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Page 1: Regional Plan – Whyalla and Eyre Peninsula … · This document is the intellectual property and copyright 2012 of the RDA Whyalla and Eyre Peninsula Inc. No part of this document
Page 2: Regional Plan – Whyalla and Eyre Peninsula … · This document is the intellectual property and copyright 2012 of the RDA Whyalla and Eyre Peninsula Inc. No part of this document

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REGIONAL DEVELOPMENT AUSTRALIA Whyal la and Eyre Peninsula

A u g u s t 2 0 1 2 Cover photography courtesy of John White from Port Lincoln and Robert Woodland from Whyalla. Disclaimer: Neither RDA Whyalla and Eyre Peninsula or any of its staff will have any liability in any way arising from information or advice that is contained in this document. This document is intended as a guide only. This document is the intellectual property and copyright 2012 of the RDA Whyalla and Eyre Peninsula Inc. No part of this document may be modified, or material used without seeking permission from the RDA Whyalla and Eyre Peninsula Inc.

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CONTENTS PREFACE ................................................................................................................................ 9 EXECUTIVE SUMMARY ....................................................................................................... 10 1. Introduction: Overview of the Region ............................................................................. 13

1.1 Location and Environment ................................................................................................................... 13 Natural Resources Management ................................................................................................. 15

1.2 Cultural Heritage .................................................................................................................................. 15 Indigenous Heritage .................................................................................................................... 15 Non-Indigenous Heritage ............................................................................................................. 18

1.3 Local Government, Townships and Population .................................................................................... 19 Town Centres .............................................................................................................................. 21 Population Growth ....................................................................................................................... 22 Population Characteristics ........................................................................................................... 24

1.4 Industries and Services Overview ........................................................................................................ 27 PART ONE: ECONOMIC PROFILE AND ISSUES..................................................... 29 2. Manufacturing and Mining ............................................................................................... 30

2.1 Whyalla Industrial Development .......................................................................................................... 30 Overview of Whyalla and the Surrounding Region ...................................................................... 30 Economic Development ............................................................................................................... 31 Competitive Advantages .............................................................................................................. 32 Key Challenges ........................................................................................................................... 32

2.2 Current and Future Economic Issues ................................................................................................... 33 Local Impact of Carbon Tax Legislation ...................................................................................... 33 Perceptions of Whyalla ................................................................................................................ 34 Greening Whyalla ........................................................................................................................ 35 Housing Development Opportunities ........................................................................................... 36

2.3 Commercial Investment – Project in Progress ..................................................................................... 36 OneSteel – Arrium Limited .......................................................................................................... 36 Arafura Resources Limited – Whyalla Rare Earths Complex ...................................................... 37 ElectraNet Pty Ltd – Substation Replacement and Augmentation ............................................... 38 Whyalla Hospital Refurbishment.................................................................................................. 38 Whyalla Industrial Estate ............................................................................................................. 38 Martin Woods Developments - Whyalla Ocean Eyre Estate ........................................................ 39

2.4 Projects in Planning and Approval Phase ............................................................................................ 39 BHP Billiton – Olympic Dam Expansion ...................................................................................... 39 BHP Billiton – Desalination Plant ................................................................................................. 40 Port Bonython Fuels – Fuel Terminal .......................................................................................... 40 Whyalla Bulk Commodities Export Facility................................................................................... 41 Upper Spencer Gulf Regional Synergies Project ........................................................................ 42 Whyalla Solar Oasis .................................................................................................................... 42 Archean – Urea Manufacturing Plant ........................................................................................... 43 Deepak – Ammonium Nitrate Manufacturing Plant ...................................................................... 43

2.5 Mining Resources and Development ................................................................................................... 45 2.6 Major Mining Projects .......................................................................................................................... 45

Minotaur Exploration Limited - Poochera ..................................................................................... 45 Centrex Metals Limited – Southern Eyre Peninsula .................................................................... 46 IronClad – Wilcherry Hill .............................................................................................................. 47 Iron Road - Warramboo ............................................................................................................... 48 Lincoln Minerals – Gum Flat ........................................................................................................ 48 Lincoln Minerals - Koppio ............................................................................................................ 48 Strategic Energy Resources and MEGA Graphite - Uley ............................................................ 49 Uranium SA – Samphire Uranium Project ................................................................................... 49

2.7 Summary – Manufacturing and Mining Projects .................................................................................. 50

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3. Agriculture. ....................................................................................................................... 52 3.1 Overview .............................................................................................................................................. 52 3.2 Agriculture Target Team ...................................................................................................................... 52 3.3 Transport, Storage and Handling Infrastructure ................................................................................... 53

Supply Chain Costs ..................................................................................................................... 53 Port Lincoln and the Port of Thevenard ....................................................................................... 55 Port Spencer – Sheep Hill ........................................................................................................... 57 Lucky Bay Common User Export Facility ................................................................................... 58 Road Network .............................................................................................................................. 58 Rail Network ................................................................................................................................ 58

3.4 Sustainable Agribusiness Initiatives ..................................................................................................... 58 Vehicle Registrations ................................................................................................................... 58 Chemical and Fertiliser Costs ...................................................................................................... 58 Mice Baiting ................................................................................................................................. 59 Commodity Prices ....................................................................................................................... 59

3.5 Industry Skills and Workforce Development ........................................................................................ 60 3.6 Natural Resource Management ........................................................................................................... 60

Climate Variability ........................................................................................................................ 60 Clean Energy Future ................................................................................................................... 61 Food Security .............................................................................................................................. 62 Land Use ..................................................................................................................................... 63 Corporate Ownership .................................................................................................................. 63

3.7 Summary – Agricultural Projects .......................................................................................................... 64

4. Fishing, Aquaculture and Food Product ........................................................................ 66 4.1 Overview .............................................................................................................................................. 66 4.2 Fishing and Aquaculture Target Team ................................................................................................. 67 4.3 Transport, Unloading and Handling Infrastructure ............................................................................... 67

Transport ..................................................................................................................................... 67 Unloading Facilities ..................................................................................................................... 68 Fuel Access ................................................................................................................................. 68

4.4 Marine Parks ........................................................................................................................................ 68 4.5 Sustainable Fishing and Aquaculture Initiatives ................................................................................... 70

Quota Management ..................................................................................................................... 71 Value Added Seafood Products................................................................................................... 73

4.6 Regional Food Brand ........................................................................................................................... 73 Membership Structure ................................................................................................................. 74 Marketing and Event Program ..................................................................................................... 74

4.7 Industry Skills and Workforce Development ........................................................................................ 75 Eyre Peninsula Sea Safety and Fire Fighting Training Centre .................................................... 76

4.8 Summary – Fishing Aquaculture and Food Products ........................................................................... 76

5. Tourism ............................................................................................................................. 79 5.1 Overview .............................................................................................................................................. 79 5.2 Tourism Statistics................................................................................................................................. 79 5.3 Eyre Peninsula Regional Performance ............................................................................................... 81 5.4 South Australian Performance ............................................................................................................ 81 5.5 Eyre Region’s Share of the State Tourism Market ............................................................................... 82 5.6 The Current Situation in the Region ..................................................................................................... 83 5.7 Tourism Target Team .......................................................................................................................... 84

Target Team Objectives .............................................................................................................. 84 Target Team Membership ........................................................................................................... 84

5.8 Regional Tourism Branding ................................................................................................................. 85 Background ................................................................................................................................. 85 Membership Structure ................................................................................................................. 86 Marketing and Event Program ..................................................................................................... 86

5.9 Tourism Infrastructure .......................................................................................................................... 87 5.9 Summary - Tourism Projects ............................................................................................................... 89

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6. Small Business Sector .................................................................................................... 90 6.1 Overview .............................................................................................................................................. 90 6.2 Whyalla Retail Sector ........................................................................................................................... 90 6.3 Port Lincoln Retail Sector .................................................................................................................... 91 6.4 Other Townships .................................................................................................................................. 92 6.5 Small Business Support Agencies ....................................................................................................... 92 6.6 Business Development Issues ............................................................................................................. 93 6.7 RDAWEP Business Development Advisory Services .......................................................................... 93 6.8 Business and Economic Development Target Teams ......................................................................... 94 6.9 Regional Business Workforce .............................................................................................................. 95 6.10 Major Project Readiness .................................................................................................................... 95 6.11 Indigenous Economic Development Strategy .................................................................................... 95

