for Territory tourism since the opening of the Darwin International Cruise Passenger Terminal in 2008. In 2011–12, Darwin received 43 cruise ship visits, generating a total of 42 436 passenger days, with an additional 12 576 crew days. The direct economic impact of the sector in 2011–12 was estimated at $64.4 million. The outlook for the NT cruise sector is positive with international passenger numbers growing at an average rate of 7.5 per cent per annum since 1980 and Darwin’s close proximity to the identified future high growth cruise source markets of Asia.

Commercial Fishing The Ichthys Field covers waters under the Commonwealth Government jurisdiction (but managed by the Western Australia Government as the ‘designated authority’). The gas export pipeline from the field is in Commonwealth Government waters and Northern Territory waters. The commercial fisheries in these waters include:

Table 4-3: Commercial fisheries in Commonwealth Government and Northern Territory waters

Commonwealth Government managed fisheries

Western Australian managed fisheries

Northern Territory managed fisheries

North West Slope Trawl Fishery Northern Prawn Fishery Western Tuna and Billfish Fishery Southern Blue Fin Tuna Fishery Western Skipjack Fishery

Kimberley Prawn Managed Fishery Northern Demersal Scalefish Fishery Mackerel Managed Fishery Joint Authority Northern Shark Fisheries

Coastal Line Fishery Demersal Fishery Spanish Mackerel Fishery Aquarium Fishery Developmental (Bait and Squid) Fisheries



Commercial fishing operators in each fishery were consulted during preparation of the EIS Supplement regarding potential for interaction between commercial fishing operations and the gas export pipeline in particular, and the Project’s construction more generally. While no significant issues were raised during these discussions, the Project will consult with the NT Seafood Council about pipe laying activities.

Many fisheries boats use the Darwin Fisherman's Wharf and Marina located on Frances Bay Road, in the south-east area of Darwin port. Darwin Fisherman’s Wharf is a 200 m wharf used to fuel vessels or work cargo and is the hub of the fishing and pearl industry in the Northern Territory. The wharf can cater for up to 18, 30 m vessels and Perkins barges leave from this point to provide cargo transport to Groote Eylandt and Nhulunbuy.

Adjacent to Fisherman’s Wharf is a floating pontoon called Hornibrooks Wharf, catering to smaller fishing vessels. Bunkering is available, making this a useful facility for local boats. Fishing vessels, offshore supply vessels, tugs, barges and naval patrol vessels all use these facilities, removing the necessity for voyages to Fremantle in Western Australia or Cairns in Queensland. Next to the wharf is the Marina operated by the Darwin Port Corporation providing up to 85 berths for the northern fishing fleet (Darwin Port Corporation 2011; Enjoy Darwin 2011). Refurbishment works to the value of $2.7 million were carried out at Fisherman’s Wharf and Hornibrooks Wharf during the first half of 2012 (Darwin Port Corporation 2012).

The Darwin Aquaculture Centre is situated on Channel Island in Darwin Harbour, 50 km from the city centre, with specific areas dedicated to fish, molluscs, echinoderms, crustaceans, algae, live feeds and environmental control work in addition to a large dry laboratory, office, workshop and store (Department of Resources, Fisheries Division 2011).

Defence Northern Territory 2012–13 budget papers estimated the Australian Defence Force (ADF) personnel in the Territory to number 6823 in 2010–11 – representing approximately 10 per cent of the total ADF operational personnel. When families of personnel are included, the total number of people associated with the ADF in the Northern Territory tops 14 000.

All ADF operations in northern Australia, including north Queensland and northern Western Australia, are controlled by Headquarters Northern Command in Darwin. Robertson Barracks in Palmerston is the largest base for armoured fighting vehicles for the ADF and other key defence facilities in and around Darwin include Larrakeyah Barracks, the naval base HMAS Coonawarra, Defence Establishment Berrimah and RAAF Base Darwin (Department of Business, Economic and Regional Development 2007).

The Royal Australian Navy’s Northern Australia Exercise Area extends west of Darwin into the Bonaparte Gulf and is used to conduct realistic at-sea exercises with naval and shore-based weapons firing training (Royal Australian Navy 2006).

In April 2012, the first rotation of around 200 United States Marine Corps personnel arrived in Darwin as part of enhanced practical cooperation measures pursuant to the Australia-United States Alliance relationship, announced by former Prime Minister Julia Gillard and United States President Barack Obama, on 16 November 2011.



The intent in the coming years is to establish a rotational presence of up to a 2500 personnel from the Marine Air Ground Task Force (MAGTF), rotating into northern Australia in the area’s dry season. A full MAGTF includes a Command Element, Ground Element, Aviation Element and Logistics Element. Major equipment to support the elements of the MAGTF includes wheeled vehicles, artillery pieces, light armoured vehicles and aircraft (Department of Defence 2012).

Construction The Northern Territory construction industry has experienced rapid expansion in recent years, with spikes of intense activity. The value of engineering construction activity increased from $59 million in 2000 to almost $661 million in June 2012 (ABS 2012i). The large spike between 2001 and 2002 was largely due to construction of the Adelaide-Darwin railway line, while other major projects such as the construction of the ConocoPhillips Darwin LNG plant, Strategic Indigenous Housing and Infrastructure Program, Darwin Waterfront and the expansion of the Alcan Gove Alumina Refinery also contributed to strong demand for increased construction.

The construction industry slowly declined from around mid-2006 following completion of major projects, including the Darwin LNG plant in 2005 and the expansion of the Alcan Gove Alumina Refinery in 2007 (Northern Territory Government 2012i).

Recent strong growth in the engineering construction industry is supported by Northern Territory Department of Treasury and Finance data indicating that the value of engineering work done in the Northern Territory has increased by 32.4 per cent to $616 million in the June quarter 2012.

Growth during that time was primarily driven by a scheduled maintenance shutdown of the ConocoPhillips LNG plant at Wickham Point and activity related to the development of the Montara oilfield in the Timor Sea, in addition to construction work linked to the Ichthys Project (Department of Treasury and Finance, 2012a).

Corresponding Engineering Construction Activity data for the September quarter 2012 indicates that the value of Northern Territory engineering work decreased by 0.5 per cent to $623 million. Despite this, the Northern Territory Department of Treasury and Finance has reported that activity is approaching historically high levels driven by investments such as the Project, Energy Resources of Australia’s mining exploration, the GEMCO refinery expansion and the McArthur River mine expansion (Department of Treasury and Finance, 2012a)

Manufacturing The Northern Territory manufacturing sector is relatively small. According to Manufacturing Skills Australia, as at May 2010 there were 3000 people employed in Northern Territory manufacturing industries covered by the Association. This equates to two per cent of the total employed population of the Northern Territory, or less than one per cent of Australian manufacturing employment (Manufacturing Skills Australia, 2010).

The latest ABS Census reported that in 2010–11 the sector employed 5240 people, up from 4600 people in 2006–07 (ABS 2012i).



4.5 Health and Wellbeing

4.5.1 Public Safety

The onshore development area is 4 km (straight-line distance) from the nearest residential areas in Palmerston and isolated from other users of Wickham Point Road. The Accommodation Village site at Howard Springs is adjacent to residential properties and a school. Both construction sites will be fenced to prevent public access and visitors will be escorted.

Members of the public may spend time closer to the Blaydin Point and nearshore works while boating in Darwin Harbour and fishing in the Catalina Creeks (officially named Lightning Creek and Cossack Creek) near Blaydin Point. There will be marine safety exclusion zones in place to protect community members from interacting with construction activities posing potential public safety risks.

The location of boundary fences of the operating LNG plant and any associated limitations to recreational access will be determined on the direction of NT Worksafe.

4.5.2 Public Order

Crime statistics for the Northern Territory based on ABS household surveys indicate higher rates of victimisation for a number of crimes than the Australian average. This includes higher rates of assault, robbery and motor vehicle theft. The victimisation rates for these crimes are listed in Table 4-4 below.

Table 4-4: Northern Territory victimisation rate

Crime Northern Territory Australia

Assault (physical and threatened) 10.1% 6.1%

Sexual assault 0.5% 0.3%

Robbery 1.0% 0.4%

Break-in 6.0% 2.9%

Attempted break-in 4.8% 2.3%

Motor vehicle theft 1.4% 0.7%

Theft from a motor vehicle 5.9% 3.5%

Malicious property damage 10.3% 7.5%

Source: ABS 2013a

More recent crime statistics from the ABS in June 2013 show the Northern Territory recorded incidents rates comparatively higher than the rest of Australia in a number of areas. For example, total homicide and related offences in the Northern Territory amounted to 8.9 per 100 000 people, compared to the Australian average of 2.0 per 100 000 people (ABS 2013b).



The NT Annual Crime Statistics, compiled by the Northern Territory Department of the Attorney-General and Justice and released in December 2012 highlight a number of key findings relevant to Darwin and the Northern Territory:

The total number of assault victims in Darwin in 2011–12 increased by three per cent compared with 2010–11 and while ATSI female and male victims have decreased by two and six per cent respectively, non-ATSI female and male victims have increased (by seven per cent and six per cent respectively);

The rate of assault offences in Darwin was 1949 per 100 000 people in 2011–12, 34 per cent less than the overall Territory rate and unchanged from 2010–11 assault rates;

The rate of property crime in Darwin shows a decreasing trend through the reporting period (between 2011–12 and 2010–11) and 28 per cent less than that recorded in 2006–07. The Darwin property offence rate in 2011–12 was 14 per cent greater than the overall Territory rate; and

The rate of actual house break-ins in Darwin in 2011–12 has increased by 16 per cent when compared to 2010–11 and is seven per cent greater than the overall Territory rate (Department of the Attorney-General and Justice 2012b).

The significant increases in some categories of offending is in part attributed to increased policing and reporting as a result of the Northern Territory Emergency Response (NTER). The NTER enacted a range of community safety measures, including more police in remote communities, bans on alcohol in prescribed areas and expanded night patrol services (Department Families, Housing, Community Services and Indigenous Affairs 2011).

The NTER measures that increased community willingness to report crime were also implemented at the same time as the Northern Territory Government was running the Violent Crime Reduction Strategy, the Property Crime Reduction Strategy and the Social Order Strategy. These measures may also have affected actual and recorded levels of criminal offending, as they will have influenced police priorities and activities (Department Families, Housing, Community Services and Indigenous Affairs 2011).

A summary of long-term trends in offences recorded by the Department of the Attorney-General and Justice for Darwin and Palmerston is provided in Figure 4-2 and Figure 4-3 below.



Source: Northern Territory Quarterly Crime Statistics, Department of the Attorney-General and Justice 2013

Figure 4-2: Recorded crimes: data for Darwin 2007–2012

Source: Northern Territory Quarterly Crime Statistics, Department of the Attorney-General and Justice 2013

Figure 4-3: Recorded crimes: data for Palmerston 2007–2012

4.5.3 Health

Community health facilities are predominantly located in the Darwin and Palmerston region and offer services commensurate with other cities of similar size. They include two hospitals, a wide range of health and mental health services, nursing homes and palliative care facilities, childcare, emergency services, good physical infrastructure, public transport and entertainment and cultural facilities. The Commonwealth Government has funded construction of a 50 unit patient accommodation complex for the Royal Darwin Hospital (constructed but not yet operating).



The Palmerston GP Super Clinic opened in October 2010 and is run by FCD Health Ltd, a not-for-profit joint venture between Flinders University and Charles Darwin University. The clinic is a general practice, multi-service facility, operating 8am to 6pm, Monday to Friday and 8am to 1pm on weekends. The facility does not provide an emergency service but urgent care outside these hours is provided on site by the Northern Territory's Department of Health (Department of Health 2012a).

On 27 November 2012, the Northern Territory Minister for Health announced a New Service Framework for Health and Hospital Services developed to:

Change the way health and hospital services are delivered across the Northern Territory; and

Provide better connected and integrated services across the health sector.

Key features of the Framework include:

Establishment of two separate Health and Hospital Services, one in the Top End and the other in Central Australia operated by Statutory Management Boards to oversee service delivery;

Transition over 18 to 24 months of a range of health services to the Health and Hospital Services in the regions providing improved service integration and pathways for patients and clients, and local control and decision making;

A smaller Department responsible for Northern Territory-wide health services, policy advice, system planning, clinical governance frameworks, service agreements, system monitoring and intergovernmental relations; and

A Health Corporate Services Bureau providing corporate services to the Health and Hospital Services and Health Department (Department of Health 2012b).

4.5.4 Emergency Services

There are four ambulances servicing the Darwin area, one of which is located in Palmerston. Following a 2009 funding injection the Palmerston and surrounding areas ambulance service increased operations to 24 hours a day, seven days a week.

There are four police stations and four fire stations, serviced by the Joint Emergency Services Communications Centre covering the Darwin region. The Northern Territory Fire and Rescue Service (in conjunction with Bushfires NT) is the primary provider of fire and rescue services throughout the Darwin region.

4.5.5 Road Traffic Management

Road networks throughout Darwin and Palmerston are broadly structured around the Stuart Highway. Tiger Brennan Drive is a major alternative road running parallel to the Stuart Highway between Darwin and Palmerston, where it links back with the Stuart Highway. The Tiger Brennan Drive Extension Project ended recently, with the 2012 completion of Stage 3 (the Berrimah Road-Rail Overpass from Wishart Road to the weighbridge on Berrimah Road).



The Traffic Impact Assessment for the Project (URS 2009) found that along the Stuart Highway, traffic volumes were heaviest near the Darwin CBD (average 26 591 vehicles per day in 2007). Traffic volumes on the Stuart Highway decrease to around 17 000 vehicles per day in the vicinity of Palmerston. Average traffic volumes on the main collector roads in Palmerston were around 5000–7000 vehicles per day in 2007. Traffic on Arnhem Highway east of Stuart Highway is around 6200 vehicles per day (DLP 2010).

The existing road network in the vicinity of the Project includes:

Wickham Point Road: Connects Channel Island road with the existing ConocoPhillips LNG plant at Wickham Point;

Channel Island Road: Is the main access road along Middle Arm Peninsula. It links with Wickham Point Road, providing access to Blaydin Point and the Project’s onshore development area. Channel Island Road is connected to Palmerston by the single carriageway Elizabeth River Bridge;

Jenkins Road: Connects Channel Island Road with the Stuart Highway. This road was recently upgraded by the Northern Territory Government to bituminous sealed heavy-haulage standard, with a contribution of $10 million from the Project. Jenkins Road now takes all JKC traffic, as well as other Project traffic, from Howard West DAC quarry to Blaydin Point, thereby avoiding built up areas around Palmerston;

The Stuart Highway North: Connects to Palmerston, Darwin and the Arnhem Highway;

The Stuart Highway South: Connects to the Project’s quarry material sources at Acacia and ultimately with Tennant Creek, Alice Springs and Adelaide;

The Arnhem Highway: Connects with potential Project quarry material sources at Mount Bundy and ultimately with Kakadu National Park, Jabiru and Arnhem Land;

Howard Springs Road: Provides access east from Stuart Highway to Howard Springs, the location of the Accommodation Village and DAC Howard West Quarry; and

Tiger Brennan Drive: This is the main alternative east–west route to Stuart Highway between Darwin and Palmerston and has relatively high traffic volumes.

Key routes from quarries to Blaydin Point are:

Howard Springs Quarry: Stuart Highway to Jenkins Road, Channel Island Road and then Wickham Point Road;

DAC Howard West: Thorngate Road and Tulagi then to Stuart Highway, to Jenkins and Wickham Point Road. The Department of Defence has an interest in land adjacent to Robertson Barracks that may impact this route;

Channel Island Quarry and Jenkins Road Quarry: Both use Channel Island Road then Wickham Point Road; and

Mount Bundy Quarry: Arnhem Highway on to Jenkins Road and then Wickham Point Road.

The Project has expended more than $22.5 million to improve community road infrastructure and safety. Road upgrades completed by the NTG with a funding contribution from the Project to facilitate safe heavy-vehicle movements associated include:



Channel Island Road – Jenkins Road intersection;

Jenkins Road – Stuart Highway intersection; and

Stuart Highway – Arnhem Highway intersection.

The Blaydin Point access road, an intersection between this road and Wickham Point Road and the Chung Wah Terrace/Elrundie Avenue intersection has been constructed by the Project in consultation with the Department of Lands and Planning (DLP 2012c). The NTG has begun widening Howard Springs Road.

4.5.6 Marine Traffic Management

The Port of Darwin contains well-established trading and recreational facilities that receive a wide variety of vessels ranging from small pleasure boats to commercial tankers. The port boundaries encompass all parts of Darwin Harbour (including East Arm, Middle Arm and West Arm) and extend into Beagle Gulf.

According to the Darwin Port Corporation, vessel traffic in the port has steadily increased since 2004. Most maritime traffic consists of non-trading vessels, including naval vessels, research and recreational craft, fishing and fishing supply vessels, and pearling industry support vessels. Trading vessels are commercial ships carrying cargo or passengers and include rig tenders, tankers, livestock carriers, bulk cargo vessels, barges and cruise vessels. The vast majority of non-trading vessels using the port are fishing and prawning boats with other small vessels such as patrol boats accounting for less than five per cent. Trading vessels mainly consist of barges, stone-dumping vessels and rig tenders.

Recent innovations include a Vessel Traffic Management System, improved pilotage arrangements and stakeholder liaison committees and other structures (Darwin Port Corporation 2012).

4.6 Social Infrastructure, Local Facilities and Services

4.6.1 Utilities

Power and water services to the Darwin area are provided primarily by the Power and Water Corporation (PWC). PWC operates the Channel Island gas turbine generator and a new power station at Weddell.

Some 90 per cent of Darwin’s water supply is obtained from the Darwin River Dam with additional supplies from groundwater. To provide for future population growth in the Darwin area, PWC has started implementing a range of strategies outlined in the NTG’s 10 year infrastructure strategy. These include constructing more bores, establishing a water efficiency program and recommissioning Manton Dam (Department of Lands and Planning 2012b).

Work was recently completed on the NTG commissioned $10 million water pipeline to service the industrial areas of East Arm and Blaydin Point. It is now connected to the PWC water supply. Blaydin Point has also been connected to electricity distribution lines along Wickham Point Road.

The Accommodation Village site at Howard Springs is connected to municipal power and water. The Project has funded and constructed a sewerage line and pump station to provide for future growth of the Howards Springs area.



4.6.2 Rail Transport

The Adelaide to Darwin railway provides a vital link in the transport network of the Northern Territory. The final 1420 km of standard gauge line between Alice Springs and Darwin was completed in 2003 under a contract awarded by the South Australian and Northern Territory Government owned AustralAsia Railway Corporation (AustralAsia Railway Corporation, 2013).

The railway line was initially operated by FreightLink and the Asia Pacific Transport Consortium. Genesee and Wyoming Australia took over its running in 2010 under a concession deed with the AustralAsia Railway Corporation (AustralAsia Railway Corporation, 2013).

There are six general freight trains a week between Adelaide and Darwin, with another 24 trains a week from mining sidings to East Arm Port operated by Genesee and Wyoming Australia in addition to two passenger services (the Ghan) a week operated by Great Southern Railways (AustralAsia Railway Corporation, 2013).

4.6.3 Port and Shipping

The Port of Darwin is managed by the Darwin Port Corporation as a Government Business Division of the NTG. It is Australia’s primary port for live cattle exports and also has facilities for container and general cargo, and bulk commodities and liquids such as iron ore, manganese and petroleum/avgas, as well as cruise and naval vessels and offshore oil and gas rig services (Darwin Port Corporation 2011).

Total trade through Darwin Port Corporation facilities decreased by 16 per cent in 2010–11 compared with 2009–10, on the back of four years of positive growth. The decrease consisted of a 20 per cent drop in exports and four per cent drop in imports.

Despite the decrease, 2010–11 remained the Darwin Port Corporation’s second-highest trading year on record with the major component being dry bulk (Darwin Port Corporation, 2011). Total exports reached a level of 2 705 271 t (a decrease of 20 per cent on 2009–10); however, the figure remained eight per cent above 2008–09 levels (Darwin Port Corporation 2011).

In 2010–11, Darwin Port Corporation recorded a net profit of $0.8 million, exceeding the budget forecast and more than double the profit made during the previous year (Darwin Port Corporation 2011).

4.7 Recreation

Fishing, boating, sailing, water-skiing and beach use are all popular recreational activities in Darwin Harbour. Recreational fishing is particularly popular here and throughout the Northern Territory with the amount spent by tourists and locals estimated at nearly $35 million per year (not including the many fishing‑tour operators, most operating out of Darwin). Data from the 2000 National Recreational Fishing Survey suggested that more than 540 000 hours were spent fishing in the Darwin region during the survey year, with around one-third of all fishing occurring within the Harbour (Coleman 2004).

Because of risks from saltwater crocodiles and tidal surges, and lack of safe and convenient access to fishing spots onshore, most fishing is conducted from boats which are launched from ramps or from one of the four marinas in Darwin Harbour: Cullen Bay Marina, Tipperary Waters Marina, Bayview Marina and the Frances Bay Mooring Basin.



Immediately to the west of Blaydin Point on Middle Arm Peninsula, two narrow tidal creeks known as Lightning Creek and Cossack Creek (known until March 2008 as Catalina Creeks 1 and 2), are also used for recreational fishing. Elizabeth River is also a popular fishing area.

4.8 Residential Amenity

4.8.1 Community Vitality and Identity

The Northern Territory is considered ‘laid-back’ with a ‘youthful attitude’ to life (Northern Territory, 2012). Darwin Harbour is particularly popular with tourists and is a major Northern Territory tourism industry drawcard.

The region has experienced significant population movement over a long period and is relatively diverse and multicultural, being home to more than 70 ethnic groups and a significant proportion of Darwin’s overseas-born population.

The NTG has acknowledged that many residents ‘come from somewhere else – often intending to stay only a short while and ending up here for years, if not decades’ (Northern Territory, 2012).

4.8.2 Visual Amenity

The visual amenity of Darwin Harbour is an important community value, closely linked with recreation, tourism and residential values in the area. The Harbour shoreline contains large tracts of relatively undeveloped land – mainly tidal flats vegetated by mangrove stands. The shoreline of Middle Arm is almost completely undeveloped, while some residential, industrial and infrastructure development has been undertaken along the shores of East Arm.

Major man-made features within Darwin Harbour include the ConocoPhillips Darwin LNG Plant, East Arm Wharf, Darwin Waterfront, Darwin CBD and suburban developments from Darwin to Palmerston, plus Mandorah on the western side of the Harbour.

4.8.3 Noise

The Project’s proposed site at Blaydin Point is approximately 10 km to the south-east of the Darwin city centre. Key locations of interest for airborne noise generated by the Project’s onshore and near shore development areas are:

The nearest residential area of Palmerston – approximately 4 km to the east and north-east;

Residential suburbs and urban centres around Darwin Harbour and the Darwin CBD – approximately 10 km to the north-west of the onshore development area, across the Harbour waters;

The proposed Weddell residential development – approximately 7 km to the south-east of the Project site; and

Berrimah Farm – approximately 7 km to the north of Blaydin Point (SVT Engineering Consultants 2009).

The following noise limits for receiving locations were defined for the Project in consultation with the department now known as the Department of Lands, Planning and Environment (DLPE), and documented in the Environmental Impact Statement:



Residential, institutional and education areas: 55 dB(A) during the day and 45 dB(A) at night; and

Industrial areas: 70 dB(A) at all times.

4.9 Cultural Heritage

4.9.1 Aboriginal Cultural Heritage

Middle Arm Peninsula and Howard Springs sites are within the traditional country of the Larrakia people.

The archaeological survey of the proposed Wickham Industrial Estate by Bourke and Guse (2007) and the archaeological survey of Ichthys Project sites at Blaydin Point and Howard Springs by Lambert et al. (2012) have provided much of the base material for heritage planning. Other reports by Mitchell (2001), Crassweller (2006, 2008) and Bourke (2005a, 2005b) are also relevant.

The original Aboriginal Heritage Management Plan for the Blaydin Point site was modified by the Project in July 2012 to reflect the findings of the site-specific archaeological survey of Blaydin Point completed by Lambert et al in February 2012. Amendments also encompassed heritage clearances granted by the Heritage Branch of the then NRETAS Department (now DLPE) and additional procedures put in place by the Project to manage heritage at the Blaydin Point site.

It should be noted that the former NRETAS Department of Natural Resources, Environment, Arts and Sport, has now been separated into five distinct NTG portfolio areas.

Blaydin Point

Most of the Aboriginal archaeological sites found within the Blaydin Point Project Area and its surrounds are shell middens, which Bourke and Guse described as follows:

‘Cultural deposits that represent human food refuse, comprising a large proportion of shell, as well as small quantities of other faunal remains. Middens may take the form of a scatter or thin layer of shell over the land surface or a thick mound of shell.’

The middens in the Blaydin Point Project Area are relatively low-lying and, to the layman, fairly unremarkable features that might easily be overlooked.

Lambert et al. identified two shell midden and artefact scatter sites during the January – February 2012 site-specific archaeological survey of the Blaydin Point Project Area. While the sites provide evidence of long-term seasonal use of shellfish and food preparation, from an archaeological viewpoint they are considered to be of low significance given the many similar sites located on the Middle Arm Peninsula (NRETAS archaeologists P. Bourke and D. Bensley pers. comm. to D. Meehan of INPEX).

It is important to note that while a site may be classified as low significance by an archaeologist (using a scientific definition), the same site could be important to Aboriginal people if it represents traditional practice and land use encapsulating valuable cultural information which may be passed on to future generations in accordance with Aboriginal custom.

A senior Larrakia custodian with the right to speak for country inspected this site and advised that it was not an Aboriginal cultural site, but instead a remnant of activities which occurred during World War II.



Bourke and Guse (2007) identified three potential heritage conservation zones. Two of these zones are located close to, but external to, the Blaydin Point Project Area boundary.

After discussions with the Larrakia Development Corporation Advisory Council (LDCAC) and the Heritage Branch, both agreed with the Project’s proposed changes to the above mentioned heritage conservation zones.

The Northern Territory Aboriginal Areas Protection Authority (AAPA) undertook a sacred site survey of Wickham Point, Darwin Harbour and around Cox Peninsula and Shoal Bay peninsulas, including along the subsea pipeline route in September 2008. The survey was an essential part of the authority certification process for the Project and involved a review of the AAPA’s large database and record registry, as well as consultations with senior Larrakia custodians for sacred sites in the Project’s area of interest. Authorities (in the form of certificates) were issued.

Howard Springs

The Crassweller (2009) archaeological and historic survey of the Howard Springs site located one archaeological site (HS1), two historic sites (a World War II bottle dump and Howard Springs Hospital) and two isolated stone artefacts (BS1 and BS2). With the permission of the senior custodian present, Crassweller removed BS1 (an axe) for protection, as it was located close to the edge of the road. Related research and new knowledge was compiled in a Project report to NRETAS. The World War II historic sites were subsequently assessed as not significant by the Department.

The Lambert (2012) archaeological survey did not identify any further archaeological sites. However a single Aboriginal object was identified in the vicinity of the Village site's fence line. That isolated artefact was collected by the archaeologist in the presence of three Larrakia Traditional Owners who requested that the isolated artefact be taken to the Offices of the Northern Land Council and stored in a secured safe. Approval from the Heritage Branch of DLPE was given to do this.

Peter Donovan also completed ‘A History of the Howard Springs Hospital Northern Territory’ in 2012 which was passed onto the Heritage Branch. On 9 May 2012, the Heritage Branch advised that there was no impediment to clearing commencing at the Project’s Howard Springs accommodation site because all heritage and archaeological issues had been addressed.

4.9.2 Non-ATSI Cultural Heritage

Other historic sites in the onshore development area include an anti-aircraft searchlight battery from World War II located on the north side of Blaydin Point.

Declared shipwrecks such as the SS Ellengowan and the World War II shipwrecks the SS Mauna Loa, the British Motorist, the USAT Meigs, the Neptuna, the SS Zealandia and the USS Peary are located in Darwin Harbour near, but outside, the disturbance area for nearshore infrastructure. There are six Catalina wrecks which lie close to the nearshore development area. Catalinas 2 to 6 are in close proximity to the dredging footprint and Catalina 1 is located near the module offloading facility.



The Accommodation Village site at Howard Springs contained two non-Aboriginal archaeological sites, namely the Howard Springs Hospital site and a World War II bottle dump. Permission was given to disturb these sites. Heritage Branch, on 9 May 2012 advised that as all heritage and archaeological issues had been addressed, there is no impediment to INPEX commencing clearing at the proposed Howard Springs accommodation site.

As previously mentioned, the Project completed a history of the Howard Springs Hospital which was accepted by the Heritage Branch of NRETAS (now DLPE) on 9 May 2012.



5 STAKEHOLDER AND COMMUNITY ENGAGEMENT

Stakeholder engagement activities undertaken to support the Project to date, including consulted stakeholders and outcomes of discussions are detailed in the Stakeholder Engagement Register Appendix B. The mechanisms for future reporting on the progress of SIMP mitigations to the Northern Territory Government and working with stakeholders are set out in Section 6 (mitigations) and 7 (reporting and disclosure). Stakeholder information needs and feedback on the effectiveness of engagement will continue to drive the Project’s communication style, but at least annually, the Project will report publicly at a summary level on progress against commitments set out in this SIMP.

A summary of key past and continuing consultation and communication activities is provided below.

5.1 Environmental Impact Statement Consultation

Consultation on key aspects of the Project, the likely impacts and the proposed management controls intensified prior to the release of the Draft EIS in July 2010. The EIS documented the key issues raised by stakeholders. The heavily publicised consultation process attracted 86 independent submissions and two petitions. Consultation included the activities listed in Table 5-1.

Table 5-1: EIS consultation undertaken by the Project in the Northern Territory

Mechanism Stakeholders

Forums Four open forums with community members in Darwin and Palmerston Local industry forum

Personal interviews, meetings and discussions

Commonwealth Government agencies Northern Territory Government agencies Local government-elected and executive representatives of the Darwin, Palmerston and Litchfield Councils Business groups ATSI groups, e.g. the Northern Land Council and the Larrakia Development Corporation Training and education providers Environmental groups Amateur Fishermen's Association (AFANT) Community members Media Tour operators and general harbour users

Sponsorship events Freds Pass Rural Show Palmerston Festival

Website (EIS subsection), dedicated email address, 1800 feedback line, fact sheets

Interested stakeholders



Key issues raised in EIS consultations included:

Employment and training opportunities associated with the Project;

Potential accommodation shortages and pressure on infrastructure during the peak employment period;

The dredging program and potential impact on other Harbour users;

The visual impact of the development on the Harbour;

Access to waters adjacent to the onshore processing plant for recreational users;

Air emissions and their impact on air quality; and

Liquid discharges and their impact on water quality.

As a result of community feedback on the Draft EIS, the Project decided to alter the dredging methodology to include blasting only as a last resort, if all other technically feasible dredging options had been exhausted. In addition, stakeholder feedback identified that Lambrick Avenue and Chung Wah Terrace in Palmerston were not suitable for heavy rock transport by road train. The Project then proposed to the NTG an upgrade of Jenkins Road to allow heavy vehicle traffic to avoid built-up areas around Palmerston, improving safety outcomes for the community. The Project invested more than $10 million to upgrade Jenkins Road.

5.2 EIS Supplement Consultations

Following receipt of comments on the Draft EIS, a Supplement to the Draft Environmental Impact Statement document was prepared and publicly released in April 2011.

The document summarised comment received on the Draft EIS and demonstrated how the Project intended to address key issues of importance to stakeholders. During the first half of 2011, relevant groups were engaged in briefings to bring local context to the Project's responses. Communication activities included fact sheets, emails to stakeholders recorded in the database, two public forums on 19 April 2011 and newspaper advertisements alerting people to the public forum, along with publication of the Supplement to the Draft EIS.

