TIME IS UP for Aurizon to stop playing games with Queensland exports and revert back to normal maintenance while the independent regulator, the Queensland Competition Authority (QCA), makes its final decision said Queensland Resources Council Chief Executive Ian Macfarlane.

“Industry’s position hasn’t changed. Aurizon is a monopoly and it’s the role of the independent regulator to set the price they can charge customers. It’s a pricing system Aurizon agreed to when the company was floated and one which guarantees their revenue, which is a luxury Aurizon was happy to bank during the downturn,” Mr Macfarlane said.

“Without explanation Aurizon has decided to unilaterally change its maintenance and undermine the performance of rail systems. Aurizon is damaging the reputation of Queensland’s largest export industry and short changing all Queenslanders with the loss of royalties from lost exports.

“The regulatory system is not broken. It’s supported by both the State Government and the Federal Government. Premier Palaszczuk backs the independent regulatory process and the Federal Resources Minister Matt Canavan this week called out Aurizon saying the company was trying to force through an 'old-style industrial relations bargaining system.' 

“Queensland’s coal industry has promised to support the regulator’s final decision on the Aurizon rail maintenance budget. If the QCA, as the independent umpire, finds Aurizon should be paid more for maintenance, the industry will pay.

“Queensland needs to reliably transport coal to port if we are to take advantage of the strengthening outlook for coal across our existing and emerging Asian markets. If we don’t our customers will shop elsewhere and jobs in regional Queensland will be put at risk."

QRC estimates the cost of Aurizon’s new maintenance plan, which they say will choke off as much as 20 million tonnes of exports a year, would cost up to $4 billion per annum in lost Queensland exports and up to $500 million in lost royalties which pay for the wages of teachers, nurses and police. Queensland simply can’t afford to keep paying the price of Aurizon’s intransigence.

The QRC has responded to the QCA’s request for comments on maintenance and a final decision on UT5 is expected in September.

www.qrc.org.au

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THE House of Representatives Standing Committee on Economics will scrutinise the Australian Securities and Investments Commission (ASIC) as part of its review of the performance of Australia’s corporate, market and financial system regulator.

Committee chair, Sarah Henderson MP, said "given there are legitimate community concerns about misconduct in the financial sector, the hearing provides a timely opportunity for the Committee to scrutinise ASIC on its performance and operation".

Ms Henderson commented, "The Government has recently announced a range of measures to strengthen ASIC, including increased criminal and civil penalties for corporate misconduct, and new powers to strip wrongdoers of profits.

"The Government is also taking action to protect consumers, by placing new design and distribution obligations on financial service providers to ensure their products are appropriately marketed and sold," Ms Henderson said.

ASIC is an independent Commonwealth statutory authority whose role is to administer the Australian Securities and Investments Commission Act 2001 (ASIC Act), the Corporations Act 2001 (Corporations Act) and a range of additional legislation.

ASIC’s aims include promoting investor and financial consumer trust and confidence, ensuring fair, orderly and transparent markets, and providing efficient and accessible registration for businesses and companies.

Ms Henderson said,"As this will be the first time the new chairman of ASIC, James Shipton, has appeared before the committee, it will be a chance to question the chair on his priorities."

Public Hearing Details:

Time:               8.30am to 11am

Date:               Friday 22 June 2018

Venue:             Committee Room 2R1, Parliament House, Canberra

The hearing will be broadcast live at www.aph.gov.au/live

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EIGHTEEN mayors from Aboriginal communities in Queensland are braving Canberra’s cold weather to lobby for the continuation of the National Partnership on Remote Housing (NPRH).

The NPRH was negotiated in 2016 to replace the National Partnership Agreement on Remote Indigenous Housing. It aims to address the housing crisis facing remote Aboriginal and Torres Strait Islander communities in Western Australia, South Australia, Queensland and the Northern Territory.

The NPRH is due to conclude on June 30, 2018. While replacement funds have been allocated to the Northern Territory, the Federal Government is yet to come to an agreement with Western Australia, South Australia and Queensland.

Community groups warn that the discontinuation of funding in these three states will lead to a loss of jobs and exacerbate overcrowding.