Background ................................................................................................................................. 95 6.12 Indigenous Economic Development Projects ..................................................................................... 96

Business Opportunities in the Mining Sector ............................................................................... 97 Fishing and Aquaculture Sector................................................................................................... 97 Commercial Mixed Farming Enterprises ...................................................................................... 98 Arts and Cultural Ventures .......................................................................................................... 98 Aboriginal Tourism ....................................................................................................................... 98

6.13 Summary - Business Development Projects ...................................................................................... 99 PART TWO: INFRASTRUCTURE PROFILE AND ISSUES ..................................... 102 7. Utility Infrastructure ....................................................................................................... 103

7.1 Water Supply ..................................................................................................................................... 103 7.2 Natural Gas Supply ............................................................................................................................ 105 7.3 Power Supply ..................................................................................................................................... 107

Power Transmission Infrastructure Upgrade Options ................................................................ 108 Other Power Supply Issues ....................................................................................................... 109

7.4 Renewable Energy............................................................................................................................. 110 Wind Farms ............................................................................................................................... 111 Green Grid Proposal .................................................................................................................. 111 Pacific Hydro Project ................................................................................................................. 113 Wave Energy Project ................................................................................................................. 114 Whyalla Solar Oasis Thermal Project ....................................................................................... 115

7.5 Nuclear Energy .................................................................................................................................. 115 7.6 Communications Infrastructure .......................................................................................................... 116

National Broadband Network ..................................................................................................... 116 Mobile Phone Coverage ............................................................................................................ 117

7.7 Summary – Utility Infrastructure Projects ........................................................................................... 118

8. Transport Infrastructure ................................................................................................ 120 8.1 Road Network .................................................................................................................................... 120

Highway Passing Lanes ............................................................................................................ 120 Road Infrastructure for Mining Enterprises ................................................................................ 121 Other Road Issues and Projects ................................................................................................ 122

8.2 Rail Network ...................................................................................................................................... 125 Rail Network Condition and Issues ............................................................................................ 126

8.3 Port Infrastructure ............................................................................................................................. 128 Port Accessibility in the Whyalla region ..................................................................................... 129 Port Lincoln and the Port of Thevenard ..................................................................................... 130 Port Spencer – Sheep Hill ......................................................................................................... 131 Lucky Bay Common User Export Facility .................................................................................. 132 Other Ports ................................................................................................................................ 133

8.4 Airports .............................................................................................................................................. 133 Whyalla Airport .......................................................................................................................... 135 Ceduna Airport .......................................................................................................................... 135 Wudinna Aerodrome .................................................................................................................. 136 Cleve Aerodrome ....................................................................................................................... 136

8.5 Summary – Transport Infrastructure Projects .................................................................................... 137

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9. Social and Community Infrastructure ........................................................................... 139 9.1 Social and Community Infrastructure ................................................................................................. 139 9.2 Sporting and Recreational Facilities................................................................................................... 140

Sport and Recreation in Regional Communities ........................................................................ 140 Regional Sports Facilities .......................................................................................................... 141 Streaky Bay Oval Precinct ......................................................................................................... 143 Cummins Recreation Centre ..................................................................................................... 144 Mallee Park Football Club, Port Lincoln ..................................................................................... 145 Centenary Oval, Port Lincoln ..................................................................................................... 145

9.3 Community and Cultural Facilities...................................................................................................... 145 Port Lincoln Civic Hall Redevelopment ...................................................................................... 147 Middleback Theatre Upgrade at Whyalla ................................................................................... 148 D’Faces of Youth Arts ................................................................................................................ 149 Elliston Coastal Trail .................................................................................................................. 149 Cuttlefish Interpretive Centre ..................................................................................................... 151 Whyalla Visitor Information Centre and Maritime Museum ........................................................ 153 Community and Visitor Infrastructure at Point Lowly ................................................................. 153 Eyre Peninsula Fishing Interpretive Centre ............................................................................... 155 Whyalla Foreshore and Town Centre Master Plan .................................................................... 156 Gawler Ranges National Park ................................................................................................... 156 Parnkalla Trail ............................................................................................................................ 156

9.4 Social and Community Development Initiatives ................................................................................. 157 Regional Cultural Audit .............................................................................................................. 157 Eyre Peninsula Community Foundation .................................................................................... 157

9.5 Summary – Social and Community Infrastructure Projects ................................................................ 160 10. Housing and Health Infrastructure and Services ....................................................... 161

10.1 Regional Housing Overview ............................................................................................................. 161 10.2 Median Rent and Mortgage Costs ................................................................................................... 164 10.3 Future Housing Challenges ............................................................................................................. 165

Ageing Population ..................................................................................................................... 165 The Impact of Mining ................................................................................................................. 166 Housing Needs of Low Income and Disadvantaged People ...................................................... 166

10.4 Health Infrastructure and Services ................................................................................................... 167 Role of RDAWEP ...................................................................................................................... 167 Department of Health and Ageing ............................................................................................. 167 National Strategic Framework for Rural and Remote Health ..................................................... 168

10.5 Regional Health Services, Planning and Infrastructure .................................................................... 170 10.6 Key Regional Health Issues and Priorities ....................................................................................... 172 10.7 The Impact of Mining on Health Infrastructure and Services ........................................................... 175 10.8 Summary – Housing and Health Infrastructure Projects .................................................................. 176

11. Infrastructure Demand ................................................................................................. 177

11.1 RESIC Infrastructure Demand Study ............................................................................................... 177 11.2 Integrated Regional Infrastructure Master Plan ............................................................................... 179

Upper Spencer Gulf Summit ...................................................................................................... 180 11.3 Workforce Demand and Planning .................................................................................................... 181

Eyre Peninsula Resources Sector Workforce Study .................................................................. 182 Key Workforce Issues ................................................................................................................ 183

11.4 The Impact of Mining on Housing and Infrastructure ....................................................................... 184 11.5 Preferred Strategy for Regional Workforce Development ................................................................ 186 11.6 Summary – Infrastructure Demand Projects .................................................................................... 187

PART THREE: EDUCATION, TRAINING AND EMPLOYMENT .............................. 188 12. Education, Training and Employment Programs ....................................................... 189

12.1 Overview .......................................................................................................................................... 189 12.2 Early Childhood Education ............................................................................................................... 189

Facilities and Enrolments .......................................................................................................... 189 Australian Early Development Index .......................................................................................... 190

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12. Education, Training and Employment Programs (Cont’d) ........................................ 190 12.3 School Education ............................................................................................................................. 190

Facilities and Enrolments .......................................................................................................... 190 Specialised School Centres ....................................................................................................... 191 DECD Priorities and Programs .................................................................................................. 192 Attendance ................................................................................................................................ 195 Attainment ................................................................................................................................. 195 Issues ........................................................................................................................................ 195

12.4 Tertiary Education ............................................................................................................................ 196 Facilities .................................................................................................................................... 196 Attainment ................................................................................................................................. 198

12.5 Partnerships ..................................................................................................................................... 199 12.6 Department of Further Education, Employment, Science and Technology ...................................... 200

Overview ................................................................................................................................... 200 Skills for All ................................................................................................................................ 200 Skills in the Workplace .............................................................................................................. 201 Adult Community Education ...................................................................................................... 201 South Australia Works ............................................................................................................... 201 Aboriginal Workforce Participation Program .............................................................................. 202 Building Family Opportunity ....................................................................................................... 202 Industry and Indigenous Skill Centre Program .......................................................................... 202

12.7 Regional Education, Skills and Jobs Program ................................................................................. 203 12.8 Priority Employment Areas Program ................................................................................................ 203

Whyalla Pre-Employment Training ............................................................................................ 204 Connecting Families .................................................................................................................. 204 Youth Exploring Potential Project .............................................................................................. 205 SACOME Study Expansion ....................................................................................................... 205

12.9 Employment and Skills Development............................................................................................... 205 Job Services Australia ............................................................................................................... 205 Disability Employment Services................................................................................................. 206 Indigenous Employment Program ............................................................................................. 206

12.10 Cross Agency Activities ................................................................................................................. 207 Focusing on the Most Disadvantaged ....................................................................................... 207