5.3 Accommodation Village

5.3.1 Pre-Development Approval

Consultation on the proposed location of an Accommodation Village on Howard Springs Road began in February 2009 and included:

Briefings of politicians, Northern Territory and Commonwealth Government agencies and local government;

Interviews with local businesses;

Door-knocking interviews with 62 adjacent residents in Howard Springs; and

A briefing with staff at the Good Shepherd Lutheran College.



From July 2009, a second phase of consultation commenced with these stakeholders to fully document issues and concerns and to preview conceptual designs for the Accommodation Village. Community feedback informed the design of the facility: for example, decisions were taken to reduce the building height to single storey to reduce light spillage into surrounding residential areas and to include a buffer zone around the site – particularly around the northern watercourse.

A database of all community stakeholders was created and updates were sent on a regular basis as the Project progressed the Accommodation Village design. Each person or group was asked how they would like to receive information on the Village and how often. This information helped shape the approach the Project has taken through the design and construction phases.

5.3.2 Exceptional Development Permit

Further consultation took place in the fourth quarter of 2011 in support of a statutory process of public comment required by the application for an exceptional development permit.

Engagement activities included the establishment of a community hotline, community opinion polling and door-knocking of residences potentially affected by the Accommodation Village. Regular stands at shopping centres such as Howard Springs Shopping Centre showed preliminary drawings of what the Accommodation Village would look like from surrounding roads, graphs indicating occupancy numbers, construction and operation transport routes and key infrastructure locations. Key stakeholders also received one-on-one briefings.

5.3.3 Construction

The Project awarded the onshore construction EPC contract to JKC Australia LNG Pty Ltd (JKC). The contract included both the construction of the Blaydin Point LNG facilities and the Accommodation Village. As part of the scope of works, stakeholder engagement became the primary responsibility of JKC, which quickly assembled a Community Relations team in Darwin. All engagement continues to be conducted in consultation with INPEX.

Since the beginning of construction, a JKC-established 1300 community feedback number has been widely advertised. Proactive and high visibility communication programs form the basis of JKC’s engagement with the community, which includes letterbox drops, email updates, a weekly presence at shopping centres closest to construction activities (including Howard Springs Shopping Centre, Palmerston Shopping Centre and Humpty Doo shops) and larger community events. This provides key stakeholders with the opportunity to feedback to the Project on a regular basis and find out about employment opportunities. There has been targeted engagement of Aboriginal and Torres Strait Islander communities by JKC subcontractors ESS Larrakia and Leighton Contractors to raise awareness of employment and on-the-job training opportunities on the Project.

The Project publishes bulletins routinely in all key Greater Darwin newspapers outlining construction activity on the Accommodation Village. Dust and noise levels, working hours and traffic impacts are some of the details communicated through the bulletins.

When required, community meetings are held and residents in close proximity to the Accommodation Village site have direct access (via personal email addresses and phone numbers) to key JKC representatives.



If construction activities change due to unforeseen circumstances, JKC phones or emails those directly affected by the change to ensure minimal impact. JKC often visits the homes of residents to determine if there are any concerns.

In addition to the JKC Community Relations team, the Accommodation Village contractor Laing O’Rourke has employed a Community Liaison Officer at the site who helps identify potential issues and delivers on-the-ground information back to the JKC Community Relations team.

Significant issues and feedback are shared among the Project community relations practitioners directly and via the weekly Community Relations Working Group meetings held between the INPEX, JKC, Van Oord, Saipem and other relevant contractors.

5.4 Road Transport

Prior to the commencement of construction, a detailed Transport Communications Plan, which sits within the Road Transport Management Plan, was developed. The plan includes an analysis of stakeholders close to the Blaydin Point site, as well as other locations where potential impacts are likely to result from construction. The plan is regularly reviewed to remain up-to-date and relevant during this period.

The Project has engaged with more than 250 Northern Territory stakeholders working or living near road transport impact areas. This has included one-on-one briefings with residents on or near transport routes, attendance at regional and city community shows, quarterly meetings with key industry stakeholders and fortnightly shopping centre displays. JKC consults regularly with trucking and road safety groups to identify opportunities to improve operations.

The 1300 community feedback number is on all Project construction trucks to ensure community issues are heard and quickly acted upon. A community bulletin outlining truck numbers and transport routes is published regularly in key Darwin and regional newspapers. The Project established a website (www.ichthysproject.com) for community information during construction. Those who register receive weekly updates on construction and community activity.

The Project has delivered two high profile road safety campaigns involving print, radio and TV. The Project works closely with the NTG and schools in Palmerston, Humpty Doo and Howard Springs with a view to developing a Schools Road Safety Program.

5.4.1 Dredging

The Project started developing a dredging communications strategy in 2009, meeting with key community and industry stakeholders to ensure development and execution of an integrated engagement plan. As an example, key lessons learned from the dredging program in Port Phillip Bay were fed into the Project’s strategy following a Project workshop with the Port of Melbourne.

More than 60 Northern Territory stakeholders were consulted before start-up and continue to be updated as the Project carries out its dredging program.

In the months leading up to the start-up of dredging, a high profile marine safety advertising campaign ran in print, radio and television media. Stakeholders were invited on board the dredgers and given a personal tour by the operator Van Oord.



The Project has used a variety of communication tools and locations to engage with the community, including:

Briefings at Amateur Fishermen’s Association, Northern Territory (AFANT) regular meeting;

Public displays at Northern Territory fishing shows;

Major sponsorship of Fishing and Boating Safety in the ‘NT segment’ on Channel 10;

Building and erecting cyclone-proof notice boards at the three most popular boat ramps;

Weekend public displays at boat ramps;

A marine safety advertising campaign;

Weekly Marine Bulletins;

Establishment of a website – www.ichthysproject.com – for community information on dredging;

Visiting Greater Darwin Region fishing stores to deliver quick updates and seek approval to display fact sheets at pay counters;

Public displays at the Coolalinga, Howard Springs and Palmerston Shopping Centres;

Briefing of the Darwin Harbour Advisory Committee; and

Consultation with the Belyuen Community and a further meeting attended by Traditional Owners.

Key environmental and tourism stakeholders were invited to personally outline concerns to the Independent Dredging Expert Panel, set up as part of the Project’s environmental conditions. Their feedback was incorporated into the Dredging and Spoil Disposal Management Plan (DSDMP) – a document setting out the environmental management framework for dredging.

5.5 Stakeholder Feedback and Dispute Resolution

Stakeholder feedback is central to the delivery of the SIMP. Feedback helps ensure that the Project understands stakeholder perceptions of how well it is managing social and environmental impacts while also providing opportunity to adjust mitigation measures, if necessary.

Community feedback mechanisms are documented in the Project’s Community Engagement Plan and are guided by the Project’s Community Feedback Procedure. The Plan outlines the procedure for receiving, recording, assessing and resolving community grievances.

The Project welcomes feedback and there are a number of feedback mechanisms available for the community to use. They include:

Verbal communication with an INPEX or INPEX contractor representative;

A free call community hotline (1300 724 795);

Public or private meetings;

A website feedback pro forma;



A generic email address on the Project web site (www.ichthysproject.com.au); and

Mail and facsimile.

The Project employs a Community Relations Coordinator in Darwin to initially manage all grievances. Procedure dictates that if a grievance cannot by resolved by the Community Relations Coordinator, it is referred to the Community Relations Working Group. Should the group be unable to resolve the grievance, the matter is then escalated to a Grievance Committee and on to mediation if necessary.

5.6 Specific Community Engagement

5.6.1 Aboriginal and Torres Strait Islander Communities

Ongoing consultation has occurred in the development of the Project with the Larrakia people, the Traditional Owners of the Darwin area, and wider ATSI communities. Consultation is viewed as essential in building lasting and mutually beneficial relationships. This has been achieved, and continues to be developed, by:

Project-specific ATSI engagement plans and strategies;

Consulting relevant ATSI communities to promote an understanding of mutual concerns and aspirations;

Helping relevant ATSI communities manage any issues and challenges faced in relation to the Project’s proposed operations;

Consulting ATSI communities and other appropriate organisations to increase the pool of potential employees for the Project;

Offering a range of community-level initiatives;

Supporting partnerships that make a positive difference to ATSI communities; and

Developing a Reconciliation Action Plan.

Regular consultation with key ATSI stakeholders in the Darwin region remains a Project priority.

5.6.2 Business Community

The Project has consulted extensively with the Northern Territory business community. A summary of consultation activities is provided in Table 5-2 with further detail in Table 5-3.

Table 5-2: Consultation activities with the NT business community

Purpose and subject matter

NT Industry Forums Project overview Supplier access Project quality requirements for suppliers Local contractor and supplier briefings

ATSI supplier forums Specific briefing regarding information and engagement for the Project

Steering committees Ichthys Project IPP Steering Committee Meetings



Purpose and subject matter

Online NTICN Project Gateway web portal ATSI supplier page to provide information and guidance for engaging with the Project

Other ATSI Business Tender Performance Feedback ATSI Capability and Capacity Survey – a review of identified ATSI NT Businesses Attendance and participation in a range of industry conferences and forums (e.g. SEAOCC)

Table 5-3: Major Project forums

Date Forum or event Purpose Approximate number of attendees

1 March 2009 Industry Capability Network (ICN) Major Project Procurement and Prequalification session

To identify what local Northern Territory companies would have to do to up-skill or attain appropriate accreditation or specialised qualifications from a procurement perspective.

350

24 March 2009 Overview of the Ichthys LNG Project and Project Gateway

Overview of the Project status from a procurement point of view, the utilisation of Project Gateway and the associated role of the NT Industry Capability Network (NTICN).

380

14 September 2010

The Ichthys Project Howard Springs Accommodation Village Hosted by contractors and the Industry Capability Network (ICN)

To provide preliminary information relating to design engineering, supply, construction, testing, commissioning and operations of the Project’s Accommodation Village.

129

18 November 2011

Ichthys Project Howard Springs Accommodation Village Briefing Hosted by contractors and the ICN (Darwin)

To provide an indication of the types of vendor categories/subcontractor opportunities that form part of the scope of work. The Forum was attended by invited Darwin businesses.

128

13 March 2012 16 March 2012

Supplier and subcontractor briefing for the Howard Springs Accommodation Village, Marine Works and Civils-2 packages (Perth and Darwin)

To provide further information on the Project and these packages.

Darwin – 300 Perth – 231

May 2012 Supplier briefing held in Darwin by JKC subcontractor, Leighton Contractors, for the Temporary Site Facilities package

To provide preliminary information relating to the package’s supply opportunities and minimum requirements.

294



Date Forum or event Purpose Approximate number of attendees

Q3 2012 Combined supplier briefing held by JKC

Combined Supplier Briefing for the TNK1 (EPC Cryogenic Tanks) and BLD1 (EPC Building Works) subcontracts in Darwin. Interest and attendance was high.

268

Q4 2012 Supplier briefing To provide further information for the Combined Cycle Power Plant subcontract

235

31 Jan 2013 ATSI Business Meet and Greet Information Session

To outline ATSI business opportunities on the Cryogenic Tanks EPC Subcontract, including project requirements and assistance/mentoring offered to ATSI businesses by KHI-LOR.

N/A

April 2013 ATSI Business Briefing To outline ATSI business opportunities N/A

5.7 Community Partnership and Investment

The Project has participated in a number of major social initiatives in the Project area and these will continue during all stages of construction and operations.

In identifying community investment and partnership opportunities, the Project looks to support suitable collaborative, community-generated initiatives which have direct benefits for a wide cross-section of the community and align with its broader social and corporate social responsibility principles. A wide range of community events and initiatives across northern Australia are supported to deliver lasting social, economic and environmental benefits.

To date, most sponsorship requests have been assessed by the Community Investment Committee with four themes:

Education and training;

Community;

Environment/community – which is sponsorship/partnership as distinct from central environmental offset; and

Business capacity building.

A focus on supporting activities in the main areas of the Project’s operations has included:

Flagship investments, including $3 million to fund the construction of the Larrakia Trade Training Centre;

$3 million towards the construction of the North Australian Centre for Oil and Gas at Charles Darwin University; and

NT Thunder football club.

General Darwin community investment and sponsorship has included:

Royal Darwin Show;



Palmerston Festival;

Darwin Volunteer Coast Guard;

Palmerston High School bus;

Starlight Children's Foundation Ball;

NT Training Awards;

Darwin Harbour Clean-Up Day;

Annual Australia Day Fun Run;

Northern Australia Emergency Response Competition 29 August–2 Sept 2012;

Engineers Australia Northern Division Women in Engineering;

Society for Conservation Biology – Oceania;

APPEA 2012 National Workforce Development and Productivity Conference;

Darwin to Ambon Yacht Race;

Darwin CEO Sleepout;

Ronald McDonald House Charity Ball; and

NT Media Awards.

5.7.1 ATSI-Specific Community Investment

The Project has made a number of ATSI-specific community investments, including:

Top End NAIDOC Committee for Darwin NAIDOC Week, Indigenous Economic Forum;

Larrakia Nation Aboriginal Corporation's inaugural Countryman’s Concert which brought ATSI artists from the Top End to perform in Darwin;

Removal of derelict car bodies from the Gurrdorka community (Palmerston ATSI village) located in close proximity to the Accommodation Village site at Howard Springs;

Significant funds in the protection of multiple heritage sites in consultation with Larrakia traditional owners at the Blaydin Point and Howard Springs sites and for carbon dating;

Since the Project’s foundation investment in the Larrakia Trade Training Centre, some 400 people have registered, including apprentices and people wishing to gain white cards. Many of these people are from regional centres. While this training is not directly related to the Project’s construction or operations employment opportunities, the level of response demonstrates the Centre’s success in adding to the work skills across, and to the benefit of, the whole Northern Territory;

The Larrakia Trade Training Centre hosted multiple employment training programs, including the Macmahon Real Opportunities and Careers – Kick Starting Today's Aboriginal Role-models (ROCKSTAR) program. More than 30 ATSI trainees successfully completed these programs and were employed on Project-related work with Macmahon/John Holland JV;



The Project and JKC, in the first quarter of 2013, supported 32 ATSI trainees through a General Construction and a Steel Fixing training program and the Project has also offered other successful programs, including a pre-employment training program with Laing O'Rourke and a marine training program with dredging contractors Van Oord; and

In 2009, a Memorandum of Understanding was signed with the Larrakia people (through the Larrakia Development Corporation) that included a commitment to develop a Larrakia Benefits Package. The package is the subject of current negotiations and is expected to be finalised in 2013.

5.7.2 Environmental and Social Offsets

The Project is implementing a $91 million environmental and social offset package to provide long-term benefits for the community over the life of the Project. The package includes funding for the employment of land managers/rangers for the direct protection of habitats and offset of carbon emissions. It also provides for the employment of scientists to research improved environmental management techniques that can be applied to future projects and other industrial activities in Darwin for the benefit of recreational land and users and ecosystems. The package includes support and implementation of the following:

Darwin Harbour Integrated Monitoring and Research Program: Employment of scientists and implementation of important research and development programs over a 40 year commitment to improve understanding of the health of the Harbour;

Conservation status of coastal dolphins in the Northern Territory: A long-term survey of coastal dolphins involving community sea ranger groups to improve the understanding of dolphin numbers, distribution and critical resource needs. The survey will identify locations and habitats of importance, providing valuable information to protect and maintain dolphin populations;

Habitat mapping for the Darwin region: Employment of young scientists to produce habitat maps of the Darwin region to provide baseline information, assist monitoring and allow for coastal planning;

Conservation management of marine megafauna in the Western Top End: This initiative assists Aboriginal groups to actively manage marine mammals and turtles along the Territory coast, securing conservation status and increasing ATSI employment opportunities in disadvantaged areas;

Publication of Kimberley research: The Project has invested $15 million to undertake extensive studies and surveys gathering information on marine turtles and whales along the remote Western Australian Kimberley coastline. This research will be published by the Project and made accessible to the general scientific, regulatory and wider community to help improve management of the natural environment;

Australian Research Council (ARC) Linkage Projects: These projects support collaborative research and development programs between higher education researchers and industry partners and provide advanced learning opportunities for Northern Territory students. The Project is supporting two projects over the next three years, both with a focus on Darwin Harbour;

Savannah fire management: The Project is investing in development of savannah fire management opportunities to help offset some greenhouse gas



emissions and create opportunities for ATSI enterprises and associated regional employment outcomes; and

North Australian Centre for Oil and Gas, Charles Darwin University: INPEX contributed $3 million to establish the centre that will build on existing vocational teaching capabilities to develop a new research focus under the general themes of process engineering and process operations, and maintenance and asset management. The Centre will include specialised equipment for teaching and research, and provide tailored short courses for industry. It will include state-of-the-art facilities aimed at process control simulation and training for the oil and gas sector.

In addition to this $91 million package, the Project has committed to providing for the permanent protection of terrestrial and marine habitats in the Northern Territory in conservation estates or other covenanting arrangements, with funding for management for the operating life of the LNG plant. An area of approximately 2,000 ha of terrestrial vegetation and mangroves will be selected along with an area of marine habitat for coastal dolphins, marine turtles and dugongs. Management will create modest employment opportunities for rangers in a remote area.

5.7.3 Community Infrastructure

The Project has expended more than $22.5 million to improve community road infrastructure and safety, including investment in the following improvements:

Contribution to safety and capacity improvements at the Wickham Point Road/Ichthys Project LNG Plant site intersection;

Jenkins Road construction from Finn Road to Channel Island Road (including upgrading the level crossing and a new Jenkins/Channel Island intersection);

Stuart Highway/Jenkins Road intersection upgrade;

Arnhem Highway/Stuart Highway intersection upgrade;

Bike path safety improvements;

Thorngate Road surface repair and speed limit sign improvement;

Howard Springs Road/Stuart Highway intersection contribution;

Chung Wah Terrace/Elrundie Avenue intersection upgrade; and

Other minor road works, including improved safety and speed limit signage and road marking.

The Project has improved the intersection at the DAC Howard West Quarry access road and Thorngate Road, including adding a turning lane into Robertson Barracks.

The sewerage pump station at Howard Springs will also facilitate connection to the municipal sewerage system for local residences following the decommissioning of the Accommodation Village.

5.7.4 The Project’s Contractor Community Investment

In the first year of construction JKC and several of its subcontractors made a number of significant community investment commitments, including:

JKC sponsorship of the Wanderers Football team (annual sponsorship of $50 000);



Macmahon John Holland donation of a crocodile trap to the Parks and Wildlife Commission for installation in Darwin Harbour;

A donation of 300 native trees planted around Mitchell Creek from the Project, JKC and several of its Accommodation Village subcontractors (Laing O’Rourke, Project Plumbing and TrafficWerx);

JKC provision of 25 school-based apprenticeships for Project-related work and training;

JKC facilitation of two pre-employment, construction and training programs (first 30 trainees to complete the course in April 2013); and

Establishment of an ATSI training program by dredging contractor Van Oord which has seen four trainees complete programs and secure work on the dredging fleet.



6 IMPACT MANAGEMENT AND MITIGATION

6.1 Overview

This section provides a summary of analysis of potential socio-economic impacts and opportunities associated with the Project.

Table 6-1 summarises the broad social effect themes identified during preparation of the SIMP.

Table 6-1: Social impact themes

Social impacts addressed in the Principal SIMP

Housing availability and housing affordability Social integration Road traffic Marine and aircraft traffic Public safety Defence Aboriginal cultural heritage Non-Aboriginal cultural heritage Employment, education and training Business opportunities

Regions Commercial fishing Tourism Utilities Health and medical services Emergency services Recreation Visual amenity Noise

6.2 Social Impact Analysis

Appendix A is a social impact analysis matrix that has informed development of the SIMP commitments. The impact analysis was prepared in accordance with the ‘Guidance Notes for the Development of the Social Impact Management Plans’ received from the NTG in October 2011. It draws upon previous impact assessments, including a social impact assessment undertaken for the Accommodation Village at Howard Springs, the project Environmental Impact Statement, heritage assessment and traffic impact assessments.

In summary, the method involved:

Identifying the likelihood and consequence of potential impacts from Project activities in the absence of any mitigations;

Applying known Project management measures along with standard industry practises to mitigate the impact; and then

Re-assessing the likelihood and consequence of potential impacts after those management measures had been applied;

and making an assessment if the potential impact had been reduced to as low as practical.

It should be noted that positive impacts and potential opportunities have not been rated as part of this process.



6.3 Commitments Tables

A series of tables present commitments to manage and mitigate identified socio-economic impacts. The tables are designed to provide greater clarity to stakeholders, community members and potential partner organisations about the tasks and engagement activities that the Project proposes to undertake in the further development and implementation of mitigation measures. Specifically each table details:

A summary of anticipated impacts;

Identified management objectives and strategies with respect to impacts;

Key stakeholders and potential partner organisations;

Specific actions required by the Project, contractor(s), Government or others;

Performance indicators to monitor outcomes; and

A review mechanism indicating how monitoring data will be collected for reporting to the NTG.

The performance reporting regime for the SIMP is explained in Section 7.

The Project systematically manages its environmental and social performances either directly or through its main contractors. Under the contracting strategy, contractors and suppliers are responsible for engineering, procurement and construction. INPEX, as the Project Operator, is responsible for the management of contractors. Where a contractor executes aspects of the work under its own health, safety and environment (HSE) management system, INPEX is responsible for verifying the overall effectiveness of the management controls. The most relevant contractors to the management of community impacts in Greater Darwin, and assigned the majority of actions, are JKC and its subcontractors, Van Oord and Saipem.

To provide greater context, relevant and likely NTG actions and commitments were identified via a series of workshops and one-on-one discussions with agency representatives, held during February and March 2013, in addition to a review of key government strategy documents. While a number of these actions are relevant to the Project, they also address broader strategic growth opportunities.

6.3.1 Housing and Housing Affordability

Stakeholders consulted during preparation of the EIS were concerned about the Project’s potential impacts on housing availability and affordability. They felt that a large influx of construction workers, along with migration of workers seeking employment with companies that service the resources industry, would place additional pressure on the already constrained Darwin housing market.

Property markets of less than 500 000 dwellings, such as Darwin, frequently exhibit volatility and price swings. The limited availability of property for purchase or rental in Darwin, combined with strong growth in both wages and population, has resulted in substantial increases in sale prices and rentals over recent years (Northern Territory Treasury undated). For example, in 2006 the median house price in Darwin was $320 000 (ABS 2007c); in December 2011, it was $578 702 (Australian Property Monitors 2012); and in March 2012 it was $628 552 (Northern Territory Treasury 2012).



Poor affordability can affect an area’s demographic, amenity and economic character. Stakeholders reported poor affordability and the large deposits required to purchase housing as a deterrent to new families moving to Darwin, or existing residents remaining. There was particular concern about retaining individuals in the 18–34 year age bracket.

Darwin is the hub for tourism in the Northern Territory. Any shortage of beds due to take up by Project workers, while beneficial in the short-term for the accommodation sector, may have immediate and longer-term flow-on impacts to tourism operators across the Northern Territory. Potential impacts on tourism and associated management measures are addressed in further detail at Section 6.3.14.

RPS (2013) was engaged by INPEX to model the potential impact of the Project on house prices in the Greater Darwin marketas a result of the Project. This was achieved using Multivariate Regression (MVR) analysis in which the historical statistical relationship between house prices and a range of other variables was calculated and used to estimate impact of the Project on prices.

Key independent variables considered as part of the analysis included:

Total employment (NT);

Residential population (NT);

Capital expenditure (NT);

New private house building approvals (NT); and

Domestic arrivals from major airlines to the Darwin airport.

Three scenarios were prepared:

Base Case – Trend scenario assuming no delivery of the Project for comparison and contrast;

No Camp Scenario – Project impact assuming no Accommodation Village was constructed and all workers resided in the community; and

Camp Scenario – Project impact assuming delivery of the Accommodation Village resulting in the isolation of the majority of the fly-in, fly-out (FIFO) construction workforce from the residential market.

The base case was developed by using quarterly data going back 10 years. It gives a projected working assumption on what median house price rises may be without the effects of the Project. This assumption builds in factors known to strongly influence the prices such as projections of future house prices, employment forecasts and known capital expenditure. In this sense, the base case accounts for growth from other major projects and the modelling based on it takes into account the cumulative change that may be expected. The base case growth rates are shown in Table 6-2.



Table 6-2: Assumed base case median house price growth, Greater Darwin 2012–2013 to 2019–2020

Year Growth Year Growth

June 2013 8.9% June 2017 5.9%

June 2014 6.1% June 2018 5.6%

June 2015 5.8% June 2019 5.4%

June 2016 6.0% June 2020 5.2%

As expected, modelling showed that almost all the impact on prices was experienced during the construction phase of the Project. This finding reflects the temporary increase of residential population and the high level of new capital expenditure into the economy associated with the construction phase.

The modelling found that without the Accommodation Village house prices would likely grow over the next 2–3 years by up to 20 per cent above the base case (no Project) scenario. With the Accommodation Village, this effect is moderated to 10 per cent above the base case scenario.

Figure 6-1 shows the difference between the effects of the two scenarios in percentage terms and shows that creating the Accommodation Village avoids the high volatility that would otherwise likely have been experienced in housing markets with first a rapid rise and then steep falls. In contrast, strong growth in the short term under the Accommodation Village scenario moderates only momentarily in 2016 before converging to the base case and long-term average.

Figure 6-2 shows the magnitude of the modelled temporary effect on median house prices. These modelled house prices are not intended to be taken literally: they were calculated for the purposes of comparison across scenarios and are not a forecast of future price movements. Actual price movements will depend on the actual behaviour of a large number of individual actions that cannot be known in advance.



Figure 6-1: Difference from the base case scenario, by scenarios, median house prices,

June 2012 to June 2020.

Figure 6-2: Median house prices, by scenario, Greater Darwin, June 2012 to December 2017

It should be noted that any increase in prices due to increased population and expenditure is expected to be countered by the wind-down of the Project’s construction phase and the shift into a lower employment operational phase. The actual movement of prices will be determined in part by what other large capital project investments and associated employment occurs as the Project passes the peak of construction.



The modelling showed prices under each scenario converge to the trend following the construction phase. This means that the impact of the Project is the pull forward of a part of price growth that would likely have occurred over the next two decades without the Project, into the period 2013–2017. It follows that short-term management should focus on this temporary price spike.

In contrast, governments are focused on the entrenched problem of poor housing affordability in the Territory. As part of efforts to tackle the existing and long-term housing affordability issue, the NTG’s Department of Housing launched ‘Real Housing for Growth’, on 1 January 2013. This is a Northern Territory-wide strategy based on a premise of an annual housing undersupply of approximately 500 houses.

Strategy initiatives include:

2000 additional affordable homes over the next four years;

Provision of home loan finance products (both means and non means tested);

Rental-specific programs such as establishment of a new affordable housing rental company (income eligibility criteria); and

Head-leasing of new dwellings by Government for up to 10 years (approximately 1500 houses).

The NTG is also looking at proposals for redevelopment of public housing sites as part of Real Housing for Growth.

According to the Department of Housing, capacity exists to bring additional short-term accommodation online, if required. A number of proposals for short-term worker accommodation are currently being examined or are approved.

The Project proposed to further mitigate the risk of property market impacts by timely sharing of updates and estimates of accommodation needs as appropriate.

Direct Construction Workforce

The RPS analysis confirmed the importance of the Accommodation Village in significantly reducing the impact of the Project on the local housing market.

The Accommodation Village will accommodate the non-resident construction workforce JKC requires to build the LNG plant. At peak, the Accommodation Village is expected to house 3500 residents.

The Project has also put a great deal of effort into sourcing Darwin residents partly to limit the need for extra accommodation.

The Accommodation Village will provide accommodation, food, security and social and recreational outlets for the FIFO contractor workforce. It will also act as a central location for daily workforce management and transportation to the worksite.

The Accommodation Village site was selected to reduce impacts directly associated with the site-based workforce, particularly in later Project stages. The site was appraised against the following selection criteria:

Capacity to provide a vegetation buffer between accommodation facilities and adjacent neighbours;

Minimal direct neighbours adjacent to the site;

Good traffic access with minimal impact on built-up areas and with minimal extra road infrastructure required;



Accommodation Village location at a relatively short distance from the onshore plant location, while also being close to the Palmerston and Howard Springs communities; and

Close proximity to local services, sporting clubs and retail outlets to increase opportunities for integration and contribution to communities and businesses.

The Project has ensured, and will continue to undertake, comprehensive, consistent and structured community consultation and engagement in line with key Village construction milestones.

The Project expects to employ approximately 1000 people (+/-25 per cent) who will live outside the Accommodation Village including existing Darwin residents. This number includes INPEX construction management positions and personnel employed for scopes of work not included in the construction of the LNG plant, such as dredging (Van Oord) and construction of the gas export pipeline (Saipem). These accommodations are mostly fully-serviced apartments (not self-catering holiday lets) but also motel style and transient workers accommodation solutions.

In mid-2011, when CBD apartments were generally acknowledged as being in oversupply, INPEX conducted a competitive Expression of Interest (EOI) for the provision of serviced apartments inclusive of room cleaning, gym and pool access, security, maintenance, utilities and broadband. The cost of leases agreed by INPEX since that time has been consistent with price benchmarks established through the EOI process.

The intention of the EOI was: (1) to secure approximately 115 apartments for non-local INPEX construction management staff and (2) to signal to the market the type of apartment product likely to be required for construction management living in Darwin CBD, some sense of the required quantity and set some expectations of prices likely to be paid by the industry. With this information developers could better develop investment business cases with their financiers to take advantage of growth opportunities associated with the Project.

JKC and its subcontractors similarly require appropriate accommodations for non-local construction management.

The scope of dredging contractor Van Oord means that most workers live on a vessel and do not require onshore accommodation. Management stationed in Darwin will require accommodation (peak early 2013) of approximately 20 apartments and 10 houses. During the 2013–14 wet season, approximately 40 short-term serviced rooms will be required for land-based roles.

Similarly, many workers performing the scope of Saipem’s gas export pipeline construction will live aboard vessels. The package will need temporary accommodation for up to 130 workers in 2013 and 2014.

Workers for offshore construction packages will be accommodated on floating hotels in the Ichthys Field and not require significant accommodation in Darwin.

Tourism accommodation providers have not tendered to supply accommodation and this is attributed to the higher returns possible in tourist markets. The Project is sensitive to potential adverse effects on the long-term opportunities for the sector and will monitor stakeholders’ perceptions of these effects.



Indirect Workforce

In addition to temporary increases in population directly attributed to the Project, there are likely to be indirect population impacts with more people moving to Darwin to back-fill jobs vacated by local people who have gained Project employment. Others are expected to move to Darwin to work in industries supplying goods and services to the Project.

Operations Workforce

Approximately 240 Project workers and 100 contractors in engineering, maintenance and catering will be employed throughout the LNG plant and offshore support facilities during the operations phase.

Project employees will comprise approximately 60 management staff (resident in Darwin in a combination of houses and apartments) and around 180 operations personnel with approximately 60 on shift at any one time.

The exact proportion of FIFO operations personnel is not currently known but the Project has assumed a maximum of 80 per cent FIFO with a requirement of up to 60–70 serviced apartments. Similarly, the proportion of FIFO catering, maintenance and engineering contract support will be influenced by market conditions and could require around 50 dwellings. The resident workforce will require approximately 140 houses. There will be employee housing incentives (yet to be finalised) that will add to demand for family homes beyond the peak of construction activities and this will help to smooth house price movements.

No centralised FIFO accommodation facility will be provided for the operations phase of the Project but instead, clusters of serviced apartments will be utilised to enable downsizing as the proportion of locally based employees increases.

The Project will aim to reduce the FIFO component of the operational workforce from around 70–80 per cent down to approximately 40 per cent over a 7 to 10 year period.

