1. Overview
Secretary’s message
In 2015–16, the Department, as stewards of Australia’s natural estate, supported the Government in achieving a healthy environment, strong economy and thriving community. Our work ranged from policy-making to program implementation, from scientific research to on‑ground operations in Commonwealth national parks and Antarctica, and from regulation to knowledge-brokering in Australia and overseas.
This report presents our achievements for the year. For the first time, the annual report includes annual performance statements which explicitly connect the Corporate Plan 2015–16, our primary planning document, and our actual performance. This approach allows us to be transparent
about how well we have achieved our purposes.
Looking at our responsibilities and activities for the year, there were some common areas of focus, achievement and opportunity.
In 2015–16, we continued to increase our investment in the science and information needed to support development and implementation of effective evidence-based policy. TheGovernment’s investment in an integrated monitoring and reporting program for the Reef 2050 plan, for example, will enable better assessment of the effectiveness of the Government's investments to protect and restore the Great Barrier Reef’s values. The Bioregional Assessment Program provides tools for decision-makers to manage the cumulative impacts of coal seam gas and large coal mining development on surface water and groundwater.
We are committed to actions each year that contribute to our long-term objectives, particularly for programs where the impact of our investment is measured over several years, like our Commonwealth environmental watering activities. The Commonwealth Environmental Water Holder delivers environmental water to key environmental sites each year in line with the Murray–Darling Basin annual environmental watering priorities and the longer-term Basin‑wide watering strategy. To assess the impact of environmental water use in key Murray‑Darling Basin catchments, we are undertaking a long-term intervention monitoring project.
We are focused on ensuring integration of our policies and programs to improve our performance. For example, our natural resource management programs are targeting shared priorities. The Green Army program delivered projects cooperatively with local communities that, among other things, contribute to the Government's strategic priorities for threatened species, theGreat Barrier Reef, heritage, remote areas and native vegetation.
Throughout 2015–16, we worked collaboratively with other Australian Government agencies, other governments, business and communities. Successful C-17A Globemaster flights to Antarctica, for example, were the result of collaboration between our Australian Antarctic Division and the Royal Australian Air Force and represent a step change in heavy-lift cargo capability for Australia’s Antarctic program. We continued to work with state and territory governments to streamline environmental regulation through strategic assessments, through development of the EPBC Act Conditions-setting policy and by implementing a nationally consistent approach to assessing and listing threatened species and ecological communities.
Our active participation in international forums is demonstrated at the regional level through our successful advocacy for the Oceania region piloting a new wildlife trade permitting and reporting system under the Convention on International Trade in Endangered Species of Wild Fauna and Flora, and globally through the United Nations Framework Convention on ClimateChange.
How we achieve our results matters to us. In 2015–16, we invested in our leadership capability and in building the professional and technical skills of our employees. We continued to deliver our Excellence in Leadership and Management Program to build strategic leadership and people management capabilities. A diverse workforce is important and, through the Department’s updated Reconciliation Action Plan 2016–2019, Indigenous employment and capability strategy 2016–2019 and Disability Action Plan 2016–2019, we strengthened our commitment to an inclusive and effective workplace.
The Department’s 2015–16 achievements occurred against a backdrop of change. Machinery‑of-government changes resulted in water use efficiency, water reform and the Government’s cities agenda moving to other departments. The Department is implementing improvements following its comprehensive analysis of the recommendations of recent Australian Public Service reviews, including appointing a Chief Risk Officer to develop our understanding of and engagement with risk.
After the 2016 election, the Hon Josh Frydenberg MP was appointed as the Minister for the Environment and Energy, and responsibility for energy policy was transferred to the Department. This change recognises the link between the energy and climate change policies and programs.
Our achievements and the way we worked in 2015–16 contributed to our ability to deliver good policy advice, achieve better environmental, economic and social outcomes, build our influence and foster a diverse, inclusive and professional workplace. In 2016–17, we will continue to work across government and with communities, non-government bodies and business to implement the Australian Government’s environment and energy priorities. Supporting staff to build capabilities will enable us to do this even more effectively.