12.11 Employment Demand .................................................................................................................... 209 12.12 RDAWEP Approach to Address Issues ......................................................................................... 210 12.13 RDAWEP Programs for 2012-2013 ............................................................................................... 210 12.14 Summary – Education, Training and Employment Projects ........................................................... 213

13. Economic Development and Job Creation Strategy .................................................. 215 13.1 Economic Development Strategy ..................................................................................................... 215 13.2 Job Creation Strategy ...................................................................................................................... 215

Workforce Demand .................................................................................................................... 216 PART FOUR: STRATEGIC FRAMEWORK AND PLANNING CONTEXT ............... 217 14. Strategic Framework. ................................................................................................... 218

14.1 Purpose and Timeframe of the Regional Plan ................................................................................. 218 14.2 RDAWEP Vision, Mission and Goals - Review ................................................................................ 218 14.3 Regional SWOT Analysis ................................................................................................................. 219 14.4 RDAWEP Projects and Priorities ..................................................................................................... 221

Manufacturing Priority Projects .................................................................................................. 223 Mining Priority Projects ............................................................................................................. 224 Agriculture Priority Projects ....................................................................................................... 224 Fishing, Aquaculture and Food Priority Projects ........................................................................ 225 Tourism Priority Projects ........................................................................................................... 226 Business Development Priority projects .................................................................................... 226 Utility Infrastructure Priority Projects .......................................................................................... 228 Transport Infrastructure Priority Projects ................................................................................... 229 Housing and Health Priority Projects ......................................................................................... 229 Social and Community Infrastructure Priority Projects ............................................................... 230 Infrastructure Demand Priority Projects ..................................................................................... 230

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14. Strategic Framework.(Cont’d) ..................................................................................... 231 Education, Training and Employment Priority Projects .............................................................. 231

14.5 Other High Priority Projects ............................................................................................................. 232 14.6 Priority Project Implementation ........................................................................................................ 232 14.7 The Identification of New Projects.................................................................................................... 233

15. Developing the Regional Plan. .................................................................................... 234 15.1 Annual Review ................................................................................................................................. 234 15.2 RDAWEP Stakeholder Consultative Structures ............................................................................... 234

RDAWEP Target Teams ........................................................................................................... 234 Regional Consultation Network ................................................................................................. 235

15.3 Stakeholders Consulted for the Regional Plan ................................................................................ 238 15.4 Feedback from Stakeholder Consultation ........................................................................................ 239 15.5 General Community Consultation .................................................................................................... 239 15.6 RDAWEP Board Endorsement of Regional Plan ............................................................................. 239

16. Plan Alignment ............................................................................................................. 240 16.1 RDAWEP Alignment with Other Regional Plans .............................................................................. 240 16.2 Alignment with Local Government Plans ......................................................................................... 241 16.3 Plan Alignment Summary ................................................................................................................ 245

Apples Aint Apples .................................................................................................................... 244 APPENDICES...................................................................................................................... 247

Appendix 1: Mining Economic Reliance on China. .................................................................................. 247 Appendix 2: The Cost of Electricity .......................................................................................................... 248 Appendix 3: RDAWEP Target Team Membership ................................................................................... 251 Appendix 4: Summary - Feedback from Stakeholder Consultation .......................................................... 254

REFERENCES .................................................................................................................... 257

Hard Copy Sources ................................................................................................................................. 257 Electronic Sources ................................................................................................................................... 261 Other Sources .......................................................................................................................................... 262

AUTHORSHIP CONTRIBUTORS ........................................................................................ 263

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PREFACE This Regional Plan provides an overview of the social, economic, environmental and cultural attributes of the Whyalla and Eyre Peninsula region. The document also presents the Regional Development Australia – Whyalla and Eyre Peninsula (RDAWEP) planning framework for the long term strategic development of the region. This is the third Regional Plan prepared in as many years, although this version differs markedly from the previous documents. Whereas previous documents were predominantly the product of a single author (with input and editorial advice from several RDAWEP staff) the August 2012 version is the result of a whole-of-organisation approach with all Project and Development Managers responsible for writing their sections of the report. This approach was adopted to enhance RDAWEP staff ownership of the planning outcomes and ensure that the best, most up-to-date and expert knowledge about the region was encapsulated in the document. Readers may detect stylistic variation from chapter to chapter. This is an understandable consequence of a document prepared by many authors. The decision was made to recognise the stylistic differences of RDAWEP staff and keep this characteristic intact. A list of the respective contributors is included on the last page of this document.

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EXECUTIVE SUMMARY ATTRIBUTES AND OPPORTUNITIES The vast and unspoilt Whyalla and Eyre Peninsula region occupies the western area of South Australia between Spencer Gulf and the Western Australian border. The region has many notable attributes including magnificent natural resources, vast stretches of untouched coastline, and sparsely populated coastal and inland communities with a quality lifestyle second to none. The region has a pristine environment with over 2 million hectares of native vegetation and over 2,000 kilometres of clean, unpolluted coastal waters. The wealth of space is highly cherished by the region’s residents. One does not need to walk or drive far to lay claim to your own beach, your own hill, your own landscape – and no one will intrude and spoil this for you. They will simply go and get their own. There are plenty of spots to share. The air is clear. The water is clean. And the food product is premium. The region’s agriculture, fishing and aquaculture industries have a distinctive marketing edge from their capacity to harvest clean and green products from the land and sea. This is the driving force behind branding the region as Eyre Peninsula - Australia’s Seafood Frontier. The hospitality sector of the tourism industry has embraced this opportunity – and the local customers and visitors love it! Eyre Peninsula’s fishing industry is a recognised leader in applying the world’s best fishing practices and standards. The ecological sustainability of the tuna, prawn, rock lobster and abalone fisheries is actively championed by all sectors of the industry and is a key factor in ensuring long term business success. In recent years fishing industry expertise has been transferred to the growing aquaculture industry, which is giving the region an international reputation as a producer of high quality and diversified seafood product. Agriculture is the second largest industry in the region, making up 42% of South Australia’s total agriculture production. During the 2011 harvest the region produced 41% of South Australia’s wheat crop, 25% of the barley crop and 32% of the canola crop. The State produced 7.94 million tonnes of grain which is the third largest crop on record. The total value of the region’s agricultural industry exceeds $500 million per annum. The combination of a pristine natural environment, clean and green quality food product and a diverse wealth of visitor experiences have helped to make tourism one of the region’s key and growing industries. Tourism presently contributes over $260 million per annum to the regional economy and employs over 2,000 people. There is substantial opportunity for further growth with the region being marketed as a premier conference destination. The region’s uniqueness is marked by its incredible diversity. Clean and green is a great attribute but manufacturing is the largest industry in the region. Whyalla is the largest industrial city in regional South Australia and has become the hub and principal centre for manufacturing, steel production and resource processing in the Upper Spencer Gulf and Eyre Peninsula regions. In recent years steel making at Whyalla has increased significantly from 460 thousand tonnes to over 1 million tonnes per annum, and manufacturing contributes over $340 million per annum to South Australia’s gross regional product. Whyalla is strategically located with transport, engineering, business, retail and education sectors directly servicing the growing demands of the mining and mineral resources processing sector.