Management Objectives

Reduce upward pressure on housing prices, rental costs and demand; and

Avoid displacement of short-term accommodation users, e.g. tourists and business visitors.



Table 6-3: Commitment table: housing and housing affordability

Housing and Affordability

Potential Impact Affected Population

Increased pressure on housing market from accommodating workers and resulting market-distorting speculation

Increased pressure on housing market from accommodating long-term operational workers in approximately 200 dwellings

Increased pressure on housing and affordable housing markets from growing population

Increased capital or income as a result of rental and house price rises associated with a growing population

Possibility of decline in housing prices after the construction period ends

Greater Darwin residents Property owners

Relevant Stakeholders Action Responsibility Timing Performance Indicator Review Mechanism

Department of Lands Planning and Environment Strategic Planning and Land Services Department of Housing Property Council of Australia (Northern Territory Division) Real Estate Institute of Northern Territory Inc. Community housing providers and advocacy groups

Provide NTG and peak housing industry business associations timely and transparent updates on Project construction accommodation needs and operational workforce accommodation needs

INPEX As available Information provided to NTG

Annual SIMP report by INPEX to NTG

Construct the Accommodation Village at Howard Springs for use by JKC construction contractors

JKC 1000 beds available by Q2 2013 (complete) 2000 beds available by Q4 2013 3500 beds available by Q4 2014

Construction of Accommodation Village completed

Construction completed




Select subcontractors that demonstrate high proportion of locally based workforce and support with employment shop front in Darwin prior to the Accommodation Village becoming available

JKC Complete Percentage of employees mobilised from Greater Darwin postcode

Contractor to summarise percentage of employees recruited from Darwin

Select subcontractors that demonstrate high proportion of locally based workforce

Van Oord Saipem

Complete Percentage of employees mobilised from Greater Darwin postcode

Contractor to summarise percentage of employees recruited from Darwin

Guide land usage in the Greater Darwin area through strategic land use plans

Department of Lands Planning and the Environment

Ongoing Monitoring of rental vacancy rates and housing sale prices in Darwin

Department’s Annual Report

Release land for greenfield and infield developments

Department of Lands Planning and the Environment

As appropriate Monitoring of rental vacancy rates and housing sale prices in Darwin

Annual Report

Provide assistance to Northern Territory homebuyers with stamp duty concessions, grants and Principal Place of Residence rebates

Department of Treasury and Finance

From December 2012

Monitoring of rental vacancy rates and housing sale prices in Darwin

Annual Report

Monitor house prices in the Northern Territory on behalf of the NTG

Department of Treasury and Finance


Annual Report




Continue to build public housing stock in urban and remote areas



Annual Report

Continue to operate managed short‑term accommodation facilities across the Northern Territory



Annual Report

Implement the Real Housing for Growth plan to increase housing supply and ease housing cost pressures (building 2,000 new affordable and industry rental homes by 2017) New dwellings will be made available to key workers such as nurses, teachers, health workers, hospitality staff and young families who have difficulty affording private rents and who are not eligible for public housing


Prior to 2017 Monitoring of rental vacancy rates and housing sale prices in Darwin

Annual Report

Provision of a directory of services for homeless Territorians

ShelterMe TBC TBC



6.3.2 Social Integration

There are three main mechanisms through which the Project may impact social integration:

Demographic change associated with a primarily male workforce;

Workforce behaviours; and

Social adhesion and contribution to the local community through participation in sport and recreation and volunteering activities.

Gender Balance

The potential for social issues linked to a gender imbalance is a reality associated with the arrival of a predominantly male workforce and applies not only to the Project but to several other construction projects underway simultaneously in Darwin. Added to this are an increased number of male military personnel expected to be stationed in Darwin.

The Project has taken steps to help ensure community confidence with measures including:

Thorough employee induction processes across all sites to reinforce respectful and acceptable standards of behaviour;

Ensuring that the JKC workforce and its subcontractors sign their acceptance of Project Work Rules and associated employment conditions which detail acceptable behaviour within the Darwin community; and

Clearly warning in the Project’s template letter of employment offer the prospect of disciplinary action, including dismissal, should an employee’s conduct bring into disrepute the reputation of the Project, JKC or subcontractor.

Antisocial Behaviour

Consultation with stakeholders highlighted a number of concerns in relation to a large male workforce and included the concern that large crowds might congregate at social venues with a possible increase in existing levels of antisocial behaviour.

A general community increase in alcohol and drug consumption resulting from increased work opportunities, higher wages, life stresses and population change was also raised as a concern, potentially leading to a rise in antisocial behaviour and further pressure on law enforcement, legal and medical services.

While controlling the behaviour of workers residing in the general community poses greater challenges than within the Accommodation Village, Project contractor JKC has developed Project Work Rules and associated employment conditions for its workers and subcontractors which require a signed acceptance as a condition of employment. This measure is designed to discourage unacceptable behaviour in the general community.



Project Work Rules and associated employment conditions specifically detail acceptable behaviour within the Darwin community and reinforce the importance of respecting the ethnic and cultural backgrounds of people, both within the community and employed on the Project. Disciplinary action can be taken against employees if the subcontractor employee is identified as having breached the rules. Police will be able to keep construction management and Village operations management aware of antisocial behaviour trends even when privacy provisions prevent authorities from identifying individuals who have come to their attention. Managers can then respond with increased surveillance outside the workplace.

Project inductions and ongoing health promotion continue to provide information on safe levels of alcohol consumption and Project site security monitors for excess alcohol consumption. A program of testing for alcohol and other drugs has been designed as part of Project fitness for work screening with alcohol testing undertaken on the following basis:

For Cause: Where there are reasons to suspect that a person may be impaired by alcohol or other drugs, or if involved in an incident;

Random: Testing for alcohol and other drugs at a rate aligned to current industry practice. Random testing may include every person at a workplace or particular people or groups of people; and

Post Incident: Drug and alcohol testing will be carried out in the event of an incident to confirm or rule out impairment by intoxicating substances.

A number of management controls have been put in place to reduce potential impacts associated with the lifestyle behaviours of Accommodation Village resident, and to reduce any unhealthy stresses individuals may experience as a result of choosing the FIFO lifestyle.

Workers residing in the Accommodation Village are required to sign the Village Conditions of Occupancy and abide by its rules at all times. The Accommodation Village design specifically incorporated recreational facilities such as a gym, tennis court, swimming pool, licensed restaurants, a retail shop, and excellent entertainment and communications facilities to enhance the living environment.

Active Life Coordinators (or health and lifestyle coordinators) are also employed by the Project to offer a range of structured events for workers, and employee assistance programs, including counselling services are also available. The incorporation of licensed facilities into the Accommodation Village design is expected to deter residents from travelling to external licensed venues. Licensed areas within the Accommodation Village will be closed for a period in the evening to encourage consumption of food and water.

The Project has committed to use locally based personnel to supplement subcontractors’ core work teams subject to having suitable skills and work experience. Established Darwin residents have strong community connections and less social integration issues. It is recognised that there will be people new to Darwin who take up back-fill job opportunities and that this growth may add pressures and require extra time and effort to successfully integrate into social networks.



Contribution to the Community

During construction, the Darwin resident workforce will work a roster typically requiring 10 hour shifts with an expected minimal involvement in community activities requiring an ongoing regular contribution – such as sporting teams with fixed schedules. Australian research has also broadly indicated that FIFO workers with families elsewhere generally only make limited contributions to the community (Carrington 2011).

With work rosters of operational personnel yet to be agreed, the smaller numbers of Project staff and higher percentage of residentially based workers suggest only a low impact on social integration during the operations phase.

The NTG Department of Recreation and Sport, City of Darwin and City of Palmerston have highlighted the potential for Project workers (both construction and operations) to either participate in local sporting competitions on rostered days off, or attend various sporting activities, including one-off events such as exhibition rugby games.

Such involvement is viewed favourably as bigger potential audiences could potentially make it easier to attract more such events to Darwin.

Opportunities exist to broker relationships between Active Lifestyle Coordinators in the Accommodation Village at Howard Springs and sporting peak groups, council officers, managers of council-owned facilities, organisers of one-off events such as fun runs, triathlons and similar events, and community volunteer and charity groups.

Similarly, the NTG Department of Arts and Museums, City of Darwin and City of Palmerston have indicated the potential for Project workers and the Project to contribute to the arts and cultural life of the local community, including through their attendance, participation and support for organisations and events in the greater Darwin area.

The Project’s community investments help to mitigate impacts in this regard by promoting events that reinforce Darwin’s community spirit, such as Darwin Show, Palmerston Show, Palmerston Golf Open, Darwin Volunteer Coast Guard and NT Thunder.

The Project remains committed to maintaining a constructive dialogue with community, business and government partners, in areas impacted by the footprint of the Project and where joint expertise and sector knowledge may be best utilised.


To monitor and reduce impacts on quality of life associated with construction personnel.



Table 6-4: Commitment table: social integration

Social Integration – Antisocial Behaviour


Potential for increased crowd congregation at some external venues and increased on existing levels of antisocial behaviour at nearby localities

Howard Springs residents Palmerston residents Darwin residents Litchfield residents Local business owners Tourists Construction workforce


Office of Children and Families Department of Business (Gambling and Licensing Services) Department of the Attorney-General and Justice NT Police, Fire and Emergency Services, Department of Defence Tourism NT Commercial passenger vehicle operators Australian Hoteliers Association Department of Defence

The Project to meet regularly with relevant stakeholders to monitor concerns regarding antisocial behaviour and health outcomes as well as to share relevant learnings and/or management strategies

INPEX Ongoing Meetings held Annual SIMP report by INPEX to NTG

INPEX to endorse Contractor’s Project Work Rules and associated employment conditions (see below)

INPEX Prior to Accommodation Village occupation

Project Work Rules endorsed

Not applicable

Contractor to include information on safe levels of alcohol consumption in Project inductions and ongoing health promotion

JKC Prior to Accommodation Village being operational

Incidences of non-conformance with Project Work Rules Incidences of non-conformance with the Village Conditions of Occupancy

JKC reports to INPEX




Department of Arts and Museums Parks and Wildlife Commission of the Northern Territory

Contractor to establish Project Work Rules as part of template employment Impose the obligation of Project Work Rules in employment conditions and reporting upon workforce behaviour management arrangements to all subcontractors

JKC Prior to Accommodation Village being operational

Incidences of non-conformance with Project Work Rules


Accommodation Village residents required to sign the Village Conditions of Occupancy and abide by these rules at all times

JKC Prior to Accommodation Village occupation

Incidences of non-conformance with the Village Conditions of Occupancy


Provide buses for Accommodation Village residents on days/evenings off

JKC Prior to Accommodation Village occupation

Buses provided JKC reports to INPEX

Establish a fitness for work program, including random and ‘for cause’ drug and alcohol testing, and health education

JKC Completed Number of drug and alcohol tests conducted

Contractor HSE statistics

Local Darwin community to be preferred for employment additional to core crew, where suitably qualified and experienced

JKC Ongoing throughout Project

Number and percentage of local people employed by the Project, mobilised from Greater Darwin area


Accommodation Village operation management company will coordinate with the Northern Territory Police to address antisocial behavioural issues of residents Subcontractor management will coordinate with Police to address any antisocial behaviour outside the Accommodation Village

JKC Throughout construction

Incidents requiring attendance by NT Police





Recreational facilities will be provided in the Accommodation Village, including cinema, basketball court, pool, games room and tavern




Active Life Coordinators to offer a range of structured events and competitions for rostered days off and evenings




Installation of a perimeter fence to ensure Howard Springs Road entrance is the single entry/exit point for the Accommodation Village

JKC Throughout operation of the Accommodation Village

Incidences of security breaches


Security officers to patrol for breaches of perimeter and Accommodation Village rules

JKC Throughout operation of the Accommodation Village



Payment of Living Away From Home Allowance (LAFHA) only to those eligible (married people/ in de facto relationships and electing to become Darwin residents)


Records of entitlements paid


Provision of regular rest and recreation flights to a home city is only available to workers residing in the Accommodation Village and FIFO management


Records of entitlements paid


Provide information on relevant alcohol rules and regulation for workforce inductions

Department of Business

Prior to Accommodation Village occupation

Information provided JKC reports to INPEX




Provide information on relevant alcohol policy for workforce inductions

Department of Health



Provide information on mandatory sentencing reform for workforce inductions

Department of Attorney-General and Justice



Provide information on antisocial behaviour (e.g. criminal charges, strategies to avoid confrontation) for workforce inductions

Police Q3 2013 Information provided Regular liaison with Police

Police to nominate a liaison point for the Accommodation Village

Police Q3 2013 Liaison nominated Regular liaison with Police

Increase police numbers and expansion of CCTV network across the Northern Territory

NT Police, Fire and Emergency Services

Number of CCTVs Department’s Annual report

Engagement with key stakeholders to monitor concerns regarding antisocial behaviour

INPEX Ongoing Meetings held Annual SIMP report by INPEX to NTG

Provide information on taxi ranks in entertainment precincts and expected behaviour standards in taxis for workforce inductions

Commercial passenger vehicle operators

TBC TBC

Provide information to the Project on relevant events, facilities and programs associated with the arts, culture and recreation

Department of Recreation Department of Arts and Museums Department of Parks and Wildlife

Ongoing Meetings held Departments’ annual reports




Explore opportunities with the Project to enhance investment and partnerships as well as community engagement in relation to the arts, culture and recreation.

Department of Recreation Department of Arts and Museums Department of Parks and Wildlife City of Darwin City of Palmerston

Ongoing Meetings held Annual reports



6.3.3 Road Traffic

The main impacts of the Project on local traffic in the Darwin, Palmerston and Middle Arm Peninsula areas are expected to occur during the construction phase.

Impact sources include:

Daily transport of construction personnel to worksites from the Accommodation Village at Howard Springs and Darwin Airport;

Transport of workers to social activities;

Regular transport of materials and equipment from East Arm Wharf to site;

One-off transport of bulky items (e.g. accommodation units) to Blaydin Point or Howard Springs; and

Transport of rock from quarries to Blaydin Point and East Arm Port.

Traffic impact assessments have indicated that despite workforce movements occurring outside peak times, a degree of increased congestion on some local roads in Darwin, Palmerston and Middle Arm Peninsula will most likely cause some traffic delays. These delays are acceptable by Australian national standards and, according to the assessment, would be unlikely to compromise road safety.

Traffic associated with construction of the Accommodation Village at Howard Springs was projected at between 210–240 personal vehicles and between 15–45 construction and delivery vehicles per day. Expected traffic would include the transfer of materials from East Arm Port to the LinFox yard in Berrimah for storage; the transfer of between four to eight demountable units per day from the LinFox yard in Berrimah to the Accommodation Village site; and transport of 15 m × 4.5 m modules from East Arm Port to the Accommodation Village.

All oversize traffic will be required to operate under a Permit of Exemption. This may include the need for front and rear escorts. The designated routes for transporting materials to the Accommodation Village at Howard Springs are identified road train routes.

The Project and the NTG have established a Road Transport Committee with representation from senior Project staff and senior government officials. The group has provided an effective mechanism to monitor traffic impacts and to agree additional mitigation measures if required. The group meets regularly throughout the construction stages of the Project to provide oversight on traffic impacts.

Improving public awareness of traffic hazards and keeping the community informed was identified as a key mitigation measure, and a Project priority, to help reduce the number of road accidents. The Project appointed a Community Relations Coordinator to act as a single point of contact for this initiative.

The Project has also contributed funding to an advertising campaign promoting community traffic safety education. The campaign aims to increase awareness of traffic risks and provide information on how to drive correctly near heavy vehicles, good driving techniques and correct road rules.

Further strategies include;

Regular contributions of relevant information to the NTG’s Road Report Website (www.ntlis.nt.gov.au/roadreport/) addressing road closures, likely restrictions and trouble spots, as well as planned road works;

Public displays at shopping centres and other locations on an as needs basis to convey important road transport messages; and



Development of a series of fact sheets to highlight particular transport issues and activities. Fact sheets may also include details of road transport routes and associated key mitigation and management measures.

The Project has developed traffic management plans outlining a variety of procedures, including journey management, traffic control, carriage of dangerous or hazardous goods and load management. Where practicable, effort will be made to reduce traffic impacts during peak hours and transport routes through residential areas.

All heavy haulage contractors are required to demonstrate how their transport management systems effectively manage mass and loading, vehicle maintenance and driver fatigue issues. Furthermore, all staff driving to or on worksites must complete a Project-specific safe driver training induction course that includes defensive driving.

Under Project traffic management plans, ongoing monitoring of road conditions will occur to ensure problems that arise with traffic and/or infrastructure are dealt with in an effective and responsive manner by the appropriate parties.

The Project uses buses to shuttle workers between accommodation and worksites to reduce traffic impacts, and ensures information about expected traffic impacts is communicated to the public and key stakeholders in a timely way.

Shuttle bus routes are expected to operate between the Projects onshore worksite and:

The Accommodation Village at Howard Springs;

Palmerston;

Darwin;

Darwin International Airport; and

East Arm Port.

Morning shuttle bus departures to Blaydin Point from the Accommodation Village will be staggered to minimise the traffic impact of up to 60 expected bus trips during the peak of construction. Buses will travel from the Accommodation Village to the worksite in a 40 minute to one hour period outside the traditional commuter peak and return to avoid the afternoon commuter peak.

While the Accommodation Village will provide 350 parking spaces, the majority of these are expected to be taken by fleet vehicles with an anticipated waiting list for remaining spaces. Parking spaces, in general, will be for service providers, with a small number made available for drive-in, drive-out (DIDO) resident supervisors, thereby restricting private vehicle use. No storage of boats or quad bikes will be allowed at the Accommodation Village.

The Project has instituted a policy to encourage all heavy haulage contractors to become accredited with the National Heavy Vehicle Accreditation Scheme (NNHVAS), in an effort to reduce accidents involving these vehicles. Contactors not accredited, will be required to demonstrate an equivalent transport management system achieving comparable outcomes in mass management, maintenance management and fatigue management.

All JKC vehicles and buses will have an In-Vehicle Monitoring System installed, with data to be reviewed on a monthly basis to perform trend analysis and continuously improve driver skills.




Preserve public safety;

Minimise public inconvenience;

Manage traffic flow and use alternative routes where practicable;

Maintain the integrity of the pubic road network and improve where necessary;

Develop a robust communications and community traffic management plan with synchronised messaging; and

Balance these measures against the need to maintain the Project on schedule and within budget.



Table 6-5: Commitment table: road traffic

Road Traffic


Traffic congestion or traffic accidents involving the transport of personnel, materials and equipment (construction)

Traffic congestion or traffic accidents involving the transport of personnel, materials and equipment (operations)

Increased road use and wear Increased traffic noise and pollution

Residents/drivers along designated Project transport routes – primarily in Palmerston and Litchfield

Residents and drivers along approved routes Project workforce Road users


Department of Infrastructure Department of Transport Police, Fire and Emergency Services Darwin City Council Palmerston City Council Litchfield Council Road Transport Association Greater Darwin community

Chair Road Transport Committee INPEX Ongoing Chair the Road Transport Committee

Meeting minutes of the Committee

Conduct traffic impact assessment to establish additional loads on the road networks and assess impact against Australian Standards

INPEX Completed Completion of traffic assessment

Traffic assessment outcomes

Implement Transport Communications Plan to convey transport-related messages to the community

INPEX Throughout construction

Implementation of Transport Communications Plan

Community feedback

Invest in improvements in community road infrastructure and safety improvements, including: Contribution to safety and capacity

improvements at the Wickham Point Road/Ichthys Project LNG Plant site intersection

Construction of Jenkins Road from

INPEX Stage 1 complete Physical completion of road/path infrastructure





Finn Road to Channel Island Road Intersection contributions and

upgrades at Stuart Highway and Jenkins Road, Arnhem Highway and Stuart Highway, Howard Springs Road and Stuart Highway, and Chung Wah Terrace/Elrundie Avenue

Tulagi Road Surface Repair and Bike Path Safety Improvement

Thorngate Road Surface Repair and speed limit sign improvement

Other lesser road works, including improved safety and speed limit signage

Project actions at operations – TBC INPEX Post 2016

Implement Traffic Management Plans which align with INPEX strategy, including road improvements, approved routes, fatigue management and restrictions on vehicle movements at peak times


Four daily inspections (before work, during work, shift change, night shift) with records kept of all temporary traffic signs, devices and controls Internal audits evaluating the conformance of the system, process or product as appropriate Tracking of the non-conformance register Tracking of the Complaints Record Accident/incident investigation and reporting

Audit of Traffic Management Plans Reports to the Project Van Ord Throughout

construction

Saipem Throughout construction




Provision of bus services from collection points near residential areas to reduce private cars travelling through Palmerston and on Wickham Point Road


Number of traffic accidents involving Project vehicles Community complaints regarding traffic congestion from Project vehicles


Limited private vehicle parking at the Accommodation Village and other Project locations


Number of traffic accidents involving Project vehicles Community complaints regarding parking congestion from Project vehicles


Road safety communication to workers and safety measures, including In-Vehicle Monitoring System


Number of traffic accidents involving Project vehicles Community complaints regarding traffic congestion or Project driver behaviour


Where practicable, avoid highly congested areas during peak hours when planning regular traffic routes


Community complaints regarding traffic congestion from Project vehicles Number of traffic accidents involving Project vehicles


Compliance with all regulatory requirements concerning the management of noise from road transport


Community complaints regarding traffic noise from Project vehicles





Where commercially practicable and reasonable, avoid built up areas, managing the use of engine/compression braking, driving in a considerate manner and managing traffic flow through residential areas at sensitive times


Community complaints regarding traffic noise from Project vehicles


Use of In-Vehicle Monitoring System to monitor driver behaviour


Number of traffic accidents involving Project vehicles Community complaints regarding Project driver behaviour


Regular community communication on traffic movements and noise issues and provision of adequate community feedback mechanism


Communications provided Community complaints regarding traffic noise from Project vehicles Community complaints regarding traffic congestion from Project vehicles


Monitor increases in noise levels from traffic


Contravention of Project noise limits defined in CEMP


Provision of bus services from collection points near residential areas to reduce private car travel to reduce congestion and safety risk Road safety communication to workers and safety measures, including In-Vehicle Monitoring System

INPEX During operations Number of traffic accidents involving Project vehicles Community complaints regarding traffic congestion from Project vehicles

INPEX complaints log




Improve safety on Northern Territory roads through education and enforcement


Throughout construction

Number of traffic accidents and incidents

Road traffic statistics

Improve safety on Northern Territory roads through education and enforcement

Police, Fire and Emergency Services

Throughout construction

Number of traffic accidents and incidents

Road traffic statistics



6.3.4 Employment, Education and Training

Employment

Community consultation during preparation of the EIS involved a range of stakeholders, including the Northern Territory Business Council, the Chamber of Commerce and the Larrakia Development Corporation. This consultation, and subsequent discussions with the NTG in preparation of the SIMP, highlighted a need to maximise economic development and employment opportunities associated with the Project.

Employment is linked to local procurement and the Project has facilitated local purchasing and enhanced supply opportunities for local businesses via the Industry Participation Plan (IPP). The plan guides the Project’s procurement of goods and services from local and Australian businesses and was developed in line with the NTG’s Building Northern Territory Industry Participation (BNTIP) guidelines.

The IPP strategies aim to enhance the Project’s positive impacts and future operations with a specific focus in the Northern Territory. The Project reports quarterly to the NTG against the approved IPP.

The Project aims to maximise the employment of appropriately qualified local people during construction. People interested in employment with the Project are able to register their interest online at www.ichthysjobs.com and through the JKC Construction Employment Mobilisation Centre (CEMC) on Mitchell Street in Darwin.

The Project’s demand for construction labour and skilled operations staff is expected to benefit the Greater Darwin Region by:

Contributing to reduced unemployment rates;

Increasing workforce participation with people returning to the workforce or starting work for the first time;

Reducing the number of Darwin residents working remotely on a FIFO basis; and

Potentially attracting new residents to Darwin.

The number of construction projects occurring simultaneously in the Northern Territory and other states is expected to affect the number of locally-based skilled people available for the Project. The Northern Territory labour market is known to be limited in its ability to meet the skill and expertise requirements of the oil and gas sector.

Discussions with NTG agency representatives identified a number of current and potential upcoming projects likely to coincide with the Project. Those identified as potentially impacting available labour resources include:

Defence Logistics Transformation Program (DLTP): Consolidation of 24 maintenance facilities down to seven. This $100 million Defence construction contract includes infrastructure, road and maintenance facility and will commence in mid-2013 further exacerbating shortages of available trades;

Construction of a new wharf and fuel installation: While not yet funded, and without final approval, the project aims to be completed in 2018 and coincides with the Project;

Darwin Airport Expansion Program: It is anticipated that peak construction activities of the Project will coincide with the airport expansion program to commence in 2013 and be completed in late 2014;



Residential construction activities across greater Darwin; and

Darwin LNG shutdown maintenance campaigns.

Cumulative impacts are addressed in Section 6.3.19.

A significant imbalance in the cumulative demand and available supply of labour can have a number of effects that include:

Upward pressure on wages across many sectors, including in construction, retail and service sectors and fisheries and government (due to better paid competing resource sector job opportunities);

Cost of living increases (where labour is a significant portion of the cost goods or services);

A loss of staff for small and medium sized businesses to project employment opportunities; and

A reduction in the availability of trades people and other support and maintenance workers (electricians, plumbers, welders and mechanics) resulting in higher costs, longer waiting times for service or both.

The NTG’s Department of Treasury and Finance demonstrated the stimulus effect on wage and employment opportunities stemming from major construction projects in an examination of the effect of Darwin LNG construction on average weekly earnings.

The analysis also highlighted the potential downward pressure on wages and employment opportunities once employment opportunities pass the predicted peak in 2014–15. Lower employment and slower wages growth after the peak of construction may affect household incomes and businesses. This may have the effect of improving business profitability.

With fewer growth opportunities in some sectors after the peak of construction, businesses that have invested in increased capacity may face lower utilisation of these assets and/or be challenged to service debt. This effect may be heightened for some businesses by increased competition in the form of new Darwin branches of national companies or newly formed ventures supplying services to the Project and to the oil and gas industry generally.

Securing a pipeline of projects to avoid this slow-down effect is an acknowledged NTG goal which aims to retain skilled individuals who moved to Darwin for Project employment and who, it is hoped, will remain in the long term.

As part of IPP commitments, the Project has targeted sectors of the community not currently well represented in the labour force, with local workforce capacity bolstered through training and development strategies. These are explained later in this section.

The Project represents an important opportunity for ATSI peoples in the Darwin region to increase workforce participation and acquire critical skills and technical qualifications. This is being achieved through direct and indirect employment in industries that service the Project’s requirements as well as through training opportunities. JKC has appointed specialist ATSI employment advisers who work with subcontractors to:

Maintain a pool of work ready ATSI candidates;

Achieve and report on ATSI employment outcomes;



Track employment of ATSI trainees, apprentices and tradespeople from job to job; and

Identify support mechanisms for the development of trainees and apprentices.

As at December 2012, 103 ATSI people were employed on the Project site. The linking of employment outcomes to ATSI business opportunity is discussed in Section 6.3.5.

Education and Training

Consultation with the NTG in preparation of this SIMP raised concerns regarding an increased demand for school-based education services, particularly during the construction period.

Preliminary order of magnitude estimates developed by the Project projected an increase of approximately 200–1000 school children aged five to 19.

While the NTG Department of Education and Children’s Services has confirmed existing enrolment capacity in some parts of Darwin, in some locations – particularly in the inner city areas – schools are at full capacity.

More students could increase demand for specialist education services, including disability services, but estimations for the Project rate this as minimal.

The arrival of families in the Darwin area during the course of construction and thereafter could also place additional pressures on childcare services, including long day care and preschool. The recruitment, training and retention of qualified childcare and schooling staff remains a challenge for the NT and Commonwealth Governments.

Training and training opportunities have been a priority for the Project, its contractors, the NTG, the broader community and the Northern Territory business and education sectors.

Access to training funds was highlighted in discussions with Department of Business representatives who emphasised the importance of leveraging Commonwealth funding sources and JKC has worked hard to access the National Skills Workforce Development Fund.

The Project’s ongoing need for skilled workers has fuelled its multi-faceted approach to encouraging and promoting greater training programs and opportunities in the Northern Territory.

Well publicised was the significant Project contribution to training in Darwin with a $3 million investment for the construction of the Larrakia Trade Training Centre and a further $3 million investment towards the North Australian Centre for Oil and Gas.

The Project is now working to develop a competency framework with Charles Darwin University to determine training requirements relevant to its operations phase. It is anticipated that eight or nine apprenticeships will be offered each year via a new apprenticeship program to start in 2016 providing employment pathways for the location population. Offshore trainees will be trained in Darwin.

The Project also hopes to make use of the established INPEX Graduate Gateway Program. The two-year program contains four rotations through different areas with graduates attending relevant technical and ‘soft skills’ training courses with specialist mentoring and monitoring by a Rotation Supervisor. Graduates are hired as permanent employees and guaranteed a role at the end of the Gateway program.



JKC has developed a range of training initiatives for construction. ATSI work readiness training was geared towards the start of sub-contracts on CVL3, JTY/MOF and TNK1 packages in the 2013 dry season and the first cohort graduated on 8 April 2013. Of the 34 participants, by 19 September 2013, nine had commenced employment, 17 have commitments to be employed and are awaiting start dates, and eight are yet to be placed.

Similarly, JHTC has completed three courses for ATSI trainees with a total of 30 participants of which 22 remain on site working towards completion of Certificate III in General Construction. LOR completed a work readiness course for eight ATSI trainees all of whom are engaged on the construction of the village, and ESS Larrakia has completed a work readiness course for the hospitality trade and is preparing to integrate trainees in the operation of Howard Springs or other ESS locations until opportunities arise at Howard Springs. Van Oord has employed four ATSI trainees.

JKC has a school to work transition program for school-based apprenticeships. The program has students working part of the week ‘on the tools’ and the rest completing their NT Certificate of Education. It has been defined by the Project’s demand for trades on the onshore facilities site in 2014 and the National and Northern Territory Skills Shortage lists.

As part of the program, Group Training Northern Territory employs the students and places them with host companies for training as boilermakers, carpenters, electricians, plumbers and commercial cooks. It is JKC’s intention that in the second year of the apprenticeship, students (when 18 years old) will migrate to the onshore Project work, attached to subcontractors.

Twenty-five candidates were engaged for 2013. As of 19 September 2013: 15 had been placed with subcontractors; six are returning to school to finish their final year of school and continue the apprenticeship; two have chosen to leave the Project early and take up fulltime apprenticeship with the host employer; and two have chosen not to pursue an apprenticeship.

The 2014 intake selection process is well advanced and host employers have been identified.

JKC initiated an adult apprenticeship program in 2013 that will target 70 construction workers with an opportunity to upgrade skills while working on the Project. Target beneficiaries are adult workers who started but not completed an apprenticeship or have worked in construction for more than five years and have substantial experience but no formal qualification. Group Training NT will coordinate candidate selection and test the candidates have the required level of prior learning.

JKC is establishing a service contract with Charles Darwin University to deliver site-based cross-training in craft skills. Training will include dogman, basic rigger / scaffolder and forklift licenses. The aim is to train NT residents that are demobilising from a completed package in new skills that meet the needs of mobilising contractors.


To promote local employment opportunities;

To promote employment and training opportunities for ATSI peoples; and

To support targeted training programs to further develop a local skilled construction labour force.