The mayors are meeting with Nigel Scullion, Minister for Indigenous Affairs, to discuss the standstill.

National Congress is calling for housing to be a Closing the Gap target. About 39 percent of Aboriginal and Torres Strait Islander households in very remote areas are overcrowded, while 20 percent of Aboriginal and Torres Strait Islander households in remote areas are overcrowded.

A lack of adequate housing is one of the social determinants leading a number of negative social and health outcomes including poverty, criminality, incarceration, educational attainment, disease and substance abuse.

 “Investment equals prevention,” National Congress co-chair, Jackie Huggins, said. “By investing in adequate housing for Aboriginal and Torres Strait Islander peoples, the government will save money in the long-run through decreased expenditure on welfare, incarceration and social programs.”

Rod Little, National Congress co-chair said, “Housing is key. Without adequate housing, Aboriginal and Torres Strait Islander peoples cannot break the cycle of poverty.

"National Congress looks forward to hosting the World Indigenous Housing Conference in 2019 and to working with governments to improve the current housing crisis facing Aboriginal and Torres Strait Islander communities."

www.nationalcongress.com.au

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THE ASSERTION that moving self-managed superannuation funds’ (SMSF) annual audits to a three-year cycle will reduce compliance costs for trustees may be flawed; or it could be a cost deferral at best, according to the Institute of Public Accountants (IPA).

“The Government’s proposal to change the annual audit requirement to a three-yearly cycle for SMSFs with a history of good record-keeping and compliance may be very well intended but could well be misdirected,” said IPA chief executive officer, Andrew Conway.

“There are other ways to reduce the red tape involved in managing SMSFs.

“A well-functioning SMSF sector is a by-product of good regulation. The SMSF auditor plays a vital role in providing the regulator with assurances that SMSF trustees are playing by the rules.

“According to the latest ATO statistics, the percentage of the SMSF population with auditor contravention reports (ACRs) is approximately two percent of all SMSFs each year.

“Having one audit every three years that covers the three year period may seem more efficient but may not translate to cost savings.  The question needs to be asked if the potential cost savings, if any, are worth the risk of SMSF trustees becoming non-compliant.

“Does the Government want to put at risk the current record of good compliance?

“Not working with trustees in the unsupervised (unaudited) years may result in an increase in contraventions if this measure proceeds. Not addressing contraventions on a timely basis can result in the costs growing exponentially; as well as presenting a systemic risk.

“The annual audit cost may be begrudgingly paid by trustees but most trustees would see this as a form of insurance as the penalties imposed by the ATO for contraventions can be significant.

“Without the annual and timely audit oversight, we are concerned that the low rate of contraventions may start to reverse, for the sake of a potential small reduction in costs over time. A loss of integrity in the SMSF sector is simply not worth the risk.

“We urge the Government and regulators to look at alternative ways to reduce the compliance burden and cost associated with SMSFs,” said Mr Conway.

publicaccountants.org.au

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AUSTRALIAN businesses and organisations will be given the opportunity to have their say about the workforce challenges and skills-related barriers affecting their contribution to the modernisation of Australian Defence Force capabilities.

In another initiative to assist the Australian defence industry in having the workforce with the right skills to meet future capability requirements, the Federal Government has appointed Stephen Hayes MBE, an international management expert, as the National Defence Industry workforce and skills facilitator.

Minister for Defence Industry, Christopher Pyne said that the survey was important and the Defence industry sector was not well identified in broader workforce data and many defence firms work across other multiple sectors.

By participating in the Defence Industry Skilling Survey, businesses and other interested parties will help inform the development of the Defence Industry Skilling, and Science, Technology, Engineering and Mathematics (STEM) Strategy to be launched this year, Minister Pyne said.

“The survey will help us build a better picture of defence sector skills and identify trends that may impact capacity to meet Defence’s current and future capability needs," Mr Pyne said.

“The survey will also help identify priorities to be addressed through the strategy.

“The strategy will help ensure that the defence industry workforce and skills base is in place when required to support Defence’s capability needs over the next decade, and to maximise the opportunities for supporting Australian industry workforce capability, innovation, and capacity.