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Mining is the fastest growing emerging industry in the region due to the potential of mineral provinces in the Gawler Craton and the Eucla Basin. There has been significant discovery of new mineral resources in these areas and the RDAWEP region is now widely recognised as one of the most exciting new frontiers for mineral wealth in Australia. Exploration in the Gawler Craton and Eucla Basin is at a record level with emerging mining developments in resources that include heavy mineral sands, iron ore, copper, gold, uranium, zinc, nickel, diamonds, petroleum, kaolin, graphite and coal. The future economy of the region has an opportunity to flourish with the advent of numerous mining projects. The emergence of the resources sector will be a key catalyst for other major industrial projects at Whyalla which have an estimated value of many billions of dollars and will generate significant employment. Collectively these projects will bring tangible long term benefits by strengthening other aligned industries and driving sustainable economic growth well into the future. The mining industry is already having a noticeable impact on the region’s workforce creating a range of employment opportunities for local people. Workforce demand is expected to escalate and it is estimated that emerging projects in the mineral resources sector will create over 6,700 new jobs within the next ten years. The RDAWEP region abounds with opportunity. The region has been identified as one of the best locations internationally for wind, solar and wave renewable energy development. A Green Grid renewable energy proposal has the potential to supply an estimated 2,000-3,000MW of energy and provide 30% of the Australian Government’s national renewable energy target by 2020. The Green Grid proposal will also provide the infrastructure links for other renewable energy generation, energy storage and water desalination projects which will collectively enhance the region’s competitiveness and sustainability. RDAWEP is recognised as one of South Australia’s most resourceful, innovative and economically vibrant regions. Innovation is a key driver stimulating new businesses and new jobs, as well as revitalising established industries. Building business and industry capability to address the challenges of climate change, environmental sustainability, global competition and fluctuating market prices is critical to ensuring long term economic prosperity. World class industry based research is already conducted in the region with innovative programs and demonstration projects being undertaken at the Minnipa Agriculture Centre and Lincoln Marine Science Centre. These facilities have a vital role in strengthening the region’s future capacity to initiate new product development. It is essential that Government and peak industry bodies collaborate to commit long-term investment into these and other educational facilities to enable research programs to continue and be extended. ISSUES AND CHALLENGES Opportunities can at times be constrained by the region’s large geographic size, low population base and remoteness from Adelaide. Efficient and productive infrastructure is essential to the region’s functioning, growth and economic competitiveness but the region has generally been challenged when it comes to the provision and maintenance of strategic infrastructure. The large geographical area combined with low populations make it cost prohibitive for local government to provide and maintain major infrastructure. Infrastructure across the region is consequently of varying age and condition and there are issues and deficiencies concerning suitability, accessibility, maintenance, supply and demand. Various operational, upgrade and economy of scale issues need to be addressed with:

Transport infrastructure - ports, airports, roads and the rail network,

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Water supply – both quantity and quality, Communications – broadband and mobile phone, especially access and capacity, Electricity transmission – particularly line capacity limitations, and Community and social infrastructure – especially where the lack of infrastructure diminishes

liveability and impedes potential community growth. Water is arguably the most critical issue that impacts the prosperity and growth of the region. Eyre Peninsula has limited natural water resources and the region is reliant on supplementary supply from the River Murray. This is arguably not sustainable in the longer term, given the issues concerning the River Murray. With forecast population growth and increasing water needs from industry the regional demand for potable water is expected to exceed supply by about 2023-2024. The provision of a new water supply through either desalination or some other means is consequently critical to the region’s long term future. Political and legislative decisions are also having an impact. The South Australian Government proposal to establish 9 Marine Parks along the western and eastern coasts of Eyre Peninsula inclusive of sanctuary zones presents a major challenge to the region’s seafood industries and coastal communities that depend on marine resources for their income. The seafood industry is consequently seeking assurances that the marine parks will not negatively impact existing commercial fishing grounds. The region has a statistically low unemployment rate but there is increasing demand for a skilled workforce across all industry sectors. The growing aquaculture, food processing, tourism, mining and renewable energy industries are providing new employment opportunities and diversifying the region’s skills capability. However the attraction and retention of a suitably skilled and experienced workforce is one of the greatest challenges for the region – if not for Australia as a whole. The region nevertheless has pockets of disadvantaged and long term unemployed people – notably at Whyalla and among the Aboriginal population where poor education and inter-generational unemployment have created barriers to workforce participation. One of the key job creation challenges is to determine strategies to effectively re-engage this disadvantaged sector in the future economic development of the region. VISION FOR THE REGION The region is well positioned to facilitate and support a broad range of significant developments. The economy is diverse with world-leading companies in agriculture, manufacturing, aquaculture, fishing, renewable energy, mining and tourism. Increasing the region’s capacity to create new knowledge and find new ways of doing business is pivotal to building a sustainable economy. Encouraging the development of innovative technology, cutting edge research, value added products and more efficient processing and supply systems are key strategies that will strengthen the regional economy well into the 21st century. The RDAWEP Board vision is for an innovative and internationally competitive economy that will be ecologically sustainable and make the region a great place to live. The process for manifesting this vision requires finding the correct balance between economic and industrial development on the one hand and environmental sustainability and community development on the other. There is simply no point in creating new jobs and encouraging economic growth if the assets, attributes and liveability of the region are sacrificed in the process. This Regional Plan sets the strategic path to find that balance. The Board has identified priority projects that need to be undertaken in order to achieve the vision for the region. Some of these projects are achievable within the life of this Regional Plan – i.e. within 12 months. Others will take a much longer timeframe because they rely on the resource and priorities of other stakeholders. At times the Board may need to make difficult decisions to find the optimum solution between meritorious but competing priorities.

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1. INTRODUCTION: OVERVIEW OF THE REGION 1.1 LOCATION AND ENVIRONMENT The Regional Development Australia, Whyalla and Eyre Peninsula (RDAWEP) region comprises approximately 230,000 square kilometres of land in the west and far west of South Australia (i.e. about 7.5% of the State). The region has a coastal and rural environment with approximately one third of South Australia’s coastline stretching over 2,000 kilometres from the upper reaches of Spencer Gulf to the South Australian and Western Australian border. The northern boundary abuts the Western Australian border about 300 kilometres north of the Trans Australian Railway Line. This north western area incorporates sections of the Great Victoria Desert and the Maralinga Tjarutja Aboriginal Lands. The region is unique as it includes the only nuclear test sites on mainland Australia, at Emu Junction and Maralinga, which were used for the British Government Atomic Test Program during 1953-63.

Figure 1: Context Map, Regional Development Australia, Whyalla and Eyre Peninsula.

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The region has a characteristic Mediterranean climate with warm to dry summers and cool, wet winters. The southern areas have a milder and moister climate influenced by proximity to the coast. Inland the climate is hotter and drier. Mean annual rainfall varies from 250mm in the north and northwest to more than 500mm in the south. The geographical relief is undulating and low, with most areas less than 150 metres above sea level. The largest hills are located in the Gawler Ranges north of Wudinna with granite peaks reaching 500 metres. The Koppio Hills form a spine down the central part of lower Eyre Peninsula and are the most significant topographical feature in the southern part of the region. The north-western section includes the ochre and red sand ridges of the Ooldea Range and Great Victoria Desert which are partially covered in spinifex, sheoaks, mallee and desert oaks. The far western area between the Great Australian Bight and Trans Australian Railway Line includes the fringe of the ‘treeless’ Nullarbor Plain that stretches into Western Australia. A large proportion of the land has been cleared for agricultural production – predominantly broad acre cropping and grazing. However significant areas of native vegetation remain, with approximately 7.5 million hectares of land included in national parks, conservation parks and reserves. These areas contain important mallee habitat, several woodland communities, and endemic flora and fauna species some of which are rare, threatened or endangered. Vegetation clearance for agricultural purposes ranges from 14% in the far west to 72% in the south. About 15% of the region’s grazing area is covered with scattered vegetation. (Eyre Peninsula Natural Resources Management Board, State of our Resources, Recognising the State of Natural Resources of the Eyre Peninsula, 2009).

Figure 2: Typical Spinifex Circles at Maralinga.

The region features a rugged and relatively undeveloped coastline, particularly on the western side of the Eyre Peninsula. The coastal and marine environment includes both marine and conservation parks and encompasses approximately 250 islands ranging in size from about 180 to 40,000 square metres.