Table 6-6: Commitment table: employment, education and training

Employment


Significant direct employment opportunities created by the Project, especially during the construction phase, as well as associated indirect employment opportunities

Pressure on local businesses due to increased demand for local labour during construction and corresponding pressure on employment due to fall in demand for local labour as construction ends

People seeking active or improved employment Local businesses and industry


Chamber of Commerce Northern Territory Department of Business Tourism NT Department of Regional Development and Women’s Policy

Develop and implement a Labour Resourcing Strategy that outlines how contractors will coordinate labour recruitment, ramp up and ramp down of workforce; attract and then retain project experienced labour; and maximise opportunity for ATSI, local Darwin, Northern Territory and all of Australia construction labour


Number and percentage of local people employed by the Project Number of employment starts of ATSI people

Quarterly IPP report to NTG

Establish a Project employment opportunities registration system for review by all Project subcontractors and open an employment shop front in Darwin

JKC Complete Number of registrations of interest on CEMC database

Quarterly IPP report

Local Darwin community to be preferred for employment additional to core crew, where suitably qualified and experienced


Number and percentage of local people employed by the Project


Local employment preference expectations placed on all


Number and percentage of local people employed





subcontractors (2012–2016) by the Project

Forecast order of magnitude labour requirements and main occupation trades qualifications required over major construction timetable

JKC Complete Outputs of labour requirement forecasting


Develop and execute reasonable local up-skilling and training campaigns and Project apprenticeship training initiatives

JKC

Ongoing during construction

Enrolment and completion rates of local people undertaking targeted training initiatives

JKC to supply records of rates of local employment and training initiatives

Develop employee competencies framework for operations; work with training providers to tailor training to these competencies; and set out school-based education into employment pathways

INPEX

Q2 2014 Competency framework developed


Continue discussion with the Commonwealth Department of Education, Employment and Workplace Relations on a range of key enablers, including the working holidaymaker program and the seasonal workers program


2012 – ongoing The Commonwealth continues to implement programs to attract visiting workers.

NT Employment Strategy 2012–2015 progress report

Continued partnership by government, business and industry to grow workforce and capability through training investment


2012 – ongoing To achieve 15 000 apprentice and trainee commencements across the Territory over five years.


Support sector specific workforce development strategies to identify and address business, industry and regional


2012 – ongoing Maintain higher than national labour force participation rates across





workforce needs the Territory

Increase responsiveness in the training system to deliver a productive and highly skilled workforce.


2012 – ongoing Grow the skill level of the Northern Territory workforce


Increase ATSI participation in the workforce and support business and industry to continue to develop sustainable employment opportunities for ATSI peoples in the Northern Territory


2012 – ongoing Increase ATSI workforce participation


Support small and medium enterprises to optimise business practices and increase employment opportunities; identify and support the development of new industries, opportunities and investment


2012 – ongoing Grow the size of the Northern Territory workforce


Work with stakeholders to seek synergies with other industries for employment solutions


2012 – ongoing Growing the size of the Northern Territory workforce




Education


Additional pressure placed on vocational and education training in schools, to replace positions vacated by people leaving for the Project and as an avenue to future work with the Project

Increased demand for childcare services during the construction period of approximately 60 children aged between 0–4 years per 300–500 new residents of Darwin, potentially leading to increased waiting times

Increased number of children requiring specialist education services for behavioural and at risk issues

Increased number of children requiring specialist support for disabilities

Resident families and children Project families and children


Department of Education and Children’s Services Office of Children and Families Department of Education, Employment and Workplace Relations

Provide estimates of the size of peak residential workforce component and likely need for childcare places to NTG and Commonwealth

INPEX Q3 2013 Updates as available

Whole project estimates provided

Annual Project SIMP to NTG

Provide NTG agencies with further details of size of residential workforce component as subcontracts are awarded

JKC Quarterly Information provided Quarterly IPP report

Engage with the Project in relation to projected school age students during the construction and operational phases of the Project, including number of international school students

Department of Education and Children’s Services

Prior to start of staged works

Changes in student numbers

Annual reports

Meet with relocation agents to discuss opportunities to include a schools prospectus in relocation packages for the Project/JKC families; and/or verbal briefing for relocation agents


Prior to start of staged works

Meetings held Changes in student numbers

Annual reports




Monitor impact of student numbers across the public school system (and private sector)


Ongoing Changes in student numbers

Annual reports

Establish a mechanism for identifying Project/JKC arrivals to monitor impact on services


June 2013 Changes in student numbers

Annual reports

Positive Learning Centre at Taminmin able to take on additional students


Completed Positive Learning Centre operating

Annual report

Identify/seek support officer funding for students with behavioural issues


Ongoing Funding identified for new officer if needed

Annual report

Consult with the Project/JKC to fully understand the education needs of new resident families and allow for Department of Education and Children’s Services to assess additional resources requirements


Q1 2014 Consultation undertaken Annual report

Schools in Darwin and Palmerston to rethink existing limited VET programs


2013 – ongoing Review undertaken by schools

Annual report




Brief Department of Education, Employment and Workplace Relations with the Project on potential demand for childcare places and workforce numbers change

INPEX Construction Regular meetings during construction

Annual report



Training – Opportunities


o Increased and ongoing apprenticeship and training opportunities throughout the life of the Project, including for ATSI peoples

o NT businesses community better understands sector standards and takes advantage of accreditation/business improvement opportunities

People seeking jobs or improved employment


Department of Business Department of Education and Children’s Services Larrakia Development Corporation (LDC) Larrakia Nation Aboriginal Corporation (LNAC) Group training organisations Registered training organisations (Cwlth) Department of Education, Employment and Workplace Relations (Cwlth) Department of Families, Housing, Community Services and Indigenous Affairs

Invest $3 million in construction of the Larrakia Trade Training Centre

INPEX Complete Trade Training Centre constructed Annual report

Develop employee competencies framework for operations and work with training providers to tailor training accordingly

INPEX Q3 2013 Employee competencies framework developed


Require ATSI training and employment plans from contractors

INPEX Prior to work commencing

ATSI training and employment outcomes


Place obligations on subcontractors JKC Completed Obligations placed on subcontractors


Continue pre-employment and school-based apprenticeship programs

JKC Ongoing during construction

Pre-employment and school-based apprenticeship programs continued


Develop and execute reasonable local up-skilling and training including apprenticeship and adult apprenticeship training initiatives


Enrolment and completion rates of local persons undertaking targeted training initiatives


Establish an ATSI training and JKC Complete Number and percentage of local Quarterly IPP




employment plan to INPEX’s requirements

people employed by the Project Number of employment starts of ATSI people

report

Provide ongoing support to help local businesses develop the capabilities necessary to secure valuable contracts and opportunities from resource and infrastructure projects


2012–2015 Maintain higher than national labour force participation rates across the Territory and grow the size of the Northern Territory workforce


Support apprentice and training opportunities in business and industry


2012–2015 To achieve 15 000 apprentice and trainee commencements across the Territory over five years


Support business access to specialist workforce advice on matters such as staff development, training, retention, attraction and legislative and regulatory obligations


2012–2015 Growing the size of the Northern Territory workforce


Support VET in public and private training providers, secondary schools Ensure VET delivery meets industry standards and employer needs, especially in remote and regional locations

Department of Business Department of Education and Children’s Services

2012–2015 Growing the skill level of the Northern Territory workforce


Work with priority industry sectors to develop and implement evidence- based workforce development strategies


2012–2015 Maintain higher than national labour force participation rates across the Territory and grow the skill level of the Northern Territory workforce




Training


Increase in pressure on training funds available People seeking jobs or improved employment

Relevant Stakeholders

Action Responsibility Timing Performance Indicator Review Mechanism

Department of Business Department of Education and Children’s Services Larrakia Development Corporation (LDC) Larrakia Nation Aboriginal Corporation (LNAC) Group training organisations Registered training organisations

Assess suitability of National Skills Workforce Development Fund to reduce reliance on NTG training funds

JKC 2013 National Skills Workforce Development Fund assessed and applied for if appropriate


Assist experienced but unqualified workers in skill shortage occupations to gain a formal qualification by having their existing skills recognised.


2013 – ongoing Growing the skill level of the Northern Territory workforce


Provide support for business and industry, particularly in relation to back-filling roles left vacant by workers moving to the Project


2012–2015 Grow the skill level of the Northern Territory workforce and grow the size of the Northern Territory workforce


Focus on students taking up VET in traditional trades and linking VET students to school-based apprenticeships and industry






Relevant Stakeholders

Action Responsibility Timing Performance Indicator Review Mechanism

Grow number of apprentices and trainees as well as strengthening VET pathways




Increase the quality of VET provision and support the development needs of the VET workforce




Support business and industry to undertake workforce planning and implement initiatives that increase sustainable ATSI employment


2012–2015 Increase ATSI workforce participation across the Territory




6.3.5 Business Opportunity

Capital expenditure for the Project is approximately US$34 billion.

During the EIS phase of the Project, local government and business groups expressed strong support for the Project and its potential to increase employment, salaries, training and business development in Darwin. It was hoped that the Project would also provide the impetus to further develop Northern Territory infrastructure and services, including training, transport, tourism and hospitality. The Project is committed to ensuring that Australian industry is provided with full, fair and reasonable opportunity to participate in all Project elements (as required under the Australian Industry Participation Framework), including contract and procurement activities in Australia and overseas.

An Australian Industry Participation (AIP) Policy and an Industry Participation Plan (IPP) were developed and have been resourced to help ensure the Project’s success.

The Project has also participated in the Ichthys Project Industry Participation Plan Steering Committee with the NTG with the (IPP) developed as a guide to the Project’s procurement of goods and services from local and Australian businesses. The IPP was also developed in line with the NTG’s Building Northern Territory Industry Participation (BNTIP) guidelines.

The purpose of the IPP is to:

Provide a framework for the management of the Project’s economic impacts;

Encourage and facilitate local and ATSI business participation in the Project;

Encourage and develop local businesses to work with large scale energy industry projects;

Identify employment opportunities for the available local workforce during the Project and long-term operational phases;

Increase the number of skilled local and ATSI people to work in the energy industry;

Increase earning and employment opportunities for local ATSI populations in partnership with existing organisations; and

Fulfil the requirements of the Project Development Agreement.

The Project continues to identify opportunities to be tendered to ATSI business. The Project has adopted the definition of an ATSI business as:

At least 51 per cent owned by people of ATSI descent; and

The majority of directors are people of ATSI descent with key business decisions made by people of ATSI descent.

The Project has reviewed ATSI business capability in the Northern Territory in order to identify and address capacity, gaps, barriers and opportunities for their participation in the Project. The results of this review were used to formulate the Project’s Aboriginal and Torres Strait Islander Business Engagement Strategy. This strategy outlines core elements underpinning the Project’s approach to the identification and inclusion of ATSI businesses within construction, and later, operational activities.

Examples include:



Development of specific ATSI business supplier forums to deliver information, education and training about the Project’s supply chain processes and upcoming business plans;

Development and support of a Northern Territory ATSI Business Register with key partners such as the Northern Territory Industry Capability Network (NTICN) and NT Indigenous Business Network to help identify and better promote ATSI businesses; and

Identification of key partner/s for internal education programs on ATSI business capacity building.

The Project reports to the NTG quarterly against the approved IPP. Highlights of the Q4 2012 report were:

Tenders issued to 17 Northern Territory-based fabricators for the Platforms and Ladders contract, with nine fabricators submitting bids. Further tenders are planned for the same fabricators for electrical and instrumentation stanchions and supports;

JKC awarded six major subcontracts during Q4 2012, expected to achieve significant Northern Territory content:

Medical Services to Hostile Environment Services;

Hire of Personnel Transportation Vehicles to Buslink VIVO Pty Ltd;

Ready Mix Concrete Supply to Wagners Concrete Pty Ltd;

Security Services to Wilson Security;

Main Civil Works to Leighton Contractors Pty Limited;

Temporary Site Facilities Operations and Maintenance to Leighton/Morris (Leighton Contractors Pty Limited & Morris Corporation (NT) Pty Ltd).

Van Oord’s dredging program has involved employment of 424 personnel and 38 work projects awarded to 30 Northern Territory-based companies across a wide range of categories, including, but not limited to:

Supply of industrial gases and equipment;

Bus hire;

General hardware and consumable materials;

Supply and delivery of temporary navigation aids;

Safety equipment and personal protection equipment.

ICNNT received 229 Project enquiries and provided 1447 Australian supplier nominations during Q4 2012 of which 44 per cent were Northern Territory suppliers. Additionally, there were 175 new work project opportunities listed on the ICN Gateway for this period;

Some 127 Northern Territory-based companies have been successful in winning work from JKC’s first tier subcontractors to date;

JKC has also placed orders with a number of Australian steel suppliers and fabricators;

The Project and JKC continued to work with bidders and subcontractors to maximise opportunities for ATSI businesses. E.g.: JKC and Macmahon John



Holland Joint Venture (MJHJV) awarded three contracts to ATSI businesses during Q4 2012 bringing to five the total of ATSI businesses across seven contracts engaged on the onshore work to date;

To expand ATSI opportunities in the Project, the ICNNT was engaged to further survey local ATSI businesses. This resulted in nine extra businesses being added to the JKC ATSI Business Register. The total number of businesses registered as of 12 December 2012 was 49; and

JKC demonstrated flexibility and support for an ATSI business in allowing it access to the Blaydin Point site to salvage cycads for use in a commercial landscaping business.

Further highlights from Q4 2012 included:

A successful supplier briefing was held in Darwin by JKC and their EPC subcontractor for a Combined Cycle Power Plant subcontract. Interest was high with 235 people attending and the briefing emphasised use of the ICNNT and Gateway in successfully pursuing opportunities and facilitating ATSI business engagement;

The JKC Local Content Manager successfully presented at the Northern Territory Major Projects Conference on the topic: Ichthys LNG Project Procurement – Things to Know;

JKC subcontractor NBC Consulting was engaged to undertake 12 ATSI business assessments, including pre-qualification questionnaires, risk assessments and gap analysis. This work was a follow-up to initial business assessments completed on 20 other ATSI businesses. Assessments assist JKC bidders and subcontractors to undertake due diligence and facilitate ATSI business engagement. Pre-award processes have also been strengthened, requesting bidders to provide specific evidence of engagement with ATSI businesses in proposals; and

ATSI-specific business highlights included the awarding of the following contracts to Northern Territory-based ATSI businesses by JKC and MJHJV:

Larrakia Development Corporation (LDC) for supply of ATSI heritage monitors as an extension to an existing contract with JKC;

Laramunga won a contract to supply plant hire to MJHJV.

Development of local business capability is a common by-product of large resource projects with opportunities for existing businesses to often partner or joint venture with new, and often larger, established providers entering the local market. On the negative side, larger competitors present a greater threat with their ability to flexibly draw on management resources, working capital and skilled labour.

The involvement of local and regional businesses on the Project can help increase their levels of accreditation and workforce training as in the case of technical accreditation for welders and development of an OHS culture. Some businesses are more open to funding such accreditation given the pipeline of opportunities available.

A range of indirect potential business opportunities is also generated by the Project by virtue of the spending it generates in the local economy – particularly in personal workforce spending on entertainment, hospitality and tourism.




To identify business opportunities consistent with the Project’s Australian Industry Participation Policy (AIP) Plan and Industry Participation Plan (IPP).



Table 6-7: Commitment table: business opportunity

Business Opportunity


Direct subcontracting construction opportunities resulting from the Project Flow-on spending by contractors and subcontractors to local service

industries e.g. training, transport, tourism and hospitality Workforce personal spending with local businesses, e.g. tourism activities,

groceries and entertainment Promotion of further business and industrial development in the East Arm

and greater Darwin area Potential for post-construction period slow down, as Project driven business

opportunities lessen

Local and Northern Territory businesses


Department of Business Chamber of Commerce Northern Territory Northern Territory Industry Capability Network Indigenous Business Network (NT IBN) Larrakia Development Corporation (LDC) Larrakia Nation Aboriginal Corporation (LNAC) City of Palmerston

Implement the Project's Australian Industry Policy (AIP) Plan and Project Industry Participation Plan (IPP) to provide full, fair and reasonable opportunity

INPEX T hroughout Project

Number of contracts won by NT-based businesses Number of contracts won by Northern Territory ATSI businesses


Industry/supplier briefings to communicate Project opportunities and share information about the Project

INPEX JKC

Ongoing Number of industry/supplier briefings held


NTICN retained to match suppliers to Project opportunities, including working with contractors and subcontractors to maintain upcoming tenders available at www.projectgateway.com.au

INPEX JKC Van Oord Saipem Offshore work projects

Ongoing Number of project tenders available on www.projectgateway.com.au





Implement the Project’s ATSI Business Engagement Strategy, including communicating expectations to contractors

INPEX From Q2 2012 Number of work projects awarded to ATSI businesses


Implement the Project’s AIP Plan and IPP to provide full, fair and reasonable opportunity

JKC From Q2 2012 and ongoing throughout Project

Number of contracts won by Northern Territory ATSI businesses


Place AIP and IPP obligations on subcontractors

JKC Ongoing Number of contracts won by Northern Territory ATSI businesses


Conduct an ATSI business capability assessment and place obligations to major subcontractors, including: Requiring major subcontractors to

refer to business capability assessment outcomes

Briefings to ATSI business groups

JKC Completed Number and type of ATSI business engagement activities


Assign to subcontractors the contractual obligation to consult the registry when developing contract and procurement packaging options that may attract ATSI businesses to prequalify and bid for Project scopes of work

JKC Q3 2012 Number and value of ATSI business contracts awarded by each subcontractor


Review, comment and approve subcontractor ATSI business engagement plans to optimise ATSI business opportunities

JKC Ongoing Number and value of ATSI business contracts awarded by each subcontractor





Assist and inform workers of daily living, entertainment, recreation and tourism options

JKC Van Oord Saipem Offshore packages

Commencement of work package

Induction package completed

Project HSE reports

Provide Project staff with flyer to encourage them to come to Palmerston for recreational, required services and shopping requirements

City of Palmerston Q2 2014 Flyer distributed in Village City of Palmerston report

Support business access to specialist workforce advice on matters such as staff development, training, retention, attraction and legislative and regulatory obligations




Provide ongoing support to help local businesses develop capabilities to secure valuable contracts and opportunities from resource and infrastructure projects


2012–2015 Maintain higher than national labour force participation rates across the Territory and grow the size of the Northern Territory workforce


Continue to assist business and industry development


2012–2015 Grow the size of the Northern Territory workforce


Identify ATSI businesses eligible to be on register of ATSI businesses

ICNNT JKC NT IBN INPEX

Ongoing throughout construction

Register available Quarterly IPP report

Operate Project Gateway and advisory service

Northern Territory Industry Capability

Ongoing throughout




Network construction



6.3.6 Regions

Consultation with government agencies during the preparation of the SIMP highlighted the potential for additional stresses on the Northern Territory’s regions, particularly should the Project attract skilled labour to Darwin. Regions may experience different economic impacts in the areas of employment, training and business opportunities.

Regional Employment and Training

As highlighted elsewhere in this SIMP, the Project seeks to maximise employment of local labour, enhancing benefits for the local economy. Project opportunities are opened to people across the Northern Territory, including the regions, although a number of limitations are acknowledged, including the ability of people to enter training or up-skill easily or quickly enough in time for the Project’s shorter construction phase. The Project and the NTG have discussed opportunities through investment in training to support regional business to participate in the Project’s longer-term operational phase, thereby helping to secure regional employment outcomes.

The Project represents an opportunity also for the Northern Territory’s regional ATSI population to participate in programs to acquire important job skills and qualifications via training, apprenticeships, direct employment and indirect employment in industries servicing the Project.

Regional Business Opportunities

The Project represents opportunity for all Northern Territory businesses and businesses are encouraged to use the Northern Territory Industry Capability Network (NTICN) system to pursue opportunities.

Regional businesses in particular, while often limited in ability to meet scale and contract and procurement standards for direct supply to initiatives such as the Project, are not restricted in pursuing other indirect supply opportunities.

In common with Darwin-based businesses, regional businesses must compete for skilled labour and experience rising labour costs. In regional areas, the loss of skilled labour is often more significant in disrupting local supply networks and availability of services to businesses and consumers. Labour shortages in Darwin can have the effect of ‘levelling the playing field’ on a whole-of-Territory basis, meaning regional areas are relatively more competitive. Project discussions with the Department of Business and the Department of Regional Development and Women’s Policy illustrated this trend with general maintenance activities for Defence now flowing out to regional areas such as Katherine.

Other indirect opportunities encompass service sectors such as tourism with Project workers and families spending in the sector, although not on a day-to-day basis for more common recreational pursuits.

As growth in opportunities in Darwin diminish following completion of the Project’s peak construction phase, regional areas may have success in attracting and retaining skilled workers, including those newly trained on the Project.



While the employment of appropriately skilled local labour is a Project priority, the limited capacity of the Northern Territory to meet this demand is generally acknowledged, along with the requirement to import necessary skilled workers. Regional businesses and industry might also employ this strategy in the event of a local skilled worker shortage.


To promote local and regional employment opportunities;

To promote employment and training opportunities for regional ATSI peoples;

To support targeted training programs developing a local skilled construction labour force, including specific ATSI programs; and

To increase opportunities for the Northern Territory business and industry community.



Table 6-8: Commitment table: regions

Regional Development


Pressure on regions facing competition for workers drawn to Darwin-based opportunities

Regional business development opportunities

Regional business and industry


Department of Business Department of Regional Development and Women’s Policy

Extend invitation through NT Industry Capability Network for regional business to participate in briefings on Project opportunities and tools such as Project Gateway

JKC Ongoing A number of industry/supplier briefings held A number of regional business attending briefings

Quarterly Industry Participation Plan report

Support growth opportunities for regional business and industry, including in collaborative and/or investment opportunities in the Northern Territory

Department of Business Department of Regional Development and Women’s Policy



Support small business cost reductions and market opportunities and pursue skilled migration options for the Northern Territory workforce


2012–2015 Grow the skill level of the Northern Territory workforce and grow the size of the Northern Territory workforce


Support traineeships leading to sustainable jobs for ATSI people living in Northern Territory Major Towns


2012–2015 To achieve 15 000 apprentice and trainee commencements across the Territory over five years and increasing indigenous participation in the labour force





Develop a new jobs portal to bring together organisations recruiting staff and individuals looking for work in the Northern Territory




Support business access to specialist workforce advice on matters such as staff development, training, retention and attraction




Establish partnerships with schools and business to strengthen VET, particularly across regional and remote areas

Department of Education and Children Services





6.3.7 Health and Wellbeing

During consultation with key health stakeholders for the Project’s EIS, the capacity of existing high-level emergency medical facilities at the Royal Darwin Hospital was rated as adequate to cater for potential Project worker cases.

However, the Department of Health (DoH) subsequently expressed concerns about potential demand for health services. As a result, the Accommodation Village Health Impact Assessment was reviewed by the Project and the Department in a workshop held in July 2012. The Project committed to cooperatively monitor, with DoH, the use of community medical services.

Medical facilities and services at the Project worksite and the Accommodation Village at Howard Springs are expected to avoid extra pressure on public health facilities.

These Project’s health facilities include:

Project Construction Site Blaydin Point

A short-term onsite medical facility has been in operation since the early stages of construction.

The facility includes:

Emergency/critical care, including resuscitation equipment;

A nurse station;

Treatment room and two-bed ward;

Emergency response equipment store;

Amenity facilities for urine testing; and

Basic storage area.

Medical facilities (post September 2013) will include the above as well as:

An additional bed in the treatment room/ward;

Basic reception and waiting area;

Ambulance bay;

Fire truck bay; and

Emergency rescue/fire marshall office and storage.

The Project site’s medical facility staff will include:

Full time GP(s);

Full time paramedics and ambulance operators along with two registered four- wheel drive ambulances;

Full time nurse(s);

Emergency response coordinator/fire marshall;

Qualified senior first aid trainers; and

Medical administration staff.

The Site medical facility will be fully equipped to support the GP in effecting speedy and accurate diagnosis, and equipped to undertake the following:



Drug and alcohol testing for up to 150 people per day;

Medical first aid;

Periodic check-ups;

Intensive care and stabilisation for ambulance support; and

General office supplies.

The Project worksite medical facility will operate throughout the Project’s permanent plant construction and be open during normal site working hours, Monday to Saturday (6 a.m. to 6 p.m.) and staff on call cover to be available 24 hours / 7 days per week.

Accommodation Village at Howard Springs

The Accommodation Village health medical facility will treat first aid related cases, minor injuries and stabilisation of serious injuries. They will also provide non-life threatening/non-emergency medical care and include:

An emergency/critical care area, including resuscitation equipment;

Nurse station/office area;

Treatment area;

Two bed ward; and

Multiple consultation rooms for various visiting services e.g. physiotherapist, counselling and podiatrist.

Medical staff at the Accommodation Village will include:

Full time nurse(s);

Full time GP(s);

Full time paramedic(s);

Medical administration staff; and

A visiting physiotherapist.

Medical facilities at the Accommodation Village will be available 24 hours a day, seven days a week. Two Project-funded registered ambulances will be available on a 24-hour basis.

Adverse Health Outcomes and Disease

Construction, large workforce populations and the environment all pose distinct and inherent risks to health. The Project’s physical environment, particularly through the dry season, generates dust that is an acknowledged health and safety risk that can lead to respiratory distress or respiratory disease in the longer term.

The Project will employ dust suppression techniques to protect worker health, vegetation and visual amenity.



Dust generation can cause melioidosis, which is a disease caused by the bacterium Burkholderia pseudomallei, found in some Northern Territory soil. During the dry season the bacterium can be found in deeper soil layers, but in the wet season it can be found in surface layers and in muddy surface waters with the potential to become airborne, particularly if high pressure water is in use. Most cases of melioidosis occur during the wet season following heavy rains and flooding. Sampling and analysis by the Menzies School of Health has shown dust emissions generated during construction of the Accommodation Village at Howard Springs had the potential to disperse B. pseudomallei.

Work sites have potential to promote insect breeding habitats. Increased habitats could pose a risk to community members and to the Project’s workforce, in the form of exposure to biting insects that can potentially carry vector-borne diseases, including arboviruses such as Ross River virus.

JKC has developed a Construction Environmental Management Plan (CEMP) and a Biting Insect Management Plan. The Plan outlines management of biting insect breeding habitats as well as dust management measures to reduce the likelihood of impacts on workforce and community health.

Periodic monitoring of biting insects is also outlined in the Accommodation Village Operation Environment Management Plan (OEMP), along with measures such as the maintenance of temporary and permanent drainage systems to clear silt and vegetation to prevent the creation of insect breeding habitats.

Strict enforcement and monitoring of health and safety regulations, in addition to the provision of comprehensive medical facilities for the Project workforce, aim to reduce the risk of worksite accidents – a danger inherent and managed in all construction projects – while providing swift medical treatment should an accident occur.

The Project is mindful of the physical and psychological health stresses that can sometimes accompany shift and FIFO work – and the resultant impacts of poor worker health – not just on the Project’s progress, but also on the families and home communities of Darwin-resident and FIFO workers. Alcohol and other drug abuse is a factor.

The large Project workforce is also potentially at risk from communicable diseases, including sexually transmitted diseases, although the high proportion of Darwin-based workers residing in family situations is a factor in rating this risk as low.

The Project employs health/fitness staff who carry out health promotion generally and in the Accommodation Village specific measures are taken to encourage healthy eating (range of healthy food options in catering), improve fitness, health risks (including sexual transmitted diseases) and manage stress.


To manage and/or mitigate impacts on community health and wellbeing as a result of:

Increased breeding habitats of biting insects; and

Increased dust, potentially leading to respiratory disease.

To manage and/or mitigate demand on health services as a result of Project activities; and

To provide a safe environment for the Project workforce and community members.



Table 6-9: Commitment table: health and wellbeing

Health and Wellbeing – Service Provision Impacts


Increased pressure on health services, including general medical services and ambulance

Alcohol or other substance abuse issues may arise, resulting in antisocial behaviour or adverse health outcomes

Risk-taking behaviour of Project workforce may result in increased rates of communicable disease

Users of medical services and Northern Territory taxpayers Project workforce


Department of Health Royal Darwin Hospital

Implement Onshore LNG Facilities Medical Services Plan

JKC During construction phase

Evidence of implementation of Onshore LNG Facilities Medical Services Plan

Contractor HSE reports

Track and report medical treatment incidents

JKC Van Oord Saipem

Q3 2012 Evidence of implementation of Health, Safety and Environmental Management System Medical treatment of injuries requiring use of public health services


Collaborate with key stakeholders to monitor impacts on health and medical services during construction

INPEX During construction phase

Bi-annual briefing with Department of Health

Annual SIMP report

Medical facilities and services will be available for triage, the management of injuries, return to work and mental and physical ill-health

JKC Complete Number of Project workforce first-aid cases referred to public medical facilities





Construction site medical facilities and services will allow for drug and alcohol testing, medical first aid, periodic check-ups and intensive care and stabilisation for transportation Construction site medical facility will include: Emergency/critical care area with

resuscitation equipment Nurse station and office area Treatment room and (from Sept

2013) 3-bed ward Amenity facility for specimen testing Basic storage facilities Basic reception and small waiting

area Ambulance bay Fire truck bay Emergency rescue/fire marshal and

storage Construction site medical facility staffing will include: Full time general practitioners Full time paramedics and

ambulance operators Full time nurses Medical administration staff Qualified senior first aid trainers Emergency rescue coordinator/fire

marshall




Accommodation Village at Howard Springs medical facility and services will allow for the treatment of first aid related cases, minor injuries and the stabilisation of serious injuries General medical care will also be available, including free counselling and therapy services Accommodation Village medical facilities and services are sized to cater for the expected 3500 residents and will include: Emergency/critical care area with

resuscitation equipment Nurse station and office area Treatment room and 2-bed ward Amenity facility for specimen testing Basic reception and small waiting

area Multiple consultation rooms for

services, including GP, physiotherapy, counselling, cardiologist and podiatrist

Basic storage facilities Ambulance bay Accommodation Village medical facilities staffing will include: Full time general practitioners Full time paramedics Full time nurses Medical administration staff Visiting physiotherapist

JKC Complete Number of Project workforce first-aid cases referred to public medical facilities





Construction site medical facility to operate during work hours (Mon-Sat) and Accommodation Village medical facility to operate 24 hours a day, 7 days a week Significant, but non-life threatening illness or injury will result in repatriation to home location Routine dental work is carried out in home locations with emergency dental arrangements made as required with local providers

Every effort will be made to prevent and respond to the possibility of endemic /pandemic diseases by: Establishing and implementing the

highest health and hygiene standards on the Project site and in the Accommodation Village

Providing awareness training Implementing the Project Pandemic

Response Plan in the event of a disease outbreak

Additional protocols established for respiratory, water and food-borne disease prevention and response

JKC Complete Pandemic Response Plan developed


Project inductions and ongoing health promotion will provide information on safe levels of alcohol consumption

JKC As required during construction

Evidence Project inductions carried out for employees


Project Work Rules included in employment conditions for all subcontractor employees (these include expectations for worker interactions with the Darwin community)


Project Work Rules included in employment conditions





Active Life Coordinators will organise diversion activities and workers will have access to a wide range of sports and recreation activities at the Accommodation Village

JKC Ongoing throughout construction and operation of the Accommodation Village

Evidence diverse program offered by lifestyle coordinators


Contractor to manage and report on workforce behaviour management arrangements

JKC Construction Evidence of workforce behaviour supervision and management arrangements


Establish a fitness for work program, including random and ‘for cause’ drug and alcohol testing, and health education

JKC Construction Evidence fitness for work program established


Buses provided for Accommodation Village residents on days/evenings off.