“It is important that we highlight what our defence industry is and does, promote awareness and practical career paths in defence industry for Australian workers at all stages of their careers, and ensure that we can retain and upskill our defence industry to build greater capability today and for the future”, Mr Pyne said. 

The strategy is an important component in the implementation of the government’s 2018 Defence Industrial Capability Plan released on 23 April 2018.

Mr Pyne said the appointment of Mr Hayes, former CEO of the International Centre for Complex Project Management, will assist Defence in identifying and assessing defence industry skills issues across government, industry and the education sector to achieve stronger collaboration and to support defence industry workforce needs. 

“Mr Hayes brings an international reputation and expertise in the coordination of complex projects and will provide strategic advice to Defence, support and consultation with a range of stakeholders on Australia’s defence industry skilling and STEM challenges and gaps,” Mr Pyne said.

“Mr Hayes will also examine international defence industry skills approaches to draw together best practice and suggest options to Defence to address the long term need for a skilled defence industry workforce.” 

The Defence Industry Skilling Survey is anonymous and will be open until 20 July 2018.  The survey is available at: https://defencesurveys.com.au/anon/2440.aspx

Further information on defence industry careers can be found at: http://www.defenceindustry.gov.au

About Stephen Hayes 

Stephen Hayes is the executive director of the Gravity Group, a global innovation company focussed on the future of work and leadership. He was the founding managing director and former chief executive of the International Centre for Complex Project Management and the founding chair of the International Complex Project Management Research Council.

In 2010 Mr Hayes chaired an International Task Force which developed the report ‘Complex Project Management – Global Perspectives and the Strategic Agenda to 2025’. Building on this extensive government and industry expertise, Stephen supports government and industry in the successful delivery of complex endeavours including the transformation of strategy execution and business performance.

Mr Hayes has a Masters of Management and is a graduate of Australian Defence Command and Staff Course. He served in the Royal Australian Air Force for 29 years and has held a military command and led the RAAF School of Technical Training (RAAFSTT), a tri-Service training organisation providing VET training for Navy, Army and Air Force personnel in support of ADF aviation.

Mr Hayes has held posts in program management, systems engineering and human resource management. He had six appointments within the then Defence Materiel Organisation including as Director Maritime Aircraft Project and Director Emerging Aerospace Projects, in addition to a project management exchange with the Royal Air Force. Stephen Hayes' project management work in the United Kingdom was recognised with the honour of being made a Member of the Order of the British Empire (MBE) in 1996. He also received the United States Defence Acquisition University President’s Medal for international leadership in the field of complex project management.

Mr Hayes was responsible for the development and delivery of the Australian Department of Defence’s Complex Project Management initiatives. These included the competency standard for complex project managers, the Executive Masters in Complex Project Management and formation of the International Centre for Complex Project Management.

Stephen Hayes was the chair of the Global Access Partners (GAP) Taskforce on Leadership in Education and a member of GAP Australian National Task Force on Cyber Security. He is currently a member of the GAP National Standing Committee on Digital Trade. SMr Hayes also provides strategic advice as a member of a number of corporate boards that have included the Corporate Advisory Group of Victoria Police and Queensland University of Technology’s Graduate School of Business.

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LIGHTING Council Australia relaunched Exitcycle, an industry-led battery recycling initiative, at Parliament House in Brisbane today.

The product stewardship arrangement was first trialed in 2015 and aimed to improve the recycling rates of emergency and exit lights. The program is supported by the Queensland Government, which recently confirmed an extension to the original program.

“With some 30 million emergency and exit lights across the country, it is critical that industry works with government and the community to improve environmental outcomes”, said Lighting Council Australia national environment manager, Roman Gowor.

“The majority of the green-emergency lights we see across all buildings are powered by a combination of older battery technologies, which often use cadmium, nickel metal hydride or sealed lead acid. In the coming years, newer generation batteries will use more sustainable components, however multiple sectors — government, industry and end users—must work together to find the best way of increasing recycling rates.

“We are very pleased with the leadership that the Queensland Government has shown on this issue.”

Today’s event included representatives from signatories to the Exitcycle scheme, recyclers, government officials and the lighting industry.

“The Exitcycle approach is successful because it is very well suited at addressing the specific waste issue," Mr Gowor said.

