Chairman’s Report 2020

14^th December 2020

 

Re: Chairman Report for AGM December 2020

 

It has certainly been a different year and although the world has changed, it has pretty well been business as usually for BCE with not a lot of impact from Covid-19. We have continued to move the Urannah dam project forward and started work on improvement projects with the Bowen Harbour.

I would like to take this opportunity to thank all BCE members for your input and a special thanks to Mardi, who after obtaining a full-time job with the WRC, has handed over the secretary role to Stephen Darwen. I would also like to thank our outgoing Vice Chairman, Paul Crack for the exceptional effort you have put into BCE and assistance with the Bowen Harbour report and lobing with State Government organisations on behalf of BCE. Also, a big thank you to NQBP for assisting with funding for the Bowen harbour report.

I would also like to thank the Whitsunday Regional Council for their ongoing support and assisting with funding to cover our expenses for the year.

 

On a local front BCE have been working on the following projects.

 

Urannah Water Scheme

 

The Urannah Water Scheme has continued to move forward and the current project work is still planned to be completed by June 2021. The current plan is to have shovels in the ground in 2022.

 

Below is summary of the outcomes as a result of detailed work which has been completed on demand, design and financial modelling during the past 12 months.

 

Project Element	Description	Key Outcomes from the analysis in this Detailed Business Case
Urannah Dam
Dam Size	·970,000 megalitre (ML) or 970 gigalitres (GL)	·The project has reduced the size of the dam capacity from 1500 GL to 970GL
		·The Dam does not yield more water by increasing the size of the dam
Dam Annual Yield	· 103,000 ML per annum High Priority	·The project can provide 103,000 ML of water each year at greater than 95% reliability
Dam Wall Height	· 75 metres	·The dam design was assessed through a multicriteria assessment and detailed design process
	· Dam Base at 220m AHD
	· Dam Crest at 285m AHD
Dam Type	· Roller Compacted Concrete	·The dam site has determined appropriate materials and aggregate to support a dam design of this type
Inundation	·5926 hectares	·Only 2 properties with agreements in place
Dam Cost	·$1.047 Billion	·BCR of 0.95 and NPV of Net project value (P90) Nominal Value of  $2,183.85 million
Service Demand	·Bowen Basin Industrial / Mines	·Existing Demand         19,637 ML per annum
		·Future Demand (2030)      20,000 ML per annum
	·Collinsville Irrigated Agriculture	·Future Demand (2027) 82,279 ML per annum HP
	·Peter Faust Dam	·The project has not been able to determine short term demand for the Proserpine region.
	·Bowen & Abbott Point	·The project has not been able to determine sufficient short-term demand for the Bowen region or Abbott Point that would justify the infrastructure required to supply water through Peter Faust Dam.
Moranbah Pipeline
Pipeline Capacity	·20,000 megalitres per annum	·7 key customers with EOIs and Letters of Intent
Capex	·$671 Million	·Route 2 to Moranbah
Collinsville Irrigation Scheme
Properties	·3 Key Properties	·7,278 hectares of development within 9,644 hectares defined irrigated irrigation area of suitable soils
	·3 Additional Properties	·Another approximately 10,000 hectares of suitable land not subject to this assessment
Water Demand	·82,279 ML	·82,279 megalitres of High Priority per annum
		·3,527 megalitres of Medium Priority per annum

 

Bowen Harbour

 

BCE has taken an active role in working with all stakeholders on developing strategies to improve the Bowen Boat Harbour. This year, with the help of NQBP, we undertook a white paper to review the current status of the harbour and to develop a roadmap on how to move forward with long term expansion plans for the harbour.

This report identified that the Bowen Boat Harbour is well positioned for expansion, and there is an opportunity to develop this into a multipurpose harbour to house a range of vessels such as tugs, superyachts and small navy vessels. There are a number of synergies which can achieved by moving forward with a catalytic project such as relocating the Tugs into the Bowen Harbour. This project would seed fund future expansions and also allow capital dredging, Master plan design, rockwall construction etc to be completed. A master plan would provide the framework for agreements and progression of the development of the harbour in a staged approach. In saying this, the growth opportunities rely on the ability to undertake capital dredging, which will require engaging with the relevant authorities. The opportunity to develop supporting infrastructure for towage operations in the Bowen Boat Harbour appears to be an attractive option and would prove the single biggest, industry funded, project the Bowen Boat Harbour would see in generations.

It is my belief, we will need $4M dollars to do the work to complete a full design, and detailed business case to move this concept forward. I also believe the best chance of this happening, is to continue to work with the WRC and NQBP and lobby state and federal members for funding for this project.

 

The report also highlighted short to medium term issues as per below

 

• Complete works around Henry Darwen Park. Green and clean and walkways with play equipment. Lease with WRC. Plan developed. Funding in Budget. On Track to be completed in 2021.
• Connect Harbour with the community via footpaths and landscaping. Budget costing $574K. How do we get approval, and funding? TMR to Project Manage?
• Reduce wave action in Harbour by widening channel by removing 6500m3 of Dredge material. Budget costing $120K. How do we move forward?  Report to prove it works will cost around $15K. (Baird Eng)
• Complete Repair / Replace strategy for Pile Moorings. TMR To update.
• Lease agreement updates. Still an issue for some stakeholders. What guidelines do TMR have in place for resolution. Understand each agreement is in confidence with stakeholder.

 

BCE set up a small working group consisting of Steve Darwen, Terry Pilcher, Terry Must, Chloe Bauer, Ry Collins and Myself and we have started discussion with key TMR and MSQ staff on how we move forward with these projects. At this stage we have build relationships and shared ideas and reports. This subcommittee will be meeting again with TMR and MSQ in the new year.

 

BCE Breakfast

 

BCE also held a very successful breakfast this year. It was deferred due to COVID-19 from the April to September and numbers were restricted to 50 people. We had 4 presentations from Adani Carmichael & Rail Project, Urannah Water Scheme Bowen Marina Update and Bowen Rail Project.

Based on positive feedback from attendees, we will keep a similar format and hold these breakfasts at twice per year. We will also limit numbers to 80 people.

Our next Breakfast is due to be held on 19^th February and we will start organising this even in the new year.

 

Thanks again to all our members and I wish you and your family a Merry Christmas and Happy new year

 

 

Regards

 

 

Paul McLaughlin

Chairperson

Bowen Collinsville Enterprise