Evidence buses provided for Accommodation Village residents


Maintenance of a secure perimeter with all access controlled by an intelligence badge system

JKC Construction Secure perimeter established Evidence all access controlled


Security personnel will enforce site rules JKC Throughout operations of the Accommodation Village



Pre-employment medical assessments for the fly-in, fly-out workforce undertaken before movement to Darwin

JKC Prior to each construction worker arriving in Darwin

Medical treatment of injuries requiring use of public health services





Employee assistance programs (EAP), including counselling will be available

JKC Complete Number of EAP referrals Contractor HSE reports

Project inductions and ongoing health promotion, including sexual health and communicable disease awareness Project Work Rules included in employment conditions for all subcontractor employees (these include expectations for worker interactions with the Darwin community)

JKC Complete Inductions (#) completed Contractor HSE reports

All Project personnel required to sign Project Work Rules describing expected behaviour of Project workforce and in interacting with Darwin and Northern Territory communities

JKC Ongoing Inductions (#) completed Contractor HSE reports

Develop a Medical Services Plan with the objective of minimising demands upon Darwin public health facilities during the Project’s operations phase

INPEX Prior to Q3 2016 Number of Project workforce first aid cases referred to public medical facilities

Project HSE reports

Work with the Project and JKC to monitor for unexpected changes to levels of demand on services and develop strategies as appropriate


Q1 2014 Meeting held Feedback from Department of Health Annual SIMP report



Health and Wellbeing – Mosquito Management


Creation of mosquito breeding sites due to construction activities Howards Springs residents, Immigration Detention Centre residents and Palmerston communities

Project workforce


Office of Children and Families Department of Health Royal Darwin Hospital Cwlth Department of Immigration and Citizenship SERCO (Darwin Immigration Detention Centre) Operator of Wickham Point Alternative Place of Detention

Implement control measures within the Biting Insect Management Plan (BIMP) to avoid or minimise the potential creation of biting insect breeding areas, for example: Inspections for mosquito larvae in

high risk areas Adult mosquito monitoring, via

trapping of mosquitoes to occur during operation of the Accommodation Village

Relevant operations management plans to be developed

JKC Saipem

Prior to works commencing and throughout operation of the Accommodation Village at Howard Springs

Evidence of implementation of Biting Insect Management Plan Number and type of lost work day cases (Project workforce) related to illness from arboviruses




Health and Wellbeing – Emissions and Discharges


Adverse health outcomes as a result of discharges to air, water and/or land Howards Springs residents, Immigration Detention Centre residents and Wickham Point residents

Project workforce


Department of Health Royal Darwin Hospital Palmerston GP Superclinic

Develop Operations Health Safety Environment and Security system as part of Operational Management System and secure operational license from Department of Lands, Planning and Environment under the Waste Management and Pollution Control Act Appropriate licences will be

maintained for the storage of dangerous goods in accordance with the Dangerous Goods Regulations (NT)

INPEX

Prior to planned start up

Maintenance of Northern Territory environmental protection license

Project HSE reports

Manage emissions through measures contained in the Construction Environment Management Plan (CEMP) including, but not limited to: Management of stockpiles to

reduce dust generation Implementation of a dust monitoring

schedule Monitoring at discharge points to assess water quality


Evidence of implementation of CEMP Compliance with criteria defined in the CEMP Reported incidents of visible dust attributable to the Project outside the Site





Manage emissions during the operation of the Accommodation Village at Howard Springs through the implementation of Village Operations Environmental Management Plan (OEMP)


Evidence of implementation of the Village OEMP Compliance with criteria defined in the Village OEMP


Appropriate licences will be maintained for the storage of dangerous goods in accordance with the Dangerous Goods Regulations (NT)

JKC Construction Number of non-conformances from audits and inspections




6.3.8 Emergency Services

The NTG’s Department of Health has reported high demand for its ambulance services in meeting the needs of the Darwin Immigration Detention Centre and initially expressed concerns about the triage capability of the Project’s work site medical facilities. The Project has since moved to ensure that a GP will be available on-site to conduct triage in the event of a medical case. An ambulance will only be requested if deemed medically necessary, reducing unnecessary call outs.

There are four police stations and four fire stations, serviced by the Joint Emergency Services Communications Centre covering the Darwin region. The Northern Territory Fire and Rescue Service (with support as required from Bushfires NT) is the primary provider of fire and rescue services throughout the area. To interface with these services, the Project has developed an Emergency Management Plan to provide a controlled and coordinated response to emergencies for all sites.

Regular meetings will take place with senior managers, the Police Commissioner and deputy commissioners for Fire and Emergency Services. As appropriate within the NT emergency management command structure, the Project will engage with council officers to understand relevant emergency management procedures.

As part of its emergency planning, the Project has developed a Pandemic Response Plan (covering in particular the influenza viruses H1N1 and H5N1), a Critical Weather Event Procedure and a Darwin Cyclone Response Plan and will, accordingly, continue to liaise with health and emergency services.

HSE work inductions make it clear that all Project workers, including contractors, are required to assist in the management of hazards and incidents by reporting via the INPEX First Priority Event Management database and must understand their role in the prevention of, or response to, a major accident event.

Regular induction courses are scheduled throughout all Project work phases and highlight the main management controls for fire prevention, including general fire extinguisher use, hot-work permit requirements, emergency evacuation procedures, the location of the fire and emergency muster points and other relevant information.


To manage and/or mitigate demand on emergency services as a result of Project activities.



Table 6-10: Commitment table: emergency services

Emergency Services


Increased pressure on emergency services such as fire, rescue and police during Project construction and operations

Greater Darwin community Project workforce


Office of Children and Families Department of Health Royal Darwin Hospital Palmerston GP Superclinic Police, Fire and Emergency Services City of Darwin City of Palmerston Shire of Litchfield

Maintain Emergency Management Plan (EMP)

JKC Van Oord Saipem

Prior to package commencing

Evidence of implementation of EMP Number and type of events requiring assistance by public emergency services Number of ambulance call outs and transfers


INPEX Ongoing during operations

Project HSE reports

Implement Site Security Management Plan


Evidence of implementation of Site Security Management Plan



Project HSE reports

Implement the INPEX Emergency Response Manual

JKC Van Oord Saipem


Evidence of plan to interface with INPEX Emergency Response Manual



Evidence of implementation of INPEX Emergency Response Manual

Project HSE reports




Report all hazards and incidents via the INPEX First Priority Event Management database

JKC Van Oord Saipem


Evidence of incident reporting via the INPEX First Priority Event Management database

Project HSE reports

Report all hazards and incidents via the INPEX First Priority Event Management database


Evidence of incident reporting via the INPEX First Priority Event Management database

Project HSE reports

Collaborate with key stakeholders to monitor impacts on emergency services not reportable under contractor HSE systems (non-workplace incidents)


Meetings held to identify, monitor and manage impacts though lessons learned



Increase police numbers and expansion of CCTV network across the Northern Territory


Ongoing Police number increased CCTV network increased

Annual report

Continue resourcing the Fire and Rescue Service to meet current and future fire and emergency risks, including commissioning of the new Berrimah Fire and Emergency Complex


Ongoing Current and future fire and emergency risks met Berrimah Fire and Emergency Complex completed

Annual report



6.3.9 Recreation

EIS preparation and subsequent discussions pointed to possible impacts of the Project on some recreational activities in and around Darwin Harbour, including:

Restrictions on recreational fishing in the immediate area of dredging work and near construction of the module offloading facility;

Restricted public access (including closures) to the onshore site and the nearshore development area due to necessary safety exclusion zones; and

Increased road and maritime traffic affecting recreational users.

The Project conducts a program of extensive monitoring in Darwin Harbour during construction that includes observing for impacts on recreational fishing. The program is intended to detect any changes to fish health, recreational fisher attitudes and behaviour, recreationally targeted fish species, fish stock abundance and distribution of recreational fishing boats.

In a key effort to mitigate impacts, the Project has reduced its dredging program from four years to about two years and will undertake seasonal dredging to reduce incremental turbidity. The dredging design was developed specifically to minimise impact and the potentially affected areas.

Stakeholder consultation showed that the recreational fishing community welcomed the creation of new fish habitat along the route of the Project’s gas export pipeline and nearshore infrastructure armour.

The Project’s communications strategy of community notices and a television and print information campaign has helped to ensure that recreational and traditional ATSI users of the Darwin Harbour area are aware of the construction work and provided with regular updates. The safety campaign has also seen information provided to fishing and tackle shops and the Project has provided large all-weather noticeboards at the Harbour’s four main boat ramps.

The NTG Department of Primary Industries and Fisheries is in the process of introducing new recreational fishing controls and a new monitoring program is expected to be in place in the 2013–14 financial year to modify existing recreational fishing survey/record keeping activities. Proposed measures and changes to existing regulations include:

Changes to existing possession limits, including on vessels;

Introduction of new limits for some species; and

Management of guided fishing.

Ongoing consultation to monitor impacts on recreational fishing efforts will continue, with the NTG and other key stakeholders, including Amateur Fishermen's Association of the Northern Territory (AFANT).

There are opportunities for local businesses, such as guided fishing tour operators, to capitalise on the interest from Project workers on their day off. However, there are existing concerns regarding the condition of key reef fish stocks in the Darwin region which is leading to corresponding management changes seeking to avoid increased fishing effort by the fishing tourism sector. There is a potential impact from an increase in recreational fishing from Project workers.



In terms of general recreation, workforce residents at the Accommodation Village at Howard Springs will be provided with a dedicated recreation precinct, offsetting any extra demands on existing community facilities. The Accommodation Village precinct will include:

An indoor sports complex: Comprising a gymnasium, aerobics room spin room and multi-use sports courts, including an indoor cricket pitch and sports equipment storage;

A recreation building: Comprising a games room, music room, small theatre, reading and internet room, and telephone room;

Outdoor multi-purpose sports courts, including outdoor beach volleyball courts and courts with markings for soccer, basketball and tennis; and

A swimming pool and grassed recreational area.

The Accommodation Village will be staffed with Active Life Coordinators to offer a range of structured recreational events and competitions specifically for the Project workforce.

The Project will also take appropriate actions to raise the awareness of Project workers in relation to weather, wildlife and other environmental hazards present in the Northern Territory, especially where these environmental dangers are co-located with recreational activities.


To reduce and mitigate impacts on recreational activities in and around Darwin Harbour by shortening the Project’s dredging program;

To communicate exclusion zones and construction activities that are likely to impact recreational activities; and

To provide a range of recreational offerings to the Project’s workforce to help offset extra pressure on existing community facilities.



Table 6-11: Commitment table: recreation

Recreation – Recreational Fishing Displacement and Fish Health


Creation of artificial fish habitat though gas export pipeline infrastructure Displacement from some recreational fishing areas within construction areas Concern that recreational fishing areas and beaches will be affected by

dredging activities Concern that recreational fishing areas, beaches and water quality will be

affected by ongoing operational activities Community anxiety about potential for vessel strike of marine wildlife

Recreational users of Darwin Harbour Marine tourism operators ATSI communities Greater Darwin community


Department of Sport and Recreation Department of Land Resource Management Department of Primary Industry and Fisheries Tourism NT Amateur Fishermen's Association of the Northern Territory (AFANT) Darwin Port Corporation Department of Arts and Museums

Implement marine safety zones – the minimum required to assure safety

JKC Van Oord Saipem

From Q3 2012 Number of complaints regarding recreational activity impacts

Contractor reports to the Project

Maintain access to Lightening and Cossack (Catalina) Creeks during construction

JKC From Q2 2012 Number of complaints regarding recreational activity impacts

Contractor reports to the Project

Undertake consultation with Department of Primary Industry and Fisheries, AFANT and other stakeholders based on results of fish and fish health monitoring program conducted by the Project

INPEX Ongoing until completion of construction

Number of consultation meetings with relevant NTG departments, AFANT and other stakeholders

Annual SIMP report by the Project to the NTG




Implement a Dredging and Spoil Disposal Management Plan (DSDMP) that outlines: Methodologies and timing of

dredging activities Contingency arrangements in the

unlikely event of the dredging contractor exceeding predicted impacts

Details of the monitoring program to detect and manage potential impacts

Reporting and auditing arrangements

Van Oord From Q3 2012 Evidence of implementation of the DSDMP

Annual reporting of the Project’s Dredging and Spoil Disposal Management Plan (DSDMP) via Ichthys Project Dredging Expert Panel (IPDEP)

Saipem Q4 2013

Implement Nearshore Environmental Monitoring Plan to help review: If changes to recreational fishing

and fish catch occur from Project construction activities (Fish Health Monitoring program)

Recreational fisher attitudes and behaviour over time

Key recreationally targeted fish species to determine changes associated with construction activities

Abundance and distribution of recreational fishing boats

INPEX Ongoing during construction

Recreational fisher attitudes towards management of impacts on recreational activities External lesions, parasites, internal measures of fish ill health Ramp use/boat count Catch per unit effort Total abundance of fish stocks

IPDEP-endorsed public reports Annual DSDMP reporting via IPDEP Interviews and inspections of catches at boat ramps Review of satellite imagery

Implement the Project’s Integrated Stakeholder Engagement Plan for Dredging to communicate environmental management outcomes to the community

INPEX Q2 2012 Number and type of public communications regarding dredging activities

Review of feedback




Public access to Lightning and Cossack creeks (Catalina creeks) during operations to be decided by NT Worksafe following detailed safety report

INPEX Prior to operations Major hazard report completed

NT Worksafe decision

Promote alternative recreational and fishing areas with Amateur Fishermen's Association of the Northern Territory (AFANT)


Construction Number and type of communications

Annual report

Introduction of recreational fishing survey to monitor activities and perceptions and compare with results gathered by Project recreational fishing monitoring program

Department of Primary Industry and Fisheries


Monitoring processes established

Reporting on recreational fishers Feedback from AFANT

Review program for water quality monitoring in Darwin Harbour

Department of Land Resource Management

Q3 2013 Review completed Departmental annual report



Recreation – Pressure on Facilities


Construction workforce adds to number of people engaging in recreation activities with extra pressure on fishing spots, camping and four-wheel drive areas, tourism attractions and recreational facilities

Construction workforce time off presents opportunities for workers to engage with local community in cultural, tourism and recreational activities

Greater Darwin residents Tourism operators Local government Amateur Fishermen's Association of the Northern Territory (AFANT) Recreational users of Darwin Harbour


Department of Sport and Recreation Department of Arts and Museums Parks and Wildlife Commission of the Northern Territory AFANT Tourism Top End Darwin City Council Palmerston City Council Litchfield Council

Monitor impacts/perceived impacts on recreational fishing activities via boat ramp surveys in Nearshore Environment Monitoring Plan

INPEX Ongoing throughout construction

Boat ramp surveys carried out

Nearshore Environment monitoring reports

Recreational facilities to be provided in the Accommodation Village at Howard Springs and Active Life Coordinators employed to offer a range of structured events and competitions as a diversion from fishing and other sensitive recreation options

JKC Q3 2013 Number of complaints of perceived impacts on recreational activities Number and types of structured events organised by lifestyle coordinators

Review of complaints

Development of a scalable strategy to gauge levels and manage any increased visitation of national parks and areas of outstanding natural value

Parks and Wildlife Commission of the Northern Territory

Q2 2014 Strategy developed and implemented Number of complaints of perceived impacts on national parks and areas of outstanding natural value

Strategy document Annual report




Access funds available through different programs to support the development of sport, active recreation and local government organisations and to assist the delivery of services, programs and events within the community


Ongoing Amount of available funding made available

Annual report

Liaison between Accommodation Village Active Life Coordinators, peak sport and recreation bodies and relocation agents regarding community and recreational opportunities

Department of Sport and Recreation Parks and Wildlife Commission

Q2 2014 Number of meetings held Annual report



6.3.10 Marine Traffic

The Project’s marine-based construction activities include dredging, construction of a module offloading facility and jetty works. Vessels used in these activities include dredges, barges, support vessels, multicats, crew boats, survey boats and a rock dump vessel. Although these vessels will increase maritime traffic volumes in Darwin Harbour, the Project’s nearshore development area is located within an existing operational port, equipped with facilities to manage commercial vessels. Vessel movements and activities will be undertaken according to Darwin Port Corporation (DPC) regulations.

A number of vessels will operate in the nearshore development area during dredging activities, travelling through the Harbour to the offshore spoil disposal area. The Project does not envisage any interruption to normal shipping activities through the Port of Darwin; however, safety zones will be implemented around dredging vessels for public and operational safety.

Maritime vessel operation in Darwin Harbour will be coordinated in conjunction with the DPC at all times. The Project is a member of the NTG’s Ports and Harbours Committee, which monitors marine traffic impacts and agrees necessary mitigation measures.

The Project follows developed marine traffic management plans, which regulate procedures, including fatigue management, journey management, traffic control, carriage of dangerous or hazardous goods, load management and the use of vessel management systems to monitor location and vessel voyage direction.

Further procedures to manage waiting and stack up for ships docking at the East Arm area will be introduced to help reduce congestion at wharf/berth areas. The Project has also developed an Integrated Stakeholder Engagement Plan for the dredging program to communicate transport-related messages to other harbour users.


Preserve public safety;

Minimise public inconvenience;

Manage the flow of transport and use of alternatives where possible;

Maintain the integrity of the pubic road network and improve where necessary;

Develop and implement a robust communications and community traffic management plan with synchronised messaging; and

Balance mitigation measures against the need to maintain the Project on schedule and within budget.



Table 6-12: Commitment table: marine traffic

Marine Traffic


Increased congestion in Darwin Harbour Increased marine vessel accidents Hazards to shipping navigation in the area due to location of spoil disposal

area

Recreation users of Darwin Harbour Marine industry workers


Darwin Port Corporation Darwin Harbour Advisory Committee Department of Transport

Participate in the Ports and Harbours Committee

INPEX Ongoing Frequency of Project participation in Ports and Harbours Committee meetings/activities

Meeting minutes

Implement the Integrated Stakeholder Engagement Plan for the Ichthys Dredging Program to communicate marine transport-related messages to the community

INPEX Q2 2012 Number and type of public communications regarding dredging activities

Review of complaints

Spoil disposal area positioned away from shipping routes Undertake periodic depth surveys of the dredge spoil disposal and maintain suitable under-keel clearance

Van Oord Ongoing during dredging

Reportable navigation incidents in area of spoil disposal

Darwin Port Corporation incident reports

Shipping traffic schedules and marine traffic management plans to be developed with Darwin Port Corporation for delivery of modules, crew changes and construction of marine facilities

INPEX During construction

Number of marine vessel accidents involving Project vessels

Darwin Port Corporation incident reports




Improve water and boating safety programs


Ongoing Number of water boating safety accidents Community complaints regarding water boating safety

Annual report

Notice to Mariners to be put in place to advise marine traffic of the Project location and matters affecting navigational safety

Darwin Port Corporation

Ongoing Notice to Mariners issued Darwin Port Corporation incident reports



6.3.11 Public Safety

During the construction phase, the Project will operate a number of dredging vessels and support vessels in the nearshore development area, travelling through Darwin Harbour to the offshore spoil disposal area. In addition to possible delay and inconvenience detailed earlier, a low risk of collision causing injury also exists.

To mitigate risk, dredging activities will be centred on only one or two localised portions of the nearshore development area at any one time with exclusion zones implemented around dredging vessels.

The Project will provide advanced notification of all construction activities with potential to impact public safety to the Departments of Health and Police, Fire and Emergency Services for use in emergency response planning and major incident exercises.

NT WorkSafe will assess if, during the operations phase, any exclusion zones will apply to Lightning and Cossack creeks (Catalina Creeks).


To reduce public safety risks and any significant health risks/impacts associated with either construction activities or operations-related traffic.



Table 6-13: Commitment table: public safety

Public Safety


Potential injuries from construction activities Local residents in proximity to construction activities and designated transport routes

Tourists


Darwin Port Corporation Department of Health Police, Fire and Emergency Services NT WorkSafe (Department of Business) Royal Darwin Hospital Litchfield Council City of Palmerston

Provide advanced notification of construction activities with potential to impact the community

JKC INPEX

From Q2 2012 Number and timing of notifications of construction activities issued to the community

Project website as record of communications

Implement Site Security Management Plans for Blaydin Point and the Accommodation Village and restrict public access to the onshore development area

JKC Saipem


Security breaches Contractor HSE reporting

Public access to the nearshore development area to be restricted during construction

Van Oord Ongoing during construction

Number and severity of incidents involving public safety

Contractor HSE reporting

Contractor workforce to complete inductions and training on health, safety, environment and security

JKC Van Oord Saipem


Number of contractor workers who have completed inductions on health, safety, environment and security


All potentially hazardous waste to be handled, stored, transported and disposed of as per the Project’s Construction Environment Management Plan (CEMP)


Number and severity of incidents involving public safety





The Community Relations Working Group to meet on a weekly basis to identify and manage public communications around potential risks during this phase of construction

INPEX Ongoing during construction

Number of reportable community incidents

Project External Affairs incident reporting

Prepare safety cases INPEX Prior to operations Maintenance of Major Hazard Facility License

Project HSE reporting

Participate in emergency response planning exercises for major incidents

Royal Darwin Hospital Police, Fire and Emergency Services

Ongoing Planning exercises successfully undertaken

Annual reports



6.3.12 Defence

Defence operations are of strategic importance to Northern Australia but also have significant economic importance to Greater Darwin. EIS consultations demonstrated concerns that the Project could interfere with Defence operations. The eastern portion of the gas export pipeline route runs through the Northern Australia Exercise Area (NAXA), used by the Australian Defence Force for at sea exercises, weapons firing training and shore based weapons firing training. Unexploded ordinance was cleared from the dredging footprint and pipeline route during 2011 and 2012. Gas export pipeline pipe laying could potentially impact ADF activities.

The Project has obtained agreement from the ADF to construct the gas export pipeline in this area and a license was issued under the Offshore Petroleum and Greenhouse Gas Storage Act 2006 (Cwlth) and the Petroleum (Submerged Lands) Act (NT).

The ADF will implement a 2 km‑wide exclusion zone for live ammunition firing and grounding of submarines along the pipeline route within the NAXA. The ADF’s safety template for the area will reflect this while a Deed of Cooperation and an Access Protocol agreed between the Project and the ADF establishes procedures and safeguards ensuring pipeline integrity through the NAXA.

Ongoing communication about construction traffic and cooperation on road safety messaging will continue and be extended to include road traffic and safety both near the base and routes to the exercise area, Harbour traffic, in-town workforce interactions (including visiting forces) and potential opportunities for Project assistance to the ADF.

Consultations raised concerns about Project impacts on the quality of life of Defence families, cost of living increases, perceptions of safety and the ability to attract Defence families to the Northern Territory. These impacts are addressed as part of the Project’s mitigation strategies for impacts on the broader Darwin region community in the SIMP sections on accommodation affordability and social integration.


Reduce the impact on Defence operations to a level as low as reasonably practicable.



Table 6-14: Commitment table: defence

Defence


Unintentional Project interference with Australian Defence Force activities Department of Defence


Department of Defence Defence to place pipeline location and protective zones on nautical charts and on materials used in support of ADF and exercises The existence of the pipeline and the procedures to safeguard to be embedded in ADF procedures.

Department of Defence

Q1 2014 Compliance with terms and conditions in the Access Protocol between Defence and the Project

N/A

Ongoing liaison between the Project and the Department of Defence to manage issues as they arise, including: Traffic movements near Robertson Barracks and routes to exercise areas Harbour traffic congestion Out-of-hours interactions of respective workforces Supply chain utilisation Opportunities to assist ADF mission

Department of Defence

Ongoing throughout construction and operations

N/A N/A



6.3.13 Commercial Fishing

Commercial fishers in relevant fisheries were briefed on expected Project impacts during preparation of the EIS with continued consultation only on an as needs basis.

Commercial fishing is not allowed in Darwin Harbour with the exception of the Coastal Line Fishery and the Aquarium Fishery. The Harbour also provides a base for vessels operating in fisheries throughout the Northern Territory and Northern Western Australian waters.

A number of aquaculture ventures exist around and in Darwin Harbour. The Darwin Aquaculture Centre situated on Channel Island west of Middle Arm Peninsula, provides commercial barramundi fingerling production and conducts aquaculture research. Modelling for the Project’s dredging program associated with the Project’s gas export pipeline suggested no significant impact on the facility.

Offshore impacts of the Project include the potential loss of commercial fishing equipment as a result of entanglement with offshore equipment and the temporary loss of available fishing areas due to the implementation of exclusion zones around pipe laying vessels in the offshore area.

Discussions with the Department of Primary Industries and Fisheries reinforced the challenge faced by commercial fishers over many years in retaining skippers, crew and managing associated costs. It was reported that any move of commercial fishing workers to the Project would likely impact larger fleets rather than inshore fishery operators – usually single operators.

While the employment of qualified staff (such as skippers) on Project work was possible, it is not considered more significant than for other Northern Territory industries.

Project-related business opportunities for commercial fishers in the form of contracts to supply seafood to the Accommodation Village at Howard Springs could be explored as a future possibility.


To minimise impacts of the Project on commercial fisheries.



Table 6-15: Commitment table: commercial fishing

Darwin Harbour Commercial Fishing


Concern about sediment dredging impacts for short periods on the intake filter of the Darwin Aquaculture Centre

Possible future business opportunity for commercial fishers to supply product to the Accommodation Village at Howard Springs

Darwin Aquaculture Centre (DAC) Commercial fishers ATSI fishers


The Darwin Aquaculture Centre (DAC) NT Fisheries NT Seafood Council

Consult with DAC on timing of works and possible mitigations

Saipem Before start of gas export pipeline dredging

Consultation completed Meeting minutes

Consultation with the fishing industry in relation to possible business opportunities

NT Seafood Council

Construction Consultation completed Annual report



Offshore Commercial Fishing – Equipment Loss


Loss of commercial fishing equipment as a result of entanglement in offshore equipment, including gas export pipeline, once completed

Commercial fishing license holders


Commercial fishing license holders Department of Primary Industry and Fisheries (NT) Department of Fisheries (WA) Australian Hydrographic Service NT Seafood Council WA Fishing Industry Council Australian Fisheries Management Authority AFMA Commercial Fisheries Association

Facilities and precautionary zones around built facilities to be marked on marine navigation charts

Australian Hydrographic Service (AHS)

Prior to installation of subsea equipment

Navigation (Seafarer) charts available

AHS website



Offshore Commercial Fishing – Loss of Available Fishing Areas


Temporary loss of available areas to commercial fishers due to implementation of exclusion zones around pipe laying vessels in the offshore area

Permanent loss of fishing areas under pipeline footprint

Commercial fishing license holders


Australian Hydrographic Service Fishing operators using grounds adjacent to export pipeline construction area

Notice of safety zones provided to industry via NT Seafood Council

INPEX Prior to commencement of pipe laying

Information notices Annual SIMP report by the Project to NTG



6.3.14 Tourism

Tourism Providers and Activities

The Northern Territory’s competitive strength as a leisure destination internationally and domestically is in providing visitor experiences that deliver a unique blend of nature and culture. Protection of these values is important to the future of the tourism industry.

Tourism is a significant driver of population and economic growth adding vibrancy, helping to fuel the Northern Territory economy and attracting new residents.

Darwin Harbour is a prime recreational and tourism resource offering activities such as charter fishing and recreational boating. EIS preparation revealed some concerns that tourism could be impacted by reduced aesthetics resulting from the Project’s dredging activities, increased boat and shipping and onshore construction activities in and around the Harbour.

The Project has committed to reducing the length of the dredge program from four years to about two years as a key mitigation and to avoid main dredging activities during the peak tourist times in the dry season.

Positive impacts in the form of increased tourism opportunities extending beyond the Darwin Harbour area have been discussed with Tourism NT representatives.

A number of tourist destinations are readily accessible from Darwin, for example the Litchfield National Park, which could potentially attract Project workers and their families and there is potential for increased demand and income for local tour operators. Higher visitor numbers could require increased park management to protect the natural environment.

The possible migration of workers to the Project from tourism exists with tourism operators considered particularly vulnerable given the familiarity of its workforce with plant, boats, buses, outdoor work and similar.

Increased occupancy of flights into Darwin and increased cost of airfares have been highlighted as particular concerns for the NTG which has recognised the potential for extra traffic to underpin business cases for more direct flights into Darwin.

Further potential benefits for tourism resulting from the Project include:

Access to information obtained from marine research projects for use in eco-tourism;

Activation of tourism precincts such as the Darwin Waterfront and increased support for events and festivals, particularly outside peak visitation periods;

Income diversification opportunities for tourism operators with the arrival of workers and Project-related business travel, i.e. workers using local fishing charters and visiting local national parks; and

Enduring use of temporary marine infrastructure.

Commercial Short-Term Tourist Accommodation Potential impacts exist on the availability and affordability of local short-term tourism accommodation due to workers coming from outside Darwin (temporarily or permanently), causing upward pressure on accommodation costs.



The Darwin tourism region records the highest density of all Northern Territory hotel, motel, guest house and serviced apartments (HMGHS) establishments – collectively referred to as the commercial accommodation sector – accounting for 45 per cent of all HMGHS establishments.

According to the latest publicly available information from Tourism NT, as at the end of the December quarter 2011, room supply in greater Darwin was approximately 3625 rooms which had remained stable since 2009.

In recent years Darwin has experienced significant changes in occupancy, room rates and accommodation supply (particularly between 2010 and 2011) with the following key changes observed:

Annual room rates continued to grow over the past five years with an average growth rate of 4.3 per cent;

Darwin’s four-star accommodation experienced an increase in both occupancy and average room rates;

Four-star room rates increased in price from $121.4 to $124.2 in 2011; and

During 2008 and 2009 significant increases in four-star stock occurred with supply growing by around 20 per cent. Four-star accommodation rates in Darwin are currently of the lowest in Australia.

Demand for tourist accommodation in the Northern Territory reflects a strong seasonal influence with the peak tourist time in July and August each year. Events such as the Darwin Cup Carnival and V8 Supercars have particularly influenced the demand for accommodation in Darwin with peak season occupancy rates in excess of 80 per cent and an annual room occupancy rate average around 70 per cent over the past two years. The Project will increase occupancy during the 2012–13 wet season when tourist numbers are normally very low.

Changes in the cost and availability of the short-term accommodation market result in important flow-on effects for the sector. March 2013 discussions with Tourism NT confirmed potential direct and indirect effects to this sector including:

An increase in hotel occupancy due to the Project may result in decreased inventory/allotment of short-term accommodation available to tour operators and business events (i.e. conference) with associated price increases, lower business visitor numbers and reduced visitor spending outside the tourism accommodation sector;

High hotel occupancy rates would reduce inventory on offer to wholesale tourism markets may subsequent affect commitment by package-deal resellers to promote and sell packages to domestic and international tourists, and this effect can often take three to five years to be reversed; and

High hotel occupancy rates and increased prices could result in medium term damage to Darwin’s reputation as a business and holiday tourism destination.

Tourism NT noted efforts of the NTG (Darwin Port Corporation) to attract cruise ships (tourists who do not require beds) and some private sector response to the opportunity of high occupancy including the building of the H hotel.

A range of proposed mitigation measures to manage impacts on the short-term accommodation market are outlined in Table 6-16. Project mitigation measures put in place to address the issue of accommodation availability and affordability, including the Accommodation Village at Howard Springs, are also relevant and are described in Section 4.2.




To reduce impacts on Darwin Harbour tourism by reducing the length of the Project’s dredging program; and

To communicate Project activities likely to impact tourism activities.