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The Lincoln National Park and Coffin Bay National Park at the bottom of the Eyre Peninsula are significant parks and important for tourism. Lincoln National Park had 93,100 visitors in 2011 (up from 78,000 in 2010) and Coffin Bay had 82,400 visitors in 2011 (up from 67,100 in 2010). Over $3 million has been expended in Lincoln National Park in the last few years to bituminise an entry road and upgrade the campground to better accommodate motor homes. Natural Resources Management RDAWEP does have a direct role in the planning and implementation of environmental projects. Natural resources management (NRM) is the responsibility of two NRM Boards and the South Australian Government Department of Environment, Water and Natural Resources (DEWNR). Most of the region is under the auspices of the Eyre Peninsula NRM Board (EPNRM) and DEWNR. But the far western section, from approximately Coorabie to the Western Australian border and north to the South Australian and Northern Territory border, is managed by the Alinytjara Willurara NRM (AWNRM) Board. This arrangement was adopted because the AWNRM area is predominantly Aboriginal owned land and Aboriginal people from the Anangu Pitjantjatjara Yankunytjatjara Lands, Maralinga Tjarutja Lands and Yalata Aboriginal Lands are encouraged to plan, manage and take ownership of natural resource projects in their own areas. However, as the key strategic agency for economic, infrastructure and liveability development across the region RDAWEP recognises the vital importance of natural resources management in sustaining the prosperity and natural attributes of the region. RDAWEP therefore works closely with the EPNRM in a number of capacities. The EPNRM is represented on the RDAWEP Board; both organisations are participants of the Eyre Peninsula Regional Facilitation Group and Eyre Peninsula Water Master Plan group, and both are signatories of a Climate Change Sector Agreement with the Eyre Peninsula Local Government Association (EPLGA) and the State Government, Department of Premier and Cabinet. The RDAWEP Indigenous Economic Development Officer works closely with EPNRM regarding the employment of Aboriginal people on NRM projects, via Aboriginal service sector providers (the Port Lincoln Aboriginal Community Council and Tjuntjunaku Worka Tjuta in Ceduna). A similar strategy is being pursued with the AWNRM Board for projects on the Yalata Aboriginal Lands, via Yalata Community Incorporated. RDAWEP is also very aware of the need to balance natural resource considerations and economic development strategies in order to sustain the liveability, character and sense of place that is critical to regional identity. Natural resources are also critical to the sustainability of agriculture, aquaculture, fishing and tourism industries. RDAWEP and the EPNRM Board therefore work and plan collaboratively whenever the opportunity arises. 1.2 CULTURAL HERITAGE Indigenous Heritage Aboriginal people have lived in the region for thousands of years. The predominant cultural groups at the time of European contact and settlement were the Nauo, Barngarla (also Pangkala or Parnkalla), Wirangu, Mirning, and Kokatha (also Kukatha or Kokata). (SA Museum Archives website: http://www.samuseum.sa.gov.au/archives/collections/tribes, 6 March 2012, information reproduced from N. B. Tindale, Aboriginal Tribes of Australia, 1974). Tribal boundaries were not rigid due to migratory movements and sometimes influence and pressure from adjoining peoples, but the primary locations were (refer to Figure 3 next page):

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Nauo – on the south western section of Eyre Peninsula, roughly between Arno Bay and Elliston. Barngarla – on eastern Eyre Peninsula north of Nauo, and stretching from Port Augusta and

Quorn to the Gawler Ranges. Wirangu – north west of Nauo, stretching westward along the coast from Streaky Bay to the Head

of the Bight and inland to Ooldea (on the Trans Australian Railway Line). Mirning – on the far western section of Eyre Peninsula, stretching along the coast and Nullarbor

Plain from Ooldea into Western Australia. Kokatha – north of Wirangu from the Gawler Ranges to Ooldea with the Stuart Range marking

the approximate northern boundary.

WIRANGU

NAUO

KOKATA

BARNGARLA

MIRNING

Figure 3: Approximate Aboriginal Areas at the Time of European Settlement Anangu Pitjantjatjara Yankunytjatjara people habited the area of the Great Victoria Desert in the far north west of South Australia and had strong cultural links with Tjuntjuntara people in Western Australia. Now generally referred to as Anangu people and collectively known as the Spinifex People (because of the circular formed grasses endemic to this region) the Anangu migrated throughout the Maralinga Lands and south to the coast following known rock holes routes across the Great Victoria Desert and Ooldea Range. Ooldea was a very important trading, meeting and cultural site, largely because of the permanent water resource in Ooldea soak. Ooldea later became prominent for European people because of its proximity next to the Trans Australian Railway Line (opened in 1917), the activities of Daisy Bates (who lived at Ooldea with Aboriginal people 1919-36) and the establishment of the United Aborigines Mission (UAM) and School by Annie Lock in 1933).

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The Ooldea Mission closed in 1952 due to a rift in UAM management and the Aboriginal people dispersed across the region. However, most were rounded up by Government Rangers and relocated to Koonibba Mission (35 kms west of Ceduna), Yalata Mission (200 kms west of Ceduna) and Tjuntjuntara in Western Australia, with most relocated to Yalata. The traditional owners were then told that they could not return to the Maralinga Lands and the British Atomic Test program began at Emu Junction in 1953 and Maralinga in 1955. (Ochre Consultants, Maralinga Village Feasibility Study, November 2002, p.21). Native Title and Land Rights Native Title (i.e. the recognition of the rights and interests of traditional Aboriginal people under Australian law) is managed through the Australian Government Native Title Act 1993 and Native Title Amendment Act 1998, and in SA through the Native Title (South Australia) Act 1994. By October 2011, there were 24 Native Title claims in South Australia. Native Title claims in the RDAWEP region were:

Barngarla Native Title Claim (SAD6011/98) Far West Native Title Claim (SAD6008/98) Nauo-Barngarla Native Title Claim (SAD6021/98) Wirangu No. 2 Native Title Claim (SAD6019/98)

To date there have been nine Native Title determinations in South Australia, but only one has been determined by litigation. The remainder have been resolved through consent determinations, but none of these have occurred in the RDAWEP region. Indigenous Land Use Agreements (ILUA’s) are an alternative contract made between one or more native title groups and other people wanting to use the land. By October 2011, 45 ILUA’s had been registered in South Australia, but only one – Ceduna Keys Marina – is within the RDAWEP region. Four ILUA’s concerning the Gawler Ranges are just to the north of the region. Another ILUA within the region, for the expansion of the Department of Defence Cultana Training Area, is in the process of being negotiated with Barngarla Native Title claimants. Two Aboriginal Land Rights Acts have been legislated in South Australia – the Anangu Pitjantjatjara Yankunytjatjara Land Rights Act 1981 and the Maralinga Tjarutja Land Rights Act 1984. The latter is important because it involves over 92,000 square kilometres of land in the far north west of the region – see Figure 1. Aboriginal Communities Most of the region’s Aboriginal people reside in Whyalla, Port Lincoln and Ceduna. To the north west of Ceduna are the Aboriginal communities of Koonibba, Yalata and Oak Valley which have fluctuating populations averaging between 50 and 200 people. Oak Valley was established in 1985 following the Maralinga Tjarutja Land Rights Act, and is the only community on the Maralinga Tjarutja lands. Yalata Aboriginal Community is located on a tract of land stretching along the coast from the west of Nundroo to the Head of the Bight. The land is owned by the Aboriginal Lands Trust on a perpetual lease to Yalata Aboriginal Community Inc. Across Australia during the 1990’s there was an Aboriginal and Torres Strait Islander Council (ATSIC) driven Aboriginal Homeland movement which resulted in pockets of land being purchased with public funds for the establishment of family based Aboriginal communities. A number of these homeland communities are located in the region near Ceduna and Port Lincoln including:

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CEDUNA PORT LINCOLN Betts Corner Munda and Wanna Mar Akenta Bullinda Scotdesco Kuranya Dinah Line Tia Tuckia Ikkata Koongawa Dundee Warevilla Munda Munda Watujinna Yarilena

Table 1: Aboriginal Homelands in the Whyalla and Eyre Peninsula Region Aboriginal Population In 2011 the RDAWEP region had an Aboriginal population of 3,225 people or 5.7% of the regional population. The Aboriginal populations are concentrated in Whyalla, Port Lincoln and Ceduna. Ceduna has the largest proportion of Aboriginal people comprising 24.9% of the Council population, and incorporates the Koonibba Aboriginal community. (ABS Census of Population and Housing, 2011 – see Table 2). The Unincorporated West Coast Statistical Local Area incorporates Yalata Aboriginal community and the Maralinga Tjarutja Local Government Area incorporates the Oak Valley community.