“Unlike a great proportion of batteries used across the economy, emergency and exit lights are not typically used in households and, by law, can only be serviced by electrical contractors.  The Exitcycle program is more targeted than other programs and focuses on electricians and facility and building managers.”

www.lightingcouncil.com.au

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DEFENCE is seeking input from Australian industry on the proposed tender timeline for Land 400 Phase 3. 

The acquisition of mounted close combat vehicle capability through the tender will be one of Army’s largest purchases.

Minister for Defence Industry, Christopher Pyne said consulting on the draft timeline would lead to a smoother and better informed tender process reducing the cost of tendering to industry.

“Just as with the Phase 2 Combat Reconnaissance Vehicles, Australian industry involvement and Australian workers will be critically important to this project,” Mr Pyne said.

“This project is another exciting opportunity for Australian industry to deliver leading edge technology in support of the Army.”

Minister Pyne said the government was committed to investing in advanced vehicles that are better equipped to meet the range of current and emerging threats which are becoming more lethal and sophisticated.

“This multi-billion dollar project will replace Army’s M113 Armoured Personnel Carriers with a fleet of up to 450 modern Infantry Fighting Vehicles and 17 Manoeuvre Support Vehicles,” Mr Payne said.  

“These will provide new levels of protection, firepower, mobility and enhanced communications. The new vehicles are expected to enter into service by the mid-2020s.

“The proposed tender timeline identifies key milestones in the tender evaluation. We welcome industry’s feedback on the timeline to better enable both industry and defence to plan for this significant boost to capability.”

The government provided First Pass approval for Land 400 Phase 3 on 13 March 2018 to acquire the Infantry Fighting Vehicle and Manoeuvre Support Vehicle capabilities.

The opportunity to review and comment on the timeline will remain available until Monday, 9 July, 2018 and can be viewed at: http://www.defence.gov.au/casg/EquippingDefence/Land400.

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AN OVERWHELMING 61 percent of Australians support the Federal Government regulating to make e-cigarettes, personal vaporisers and other less harmful alternatives to smoking available alongside cigarettes at retail so smokers have access to these products, according to a new poll conducted on behalf of the Australian Retailers Association (ARA) by Crosby Textor Group.

The poll found two-thirds of smokers support the legalisation of e-cigarettes and personal vaporisers and over two-thirds of all voters agree that the Australian Government should regulate, and make available, less harmful alternatives to cigarettes ‘as a way to completely phase out cigarette smoking in this country’.

Russell Zimmerman, executive director of the ARA, said regulating access to less harmful alternatives is a no-brainer for Australians, and the Government should get on with the job of making them available.

“More and more Australians are buying personal vaporisers with nicotine online from overseas, simply because they can’t buy them locally and this is affecting local retailers who are subject to an effective ban,” Mr Zimmerman said.

“The government needs to act so that responsible local retailers can compete on a level playing field and sell less harmful products for Australians trying to change their habits. Failure to regulate only increases the risks and there are currently no Commonwealth laws prohibiting advertising to children, or Australian standards for ingredients or vaporiser design to keep people safe.”

The ARA’s new poll has identified that 61 percent of voters place importance on the strain of smoking-related diseases on the health system, and 93 percent of voters are also interested in the state of the public health system.

“Allowing retailers the opportunity to sell these less harmful alternatives is a win-win, as it provides monetary benefits for local retailers and public health benefits for the wider community,” Mr Zimmerman said.

Countries all around the world including Canada, UK, New Zealand, Europe and the US, have legalised and regulated these products, which are not only beneficial for current smokers, but allow retailers to fairly compete in the market.

“It is clear that smokers are not prepared to wait around for the Government to act and improve their health, as hundreds of thousands of Australians are already using these products,” Mr Zimmerman said.

“Australians have been purchasing e-liquids containing nicotine through online marketplaces for years, and unfortunately consumers cannot guarantee the quality of the purchase and are unaware of the risks.”

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is Australia’s largest retail association, representing the country’s $310 billion sector, which employs more than 1.2 million people. As Australia’s leading retail peak industry body, the ARA is a strong pro-active advocate for Australian retail and works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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