Table 6-16: Commitment table: tourism

Tourism Operations – Pressure On Brand and Place


Potential impact on destination image from industrial activity Increased pressure on popular tourism and recreation locations Potential impact on aviation pricing with increased traffic on key routes impacting

availability of affordable airfares for the leisure market Loss of revenue for tourism operators as a result of dredging, dredge spoil disposal,

increased boat and shipping, and construction activities Loss of employees for small tourism operators, including those involved in

transportation and in regional areas Potential flow-on impact of workers taking up capacity in Darwin hotels, motels and

serviced apartments, particularly during the construction phase of the Project Long-term impact on destination image from very high hotel occupancy, including a

lack of accommodation for special events and exclusion from wholesale market longer term

Tourism industry


Department of Lands, Planning and the Environment Tourism NT Tourism Top End Tourism operators (e.g. Northern Territory Guided Fishing Industry Association) Amateur Fishermen’s Association of the Northern Territory

Implement the Project Dredging and Spoil Disposal Management Plan, including monitoring program with a shortened length of dredging activities which makes provision for: Reduced impacts on Darwin

Harbour Less disruption to recreational and

commercial users of the harbour Less traffic in and out of the

harbour providing a better safety outcome

Reduced duration for vessel/fauna

Van Oord Q2 2012 Evidence of implementation of the Dredging Spoil Disposal Management Plan

Annual Project Dredging and Spoil Disposal Management Plan reporting




Parks and Wildlife Commission

interactions Reduced impact on the

environment No major dredging activity planned

during dry (tourist) season

Undertake and report to NTG on nearshore monitoring program

INPEX Annually Report delivered NEMP updates

Undertake ongoing consultation with NTG agencies and local tourism businesses to monitor for unforseen impacts

INPEX Annually Meetings held Annual Project SIMP report to NTG

Manage notifications and communication around exclusion safety zones and construction activities

INPEX From Q2 2012 Local TV and newspaper advertisements regarding maritime and onshore access changes informing tourism operators and charter boat operators

Project community noticeboard website

Provide best estimate of projected accommodation demand to industry via Tourism NT

INPEX As available Information provided to NTG

Annual Project SIMP report to NTG

Support business access to specialist workforce advice, including staff development, training, retention and attraction Working with priority industry sectors to develop and implement evidence-based workforce development strategies







Support business and industry to undertake workforce planning and implement initiatives to increase sustainable employment


2012–2015 Maintain higher than national labour force participation rates across the Territory and increasing ATSI participation in the labour force


Support small business cost reductions and market opportunities as well as pursuing skilled migration options for the Northern Territory workforce




Monitor aviation pricing on key routes Department of Business

Ongoing Aviation pricing for leisure fares

Report of NT Visitor Statistics

Nominate a primary liaison contact at the Accommodation Village at Howard Springs to work with tourism bodies/ tour operators to leverage opportunities and monitor for unexpected changes to the industry


Liaison contact nominated Meetings held

Annual Project SIMP report to NTG

Develop a new Strategic Plan for Tourism by mid-2013

Tourism NT Mid-2013 Strategic Plan by June 2013

Annual report

Address potential impacts of incidents relating to Ichthys Project in the Agency risk management plan and in consultation with relevant stakeholders

Tourism NT 2013–2015 Risk management plan developed and implemented

Annual report




Promote NT to working holiday makers Tourism NT Ongoing Increased numbers of Working Holiday Makers and uptake of seasonal workers program Number of tourism workers/unfilled vacancies


Promote to industry a focus on tourism markets that do not require overnight accommodation in Darwin i.e.: cruise ship passengers, visiting friends and relative market

Tourism NT Tourism Top End

For the duration of construction phase

Cruise ship passenger numbers and ship visits


Develop and promote tourism packages moving tourists directly to regions – avoiding need for overnight Darwin accommodation

Tourism NT Tourism Top End

For the duration of construction phase

Holiday visitors to regions Report of NT Visitor Statistics

Encourage accommodation suppliers to retain links with long-term tourism wholesale distribution channel

Tourism NT For the duration of construction phase

Hotel rooms available in Darwin in the short-term accommodation pool




Tourism Operations – Tourism Opportunities


Income diversification opportunities for tourism operators with the arrival of workers and Project related business travel

Improved tourism infrastructure by repurposing of construction facilities Opportunity to build case and extend aviation services to the Northern Territory

Tourism industry


Department of Lands, Planning and the Environment Tourism NT Tourism Top End Tourism operators (e.g. Sea Darwin, charter boat industry) Amateur Fishermen’s Association of the Northern Territory

Provide best estimate of projected accommodation demand to industry bi-annually via Tourism Top End

INPEX Bi-annually Information provided Annual Project SIMP report to NTG

Active Life Coordinators at the Accommodation Village in Howard Springs to inform workers of daily or other excursion options in conjunction with local and regional tourism organisations

JKC During Accommodation Village operation

Information provided Feedback from Tourism Top End

Encourage development of new tourism accommodation in Darwin and explore innovative accommodation options such as floating hotels


Prior to 2014 peak accommodation need

Address supply constraints

Tourism 2020 Vision Northern Territory Strategy for Growth reporting

Use data on resource sector and construction worker movements to build (with NT Airports and Tourism NT) the business case for increased aviation linkages with the Northern Territory


Ongoing Ensure that business needs are met in a timely manner

Aviation Futures 2015 strategy reporting




Identify opportunities to diversify product to meet the needs of new consumer markets arising from resource sector activity


Ongoing Increases in business sustainability measures

Annual report

Work with Accommodation Village Active Life Coordinators to promote sporting opportunity and events

Department of Sports and Recreation

During Accommodation Village operation

Information provided Event attendance surveys

Work with tourism operators to promote tourism precincts, activities, events outside of peak visitation periods

Tourism Top End Ongoing Increases in measures of business sustainability, visitor numbers, particularly outside of peak Extension of shoulder seasons


Investigate opportunities for enduring use of temporary marine infrastructure (e.g. floating pontoon)


During operation Consultations undertaken with INPEX

Development of opportunities case studies



6.3.15 Utilities

Construction of the Project’s onshore LNG facilities requires access to power, water and sewage treatment facilities. An impact assessment conducted by the Power and Water Corporation found the Project would not have a significant impact on power and water supplies. The Project will continue to consult with relevant local and state government agencies to effectively plan for the provision of necessary power, water, sewerage infrastructure and waste disposal systems.

The Project will fund new power, water and sewerage infrastructure to service the requirements of the Accommodation Village at Howard Springs and pay usage charges. Should the Accommodation Village be decommissioned or reconfigured, some Howard Springs property owners will be able to connect to deep sewerage and decommission septic tanks with associated benefits to the environment. Blaydin Point will take PWC power and water during construction and during operations will connect to PWC for process and other water. A dedicated wastewater treatment plant at the LNG plant will discharge treated water into the Darwin Harbour.

The Accommodation Village design and construction incorporates sustainability to minimise energy consumption, reducing greenhouse gas emissions and conservation of natural resources such as water, for the operational life of the Accommodation Village. The Accommodation Village will recycle to a high level, including dehydration of up to 1.7 tonnes of organic waste per day at peak (reducing its weight by 80–90 per cent and turning it into a dry mass suitable to be added to mulch and used throughout the community) – averting the need for landfill disposal.

The Project will also work with PWC to assess suitability of the Accommodation Village as a water and energy efficiency case study, assisting in the development of general public demand management strategies.


To minimise pressure on utility supply and infrastructure during Project construction activities.



Table 6-17: Commitment table: utilities

Utilities


Pressure on public capital budget for increased utilities infrastructure Increased and improved utilities infrastructure

Northern Territory residents

Relevant Stakeholders Action Responsibility Timing Performance Indicator

Review Mechanism

Power and Water Corporation Department of Lands, Planning and the Environment

Contribute to funding for power, water and sewerage headwork infrastructure to service requirements of the Accommodation Village at Howard Springs and pay usage charges

JKC Complete Appropriate charges paid

PWC public reports

During construction at Blaydin Point JKC will operate a temporary sewerage treatment plant and dispose of treated solids to appropriate landfill and use PWC water and power. Contribute to headwork infrastructure and pay usage charges

JKC Prior to Q2 2012

Appropriate charges paid

PWC public reports

During operations, Blaydin Point to be connected to PWC water, generate own power and treat own wastewater The Project to contribute to infrastructure and pay usage charges

INPEX Prior to Q4 2016

Appropriate charges paid

PWC public reports

Assess suitability of Accommodation Village as a water and energy efficiency case study to develop general public demand management strategies

Power and Water

Q4 2013 Assessment complete Annual report



6.3.16 Cultural Heritage

ATSI Cultural Heritage

The Project has taken active steps to minimise possible impacts on ATSI heritage values at both Blaydin Point and the Howard Springs construction sites.

The Project has developed ATSI cultural heritage management plans for:

The Blaydin Point onshore area and Darwin Harbour (Heritage Sites (Non Aboriginal and Aboriginal) in the Onshore Development Area and Sacred Sites in Darwin Harbour); and

The Accommodation Village site at Howard Springs (Heritage Management Plan for the Howard Springs Accommodation Village).

The management plans are statutory requirements and include procedures for identifying a new heritage place or object; responding to inadvertent damage to a heritage site or object; and managing discovery of skeletal remains. Northern Territory legislation includes two Acts that protect heritage sites and related matters. Under this legislation it is an offence to damage, destroy, alter or carry out work of any sort on declared or prescribed sites without the written consent of the responsible Minister or Minister’s delegate.

Blaydin Point and Nearshore Project Area: Pre-Construction During Front End Engineering Design, actions completed by the Project to manage cultural heritage at the Blaydin Point site included:

Heritage studies and field surveys conducted over the Project area (noting also that an archaeological survey of Blaydin Point was completed by the NTG in October 2007);

Six Aboriginal Areas Protection Authority (AAPA) certificates for Blaydin Point and Darwin Harbour were applied for and received (the most recent on 31 July 2012);

Implementation of the above heritage management plans to assist manage identified heritage values and chance finds within the Project area;

Establishment of the Larrakia Heritage Management Executive Committee (LHMEC) with a standing heritage agenda;

LHMEC meetings continued during construction unless otherwise agreed;

Accurate mapping of external boundaries of all heritage places and objects within the Project area, with the assistance of an appropriately qualified Larrakia representative;

A completed plan of the Project footprint showing the location of all heritage places and objects within the Project area;

Flagging (metal pegging) of the external boundaries of heritage sites within 100mof any proposed construction activity – to be removed when no further risk and as required by the LHMEC;

Clear marking of the location of ‘no go’ heritage areas on plans distributed to relevant construction managers; and

A joint Project–LHMEC meeting with the Heritage Branch of the Department of Lands, Planning and the Environment (DLPE), arranged to provide a briefing



on identified heritage values and disturbance minimisation plans for heritage sites.

Accommodation Village at Howard Springs: Pre-Construction The Project undertook similar actions during the planning and design phase for the Accommodation Village site. Completed actions included:

Heritage studies and field surveys over the Project site;

Four AAPA certificates covering the Project site, two of which were renewed on 31 August 2010; and

Implementation of the heritage management plan for the Accommodation Village to protect known and ‘chance find’ sites.

The Project committed to:

Using the services of the Larrakia Heritage Management Executive Committee (LHMEC);

Protection of a milkwood tree identified as being culturally significant by a senior Traditional custodian;

Arranging regular Project site inspections with the LHMEC to monitor the wellbeing of each ATSI site left in situ;

When necessary, hold joint Project–Larrakia Development Corporation meetings with the DLPE Heritage Branch and/or the AAPA to brief the NTG on identified heritage values and disturbance minimisation plans for heritage sites; and

An application to work on the site under Section 39J of the Heritage Act (NT) to be submitted to the Minister for Lands, Planning and the Environment, should a site be identified and not be avoided.

Construction and Operation of LNG Facility Key commitments and completed actions include:

Completion of a site-specific archaeological survey of Blaydin Point during January and February 2012;

A Project commitment to continue implementation of the agreed Heritage Management Plan to avoid currently known ATSI sites and heritage conservation zones, thereby safeguarding heritage values within the Project area;

A survey discovery, in January–February 2012, of three new archaeological heritage sites (one of which was later found not to be an ATSI heritage site) and 54 heritage objects;

A meeting between JKC and LHMEC representatives, before construction start, to brief on construction timelines and provide introductions to relevant construction staff;

An agreement, if required by the LHMEC, for the Project to arrange for site inspections by the LHMEC or its representative, before, during and/or after construction;

JKC engagement of Larrakia heritage monitors to be present during site clearing and to monitor operations, ensuring that known heritage sites are



protected and that previously unknown or ‘chance find’ sites are protected as far as possible;

When indicated by the LHMEC, hold joint Project–Larrakia Development Corporation meetings with the DLPE Heritage Branch and/or the Aboriginal Areas Protection Authority (AAPA) to brief the NTG on identified heritage values and disturbance minimisation plans for heritage sites; and

Submission of an official application to cover the Project’s disturbance of four ATSI sites during clearing. The application was made under Section 39J of the Heritage Conservation Act, to the then Minister for Natural Resources, Environment and Heritage. In total, four applications have been made for sites identified during the Lambert et al. 2012 site specific archaeological survey and ‘chance find’ sites 1, 2, 3 and 4.

In the operations phase, the Project commits to:

Continue implementation of the agreed heritage management plan to minimise harm to heritage values within the Project area;

Remove heritage site boundary demarcation as directed by LHMEC representatives;

Arrange for twice-yearly meetings of the LHMEC or at intervals as otherwise mutually agreed;

Arrange for relevant operations staff to participate in cultural awareness training to reinforce the importance of heritage sites and protection measures; and

When indicated by the LHMEC, hold joint Project/LHMEC meetings with the DLPE Heritage Branch and/or the AAPA to discuss implementation of heritage protection measures.

Construction and Operation of the Accommodation Village at Howard Springs The Project has completed, or committed to, a number of actions during the construction phase of the Project at the Accommodation Village, including:

Implementation of the agreed heritage management plan to minimise harm and safeguard heritage values at the site;

A meeting to brief the Larrakia Heritage Management Executive Committee (LHMEC) before construction starts on construction timelines and to meet relevant construction workers;

Meetings with the LHMEC, quarterly or at mutually agreed times;

Inspection of the site by the LHMEC or its representative to view construction work before, during and after construction and maintain photographic records of each such inspection;

Briefings by appropriately qualified ATSI representatives to relevant construction and Project staff on the importance of known heritage sites, the identification of sites and the management of known and ‘chance find’ sites;

Requests to LHMEC representatives to (safely) supervise construction activity when work is proposed to take place within 10 m of the external boundary of a heritage site. Should safety considerations not permit heritage observers to be present during construction, the LHMEC will meet construction workers to agree alternative action to be taken, at least two weeks before work



commencement. On completion, LHMEC representatives will be given opportunity to inspect the site; and

When indicated by the LHMEC, hold joint Project/LHMEC meetings with the DLPE Heritage Branch and/or the AAPA to discuss implementation of heritage protection measures.

Key Elements of Heritage Management Importantly, all Project heritage management plans identify a number of roles, responsibilities and processes, including the accountability of Project workers and contractors, to ensure best practice implementation and successful heritage protection.

These plans require proper workforce inductions to reinforce each worker’s awareness and responsibility to protect heritage values and comply with heritage management procedures. Inductions aim to:

Ensure that all relevant employees, contractors, subcontractors and consultants are made aware of their obligations under the Northern Territory Aboriginal Sacred Sites Act, the Heritage Conservation Act (NT) and other applicable legislation;

Ensure that all relevant employees, contractors, subcontractors and consultants are aware that currently known ATSI sites in the Project area are protected and that any impact on previously unrecorded ATSI sites is minimised;

Make all relevant employees, contractors, subcontractors and consultants aware of Larrakia traditions and culture as they relate to the Project area;

Instil in inductees an understanding of the Project’s heritage management system, including specific guidelines on issues that may arise;

Promote knowledge, understanding and respect for Larrakia and other ATSI traditions and culture; and

Foster good relationships between the Larrakia people and other ATSI and non-ATSI peoples in accordance with the HMPs.

The Project’s ‘chance find’ procedure covers the discovery of new heritage places or objects and applies to the Project workforce and all contractors. The procedure helps ensure that:

All work in the immediate vicinity of a discovery of a possible new place or object ceases immediately, provided it is safe to do so;

Work supervisors immediately notify the INPEX Project Manager Construction (Darwin) verbally of the find and as quickly as possible, in writing, using the approved Incident Report Form and Incident/Hazard Reporting and Investigation Procedure;

JKC advises the Project Manager Construction (Darwin) of any discoveries. The Manager can, if necessary, authorise an on-call archaeologist to inspect and report on the possible heritage site or object. JKC to provide GPS coordinates and an initial description and ensure that senior Larrakia monitors are on site during ground disturbing work with the area taped off, either with monitors in attendance or by Project/JKC workers;

The Project advises the LHMEC whenever a possible heritage site or object has been identified;



The on-call archaeologist, in the company of a minimum of two Larrakia people, will inspect each newly discovered heritage object or site, photograph it and provide a description of the site to a sufficient standard to allow a ‘permit to disturb’ application to be completed by the Project in consultation with the Project Manager Construction (Darwin). The archaeologist, in consultation with senior Larrakia people, will advise the appropriate gender mix, if specific requirements exist;

The Project Manager Construction (Darwin) and the External Affairs General Manager consult appropriately to decide if the site can or cannot be avoided and, if both agree that it should be disturbed, that a formal request be forwarded to the DLPE Heritage Branch for consideration, also ensuring that all decisions are communicated to relevant Project Directors and employees;

All decisions in regard to new discoveries are formally communicated, by email, to JKC and to the Larrakia Heritage Management Executive Committee (LHMEC), outlining proposed action; and

Work does not recommence in close proximity to the site until a ‘return to work’ has been authorised in writing by either:

The DLPE Heritage Branch (if the site is declared an archaeological site); or

The Project Manager Construction (Darwin) (if the site is declared a non-archaeological site).

The Project’s heritage management plans also contain procedures in the event of any damage to a heritage site, or if skeletal remains are found.

Non-ATSI Cultural Heritage

The Project area contains several non-Aboriginal historical sites on Middle Arm Peninsula related to World War II activities. Most were removed during construction of the ConocoPhillips Darwin LNG plant; however, three World War II sites remain within the Project’s onshore development area.

Debris and wrecks were identified on the seabed near Blaydin Point and six Catalina flying boat wrecks are known to be in the vicinity of the nearshore and onshore development areas. The DLPE Heritage Branch assessed and recommended the sites for heritage nomination under the Heritage Conservation Act (NT).

An Interim Conservation Order was placed on the newly discovered wreck of a Catalina 6 under the Act in February 2009. A number of other declared World War II shipwrecks were also identified near the pipeline corridor through Darwin Harbour.

The Accommodation Village site at Howard Springs contains two non-significant archaeological sites – the Howard Springs Hospital site and a World War II bottle dump. The Accommodation Village site was cleared of vegetation with the approval of the DLPE Heritage Branch.

Project dredging is conducted in accordance with a management plan (‘Non-Aboriginal Heritage Management Plan: Nearshore Development Area’) ensuring controls for the avoidance of registered sites and chance find procedures. In managing potential impacts on non-ATSI cultural heritage, the Project liaises, as required, with the DLPE Heritage Branch and the US Navy Underwater Archaeological Branch in regard to United States-owned Catalinas.




To avoid unauthorised disturbance of known ATSI and non-ATSI heritage sites;

To protect and conserve identified ATSI and non-ATSI heritage sites;

To restrict access to and avoid impacts from Project activities or its workforce on accessing sacred sites during construction activities; and

To educate the Project workforce on the cultural importance of identified and potential ATSI and non-ATSI heritage sites.



Table 6-18: Commitment table: cultural heritage

Cultural Heritage


Damage, disturbance or loss of ATSI cultural heritage and sacred sites Damage, disturbance or loss of non-ATSI cultural heritage sites Identification and cataloguing of cultural heritage and/or sacred sites

Local communities, in particular, Larrakia traditional owners Department of Lands, Planning and Environment and its Heritage Branch US Navy


Larrakia Heritage Management Executive Committee (LHMEC) Department Lands, Planning and Environment (DLPE) and its Heritage Branch Aboriginal Areas Protection Authority US Navy – Underwater Archaeological Branch NT Heritage Council

Comply with Aboriginal Areas Protection Authority permits

JKC Van Oord Saipem

Ongoing Compliance maintained Contractors HSE reports

Develop heritage management plans (including ‘chance find’ procedures) in consultation with Larrakia and place obligations to contractors. Plans apply to: Heritage sites (ATSI and non-ATSI)

in the onshore development area and sacred sites in Darwin Harbour

The Accommodation Village at Howard Springs

Establish and maintain workforce awareness of the cultural importance of ATSI and non-ATSI heritage sites and ensure correct management of these in Project area

INPEX Completed ATSI plans endorsed by Heritage Branch and Larrakia Heritage Management Executive Committee (LHMEC) Non-ATSI plans endorsed by DLPE Heritage Branch in consultation with Heritage Council

Minutes of LHMEC meetings DLPE approval letter

Ensure Project site inductions reinforce workers’ awareness and responsibility to protect heritage values and comply with

JKC Van Oord Saipem

Ongoing throughout construction and

Record of people completing HSE site induction





heritage management plans operations

Implement the Project’s heritage management plans in line with contractors’ environmental management plans such as the Dredging and Spoil Disposal Management Plan and Construction Environment Management Plan which help to ensure: Disturbance to known Aboriginal

heritage sites on Project controlled land is avoided

Preservation of ATSI heritage sites through protection zones

Deployment of Larrakia heritage monitors

No intrusion of construction activities into sacred sites

Ongoing workforce awareness of the cultural importance of ATSI and non-ATSI sites l in the onshore area and Darwin Harbour

Appropriately manage heritage sites on Project controlled land

‘Chance find’ procedures in place that include convening of LHMEC

JKC Van Oord Saipem

From start of works

Number of incident reports re: disturbance to known sites Comparison to baseline data and photography of known sites Number of incidents to construction intruding into sacred site areas Number of people accessing site as recorded by security staff Record of people completing HSE site induction Appropriate protocols implemented in line with ‘chance find’ procedures Avoid disturbance to all known wreck sites To protect, and avoid unauthorised entrance into legislated exclusion zones of wreck sites, in legislated protection zones Protect wreck sites located in controlled zones from anchoring Avoid impact on Catalina flying boats wrecks from dredging Ongoing workforce awareness of the cultural

Project HSE reports Minutes of LHMEC meetings




importance of non-ATSI sites in the nearshore development area

Investigate opportunities for new heritage information resulting from the Project (the newly discovered Catalina 6 etc.), to be shared, promoted and interpreted

DLPE Heritage Branch INPEX

Ongoing Investigations undertaken Annual report


Meet with LHMEC in accordance with the agreed schedule (quarterly or as agreed)


Attendance record at meetings

Minutes of meetings

Liaise with DLPE Heritage Branch and US Navy (Underwater Archaeological Branch) as required by HMPs

INPEX Ongoing during construction and operations

Meetings held Minutes of meetings



6.3.17 Visual Amenity

The construction of industrial facilities in undeveloped vegetated areas of the Darwin Harbour shoreline represents a distinct change in the visual character of the area. The likely visual amenity impact of the Project, including light pollution and vegetation clearing, was raised during the stakeholder consultation process with concerns, including possible impact on the Northern Territory’s image, tourism potential and housing/business resale values. Reduction in visual amenity resulting from air emissions and visible dust were also raised.

As part of the EIS, a 360-degree view (view shed) and sensitive location analysis showed that nine of the 14 viewpoints analysed would be impacted to some extent by the Project. The only site rated ‘high’ impact was the East Arm public boat ramp, which provide a clear view of the onshore and nearshore facilities. Other viewpoints were rated as ‘medium’.

Construction activities at Blaydin Point continue at night with lighting to provide safe working conditions. Construction activities, day and night, potentially reduce visual amenity primarily from light spill and visible dust.

The Project has retained a strip of natural mangrove vegetation around the onshore development area to act as a minor buffer for the visual impact of the site, although much of the onshore infrastructure sits above the tree line. Construction of the product loading jetty and the module offloading facility on the northern edge of Blaydin Point preclude retention of shoreline vegetation in those areas.

Both the visual impact on the community and safety will be taken into account in the selection of lighting design for the onshore and nearshore infrastructure:

Air contaminant levels on the Project are subject to National Environmental Protection Measures (NEPM) for air quality and potential impacts from dust generation on the environment and the health of the Project workforce will be managed by using dust suppressants on roads and stockpiles during dry conditions;

Minimising ground disturbance and the multiple handling of soil or rock materials;

Sealing the main access roads throughout the site and to the junction with Wickham Point Road; and

Implementing a Dust Management Plan.

Further mitigation strategies includes prompt stabilisation and revegetation of cleared areas no longer needed during construction and the restriction of building height in the Accommodation Village to single storey. A 50 m vegetation buffer will also be retained around the operating Accommodation Village site.


To reduce visual amenity impacts from:

Vegetation clearing and construction activities;

Light pollution;

Dust and air emissions.

To avoid impact on mangroves outside the work area boundary.



Table 6-19: Commitment table: visual amenity

Visual Amenity


Reduction in visual amenity resulting from vegetation clearing and construction activities

Reduction in visual amenity resulting from visible light pollution Reduction in visual amenity resulting from visible dust and air emissions

Howard Springs residents Recreational boat users

Relevant Stakeholders Action Responsibility Timing Performance Indicator Review

Mechanism

Department of Lands, Planning and Environment (DLPE) Tourism NT City of Palmerston City of Darwin Litchfield Council

All vegetation clearing to be undertaken according to clearance plans and within approved work area boundaries

JKC From Q2 2012 Instances of non-conformance with clearance plans


Dust suppression techniques to be employed where necessary to protect amenity and dust-deposition gauges to be established at the site boundary

JKC From Q2 2012 Number of complaints regarding dust and air emissions

Contractor community relations reporting

A rehabilitation plan for any temporary disturbed areas to be prepared and implemented and include visual amenity considerations

JKC Q4 2014 Number of complaints regarding quality of rehabilitation


Conduct community consultation/ communication before any significant construction activities

JKC Ongoing throughout construction

Number of complaints regarding dust and air emissions

Contractor HSE reporting Contractor community relations reporting




Lighting design for the onshore and nearshore infrastructure to be selected considering visual impact on the community and work safety

JKC Construction Number of complaints regarding light spill


Accommodation Village reduced to single storey design and lighting curfew in recreation areas

INPEX Construction Project community feedback mechanism

Specify single storey design for Accommodation Village and revegetation standard for sewerage pumping station/easements associated with power and water

INPEX Construction Number of complaints regarding light spill

Project community feedback mechanism

All vehicles and machinery to be fitted with appropriate emission-control equipment, maintained frequently and serviced to the manufacturers' specifications

JKC Construction Exceed air quality criteria defined in the Construction Environment Management Plan Number of complaints regarding dust and air emissions


The Accommodation Village site to be landscaped with a 50m perimeter buffer of existing bushland

JKC Construction Number of complaints regarding light spill




6.3.18 Noise

The Project’s most significant noise impacts are expected to stem from operation of the LNG plant and emergency flaring. However, noise modelling has predicted that these impacts – affecting closer land use areas such as homes in Palmerston – will be well below noise-limit criteria and below the existing ambient noise levels in Palmerston and Bayview Haven.

Communities in close proximity to construction sites or designated transport routes are expected to experience noise as a result of site preparation and construction at Blaydin Point and the Accommodation Village construction site. Significant noise events during construction will include marine piling, operation of crushing and screening plant, and use of bulldozers and dumper trucks to clear vegetation and fill and place rock armour.

The Project does not expect noise from onshore construction to exceed levels associated with normal plant operations and experience during other large dredging programs indicates that noise effects are not normally noticed more than 1 km from the dredge.

Through inductions, the Project’s workforce will be informed of plans, procedures and strategies to minimise the social impact of noise and vibration.

Detailed management and mitigation measures to address noise impacts are documented in the following plans:

Road Traffic Management Plans, including use of Jenkins Road to avoid residential areas;

Plant site Construction Environment Management Plan (CEMP) ;

Accommodation Village CEMP; and

Accommodation Village Operational Environmental Management Plan (OEMP).

Examples of specific management measures detailed in these plans include:

Traffic Noise

Construction equipment to be fitted with noise suppressing devices, where possible;

Completion of a baseline noise monitoring survey at key points along transport routes;

Advance notice of works to the community along transport routes;

Implementation of a noise monitoring regime and regular auditing and reporting of noise levels;

Consideration of alternative route selection to minimise noise concentration;

Scheduling of vehicles to reduce the number of groups of heavy vehicles (and their impact on noise levels);

Minimisation of deliveries during evening hours especially on roads near residential properties; and

Regular vehicle maintenance to minimise engine and exhaust noise.



Construction Noise

Works to be performed within assigned construction times; and

Project to provide advanced notice of all construction activities with potential to impact the community.

Accommodation Village Operation Noise

Positioning of the tavern and licensed area to face the outdoor recreational facilities;

Allocation of rooms to nightshift workers/Accommodation Village residents away from areas of intensive construction activity;

Management strategies to control noise and crowds at Accommodation Village entertainment facilities;

Dining and entertainment facilities within the Accommodation Village to maintain strict hours to ensure curfew restrictions are met; and

Security staff to be on Accommodation Village site to respond to noise and other issues.


To reduce the impact of airborne noise and vibration on local communities and workforce, associated with:

Site preparation and construction, including pile-driving and dredging; and

Operations of the Accommodation Village and the LNG plant.



Table 6-20: Commitment table: noise

Noise


Nuisance, disturbance or health impacts to local community due to airborne noise emissions from general site preparation and construction activities at the Blaydin Point site and Accommodation Village at Howard Springs

Palmerston residents Howard Springs residents Immigration Detention Centre residents and staff


Department of Lands, Planning and Environment (DLPE) City of Palmerston City of Darwin Litchfield Council Department of Immigration and Citizenship Department of Transport

Workforce site induction to include components for noise and vibration management

JKC Saipem

Prior to workers being allowed on site

Evidence that workforce site inductions include components for noise and vibration management Proportion of contractor workforce that has completed inductions on noise and vibration management


Construction activities to comply with the requirements of AS 2436:2010, Guide to noise and vibration control on construction, maintenance and demolition sites

JKC Saipem

Ongoing during Construction

Exceeding of Project noise limits defined in the Construction Environment Management Plan (CEMP Complaints received


Community engagement to provide advance notice of construction activities with potential to impact the community, including JKC weekly communication bulletin advertisements

JKC Saipem

Ongoing during Construction

Number and timing of community notifications of construction activities with likely impacts





Noise monitoring, analysis and investigation

JKC Ongoing during Construction

Exceeding Project noise limits defined in the CEMP Complaints received




6.3.19 Cumulative impacts

Cumulative impacts were raised as a concern during EIS and ongoing NTG consultations.

Several major projects (in addition to the Ichthys Project) are underway in Darwin and the Northern Territory concurrently, with the potential for these and other Australian resource projects to impact areas, including supply chains – the cost and availability of materials and the ability to attract and retain skilled staff.

Construction of other LNG projects in Western Australia and Queensland could potentially impact the Project’s ability to attract skilled staff to Darwin, while construction of the Darwin Prison and the Department of Defence Single LEAP housing program could additionally pressure the Darwin rental market with the arrival of extra non-local workers.

Table 6-21 shows the major Northern Territory and LNG projects expected to impact on labour availability (either approved of currently under construction) and therefore on the Greater Darwin area during 2012 and 2013. Appendix D has a brief summary of project details where these are available. Discussions with the NT Department of Treasury and Finance have indicated that there are a number of relatively significant non-residential construction projects that are proposed, but not yet confirmed and these may also result in additional cumulative impacts.