LOCAL GOVERNMENT AREA 2001 2006 2011

No % of

Population

No % of

Population

No % of

Population

Whyalla 630 2.9 767 3.6 921 4.2

Port Lincoln 621 4.7 700 5.1 785 5.6

Ceduna 824 22.4 859 24.0 866 24.9

Cleve 7 0.4 11 0.6 10 0.6

Elliston 12 1.0 19 1.7 18 1.7

Franklin Harbour 4 0.3 12 0.9 12 0.9

Kimba 0 0.0 6 0.5 11 1.0

Lower Eyre Peninsula 65 1.6 101 2.3 143 2.9

Streaky Bay 17 0.9 31 1.5 33 1.6

Tumby Bay 26 1.1 12 0.5 20 0.8

Wudinna 11 0.8 13 1.0 19 1.5

Unincorporated West Coast 253 33.4 162 35.6 319 50.2

Maralinga Tjarutja 124 75.2 89 78.0 61 83.6

REGION 2,594 - 2,782 4.8 3,225 5.7

Table 2: Aboriginal Population, Whyalla and Eyre Peninsula Region (ABS Census Data 2001, 2006 and 2011). Non-Indigenous Heritage The first recorded European contact with the region was along the coast near Ceduna in 1627 when the Dutch sailing vessel the Gulden Seepaart (Golden Seahorse), Captained by Francois Thyssen, was separated from a convoy on the way to Djakarta. A company official from the Dutch East Indies Co., Pieter Nuyts, was on board and Thyssen recorded the coastline as Nuyts Land and named other landmarks after his distinguished passenger – e.g. Cape Nuyts and the Nuyts Archipelago. The Dutch seemed to have no interest in investigating this land, with the exception of an East Indies Co. employee, Jean Pierre Purry, who published a colonisation proposal for the Land of Nuyts in 1718.

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The proposal was fanciful suggesting that giants may have lived in Nuyts in fortified towns with bows and arrows and terrifying machines of war. It was shortly thereafter in 1726 that Jonathan Swift, who was aware of Purry’s theories, produced Gulliver’s Travels and wrote that Lemuel Gulliver was driven by a storm north-west of Van Diemen’s Land and shipwrecked in the vicinity of 30 degrees south latitude. Many people consequently believe that Swift’s islands of Lilliput and Blefuscu in Gulliver’s Travels are in fact St Francis and St Peter Islands in the Nuyts Archipelago off the coast at Ceduna and that Swift substituted Purry’s fictitious giants with the tiny Lilliputians as the inhabitants. (District Council of Ceduna website, 6th March 2012, http://www.ceduna.net) Further European interaction did not occur until 1802 when Matthew Flinders spent three months under commission from the British Admiralty mapping the unexplored coastline in his vessel, HMS Investigator. Flinders named several sites along the coast including Point Bell, Point Brown, Denial Bay, Smoky Bay and Boston Bay and named the southern part of the region Port Lincoln after his native county of Lincolnshire in England. Flinders navigated the northern reaches of what he called Spencer Gulf and was followed ten months later in January 1803 by the Frenchman Louis-Claude de Freycinet who charted the area for the Nicholas Baudin expedition. Monuments to Flinders and Freycinet are located in Whyalla, and a Freycinet Trail follows the coastline north of Whyalla at Point Lowly. The Baudin expedition also named numerous sites along the coast including Murat Bay and Decres Bay at Ceduna. French whaling ships fished the bays and islands near Port Lincoln during the 1820’s to 1840’s and sealers were also operative in the area during this period. The whaling and sealing industry did not last long and collapsed within a few decades from over fishing. In 1836 Governor Hindmarsh, the first Governor of South Australia, instructed Colonel William Light to survey the area of Port Lincoln as the potential capital of the new province. However, Light rejected the site in favour of Adelaide. Nevertheless, Port Lincoln became the first European settlement in the region with settlers arriving in three ships on 19th March 1839. On 3rd October 1839, Governor Gawler proclaimed the whole area from Cape Catastrophe (the southern most point of the Eyre Peninsula) to the head of the Spencer Gulf as one district, named the District of Port Lincoln. (City of Port Lincoln website, 6th March 2012, http://www.portlincoln.sa.gov.au/history) During the 1840’s Edward John Eyre walked across the Eyre Peninsula and was the first person to extensively map the land. In 1840, he reported the presence of iron stone in the Middleback Ranges, 50 kilometres west of Whyalla. Eyre’s exploration led to further settlement. By the 1870’s much of the region was being grazed and the first attempts to mine the Middleback Ranges at Iron Knob occurred in the 1890’s. The settlement of Hummock Hill – a unique land form named by Matthew Flinders - began in 1901 and had a population of about 50 people by the end of that year. This settlement was the export point for the iron ore mine at Iron Knob. Hummock Hill gradually grew and on 16th April 1914 it was proclaimed as the town of Whyalla. (City of Whyalla, Visitor Guide, 2011). 1.3 LOCAL GOVERNMENT, TOWNSHIPS AND POPULATION Local Government formally began in the region on 1st July 1880 after the establishment of the District Council of Lincoln and, on 18th August 1921, the Municipality of Port Lincoln was formally proclaimed. The RDAWEP region is now comprised of 11 Local Government Authorities (LGA’s) as well as some remote, unincorporated areas of the state that are serviced by the Outback Communities Authority.

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For Census data collection purposes the Maralinga Tjarutja Aboriginal Lands are regarded as an LGA in its own right and the Yalata Aboriginal Lands are included in the Unincorporated West Coast Statistical Local Area (SLA).

Figure 4: Local Government Areas of the Whyalla and Eyre Peninsula Region The Local Government Areas in the RDAWEP region are:

LOCAL GOVERNMENT AREA PRINCIPAL TOWN AND OTHER CENTRES City of Whyalla Whyalla, Point Lowly (shack settlement). City of Port Lincoln Port Lincoln. District Council of Ceduna Ceduna, Thevenard, Smoky Bay, Penong, Denial Bay,

Koonibba, Nunjikompita, Mudamuckla District Council of Cleve Cleve, Arno Bay, Rudall, Darke Peak, Wharminda, Kielpa. District Council of Elliston Elliston, Lock, Port Kenny, Venus Bay, Sheringa. District Council of Franklin Harbour Cowell, Lucky Bay (shack settlement), Mangalo. District Council of Kimba Kimba, Buckleboo. District Council of Lower Eyre Peninsula Cummins, North Shields, Poonindie, Coffin Bay, Tulka,

Wangary, Louth Bay, Mount Hope, Wanilla, Coulta, Kapinnie, Edillilie, Yeelanna and Karkoo.

District Council of Streaky Bay Streaky Bay, Poochera, Wirrulla, Sceale Bay. District Council of Tumby Bay Tumby Bay, Port Neill, Lipson, Koppio. Wudinna District Council (Formerly the District Council of Le Hunte)

Wudinna, Kyancutta, Minnipa, Pygery, Yaninee.

Table 3: Local Government Areas and Town Centres, Whyalla and Eyre Peninsula Region

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Town Centres The triangular Eyre Peninsula is bound at its corners by the larger town centres of Whyalla, Port Lincoln and Ceduna. Whyalla and Port Lincoln are both regional cities. Whyalla - proclaimed a city in November 1961 - is the second largest regional town in South Australia with a population of 22,088 and is the major regional centre for resource processing and manufacturing in the State. Port Lincoln - given city status on 21 January 1971 - is the second largest town in the region with a population of 14,086, and is the principal centre for the fishing and aquaculture industry and an export hub for the agricultural industry.

Figure 5: Main Cities and Townships in the Whyalla and Eyre Peninsula Region

Ceduna is considerably smaller with a Council population of 3,480. However, Ceduna has an important strategic position as a key service centre on the Eyre Highway, which is the main east-west transport and tourist route across Australia. Ceduna is the principal centre on the far west coast for agricultural, government, educational and mining services. The town also has an important role as the retail and government service centre for the Aboriginal communities of Koonibba, Yalata and Oak Valley. Cummins, Cleve, Kimba and Wudinna are primarily agricultural service centres. Wudinna is also important as the gateway to the Gawler Ranges tourism region. Cowell, Tumby Bay, Elliston and Streaky Bay are agricultural service centres but have growing coastal tourism and aquaculture industries. The RDAWEP region has a population of 56,396 (or 3.53% of the South Australian population) and 64.1% of residents (36,174 people) live in Whyalla and Port Lincoln. Since 2001, the regional population has increased marginally at 4.51%, with the exception of the District Councils of Elliston, Wudinna and Kimba where the populations have declined by -15.2%, -13.72% and -8.54% respectively. The District Council of Lower Eyre Peninsula experienced the largest growth over the period at 17.21%. Growth was also experienced in the coastal Councils of Streaky Bay, Tumby Bay and Port Lincoln (See Table 4: Population Change, Whyalla and Eyre Peninsula Region (ABS Census Data 2001, 2006 and 2011).