Dr Gordon de Brouwer
Secretary, Department of the Environment and Energy
Overview of non-financial performance
Our performance is determined by looking at each of our purposes and our cross-cutting science and research activities and measuring the extent to which we have achieved our objectives. Our performance encompasses the environment policy, program and research work and corporate support activities that enable us to effectively serve the Government.
In 2015–16, our purposes were to conserve, protect and sustainably manage Australia’s environment and heritage; develop and implement a national response to climate change; advance Australia’s strategic, scientific and environmental interests in Antarctica; and improve the health of Australia’s river and freshwater ecosystems. Underpinning these purposes was our environmental science and research activity.
The annual performance statements, a requirement under the Public Governance, Performance and Accountability Act 2013, examine our performance against what we set out to achieve in the Corporate Plan 2015–16. The statements should be considered in conjunction with the corporateplan.
Environment and heritage
In 2015–16, the Department continued to deliver a range of natural resource management programs to help communities take practical action to improve their local environment and promote sustainable resource management.
Implementation of the Reef 2050 Long-Term Sustainability Plan is well under way. In 2015–16, we continued to work with the Great Barrier Reef Marine Park Authority and the Queensland Government to deliver the Reef 2050 plan in partnership with science, community and industry stakeholders. The $210million Reef Trust, a key mechanism to deliver the Reef2050plan, is funding projects to improve or maintain water quality, the health and resilience of coastal ecosystems, species protection and the condition of matters of national environmental significance through the strategic delivery of offsets. In March 2016, theAustralian Government announced it would invest $1billion in the Clean Energy Finance Corporation’s Reef Fund to complement existing Australian and Queensland government commitment to $2billion over the decade.
The overarching National Landcare Program funds a national network of natural resource management organisations, the 20Million Trees program, management of World Heritage places and the Indigenous Protected Areas program. It is complemented by the Green Army program and remaining Biodiversity Fund spending. Funds committed under the 20 Million Trees program since it started—$42.8million across 164 projects—are supporting the planting of more than 13.4million trees.
The Threatened Species Strategy, released in July 2015, sets ambitious targets for protecting threatened species and outlines how the Australian Government will prioritise work in partnership with the community, the private sector and state and territory governments over the next five years to protect and restore threatened animals and plants. In 2015–16, we implemented all year-one actions under the strategy. This included reaching agreement with the states and territories to adopt a nationally consistent approach to assessing and listing threatened species and ecological communities based on the International Union for Conservation of Nature Red List of Threatened Species. This will simplify and streamline assessment across jurisdictions.
Streamlining assessment and approval arrangements while achieving strong environmental outcomes under the Environment Protection and Biodiversity Conservation Act 1999 remained a priority for the Department in 2015–16. Implementing these arrangements will ensure swifter decisions and more certainty for Australian communities and businesses while maintaining or improving statutory environmental standards. The Outcomes-based condition policy and guidance sets out an approach to setting approval conditions that specify the environmental outcomes that must be achieved by an approval holder without prescribing how the outcomes should be achieved. Outcomes-based conditions give approval holders the flexibility to be innovative and to achieve the required environmental outcomes in the most effective and efficient manner.
The Department finalised its EPBC Act Condition-setting policy, which seeks to reduce regulatory duplication by ensuring that the Commonwealth does not apply unnecessary approval conditions if a state or territory condition meets the same objective.
Australia has many iconic heritage sites of natural, cultural and Indigenous significance that are protected under the EPBC Act. The Australian Heritage Strategy, launched in December 2015, supports the long-term protection of Australia’s heritage places by establishing a 10-year framework to deliver actions against three high-level outcomes: national leadership, strong partnerships and engaged communities.
Climate change
Australia’s unique environment, our economy and society will be affected by climate change. At the United Nations Framework Convention on Climate Change Conference of the Parties in December2015, Australia played an important role in the negotiation and signing of a new global agreement for climate action post 2020. At the meeting, Australia committed to reduce its emissions by 26–28per cent below 2005 levels by 2030. Emissions projections indicate that Australia is expected to surpass its 2020 cumulative abatement task by 78million carbon dioxide equivalent tonnes.