Table 6-21: Timeline of major projects commenced or approved with influence on Greater Darwin

Projects approved prior to 2012

Confirmed Northern Territory projects 2012

Confirmed Northern Territory projects 2013

Darwin LNG Darwin Waterfront Darwin Industry Fuel Terminal Helium Plant Wheatstone LNG Prelude FLNG Australia Pacific LNG Gladstone LNG Queensland LNG Gorgon LNG

The (Ichthys) Project ERA Ranger Expansion Department of Defence Single LEAP Housing Project Darwin Correctional Precinct Crocodile Gold

Rail upgrades Nolans Bore Mine Montara Oilfield Development GEMCO Phase 2 Expansion McArthur River Mine Phase3 Marine Supply Base at East Arm Wharf Livingston Valley Abattoir Waterfront Stage (Wharf 2 Apartments) The Avenue Apartments SoHo Apartments Darwin International Airport Terminal

Proposed NT projects 2013 onwards

Central Tanami Gold Mine Crux Sherwin Iron Ore Darwin Port Iron Ore expansion Casuarina Shopping Centre expansion Mt Todd Gold Mine

Source: Department of Lands and Planning 2012a, Department of Treasury and Finance pers comm 2013



Potential cumulative impacts that may occur during 2013 include the following, which have been extensively detailed throughout this SIMP and in commitments tables, and are listed in this section only in summary form:

Increased cost of housing and accommodation in the Darwin Region – a result of accommodating construction management in the community;

Increased competition for skilled and unskilled labour – as the big number of concurrent and planned construction projects puts upward pressure on labour costs;

The large presence of workers to result in increased instances of antisocial behaviour and crowding/changed experience at recreational places;

Increased traffic and congestion of road networks – an unavoidable, but manageable result of any major construction project;

Congestion in Darwin Harbour and at Darwin Port – with several projects moving materials via water vessels and as a result of necessary dredging;

Increased air traffic – as more people fly-in, fly-out of Darwin for work; and

Impacts on essential services, including utilities, health, education, police and emergency services and more.

It should be noted that cumulative impacts can have a disproportionate effect on more vulnerable community groups, such as low-income earners, ATSI community members, seniors, migrants and people with disabilities. For example, increases in rental or food costs generally have greater impact on those groups with limited financial resources and earning power.

Cumulative impacts are also more likely to be felt in those locations closest to projects, for instance, residents in Howard Springs and Palmerston due to relative proximity to a number of projects, including the Accommodation Village at Howard Springs, the Darwin Prison, the Darwin Marine Supply Base and road upgrades.

Implementation of this Principal SIMP by the Project will necessarily involve continued and ongoing engagement with the Road Transport Committee, Ports and Harbours Committee, Industry Participation Plan Committee and the Gearing Up Local Business for Major Projects Taskforce, to monitor and respond to issues that arise from cumulative impacts.

The Project supports the formation by the NTG of a working group to facilitate greater collaboration between government and private industry in the discussion and mitigation of cumulative impacts and strategic growth issues in the Northern Territory.



Table 6-22: Commitment table: cumulative impacts

Cumulative Impacts


Cumulative effects on housing, land and marine traffic; on essential and other services, including health, police and emergency services; and recreation options

The Darwin and Northern Territory community generally Particular sectors of the Darwin and Northern Territory community, as listed

in sections above


Department of Chief Minister Department of Lands Planning and the Environment (DLPE) Community housing providers and advocacy groups (e.g. Venture Housing, Northern Territory Council of Social Services) Department of Transport Department of Health Department of Land Resource Management Top End Tourism Amateur Fishermen's Association of the Northern Territory (AFANT) Parks and Wildlife Commission

Propose cumulative social impact working group

Department of Chief Minister

Q1 2014 Terms of Reference established

Meeting minutes

Participate in any working group established by NTG

INPEX as invited Participation in any established working group

Meeting minutes



6.4 Residual Risks

Table 6-23 summarises the broad social impacts identified during SIMP preparation and the predicted residual impacts following successful implementation of proposed management strategies by the Project and the NTG

Table 6-23: Summary of residual risks

Residual Risk Level

Theme Potential Impacts

High Nil

Medium Housing availability and affordability

Increased pressure on housing markets

Traffic Increased congestion or accidents

Marine traffic Increased marine traffic accidents during construction and operations

Public safety Potential injuries to the public

Employment Pressure on local businesses

Education Increased demand for services

Business opportunity Post construction slow down

Health Increased pressure on health services

Regions Pressure on regions facing competition for workers

Emergency services Increased pressure on emergency services

Low Housing availability and affordability

Wealth effects for existing home owners Decline in housing prices post construction

Social integration Overcrowding at venues/antisocial behaviour

Traffic Increased wear and tear on roads Increased traffic noise and pollution

Marine traffic Increased congestion in Darwin Harbour Hazards to shipping navigation

Defence Unintended interactions with Defence activities

Training Increased pressure on available training funds

Commercial fishing Loss of available area Loss of commercial fishing equipment



Residual Risk Level

Theme Potential Impacts

Tourism Increased pressure on popular tourism and recreation locations Potential impact on aviation pricing Damage to destination image Employment and changing demand pressures Loss of revenue for tourism operators

Utilities Pressure on capital budget

Health Adverse health outcomes Alcohol or other substance abuse issues Creation of mosquito breeding sites Risk-taking behaviour of Project workforce

Recreation Displacement from recreational fishing locations Pressure on recreational facilities and locations Vessel strike of marine fauna

Cultural heritage Damage, disturbance or loss of cultural heritage/sacred sites

Noise Noise, disturbance or health impacts on local communities

* Positive impact are excluded

Table 6-24 summarises priority areas within this SIMP requiring most attention during implementation of the plan.

Table 6-24: Key impacts requiring most attention

Impacts Summary Characterisation

Housing and tourism Accommodation

Use of the Accommodation Village at Howard Springs during construction will reduce pressure on the Darwin rental and tourism accommodation markets and help to manage issues associated with social integration and behaviour. Diligence is required when interacting with accommodation markets across the entire construction workforce (including short-term contractors) not residing at the Accommodation Village. Tourism industry awareness and management of the impacts associated with the short-term take up of tourism accommodation by the Project workforce, including the displacement of the leisure market, is an important objective of the SIMP. Strategic growth in the form of an increased population as more indirect jobs are created in the broader economy, as a result of the Project, will require more planning and cooperation between the Project and government agencies.

Health and medical services

While worksite and Accommodation Village medical facilities for the Project workforce should reduce the burden on local health care services, including ambulance and emergency services. Monitoring is required by NTG agencies to establish if additional capacity is required to manage strategic population growth in the broader community and economy.



Impacts Summary Characterisation

Employment and training

A degree of direct competition for labour is an expected consequence of the Project’s construction phase particularly in civil engineering, maritime transport, hospitality and general supplies. The risk of dislocation to local businesses will, in part, be offset by the Project’s necessary use of an extensive temporary FIFO workforce (primarily where local skills do not exist or are in short supply). A range of investment by the Project and its contractors has established pre-employment, apprenticeship and up-skilling programs. The establishment of the Larrakia Trade Training Centre and Oil and Gas Industry Skills Training Centre at Charles Darwin University were both assisted with Project contributions of $3 million respectively. The NTG continues to pursue skilled migration programs, including cooperation with the Commonwealth Government, on options for temporary semi-skilled migration. Work continues on developing ‘school to university to workforce’ training pathways for employment in the operations phase of the Project. The Project is committed to working closely with the NTG and the Northern Territory’s business sector to address the residual skills shortages risk.

Management of social impacts will remain a priority throughout the life of the Project. This SIMP will be updated regularly to establish, improve, implement and monitor the principles, framework and strategies necessary for successful social impact management.

Particularly important will be the ongoing monitoring of implementation efforts and changing social impacts, achieved via a continuing process of engagement and review – outlined in the following Section 7.



7 REPORTING, MONITORING AND REVIEW

7.1 Implementation of the Principal SIMP

INPEX is directly responsible for many actions within the SIMP and others are Project requirements of one or more contractors.

Contractors will incorporate relevant items from the SIMP commitments tables into their own execution plans and reporting regimes. INPEX will oversee compliance and assurance of the SIMP via Project compliance management systems.

The Project employs a Senior Adviser to oversee implementation of the SIMP and an internal SIMP Working Group meets at key stages to review implementation progress and outcomes.

An internal Community Relations Working Group (CRWG) meets weekly to manage public information and community issues during construction of the onshore gas processing facilities and the Accommodation Village at Howard Springs.

7.2 SIMP Governance The Project is responsible for preparing, implementing and monitoring the Principal SIMP and the Managing Director of the Ichthys Project is accountable for implementation of the plan and its strategies. The Managing Director is supported by a cross-organisational SIMP Coordinating Group at the level of General Manager. The group’s role, during the Project’s construction phase, is to consider implications of social impact management measures on reputation, budget and schedule, and to make recommendations to the Managing Director.

This SIMP Coordinating Group receives recommendations from a cross-discipline SIMP Working Group that examines matters of policy, participates in the review of SIMP documents and provides data and management strategies to the SIMP development team.

Day to day coordination of on-the-ground activities involving contractors are managed through the CRWG chaired by the INPEX Manager External Affairs.

The Department of the Chief Minister will coordinate the following activities on behalf of the NTG:

Government involvement in the development and implementation of the Principal SIMP;

Government involvement in subsequent development of Operations SIMP; and

Reporting on monitoring indicators and progress against commitments in those areas for which the NTG is responsible for implementation and/or delivery.

7.3 SIMP Implementation Reporting

The Project will produce an annual report consolidating data on monitoring indicators and progress of Project commitments. The report will include a summary of community grievances.

The Project has developed a fit-for-purpose approach to monitoring outcomes of the Principal SIMP.

The proposed approach will monitor the implementation status and effectiveness of mitigation commitments, and track community concerns about Project impacts.



A key element in successful reporting of the SIMP’s implementation will be ongoing liaison with the NTG, which also provides a gateway to consultation with government stakeholders.

The Project will monitor community feedback through the community grievance management process and brief the NTG on issues with high potential to escalate in the public domain.

The NTG will be responsible for reporting on any performance indicators that it selects and at a frequency that it chooses.

7.4 Monitoring Framework

A key aspect of any Social Impact Assessment Management Program is the development of a framework to monitor a project’s impact over time. The Project’s fit-for-purpose approach is an informal strategy of monitoring implementation status against individual commitments.

Proposed indicators and review mechanisms included in the commitments tables identify the following components:

The party responsible for implementation;

Performance indicators; and

The review mechanism (how data is to be collected to report on the indicator).

Ongoing liaison and communication between the Project and the NTG (via Departments and several committees) is essential to the success of this monitoring approach.

Informal monitoring will occur through regular meetings with the Road Transport Committee, Ports and Harbours Committee, and Ichthys Project Industry Participation Plan Steering Committee, in addition to meetings with a variety of NTG departments and representatives – for example, the Heritage Branch of the Department of Lands, Planning and Environment in matters of cultural significance.

The Project will continue to monitor community feedback daily through established community feedback mechanisms, including 1800 and 1300 telephone numbers, website, email and face-to-face interaction, and to brief the NTG on any issues of concern.

The Project would welcome participation in a planning or consultative group to examine the cumulative impacts of the full range of major projects currently underway or planned, in the Northern Territory.

A quarterly meeting is proposed between the Project and Department of Chief Minister to discuss the effectiveness of SIMP commitments and will be informed by ongoing consultation with key government and non-government stakeholders. The Project will document monitoring results annually in a report to the Department of Chief Minister. This report will present data on monitoring indicators and progress against Project commitments. The NTG will be responsible for reporting on any performance indicators that it selects and at a frequency that it chooses. The Project will, during the course of normal stakeholder engagement, continue to seek feedback on SIMP commitments.

The outcomes of these interactions will be considered in the context of detailed discussions with the NTG on the effectiveness of the Project’s Social Impact Management Plan.



8 REFERENCES

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Australian Property Monitors. 2011. Rental report: December 2011. Australian Property Monitors, Pyrmont, Sydney, New South Wales. Viewed online on 21 June 2012 at <http://www.domain.com.au/content/files/apm/reports/APM_ Dec_11_Rental_Price_Report_FINAL.pdf>.

Bourke, P. 2005. Archaeological survey for Indigenous cultural heritage sites around Darwin Harbour. Report prepared for Heritage Conservation Services, Department of Infrastructure, Planning and Environment, Darwin, Northern Territory.

Bourke, P and Guse, D. 2007. Archaeological survey of the proposed Wickham Industrial Estate: Indigenous and historic cultural heritage assessment. Report (Specification No. T07-1780) prepared by Earth Sea Heritage Surveys, Darwin, for the Northern Territory Government, Darwin, Northern Territory.

Calacouras, N. 2009. "Cloud over Berrimah Farm lots". Northern Territory News, Darwin, Northern Territory (13 October 2009). Viewed online on 21 June 2012 at www.ntnews.com.au/article/2009/10/13/92041_ntnews.html>.



Carrington, K. and Pereira, M. 2011. Social impact of mining survey: aggregate results Queensland communities. School of Justice, Queensland University of Technology. Viewed online on 21 June 2012 at <http://eprints.qut.edu.au/ 42056/1/42056.pdf>.

Coleman, A.P.M. 2004. The national recreational fishing survey: the Northern Territory. Fishery Report No. 72. Department of Business, Industry and Resource Development, Darwin, Northern Territory.

Crassweller, C. 2006. The archaeological salvage of the shell middens on Wickham Point, Darwin Harbour, NT. Report prepared by Begnaze Pty Ltd, Wanguri, Northern Territory, through URS Australia Pty Ltd, for ConocoPhillips Australia Pty Ltd, Darwin, Northern Territory.

Darwin Port Corporation. 2009. Annual report 2008/2009. Northern Territory Government, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www.darwinport.nt.gov.au/sites/default/files/annual_report09.pdf>.

Darwin Port Authority 2011. Annual Report for 2012/2011, Darwin, Northern Territory. Viewed online on 18 June 2012 at http://www.darwinport.nt.gov.au/sites/default/files/documents/publications/Cyclone/AAP%20DPC%20AR2011weblinked.pdf

Darwin Port Corporation. 2011. Port and trade development. Northern Territory Government, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www.darwinport.nt.gov.au/port-trade-development/fishermans-wharf>.

Darwin Port Corporation. 2012. Deck refurbishment work starts at Fisherman's Wharf. Northern Territory Government, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www.darwinport.nt.gov.au/news/deck-refurbishment-work-starts-fishermans-wharf>.

Department of Attorney-General and Justice 2012a. Northern Territory Annual Crime Statistics. Viewed online on 19 March 2013 at < http://www.nt.gov.au/justice/policycoord/researchstats/index.shtml>

Department of Attorney-General and Justice 2012b. Northern Territory Annual Crime Statistics Issue 1: 2011-12. Viewed online on 21 June 2013 at < http://www.nt.gov.au/justice/policycoord/documents/statistics/nt_annual_crime_statistics_2012.pdf>

Department of Attorney-General and Justice 2013. Northern Territory Quarterly Crime Statistics, December Quarter 2012. Viewed online on 21 June 2013 at < http://www.nt.gov.au/justice/policycoord/researchstats/researchstats/NT_Quarterly_crime_statistics_Dec2012.pdf>

Department of Business, Economic and Regional Development. 2007. Northern Territory Defence support industry development strategy 2007–2017. Department of Business, Economic and Regional Development, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www.nt.gov.au/dbe/industry-develop ment/defence-support/defence-support/Documents/Defence_Support_Industry_ Development_Strategy.pdf>.



Department of Defence 2012. United States Marine Corps personnel begin first rotational deployment to Northern Australia. Joint media release 3 April 2012 from the Prime Minister of Australia, the Minister for Defence, and the Chief Minister of the Northern Territory. Canberra, ACT. Viewed online on 21 June 2012 at <http://www.minister.defence.gov.au/2012/04/03/prime-minister-minister- for-defence-chief-minister-of-the-northern-territory-%E2%80%93-joint-media-rel ease-%E2%80%93-united-states-marine-corps-personnel-begin-first-rotational- deployment-to-norther/>.

Department of Education, Employment and Workplace Relations (2011). Overview of the Darwin Labour Market. Viewed online on 31 October 2012 at <www.deewr.gov.au/Employment/LMI/.../NT/.../DarwinReport.rtf>

Department of Education and Training (2012). Annual Report 2011-12. Darwin, Northern Territory. Viewed online 16 July 2013 at <http://www.education.nt.gov.au/about-us/publications/annual-report-2011-12>

Department Families, Housing, Community Services and Indigenous Affairs (2011). Northern Territory Emergency Response Evaluation Report 2011. Viewed online on 20 June 2013 at <http://www.fahcsia.gov.au/sites/default/files/documents/05_2012/nter_evaluation_report_2011.pdf>

Department of Health. 2012a. Palmerston GP super clinic. Department of Health, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www.health. nt.gov.au/Service_Locator/Palmerston_Super_Clinic/index.aspx>.

Department of Health. 2012b. A New Service Framework for Health and Hospital Services in the Northern Territory. Department of Health, Darwin, Northern Territory. Viewed online on 19 March 2013 at < http://www.health.nt.gov.au/library/scripts/objectifyMedia.aspx?file=pdf/77/62.pdf&siteID=1&str_title=A New Service Framework for Health and Hospital Services in the Northern Territory.pdf>

Department of Lands and Planning. 2010. Annual Traffic Report 2010. Darwin: Northern Territory Government.

Department of Lands and Planning. 2012a. Building the future: Northern Territory Government 10 year infrastructure strategy. Department of Lands and Planning, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www. dlp.nt.gov.au/__data/assets/pdf_file/0005/16376/NTG_Infrastructure-Strat egy.pdf>.

Department of Lands and Planning. 2012b. Greater Darwin plan 2012. Department of Lands and Planning, Darwin, Northern Territory. Viewed online on 21 June 2012 at <http://www.greaterdarwin.nt.gov.au/documents/Greater%20Darwin%20Plan.pdf>.

Department of Lands and Planning. 2012c. Northern Territory Government 10 Year Transport Strategy. Darwin: Northern Territory Government. Viewed online on 29 March 2012 at http://www.dlp.nt.gov.au/__data/assets/pdf_file/0007/16378/ NTG_Transport_Strategy.pdf

Department of Lands and Planning. 2012d. Northern Territory Government 10 Year Road Strategy. Darwin: Northern Territory Government. Viewed online on 29 March 2012 at http://www.dlp.nt.gov.au/__data/assets/pdf_file/0006/16377/NTG_Road_Strategy.pdf



Department of Natural Resources, Environment, the Arts and Sport. 2011. Ichthys Gas Field Development Project, Blaydin Point: INPEX Browse, Ltd.—environmental assessment report and recommendations. Assessment Report 65. Environment and Heritage Division, Department of Natural Resources, Environment, the Arts and Sport, Darwin, Northern Territory. Viewed online on 21June 2012 at <www.nretas.nt.gov.au/__data/assets/pdf_file/0018/5751/assessment_report_nretas.pdf>.

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Department of Treasury and Finance. 2012b. Engineering Construction Activity. September Quarter. Viewed online on 19 March 2013 at <www.treasury.nt.gov.au/PMS/Publications/Economics/EconomicBriefs/EngConstAct/EB-ECA-1203.pdf>

Enjoy Darwin. 2011. Darwin Fishermans Wharf. Viewed online on 21 June 2012 at <http://www.enjoy-darwin.com/darwin-fishermans-wharf.html>.

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INPEX Browse, Ltd. 2011. Ichthys Gas Field Development Project: Supplement to the Draft Environmental Impact Statement. Report prepared by INPEX Browse, Ltd., Perth, Western Australia, for the Commonwealth Government, Canberra, ACT, and the Northern Territory Government, Darwin, Northern Territory.

Insolvency Trustee Services Australia, 2013, Bankruptcy and Insolvency Data, Canberra

Laing O'Rourke Australia Construction Pty Ltd. 2012. Traffic Management Plan - Ichthys Onshore LNG Facilities Project EPC Accommodation Village. Unpublished.

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Northern Territory Government. 2011b. Northern Territory Population Projections: Northern Territory 2010 – 40 Northern Territory Statistical Reporting Regions. 2010, 2015, 2020, 2025. Viewed online on 18 June 2012 at <www.nt.gov.au/ntt/economics/publications/population/I-POP-1101.pdf>

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Propell National Valuers. 2008. House prices still moving in a positive direction. Propell Darwin Quarterly residential report - June quarter 2008. Propell National Valuers, Canberra, ACT. Viewed online on 6 October 2009 at <www.propellvaluers.com/media/docs/research/darwinjun2008.pdf>

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RPS, 2012, Affordability Housing Strategy; Preliminary Analysis. Unpublished presentation to INPEX. 2 November 2012.

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Taylor, J, 2008. Locations of Indigenous Population Change: What Can We Say? Centre for Aboriginal Economic Policy Research, Working Paper No. 43/2008 downloaded 15 June 2012 from <www.anu.edu.au/caepr/>

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URS Australia Pty Limited. 2009. Social Impact Assessment - Howard Springs Construction Workforce Accommodation Facility. URS Australia Pty Limited., Southbank, Victoria.



APPENDIX A: IMPACT ANALYSIS



APPENDIX B: STAKEHOLDER ENGAGEMENT REGISTER

1

ICHTHYS SOCIAL IMPACT MANAGEMENT PLAN - STAKEHOLDER ENGAGEMENT REGISTER @ MARCH 2013

The following table outlines:

• A list of relevant stakeholders with a broad (but not exclusive) history of engagement on SIMP-related issues

• The rationale for future engagement

The engagement table has been informed by a consolidated register of known commitments, is in format specified in Department of Chief Minister October 2011 Guidance Notes, and forms part of the Principal SIMP.

2

Stakeholder Consultation Completed or Planned

SIMP Linkages and/or Consultation Objectives

Consultation Outcome Way Forward

Group 1

Department of Lands Planning & Environment

(Strategic Planning and Land Services)

(formerly DPI)

ESIA interview

(Aug 2008)

• Population spike during construction

• 18 months to make Crown land available for accommodation village

• Shortage of skills may slow Project development

Ongoing consultation • Meet quarterly as part of the Road Transport Committee

• Communicate on a daily basis across a range of project issues

• INPEX attend NTG arranged forums with peak road user bodies

• Meet quarterly as part of the Ports and Harbour Committee

• Attend quarterly Port User Groups – Operations Sub Group meeting involving all major port users.

• The Project attends fortnightly Port Operations Working Group meetings

• Regular meetings with Chief Executive Officer

Continue

Cost of living workshop (25 Feb 2013

• Importance of understanding expectations of the community

• Some people who need access to public housing won’t be able to get it as they are on mid-tier incomes

• Labour market quite flexible in NT

• Private sector responding in terms

3




of new construction

• Opportunities as a focus seen as very important, for example retaining skilled people in the area after construction ends

• Land prices will be going up

SIMP consultation meeting (5 Mar 2013)

• Lot approval and land release plans

• Land purchase price trends

• Future projections of residential and industrial land and infrastructure required for Darwin

• Historical data demonstrating impacts on infrastructure / land releases / prices resulting from Darwin LNG project / other major construction projects

• Existing or proposed strategies to address concerns associated with capacity to cope with population change

• Scoping of possible cumulative impacts associated with other developments

• Important that the NTG commitments are reviewed in their entirety

• Balance needs to be struck about the level of detail in the SIMP

• Don’t publicly release forecasts of land releases

• Land released in response to a number of factors, including supply pressures – no specific targets.

• Additional growth is likely to bring forward needs infrastructure spending

• May be specific differences between Heritage impacts during construction and then operation, for example, dredging (construction) and propeller wash (operation).

• Been expecting a spike in industrial property markets, but it hasn’t eventuated yet.

Participate in NT Government review of Draft Principal SIMP

Participate in detailed workforce residential population information sharing

4






• New 2,000 homes program getting underway

• Housing is a major factor causing inflationary pressures

• Opportunities as a focus seen as very important, for example retaining people in the area after construction ends


• Baseline data collection, e.g.

o Housing stock availability by dwelling type

o Rental vacancy rates

o Long term trends

o Availability of public housing

• Future projections of Darwin housing stock and lot releases plans

• Ability for affordable housing stock to absorb population growth

• Available datasets to assist in the monitoring of changes in housing

• Other major NT projects affecting housing availability / cumulative impacts

• Existing or proposed initiatives to help address identified Project impacts / enhance opportunities, e.g. accelerated release of land etc.

• Potential key impacts / issues predicted during construction or operation and suggested strategies

• Unit market confirmed as flat – probably due to improved market segmentation/responsiveness

• Defence (DHA) lease program has significant bearing on Darwin property market – as confidence improves, these investors are likely to seek more aggressive returns

• Overview of Real Growth for Housing program

o Existing undersupply of 500 dwellings/year

o Discontinue counter-productive shared equity scheme

o Affordable rental company targeting key workers

o 2000 homes over 4 years

o Head lease model (similar to DHA)

o Infill likely to be


5




to address these

greater feature in future

o Confirm small public housing stock not likely to change

NT Treasury ESIA interview

(Aug 2008)

• Workforce and local content • Workforce behaviour / gender imbalance

• Lack of social problems with DLNG construction

• Accommodation and wage competition

• Cost of living increases during DLNG construction (CPI pushed above Nat Ave, rental increases, wage competition)

• Opportunity to get construction workforce to register local address with Medicare to health service gets funding

• Opportunity for ATSI training due to duration of construction

• Downstream processing opportunities should be examined by NT Govt


• Previous work done on modelling stimulus effect of Darwin LNG

• Suggestion service industry would suffer in face of high wage pressures particularly

• Increase in construction approvals

• Pressure on number of contractors

6




available

• Housing price correction possible after INPEX finishes construction

• Housing is a major factor causing inflationary pressures

• Opportunities as a focus seen as very important, for example retaining skilled people in the area after construction ends

• Treasury to produce projections for budget

• Information from INPEX will help NTG model impacts

Economic activity workshop (27 Feb 2013

• Discussing the range of data the NT Treasury (in particular the Economic and Social Analysis division) can provide to help monitor socio-economic impacts

• Increase in construction and costs is a concern

• NTG administration pressures with all INPEX work, requiring innovative solutions

• NTG balancing budget, contraction in spending will also have impact of investment in region

Cumulative impacts workshop (4 Mar 2013

• Uncertainty after the completion of the construction phase, significant difficulties if there is a slump in cost/prices and opportunities following construction


• Apartment sales had been trending down prior to the announcement

• Any price increases in housing cannot just be attributed to INPEX, there are other reasons such as


7




land constraints

• Population projections assumes migration is approximately 500 people per year.

• There is a vacuum of Territory specific data which is why Treasury prepare the “Economy Book”

• Discussion of cumulative impacts – other major projects coming online include the Marine Supply Base, the Prison and expansion of other mines throughout the Territory. Treasury to provide a major projects list.

• Employment growth is also not always reflected in the available economic data – Treasury distinguishes between “resident” employment within the actually community and the reported number of people employed in the Territory

8





(formerly Dept Business , Economic and Regional Development)

ESIA interview

(Aug 2008)

• Light pollution and visual appearance

• Workforce behaviour / integration / drink-driving

• Traffic congestion / bus movements outside peak

• Economic stimulus and need for local business content plan

• ATSI employment opportunity

• Carbon offsets (including savannah fire burning)

SIMP interview (19 April 2012)

• Take up of training opportunities

• Data illustrating existing demand for labour for current major projects

• Labour demand forecasts for future proposed major projects

• Historical data that demonstrates impacts of other major construction projects (e.g. Darwin LNG) on the local labour market

• Workforce development and employment and training strategies

• Existing and proposed business growth strategies and success indicators

• Additional information on the Regional Migration Agreement / worker's database for those wanting to move to NT

Concerns were raised about:

• “Hollowing out” of local businesses, especially of lower-paid workers

• Negative impact on Defence families living in Palmerston

• People registering at the JKC shopfront and conversion to starts

• Inflationary factor

• Industrial relations (tensions within a contractor with ‘project uplift’ rates for some employees only)

• Inability to access trades for domestic work

• Civil works capacity being diverted and causing delays for other government capital works programs

Ongoing consultation • Continuous engagement on Continue

9




Industry Participation Plan (IPP)

• Work closely with the Department, which represents the NTG on local content, to identify opportunities to break-up larger packages of work and make them accessible to local businesses.

• Regular consultation on Project execution issues at Chief Executive and Executive Director level


• Suggestion service industry would suffer in face of high wage pressures particularly

• Pressure on number of contractors available

• Regional Migration Agreement still an uncertainty

• NT workforce reasonably flexible and able to move around for work

• Opportunities as a focus seen as very important, for example retaining people in the area after construction ends

• Private sector is doing a better job of responding to needs now than during the Darwin LNG


• Change in dynamic of town with large influx of workers

• Businesses affected and many may close

• Cascading employment issues –

10




leading to stripping of employment from SMEs

• RMA tabled with government

• NT Govt focus of training expenditure is non-Ichthys sectors

• Relatively few job opportunities especially lower skilled and therefore understanding expectations is important

• Latest forecasts suggest reasonably low indirect employment

• Challenges with accommodation, especially during Defence change of posting cycles

• Businesses need to assist by demonstrating capacity

• NT Govt to help SMEs get into the game (prequalification etc)

• People will be drawn in from regions; expertise shortages with other projects in these areas; workforce planning required

• NTG administration pressures with all INPEX work, requiring innovative solutions

Cumulative impacts workshop (4 Mar 2013

• A lot of uncertainty after the completion of the construction phase, significant difficulties if there is a slump in cost/prices and opportunities following construction

11




SIMP consultation meeting (5 Mar 2013

• NTG strategic commitments - use the Employment Strategy 2012-15 for strategic information



• Significant labour and capital involved therefore if Project is slow in paying suppliers, can ripple through the industry and create uncertainty in the community.

• Business / industry with impacts magnified depending on business size. Typically third tier of business that is affected.

• Participants referred to a “period of pain” during Darwin LNG construction. However despite a shortage of tradies during construction, it would be expected that post construction, some of these people that moved to town for trade related opportunities might stay in town which has a positive aspect to it.

• Small SMEs (3-5 employees) anticipated to be the worst hit if they lose staff

• Needs to be a certain ratio of trained staff to apprentices. SMEs primarily affected.

• An increase in affordability makes it hard to attract new people Darwin to stay

• Ability to offer alternative / new job


12




opportunities for people

• Currently spare capacity in some areas, e.g. part time workers in retail who are looking for other opportunities

• Opportunities for businesses to increase their levels of accreditation if the future work is available to justify the costs associated with gaining accreditation, e.g. technical accreditation for welders.

• Defence also requires accreditation so when combined with resource projects, the justification is definitely there.

• Companies hoping to contribute to / supply to the project need to live the culture of OHS.

• Resource projects such as Ichthys brings larger companies to town and therefore create opportunities for local business to partner / joint venture with them.

• Impact: Already seeing more and more people travelling to Darwin with higher demand resulting in higher airfares which affects normal airfare paying customers

• Opportunity: An increase in the number of people flying, may result in some routes which have previously underperformed now

13




being more economic

• Currently defence opportunities can flow out to Katherine


Interview HIA development (2011)

HIA review workshop

(July 2012)

• Review of key health issues identified in the HIA, and input into appropriate health management measures

• Pressure on emergency services and consequent availability to Darwin public

• Issues of concern narrowed

• Village and Blaydin Point health service provider operational plans to be shared

• Order of magnitude of forecasts of temporary and operational workforce to be shared

• Quarterly briefings to monitor presentations / use of public resources

Quarterly briefings on medical treatment incident management and cooperative monitoring of key indicators

Practical / operational workshop (26 Feb 2013)

• Health issues not covered in sufficient depth – detailed HIA commitments should be listed

• Code of conduct seen as essential avenue for preventing anti-social behaviour

• Consultation required with sex worker industry


14




Group 2

City of Darwin ESIA interview

(Aug 2008)

• Workforce involvement in community events / integration

• Employment and training opportunities – particularly for ATSI people

• Wage competition

• Opportunity to use 457 visas

• Sell off housing at Village post construction

• 1000 apartments coming to market next 18 months

Briefing: EIS development

(Aug 2010)

• Traffic, road upgrades

• Village location

• Greenhouse gas

• Safety

• Visual amenity

• FIFO integration into the community

Commitments made:

• develop workforce charter

• social coordinator at Village

• random drug and alcohol testing of workforce

• develop a detailed transport management plan

• significant investment in upgrading roads and intersections associated with Project

• Support Australia Day Fun Run 2011

Ongoing updates on environment management and road transport routes

Briefing: commencement of dredging

(July 2012)

• Impact of dredging on environment, public safety and recreation

Confidence in INPEX managing the environment while dredging

Regular updates on environmental management

Marine safety messaging throughout duration of dredging program

15




Briefing: cutter suction dredge

(Oct 2012)

To be completed • Strategies and initiatives council will implement to help manage social impacts / opportunities

• FIFO integration / workforce behaviour

• Perceived pressure points on services

• Wage competition / affordability

Risks are Cumulative and information needs High. CEO interview in May during next draft of SIMP

Ongoing consultation • Informal meetings, Project updates as requested and annual briefing including site tour.