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The population changes could be caused by several factors. The desire for a sea change lifestyle is a recognised growth factor. Streaky Bay and Tumby Bay are very desirable coastal towns with new housing developments catering for a growing number of retirees from the agricultural sector. The District Council of Lower Eyre Peninsula includes the very popular seaside centre of Coffin Bay which has a strong tourism focus and a growing permanent population. The Council also owns and operates the Port Lincoln Airport, which is the busiest regional airport in South Australia. It should be noted that the Lower Eyre Peninsula Council almost fully surrounds the City of Port Lincoln so its residents have the quality of life advantage of country living with close proximity to city services and a major airport. On the other hand, Kimba and Wudinna are the only District Councils in the region which do not have coastal frontage. Both Councils believe that the lack of direct access to the ocean significantly impacts their growth and tourism potential. The lack of employment opportunities and loss of employment through the rationalisation of farming properties are factors contributing to the population decline in Elliston.

LOCAL GOVERNMENT AREA 2001 2006 2011 Overall % Change

Whyalla 21,552 21,416 22,088 2.43

Port Lincoln 13,199 13,603 14,086 6.3

Ceduna 3,683 3,572 3,480 -5.83

Cleve 1,832 1,896 1,733 -5.71

Elliston 1,205 1,132 1,046 -15.2

Franklin Harbour (DC Franklin Harbor 2001) 1,267 1,277 1,273 0.48

Kimba 1,181 1,116 1,088 -8.54

Lower Eyre Peninsula 4,070 4,402 4,916 17.21

Streaky Bay 1,986 2,024 2,102 5.52

Tumby Bay 2,453 2,541 2,586 5.15

Wudinna (DC Le Hunte 2001 and 2006) 1,425 1,314 1,253 -13.72

Unincorporated Areas* - - 745

TOTAL 53,853 54,293 56,396 4.51 Table 4: Population Change, Whyalla and Eyre Peninsula Region (ABS Census Data 2001, 2006 and 2011).

* From Statistical Local Areas: Unincorporated Lincoln, Unincorporated West Coast and Unincorporated Whyalla. Population Growth As an overview the region’s population remained relatively static during the past decade, however there are conflicting views about the projected population growth. The State Government Eyre and Western Region Plan, April 2012 estimated that the regional population will increase by 0.23% per annum between 2010 and 2021, resulting in a total increase of 1,482 people and lifting the population from 59,203 in 2010 to 60,685 in 2021 - see Table 5: Estimated Population Growth for the Eyre and Western Region to 2021. (Government of South Australia, Department of Planning, Transport and Infrastructure, Eyre and Western Region Plan, April 2012, pp.38-41). In making this prediction the Department of Planning, Transport and Infrastructure (DPTI) noted that, with the exception of coastal townships, people have generally been moving away from smaller settlements of less than 1,000 people to larger towns.

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This pattern is expected to continue with Whyalla, Port Lincoln and parts of the District Council of Lower Eyre Peninsula accommodating a greater proportion of regional growth. DPTI noted that the demographic of the region has changed and that the average age is slowly increasing as the population ages and the numbers of young people decline. But DPTI also noted that increased investment and industrial diversification are expected to attract more families and young people to the region.

Local Government

Area

Estimated Resident

Population 1996

Estimated Resident

Population 2010

Average Annual

Growth Rate 1996-2010

(% pa)

Projected Population

in 2021

Projected Population

Change 2010-21

Projected Population

Growth Rate 2010-21 (% pa)

Ceduna 3 544 3 834 0.56 3 927 93 0.22 Cleve 1 939 1 916 -0.09 1 962 46 0.22 Elliston 1 257 1 154 -0.61 1 187 33 0.26 Franklin Harbour

1 228 1 369 0.78 1 364 -5 -0.03

Kimba 1 296 1 133 -0.96 1 141 8 0.06 Lower Eyre Peninsula

4 036 4 921 1.43 5 299 378 0.68

Maralinga Tjarutja Aboriginal Community

32 110 9.22 122 2 0.16

Port Lincoln 12 851 14 726 0.98 15 738 1 012 0.61 Streaky Bay 1 952 2 203 0.87 2 079 -124 -0.53

Tumby Bay 2 659 2 762 0.27 2 791 29 0.09

West Coast Unincorporated

647 496 -1.88 479 -17 -0.32

Whyalla 24 371 23 214 -0.35 23 351 137 0.05 Wudinna 1 573 1 365 -1.01 1 255 -110 -0.76 Eyre and Western Region

57 385

59 203

0.22

60 685

1 482

0.23

Table 5: Government of SA, Estimated Population Growth for the Eyre and Western Region to 2021. RDAWEP believes that the 0.23% growth estimate is very conservative and does not properly consider the potential growth impact of proposed mining, industrial and infrastructure developments in the region. This view is supported by the regional growth predictions contained in a second State Government report. The Country SA Health Service Implementation Plan for the Eyre, Far North and Flinders Ranges region provided the following population growth estimates:

Eyre Statistical Division – 8% by the year 2036 (includes Whyalla, Port Lincoln and the rest of the Eyre Peninsula).

Lower Eyre Statistical Local Area – 13% by the year 2026 (includes Port Lincoln, Ceduna, Mid West and Lower Eyre Cluster).

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Whyalla Statistical Local Area – 3% by the year 2026. (Government of SA, Country SA Health Service Implementation Planning, 10 Year Health Services Implementation Plan – Years 1-3, Eyre, Far North and Flinders Ranges, May 2012, p.8).

RDAWEP believes that the Country SA Health population predictions better reflect the anticipated growth pattern because they are largely consistent with experience over recent years in which the greatest growth is recorded in coastal locations and the lower parts of the Eyre Peninsula. Both State Government documents predict smaller growth in Whyalla – i.e. DPTI 0.05% to 2021 and Country SA Health 3% to 2036 – but the actual population growth in Whyalla will very much depend on the extent to which proposed new industrial developments are realised. Indeed, an analysis of workforce demand indicates that population growth in both Whyalla and the region as a whole might be much greater than many people are willing to predict. A greater level of growth will be essential to achieve the South Australian Strategic Plan (SASP) 2011 target of increasing the regional population by 20,000 to reach a total population of at least 320,000 by 2020 (SASP Target 46). Population Characteristics Cultural Diversity Australian born people comprise 82.9% of the regional population – a slight decline from 95.3% in 2006. The cultural diversity of the region is predominantly European with the largest groups being people born in England, Scotland, New Zealand, the Philippines and Germany. The most common ancestries are Australian (33.3%), English (30.5%), Scottish (7.2%), German (6.6%) and Irish (5.9%). English is by far the dominant language and is the only language spoken at home in 91% of households. Two or more languages are spoken in only 6% of households, and the other main languages spoken in the region are Greek (0.4%), Italian (0.3%), Afrikaans (0.3%), Pitjantjatjara (0.3%) and Croatian (0.3%). The most common responses for religion were: no religion (29.7%), Catholic (17.6%), Uniting Church (12.1%), Anglican (12.1%) and Lutheran (7.5%). (ABS Census of Population and Housing, 2011).

LOCAL GOVERNMENT

AREA

0 TO 14 YEARS

15 TO 24 YEARS

25 TO 39 YEARS

40 TO 59 YEARS

60 YEARS AND OVER

No % No % No % No % No %

Whyalla 4,434 20.07 2,963 13.41 4,130 18.69 6,063 27.45 4,498 20.36

Port Lincoln 2,869 20.36 1,854 13.16 2,606 18.50 3,743 26.57 3,014 21.39

Ceduna 761 21.86 433 12.44 654 18.79 972 27.93 660 18.96

Cleve 359 20.71 157 9.06 259 14.95 502 28.97 456 26.31

Elliston 204 19.50 106 10.13 167 15.96 355 33.94 216 20.65

Franklin Harbour 244 19.17 136 10.68 184 14.45 374 29.38 335 26.31

Kimba 209 19.21 93 8.55 180 16.54 308 28.31 300 27.57

Lower Eyre Peninsula 1,087 22.11 496 10.09 799 16.25 1549 31.51 985 20.04

Streaky Bay 436 20.74 208 9.89 328 15.60 655 31.16 476 22.65

Tumby Bay 460 17.79 207 8.00 344 13.30 747 28.88 829 32.06

Wudinna 281 22.43 116 9.26 244 19.47 330 26.34 281 22.43

REGION 11,509 20.40 6,842 12.13 10,069 17.85 15,866 28.13 12,109 21.47

Table 6: Age Distribution of the Regional Population, ABS Census 2011.