The Emissions Reduction Fund provides incentives for emissions reduction activities across the Australian economy through crediting, purchasing and safeguarding reductions. As at 30June2016, the fund had contracted 143million tonnes of emissions reductions over three auctions at an average price of $12.10a tonne. The safeguard mechanism, introduced on 1July2016, will ensure that emissions reductions that the Government has purchased are not displaced by significant increases in emissions above business-as-usual levels elsewhere in theeconomy.
In September 2015, the former Minister for the Environment, the Hon Greg Hunt MP, announced the creation of the Office of Climate Change and Renewables Innovation within the Department.The Office brings together the Clean Energy Regulator, the Clean Energy Finance Corporation, the Australian Renewable Energy Agency (ARENA), the Climate Change Authority and climate change and renewable energy policy functions within the Portfolio. It was established to better integrate the Government’s policies and programs for reducing emissions and promoting renewable energy, with a new focus on promoting technology and innovation. In 2015–16, the Office engaged actively with the Industry, Science and Innovation portfolio on the National Energy Productivity Plan and on energy market matters.
In March 2016, the Government announced that the Clean Energy Finance Corporation would establish three new funds, drawing on its existing legislated funding. These funds include the Reef Fund and:
· a $1billion Clean Energy Innovation Fund to support emerging clean energy technologies make the leap from demonstration to commercial deployment. This fund is being jointly managed with ARENA.
· a $1billion Sustainable Cities Investment Fund for clean energy projects that support the Government’s Smart Cities Plan, by improving the productivity, liveability and accessibility ofcities.
The National Climate Resilience and Adaptation Strategy to strengthen Australia’s climate change preparedness was released in December 2015. It identifies a set of principles to guide effective adaptation practices and resilience building, and outlines the Government’s vision for thefuture.
Antarctica
Part of Australia’s global interests in the environment include Antarctica where we continue to have a strong and effective presence. The Australian Antarctic Strategy and 20 Year Action Plan, released in April 2016, sets out a pathway to promote Australia’s continued leadership in Antarctic affairs. The strategy strengthens Australia’s Antarctic presence and science through the acquisition of a new icebreaker, restoration of our inland traverse capability, preliminary work to develop year-round aviation access and revitalising Antarctic science infrastructure. Implementation of the strategy is supported by a $2.2billion package of investment across the Australian Antarctic program.
In April 2016, the Department signed a contract with Australian company DMS Maritime Pty Ltd for the design, building and long-term operation and maintenance of a new research and resupply icebreaking ship. The state-of-the-art icebreaker will be uniquely tailored to meet Australia’s needs and offers increased endurance and icebreaking capability. It provides a modern platform for marine science research in both sea ice and open water, withthe capability to land and retrieve remotely operated underwater vehicles. It will support Antarctic operations and science and ensure Australia is the scientific partner of choice in EastAntarctica.
River and freshwater ecosystems
The Department continues to play a critical role in the effective delivery of the Murray‑Darling Basin Plan. In 2015–16, the Commonwealth Environmental Water Holder made the most of the Commonwealth’s holdings through a combination of water delivery, carryover and a small trade of allocations to maximise environmental outcomes. This was particularly prudent because it allowed environmental needs to continue to be met despite limited water availability due to dry conditions. The Commonwealth Environmental Water Holder delivered watering actions in partnership with Basin states, river operators, the Murray–Darling Basin Authority, scientists, local environmental water advisory groups and committees and Basin communities. These actions were informed by comprehensive multi-year plans.
In February 2016, the first scientific reports of the five-year $30million Long-term Intervention Monitoring project were released. The reports indicate that, by restoring natural variability in flows, environmental water is reconnecting rivers with their wetlands and floodplains and providing food, habitat and breeding opportunities for native fish, waterbirds and vegetation. It is reducing the risk of damage to the environment caused by poor water quality and salinity—consistent with the Commonwealth Environmental Water Holder’s role under the Water Act 2007, the Murray–Darling Basin Plan and the Basin-wide environmental wateringstrategy.
Environmental science and research
Science underpins much of the work we do. The National Environmental Science Program is the centerpiece of the science that the Department undertakes and commissions. This six-year $145million program helps decision-makers understand, manage and conserve Australia’s environment by funding world-class biodiversity and climate science. In 2015–16, the former Minister approved 129 projects across the program’s six research hubs. They cover issues such as marine biodiversity, threatened species, earth systems and climate change.