• Regular liaison with Chief Executive

Continue

City of Palmerston ESIA interview

(Sept 2008)

• Pressure on community facilities (DLNG camp experience was not good – too many people for services / facilities)

• Population growth as a result of the Project may help development of community infrastructure

• Economic stimulus – expect flow on effects in the broader economy and potential for critical mass of activity to broaden industrial base


(Aug 2010)

• Workforce behaviour

• Village decommissioning (adverse Conoco experience)

Commitments to:

• develop workforce charter

• social coordinator at Village

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• Air quality

• Local content

• Employment opportunity

• Impact on infrastructure / key services

• Traffic and safety

• Housing affordability

• random drug and alcohol testing of workforce

• at direction of NTG, rehabilitate and revegetate site or otherwise leave positive legacy

• develop a detailed transport management plan

• significant investment in upgrading roads and intersections associated

Briefing: detailed design, staging of construction, & EDP application

(Oct 2011)

• Traffic and rock movements routes through centre of Palmerston

• Support for community events

Commitments to:

• Revisit planned routes and explore alternative options

• Support for Palmerston Festival 2011

Regular traffic briefings

Ongoing advertising campaigns e.g. local content opportunities


(July 2012)


(Oct 2012)

• Environmental impact of dredging

Confidence in INPEX managing the environment while dredging

Regular updates on environmental management

Marine safety messaging throughout duration of dredging program

To be completed • Strategies and initiatives council will implement to help manage social impacts / opportunities



Risks are Cumulative and information needs High.

CEO interview in May during next draft of SIMP

Ongoing consultation • Face to face Project update at Continue

17




every second Council meeting (beginning 2013)


• Written Project update at every other Council meeting (beginning 2013)

• Informal meetings and annual briefing including site tour.

• Regular community consultation at Palmerston Shopping Centre (fortnightly from 2013).

Litchfield Council ESIA interview

(Aug 2008)

• Workforce behaviour management

• Accommodation / rent increases

• Traffic - especially peak

• Business opportunity

• ATSI opportunity

• Sediment load in harbour

Commitments:

• Consider partnering to seal Jenkins Rd

• Review Conoco success with ATSI opportunity on fire management

• Note community resentment of traffic during DLNG construction

• Considers strategies to manage violence and other crime of a non-integrated workforce

Note of existing challenges (separate to Project)

• Road maintenance

• Recreational infrastructure

• Waste management

• Sediment load in harbor

Briefing EIS and Village design

• Integration of FIFO into Howard Springs community

Commitments made:

• Workers to sign behaviour charter

• Regular briefings to officers on traffic

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(July 2010) • Village design / appearance and light overspill

• Recreation access to buffer

• Noise

• Traffic safety and congestion

• Pressure on medical services

• Subsequent land use / legacy

• Village to have lifestyle coordinators

• Random drug and alcohol testing of workforce

• Landscaping to screen appearance and fit with local environment

• Salvage of cycads

• Retention of 50m bush perimeter (except 25m along Howards Springs Rd) as recreation space and visual buffer

• Sensitive design of lighting, screening and curfew for areas with high light needs eg tennis court

• Entrance off Howard Springs Rd with emergency access only on Stow Rd

• Buses to depart outside peak (staggered between 5-6am and between 5:30-6:30pm)

• Work with NTG to upgrade Howard Springs Rd and Stuart Highway intersection; turning lane

• Locate noisiest facilities away from Stow Rd; incorporate wind direction into design; noise reducing building materials; security patrols to monitor noise; recreational activity curfews

• Medical facilities at Village including GP, first aid, emergency

movements / management measures

• Ongoing updates on environmental management

• Regular community notice bulletins

• Presence at shopping centres and community events

• Project information (including road safety messages) also provided on regular basis to community through community bulletins, website, media and advertising campaigns.

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triage and stabilisation

• Facilities to include consulting rooms for allied health and specialist services including physiotherapy, counselling, and return to work management

• Build substantial facilities in one location but legacy use of site is NTG decision

• Maintain works notification process

Briefing: detailed Village design, staging of construction, & EDP application

(Oct 2011)

• Traffic safety and congestion


• Recreational fishing access/safety

• Support for community events

Commitments made:

• High-profile road safety campaign around all traffic but quarry routes in particular

• Access to popular fishing spots retained during construction (vessels to obey safety zones/go around large equipment)

• Support for Fred’s Pass Show 2012


(July 2012)


(Oct 2012)


Confidence in INPEX/EPCs managing the environment during dredging

To be completed • Strategies and initiatives council will implement to help manage social

Risks are Cumulative and information need High.

20




impacts / opportunities



CEO interview in May during next draft of SIMP

Ongoing consultation • Face to face Project update at every second Council meeting (beginning 2013)

• Written Project update at every other Council meeting (beginning 2013)

• Informal meetings and annual briefing including site tour.


Continue

Dept Lands Planning & Environment – Parks and Wildlife

SIMP interview

(NRETAS)

(18 April 2012)

• Levels of visitation to parks around the Harbour Impacts associated with restricted access at Blaydin Point

• Existing / proposed NTG initiatives to address:

• displacement from recreational areas

• impacts on recreational heritage values

• increased road and maritime traffic movements and associated impacts on amenity

Meeting held with NRETAS representative on 18 April 2012 and impacts of interest included:

• recreational use of waterways and eco-tourism

• Project impacts on both passive recreation (e.g. arts) and active recreation (e.g. recreational fishing).

21




NTCOSS To be completed • Identify issues facing the social service sector potentially affected by the Project

• Historical data demonstrating impacts on service capacity associated with other developments over recent years, Darwin LNG

• Service ratios and other available data sets to establish the baseline situation / monitor change over time

• Capacity of social services organisations to absorb estimated growth

• Validate issues and impacts associated with the Project relevant to NTCOSS and its members

• Identify opportunities and benefits associated with the Project relevant to NTCOSS and its members

• Identification of most vulnerable groups potentially affected by the Project

• Current strategies by NTCOSS or its members to address issues related to vulnerable groups

• Existing or proposed NTCOSS initiatives relevant to the SIMP

Risk to housing availability and affordability is Medium; and the risk to health services (which incorporates mental health and community health and well-being services) is Medium; information needs High.

To be interviewed in May to verify strategies and performance indicators.

22




Department of the Attorney General and Justice

Practical / operational workshop (26 Feb 2013

• Additional baseline data documenting crime rates, assaults and sexual assault in Darwin (in addition to what is on the Department’s website)

• Historical data demonstrating impacts of other major construction projects (e.g. Darwin LNG) on crime rates

• Key additional issues and impacts predicted during the Project

• Suggestions about strategies INPEX or Government could implement to manage issue / impact

• Existing and / or proposed Department initiatives to address crime

• Available datasets to assist in the monitoring of changes associated with the Project

• Data not available at a micro-level for INPEX needs

• Mandatory sentencing reforms being introduced - could present challenges for Ichthys


• Following up with information on mandatory sentencing and sex workers


NT WorkSafe

To be completed (previous engagement based on safety case for facility)

• Existing workplace accident investigations data

• Determining whether number of investigations increased during Conoco-Phillips, including types of injuries / need for ambulance or hospitalisation

• Existing and future capacity to investigate increased workplace accidents

• Predicted potential workforce safety

Deputy CEO Policy Coordination and Legal Services suggested NT WorkSafe provide workplace injury data for monitoring purposes (e.g. number of Project workplace accidents investigated by NT WorksSafe).

23




impacts associated with construction or operation of the LNG plant


• Existing and proposed workplace safety initiatives to document in the SIMP

• Available datasets to assist in the monitoring of workplace safety changes associated with the Project

Ongoing consultation • Regular liaison on the development of the Major Hazard Facility Safety case

Continue

Office of Children and Families


• Available data sets to help to document existing baseline situation for issues relating to children, youth or families

• Potential capacity issues associated with an increased pressure on relevant services

• Current issues facing children, youth or families that could be affected by the Project

• Historical data demonstrating impacts on capacity associated with other developments over recent years, Darwin LNG

• Available relevant data sets to

• Childcare capacity likely to be an issue and costs already high

• There is not a lot of spare capacity in existing child protection services, e.g. domestic & family violence; family and parenting support

• Potential for increased pressure on the Department’s workforce, i.e. case officers experiencing an increase in burnout due to increasing pressures and seeking alternative, and more highly paid employment, with INPEX.

• Potential for spouses of workers to be qualified childcare workers,


24




document baseline situation and /or monitor change over time

therefore increasing capacity

• Potential increase in available foster families

Real Estate Institute of Northern Territory Inc

ESIA interview

(Aug 2008)

• Workforce behaviour (should be zero tolerance)

• Traffic (buses should be considered to reduce drink driving)

• Wage competition (particularly affecting construction industry)

• Positive economic stimulus expected

Note:

• 750 lots expected at Bellamack by 2012

• 700 lots to be released Berrimah Farm

• 700-800 hotel rooms to be release in Darwin by mid 2010

• Understanding market dynamics

• Potential strategies including briefings on realistic demand to counter distorting speculation

Risk to housing availability and affordability is Medium; information need Low. To be engaged during implementation of relevant SIMP actions.

25




The Taxi Council of the Northern Territory

To be completed • Baseline data documenting existing rates of anti-social behaviour in taxis

• Historical data that demonstrates impacts of other major construction projects (e.g. Darwin LNG) on rates of anti-social behaviour in taxis

• Potential key impacts / issues predicted during construction or operation and suggested strategies to address these

• Existing and / or proposed government initiatives to address anti social behaviour

• Existing capacity of taxis / taxi waiting times in Darwin

• Ability to cope with a potential increase in customers

Risk of anti-social/criminal behaviour is Low: information need Low.

To be engaged during implementation of relevant SIMP actions.

Chamber of Commerce and Industry

ESIA interview (Aug 2008)

EIS briefing (Jul 2010)

EIS supplement briefing (Apr 2011)

EPC supplier forums (2011-12)

ATSI supplier forums (2012)

• Workforce behaviour

• Desirable economic stimulus

• Wage competition / increased costs for business

• Document strategies and initiatives the chamber or business will implement to help manage social impacts associated with the Project and/or population change.

Commitments:

• Tender packages broken down to match local industry capability

Risk of increased competition for local labour and higher labour costs is Medium; information needs High. Interview May 2013 during preparation of next draft SIMP

Participation in local content briefing opportunities

Ongoing consultation • Regular engagement with the CEO to discuss NT business opportunities & issues.

Continue

26




• Consult CCI on industrial relations issues

NT Seafood Council ESIA interview

(Aug 2008)

• Increased income opportunity

• Wage competition for fishing industry

• Reduced commercial fishing effort reduces opportunity in processing industries

• Equipment loss

Commitments:

• to consult with Northern Prawn Fishery operators around GEP

• to consult prior to seismic exploration

DSDMP briefing

(July 2012)

• Blasting impacts

• Gladstone-style contamination

• Restrictions on vessel movements

• Environmental monitoring

Commitment to keep informed of outcomes of environmental monitoring

Risk to commercial fishing values assessed Low; information need Low.

Consult NPF operators on exclusion areas around GEP and Darwin Aquaculture on management arrangements.

Tourism Top End EIS briefing

(Aug 2010)

• Dredging

• Marine traffic / restrictions

• Environmental management

• Greenhouse emissions


Continued consultation, particularly if blasting considered

Briefing: DSDMP measures and preview of backhoe dredge start up

(July 2012)

• Dredging

• Marine traffic / restrictions


Work with DPC on notifications to mariners

Make activity and environmental monitoring summary available via project website

Address any issues through Community Feedback Mechanism

27




Briefing: Cutter suction dredge

(Nov 2012)


To be completed • Identify industry mitigations for use of tourism beds and potential effects on operators

• Identify opportunities with Village operator workforce entertainment and diversion activities

Risk to tourism is considered Medium; information need Low. To be interviewed to identify any additional strategies and performance indicators.

Discussions with Village operator when lifestyle coordinators are in place

To be engaged during implementation of relevant SIMP actions.

Tourism NT

SEIA interview

(Aug 2008)

• Accommodation quality – perceived crowding issues with DLNG

• Rental / price increases noted as mixed impacts: good for owners but adverse for renters

• Opportunity for planning sequential land use with developer

• Doubtful if well-managed project would risk Darwin tourist image

• Expect spin-off benefits for tourism operators (visiting families) and air travel providers (note: SkyWest and Virgin reported planning purchase of A320 for Darwin-Perth route)

To be completed • Data on historical occupancy rates

• Overall capacity of tourism sector to

Discussions with Village operator when lifestyle

28




cope with visitation rates and a potential increased number of tourists

• Historical data on utilisation and revenue of tourism services

• Other relevant available data sets to monitor change over time

• Current issues facing the tourism sector in Darwin and NT

• Historical data demonstrating impacts on capacity associated with other developments over recent years, Darwin LNG

• Scoping of potential issues associated with an increased pressure on tourism accommodation and tourism service providers

• Scoping of potential benefits and opportunities associated with the Project

• Existing / proposed initiatives to manage predicted impacts

coordinators are in place


• Problems of accommodation shortages, especially during peak season

• Change in dynamic of town with large influx of workers

• Increase in aircraft load and cost increases, not a particular issue yet

• Change from being a gateway – to placing more of any emphasis on

29




getting people out into the regions

• NTG administration pressures

Liveability workshop (28 Feb 2013

• Opportunities for tourism – from events perspective, important to activate precincts to spread the load – boosts tourism vibrancy

Impacts on Darwin as a tourism brand?


• Increase in corporate travellers due to Ichthys Project and other projects coming to the Territory result in a reduced available inventory for business event market.

• Hotels yield management principles are geared towards maximising returns

• Reduced availability of accommodation allotments for packages

• Reduced competitiveness to attract events / conferences

• Increasing costs in airfares

• Potential flow on effects on the regions as event markets have a high propensity to spend and disperse throughout the region, e.g. Alice Springs, the Rock, after a conference.

• Potential loss of major events such as V8 supercars, Darwin Cup Carnival, stc. due to high room /


30




package rates

• Harbour cruises & restaurants will do well but small transport operators to Katherine, Alice Springs, etc, are currently missing out

• Staffing and servicing of businesses may suffer

• Skilled labour forces moving north to capitalise on other opportunities associated with the resources sector.

• NT is very dependent on the drive market. Potential for accommodation shortages in caravan parks or an increase of heavy vehicles on the road may act as a deterrent.

Workers using services of small fishing charters and undertaking visits to regional NT for camping trips, on their time off.

Palmerston Regional Business Association

EPC supplier forums

(2011-12)

• Desirable economic stimulus

• Wage competition / increased costs for business

Risk of increased competition for local labour, loss of staff to the Project and higher labour costs is Medium; information need Low.

To be interviewed to verify strategies and performance indicators.

31




Participation in local content briefing opportunities.

Ongoing consultation • Meet regularly with PRBA President

• Member of PRBA

• Darwin General Manager briefs the PRBA on a regular basis

Continue


(formerly Dept, Education and Training)

ESIA interview

(Aug 2008)

• Schools not at capacity / localised shortage of teachers

• Apprenticeships at records highs / some capacity issues (teachers, desks, equipment)

• Existing labour shortage and skills shortage / wage competition

• Desire for high levels of employment of locals

• DEWR could fund ATSI facilitator on site to mentor ATSI employees and non ATSI supervisors

• Offers 20 week pre-employment program / ‘Build Skills’ program

• Territory Construction Association is good network

• DEET could fund interstate training of Operations candidates

• Opportunity to take ‘whole of workforce’ view to ATSI employment

To be completed • Confirming existing capacity of education facilities to absorb

Risk to education services to respond to population

32




population growth

• Scoping of potential issues associated with an increased pressure on education services

• Identification of how the Department monitors and / or estimates population growth to inform planning for provision of education and training facilities in Darwin

• Current issues facing the education and training sector of relevance to the Project

• Historical data demonstrating impacts on education and training services associated with other developments over recent years, e.g. Darwin LNG

• Available relevant data sets to document baseline situation and /or monitor change over time

• Existing / proposed initiatives to manage flow on impacts of the Project on education and training

growth has not been assessed.

Purpose of engagement is to confirm the Department’s ability to expand services.


• Education and especially enrolment pressures


• Building capacity in schools to meet the emerging demands of industry. More in relation to long-term future opportunities

SIMP consultation • Enrolment capacity exists in in some areas of Darwin while others

33




meeting (5 Mar 2013) are, particularly those in the inner city areas are at capacity

• Impacts associated with students with English as a second language going to the one school. Staffing ratios are different for English as a second language classes (1: 10).

34




Group 3

Howard Springs residents

Proposed Village location

(Feb 2009)

ESIA interview

(Aug 2008)

EIS exhibitions in shopping centres

(July 2010)

Buffer and sewerage detailed design

(Jul-Sept 2012)

• Village design / visual appearance

• Workforce behaviour / integration of workers

• Traffic access points / congestion

• Light overspill

• Subsequent land uses / legacy

• Cycad relocation

• Noise

Commitments:

• Retention of 50m bush perimeter (except 25m along Howards Springs Rd) as recreation space and visual buffer

• Landscaping to screen appearance and fit with local environment

• Village reduced to single storey

• Village to have lifestyle coordinators

• Random drug and alcohol testing of workforce

• Workers to sign behaviour charter

• Entrance off Howard Springs Rd with emergency access only on Stow Rd

• Lighting design to minimise light spill and curfew on activities requiring high light levels (eg tennis)

• Build substantial facilities in one location but legacy use of site is NTG decision

• Salvage of cycads

• Locate noisiest facilities away from Stow Rd; incorporate wind direction into design; noise reducing building materials; security patrols to monitor noise; recreational activity curfews

Routine contractor notifications; fortnightly shopping centre manned exhibitions; and home visits/group briefings upon request.

Project information (including road safety messages) also provided to community on regular basis through community bulletins, website, media and advertising campaigns.

35




• Buses to depart outside peak (staggered between 5-6am and between 5:30-6:30pm

• Work with NTG to upgrade Howard Springs Rd and Stuart Highway intersection); turning lane at entrance

Ongoing consultation Letter box drop or phone calls, as required, to inform of key works

Regular community consultation at Howard Springs Shops moving to weekly from April 2013

Regular emails sent to residents e.g. in response to Stow Road Accommodation Village proposal to EDP process

Darwin Harbour Advisory Committee


(July 2010)

• Dredging/blasting

• Other environmental impacts

• Consultation processes

Commitment to widespread disclosure of environment plans and community feedback mechanisms

Respond should any specific concerns arise

Ongoing consultation • Briefings to Committees, when requested.

• Ad hoc meeting with view to more as MOF/Jetty work increases

Continue

36




Good Shepherd Lutheran College

Interview Village EDP application

(Oct 2011)

Regular face-to-face meetings facilitated through INPEX Community Relations Coordinator

• School’s desired expansion area

• Traffic management

Commitment: make NT Government aware INPEX no objection to alteration of boundaries to allow school’s expansion

Commitment to an open and transparent working relationship

Contractor’s briefings on transport management and construction progress.

Ongoing relationship building

Ongoing consultation • Regular face to face and written Project updates

• Visits by Project personnel, as required

• Visits by Project personnel (guest speaker) on an ad hoc basis

Continue

Department of Police, Fire and Emergency Services

SIMP meeting

(April 2012)

Emergency incident management that could impact on police, fire and emergency services

Raised concerns about:

• Need to increase policing resources to cope with the increased demands.

• Increased alcohol abuse and drug issues and problems at licensed premises, including substantial impacts in the nightclub area in Palmerston and Mitchell Street, Darwin. This is considered an impact during construction, but not operations when fewer people involved.

• Increased crime in the rural area – both by the accommodation village residents but also the village and its residents being the target of

37




crime / vandalism

• Traffic management and the increased amount of traffic movements.

• Resident complaints about noise, light, dust and traffic

• Increase in domestic violence amongst local residents (caused by stress induced by Project).

Ongoing consultation Regular meetings between Darwin Office and senior NTPFES commanders.

Quarterly meetings with Company security and emergency advisors.

Informal updates, as required.


• Has area of crime and antisocial behaviour been addressed enough in the SIMP?


• General and petty crime issues where workers can become victims in areas surrounding village and in Darwin


• Traffic issues are going to be the biggest problem.

• Initial concern that 3,500 people will have private vehicles

• Police don’t envisage high rates of crime, given composition and nature of the workforce. Issue when people come into town on Saturday night (day off).

• Assign a Police liaison to the village and establish better contacts between INPEX and Police

38




• Opportunity for parties to meet to discuss issues of common concern including Hoteliers, Prostitution Regulatory Authority, Dept. Transport, DCM and others

• Police have an enforcement role in marine safety.

• Police sometimes put dogs through residential areas - opportunities to do drug searches on employees as a deterrent



(July 2010)

• Environmental effects (marine animals)

• Recreational

• Visual amenity

• Dredging effects on port operations

• Opportunity for spoil reuse

Requested investigation of dredge spoil for its reclamation project. Investigations found material unsuitable.

Darwin Port Corporation will be engaged through Harbour and Port Committee

Ongoing consultation • Quarterly Ports and Harbours Committee meeting

• Quarterly Port User Group attendance with all Port Users

• Fortnightly Port Operations Working Group Attendance

• Regular liaison between contractors and Port.

• Regular liaison between INPEX and Port CEO, Harbourmaster and GM Marine Services

39




Amateur Fishermen’s Association (AFANT)

EIS development (July 2010)

• Dredging effects on fish health/water quality

• Avoidance of blasting / fish health

• Access to recreational fishing areas (esp Catalina Creeks) & safety

• Artificial habitat opportunity

• Continued consultation

Commitments:

• Rock to be used for pipeline rock armouring creating an artificial reef

• Access to Catalina Creeks would be maintained during construction

• Disclose regulator’s decision on any restrictions on access to Catalina Creeks during operations

• Continued consultation

Involvement of membership in boat ramp surveys of effort and catch.

Briefing: DSDMP measures and preview of backhoe dredge start up

(July 2012)

Briefing: preview of cutter suction dredge start up

(Nov 2012)

Briefing December dredging update

• Dredging effects on fish health/water quality

• Access to recreational fishing areas and safety

Support for proposed dredging method to avoid blasting of Walker Shoal

Residual concern about access to Catalina Creeks during operations

Commitments:

• Implement integrated dredging communication activities including

• Routine briefings on marine traffic and environmental management

• Project website with dedicated marine section

• Weekly newspaper bulletin

• Marine safety education campaign (TV, radio, print)

• Monthly community update Channel 7

• Consultation at boat ramps

• Exhibitions (eg Boat Show)

Periodic briefings of executive to monitor issues and sentiment.

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• Media tours of vessels

• Cyclone proof noticeboards

Ongoing consultation • Offer update/presentation at AFANT AGM since 2010. Undertaken in 2010, 2011 and 2012.

Continue

NT Dept of Health - Royal Darwin Hospital

To be completed • Determining whether number of accidents / hospitalisation (of the public) increased during Conoco-Phillips, including types of injuries / need for ambulance or hospitalisation

• Predicted potential public safety impacts associated with construction or operation of the LNG plant


• Available datasets to assist in the monitoring of accidents / hospitalisation potentially associated with the Project

Carry forward consultation with Dept of Health

July 2012 • Medical emergency response arrangements

• DoH supports to use hospital helipad in the event of a Medical Emergency Response

• JKC construction site to have on-site medical provider

INPEX to reapproach re: any helipad upgrade and ambulance transfer from pad to Emergency Dept

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Northern Land Council

Commenced engagement in 2009 including EIS consultation and regular project updates

• Opportunities around land management / fire management

• Opportunity to participate in Savannah Fire Management Program

Engagement on Savannah Fire Management Program (NLC statutory role).

Larrakia Nation Aboriginal Corporation (LNAC)

Regular consultation through group meetings

(2010 ongoing)

• Provide Project updates

• Identify and discuss possible economic opportunities for Larrakia people

• Identify possible opportunities for corporate social responsibility initiatives

• Provide appropriate Project related information for dissemination to Town communities

• Document strategies and initiatives to manage perceived social impacts associated with the Project and/or population change.

• Financial support for NAIDOC week activities and other community initiatives

• Commitment to ongoing dialogue

• LNAC engagement with Project via commercial initiatives

• EPC Contractor development of ATSI training and employment programs (cascaded down through sub-contractors)

Periodic briefings to monitor impacts and benefits engaged through existing engagement mechanisms.

Larrakia Development Corporation (LDC)

Regular consultation through group meetings and briefings

(2009 ongoing)

Regular meetings of Larrakia Heritage Management Executive Committee (LHMEC)

• Provide Project updates

• Identify and discuss possible economic opportunities for Larrakia people

• Identify possible opportunities for corporate social responsibility initiatives

• Ensure that cultural heritage matters are managed as outlined in the heritage management plans( for both Blaydin Point and Howard Springs)

• Financial support for NAIDOC week and other community activities

• Commitment to ongoing dialogue and development of an economic benefits package to benefit all Larrakia people

• LDC engagement with Project via commercial activities

• EPC Contractor development of ATSI training and employment programs (cascaded down through


LHMEC meetings.

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• Document strategies and initiatives to help manage social impacts associated with the Project

sub-contractors)

ATSI Town Communities (Darwin and Palmerston)

Regular group meetings via Indigenous Coordination Centre (FaCHSIA) and Ironbark/DRIACDEP

(2011 ongoing)

• Provide broad Project information for dissemination to local Town Communities

• Employment and training support for ASTI people for the Ichthys Project

• Provide support for engagement with local Town Communities

• Document strategies and initiatives to help manage social impacts associated with the Project and/or population change

• EPC Contractor development of ATSI training and employment programs (cascaded down through sub-contractors)

• Financial support for NAIDOC week and other community activities


NT ICN ESIA interview

(Aug 2008)

• ATSI employment opportunity

• Visual impact – community reaction uncertain

• Few workforce behaviour issues with DLNG / multicultural community is accepting of difference

• Accommodation affordability

• Wage competition (was an issue with local content during DLNG)

Note:

• 3,400 businesses on database

• Secondment into INPEX/contractor office is an option

Is now a service provider to the Project in implementation of IPP and works with EPC contractors and sub-contractors to match contract opportunities to local company capability including operating Project Gateway website where contractors register interest.

Ongoing consultation • Liaison through the NTICN to assist in achieving the objectives of IPP

Department of Land Planning & Environment

Non-ATSI HMP development

(Q1 2012)

• Cautionary with reliance on spatial data

• Processes for chance finds

Processes within HMP Keep informed HMP implementation. Reporting on activity and evidence of conformance with permit

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(Heritage Branch) • Monitoring of Catalinas conditions.

Technical exchanges around methods and permits

(2011-ongoing)

• Agreement of methodology for mitigation, monitoring and relocation

Permit conditions

Dept Primary Industry Fisheries and Mines

ESIA interview

(Aug 2008)

• Recreational fisher access to creeks

• Concern for damage/removal of fish-breeding areas in mangroves

• Need for assessment of any impacts on northern prawn fishing fleet

• Upward pressure on already high accommodation rents

• Need to assess port export capacity

• Comprehensive local content plan

• Consider selling electricity into NT

• Paspaleys boats ability to cyclone shelter in creek during construction

• Quarantine procedures

• Community anxiety about dredging

• NT Guided Tour Association (150 members) to be consulted



• Recreational fishing impacts could be more comprehensively covered


• Reduced availability of seafood to local residents / community

• Seafood supply into the


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Accommodation Facility.

• Losing skippers to the resources sector.

• Potential shortages in mechanics exist already – currently on skills shortage list

• For example, crowding out of local tourists.

• Maintenance and provision of marine infrastructure

• Could be a benefit but also a risk

• Dept is currently working with Aboriginal communities to help them become involved in commercial fishing of under marketed species

Menzies School of Health

Ongoing since April 2012

• Contracted to conduct soil sampling and analysis for Melioidosis (B. Pseudomallei) at the Howard Springs site

Program to collect samples every quarter of construction

Now a service provider.

NT Environment Centre

Marine Conservation Society


(July 2010)

• Dredging

• Blasting

• Marine animal impacts

• Greenhouse gas offsets (desire for 100% offset)

• Need for dolphin research

Commitments:

• $91million offsets package

• Continue biosequestration project in Western Australia

• Funding carbon capture storage research via CO2CRC

• Design optimisation to reduce GHG by 100million tonnes

• Combined cycle power plant at Blaydin Point

• Subsea power-sharing cable


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between CPF and FPSO

• Use of cutter suction dredge to avoid blasting

NT Minerals Council ESIA interview

(Aug 2008)

• Accommodation shortages / increase rents


• Workforce behaviour / night spot violence

• Need for local government planning scheme

• Strategic opportunity for downstream processes

To be kept informed by briefings, email bulletins and web site fact sheets.



• Needs to be strong references to supplemental documentation (eg TMP) and strategies for communications



• Need to have overall view of SIMP, a feel for how it is going to be set out, with the materials behind it referenced

• Would be good to establish a single point of contact in transport

• Communications are a critical element, have to outline plan for capturing community feedback on the SIMP and impacts.

• Taxi Council not fully representative of all taxi’s, there is strong feeling about leaving some groups out. Dept. Transport happy to facilitate discussions, which

• Dept. Transport more than happy to work with INPEX on road safety to get the most effective outcome, in areas including heavy vehicle traffic and marine safety

46




should include NT Transport Association etc. Parallel process going on with Road Transport Association to reform rail, marine heavy traffic in National Regulations (incidental to INPEX)

• Some gaps in SIMP related to mental and family health

• Boat trailers are registered and therefore tracked. No access issues now. Made via complaints or peak bodies.

Water and Power Cost of living workshop (25 Feb 2013

• No risk burden on NTG as recouping capital costs from INPEX

SIMP consultation meeting (28 Feb 2013)

• Growth means new capacity may need to be brought forward

• An opportunity for INPEX to be a leader in terms of efficiency of electricity and water usage

• June 2013, establishment of Darwin Water SMART Project to improve water demand/supply efficiency.

• P&W is not fully aware of INPEX plans for water usage and efficiency and would like to view the camp plans

• Need for emergency gas supply


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Department of Sports and Recreation


• Pressures on recreational areas, swimming, fishing, hunting etc

• Water and boating safety issues – need to get health and safety messages out

• Opportunity for workers/INPEX to tie in with sports clubs and recreation facilities – need to talk with peak bodies


• Increased attendance and usage of existing recreational facilities by new families relocating to Darwin

• Participation on local recreational activities and activities

• Department can broker relationships between peak sporting bodies and camp operators

Engage during implementation of relevant SIMP actions

Department of Regional Development and Women’s Policy (formerly Aboriginal Advancement)


• Cross cultural inductions and concern about proximity of HSAV to ATSI villages

• Opportunity to attract semi-skilled people into training and up-skilling


• Regional and rural tourist operators in areas such as Litchfield, Berry Springs and Katherine benefiting from increased business due to workers looking at recreational and tourism opportunities to pursue in their time off / end of roster, e.g. fishing, bbqs, tours.

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• Potential draw of labour from the regions to take up opportunities associated with the INPEX project.



APPENDIX C: TABLE OF PROJECTS IMPACTING GREATER DARWIN 2012–2013