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Age Distribution In 2011, the median age of people in the region was 39, with children 0-14 comprising 20.4% of the population. The proportional distribution for children was relatively consistent across all Council areas where the variation ranged between 17.79% and 22.43% of Council populations. However the regional population is ageing. Almost half of the population (49.6%) was 40 years of age and over with 21.47% of the population over the age of 60. Tumby Bay has the oldest population with 60.94% over the age of 40. Similar results for this age bracket were recorded for Kimba (55.88%), Franklin Harbour (55.69%), Cleve (55.28%) and Elliston (54.59%). The results for the other Council areas were: Whyalla (47.81%), Port Lincoln (47.96%), Ceduna (46.89%), Lower Eyre Peninsula (51.55%), Streaky Bay (53.81%) and Wudinna (48.77%). Family Composition The regional proportion of family couples without children (42.8%) is above the average for South Australia (40.6%) and Australia (37.8%). Conversely, the regional proportion of family couples with children (39.5%) is below the averages for South Australia (41.5%) and Australia (44.6%). The proportion of family couples with children was identical in the larger areas of Whyalla, Port Lincoln and Ceduna at 38.4% but below the regional average of 39.5%. The female proportion of single parents in the region (79.5%) is below the State and Australian averages of 81.1% and 82.4% respectively. The highest proportion of female single parents in the region was recorded in Port Lincoln and Elliston – both at 83.3% and above the State and Australian averages.

LOCAL GOVERNMENT AREA

COUPLE FAMILY

WITHOUT CHILDREN

COUPLE FAMILY WITH

CHILDREN

ONE PARENT FAMILY

OTHER FAMILY

PROPORTION OF SINGLE

PARENT POPULATION

No % No % No % No % Male Female

Whyalla 2,304 39.6 2,234 38.4 1,204 20.7 83 1.4 20.6 79.4

Port Lincoln 1,554 41.5 1,438 38.4 699 18.7 52 1.4 16.7 83.3

Ceduna 406 45.0 347 38.4 136 15.1 14 1.6 25.9 74.1

Cleve 225 49.3 188 41.2 39 8.6 4 0.9 28.2 71.8

Elliston 133 47.3 123 43.8 25 8.9 0 0.0 16.7 83.3

Franklin Harbour 181 53.1 128 37.5 29 8.5 3 0.9 23.1 76.9

Kimba 144 50.3 127 44.4 15 5.2 0 0.0 18.8 81.2

Lower Eyre Peninsula 594 44.9 595 45.0 125 9.5 8 0.6 28.2 71.8

Streaky Bay 252 47.1 224 41.9 53 9.9 6 1.1 23.5 76.5

Tumby Bay 383 53.8 256 36.0 65 9.1 8 1.1 27.7 72.3

Wudinna 143 43.3 160 48.5 19 5.8 8 2.4 45.0 55.0

South Australia - 40.6 - 41.5 - 16.3 - 1.6 18.9 81.1

Australia - 37.8 - 44.6 - 15.9 - 1.7 17.6 82.4

REGION 6,368 42.8 5,878 39.5 2,437 16.4 188 1.3 20.5 79.5

Table 7: Family Composition and Single Parents, ABS Census 2011.

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Median Weekly Incomes Regional median weekly incomes for persons ($503), families ($1,224) and households ($933) are below the South Australian averages of $534, $1,330 and $1,044. However the median incomes for all three categories in Ceduna ($585, $1,327 and $1,048) are above both the regional and South Australian averages. The lowest levels of median personal income were recorded in Tumby Bay ($457), Franklin Harbour ($458), Streaky Bay ($463) and Whyalla ($472) – see Table 8 next page.

LOCAL GOVERNMENT

AREA

PERSONAL

FAMILY

HOUSEHOLD

Whyalla 472 1,276 934

Port Lincoln 523 1,203 924

Ceduna 585 1,327 1,048

Cleve 536 1,136 938

Elliston 497 988 804

Franklin Harbour 458 992 845

Kimba 577 1,365 1,017

Lower Eyre Peninsula 526 1,238 1,039

Streaky Bay 463 1,044 812

Tumby Bay 457 1,012 787

Wudinna 544 1,262 973

South Australia 534 1,330 1,044

REGION 503 1,224 933 Table 8: Median Weekly Incomes (People Aged 15 Years and Over, ABS Census 2011.

Other Demographic Characteristics An overview of housing characteristics using 2011 Census data is provided in section 10.1: Regional Housing Overview. Labour force data from the 2011 Census along with educational attainment levels will not be released by the Australian Bureau of Statistics until October 2012 and therefore could not be included in this Regional Plan. However data from the DEEWR Labour Market Research and Analysis Branch has been compiled over 10 years from the December Quarter of 2002 to the December Quarter of 2011. The research indicates a decline in the regional unemployment rate from 6.4% in December 2002 to 4.5% in December 2011. The most significant reduction in the unemployment rate occurred in Whyalla from 10.7% in December 2002 to 6.6% in 2005, with a slight increase to 7.4% in 2008 and a decrease to 5.9% in December 2011. See Table 9: Unemployment Numbers, Unemployment Rate and Labour Force Dec 2002-Dec 2011. The unemployment rate declined in all Local Government Areas across the region with the exception of:

Ceduna - where the unemployment rate increased from 8.4% in 2002 to 8.6% in 2011 after reaching of low of 4.7% in December 2005, and

Unincorporated Whyalla - where the unemployment rate increased from 12.4% in 2002 to 13.1% in 2011 after reaching a low of 9.3% in December 2005.

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All areas of the region experienced a significant decline in unemployment between December 2002 and December 2005, with the exception of Kimba where the number of unemployed people remained the same (i.e. at 6) and the unemployment rate declined by 0.1% due to an increase in the labour force during this period (from 673 to 712). (DEEWR, Small Area Labour Markets, December Quarter 2002 to December Quarter 2011, Commonwealth of Australia).

STATISTICAL LOCAL AREA

NUMBER OF UNEMPLOYED, UNEMPLOYMENT RATES AND LABOUR FORCE DEC QUARTER 2002 to 2011

Dec 2002 Dec 2005 Dec 2008 Dec 2011

No % Labour

Force No % Labour

Force No % Labour

Force No % Labour

Force Whyalla 1,168 10.7 10,953 687 6.6 10,454 821 7.4 11,090 644 5.9 10,876

Port Lincoln 489 8.2 5,977 346 5.0 6,907 436 6.0 7,327 369 4.9 7,493

Ceduna 153 8.4 1,825 93 4.7 1,976 168 8.0 2,096 169 8.6 1,969

Cleve 26 2.6 1,005 10 0.9 1,106 17 1.4 1,173 11 1.0 1,133

Elliston 28 4.4 637 15 2.3 645 20 2.9 684 18 2.7 676

Franklin Harbour 22 3.6 603 11 1.7 656 19 2.7 696 16 2.2 722

Kimba 6 0.9 673 6 0.8 712 6 0.8 755 4 0.6 722

Lower EP 124 6.5 1,910 85 4.0 2,142 101 4.4 2,272 71 2.9 2,421

Streaky Bay 61 6.1 992 32 2.9 1,086 47 4.1 1,153 28 2.4 1,190

Tumby Bay 69 5.7 1,201 38 2.9 1,295 43 3.1 1,374 31 2.3 1,349

Wudinna 17 2.1 826 8 0.9 862 13 1.4 915 8 1.0 838

Unincorporated Whyalla

16 12.4 129 9 9.3 97 13 12.6 103 8 13.1 61

Unincorporated West Coast

32 11.7 297 19 5.4 355 36 9.5 377 28 10.4 268

REGION 2,211 6.4 27,028 1,359 3.6 28,293 1,740 4.9 30,015 1,405 4.5 29,718

Table 9: Unemployment Numbers, Unemployment Rate and Labour Force Dec 2002-Dec 2011. 1.4 INDUSTRIES AND SERVICES OVERVIEW The dominant industries in the region are manufacturing and resource processing, agriculture, fishing, aquaculture, tourism and mining. Manufacturing and resource processing is the largest industry. Whyalla is the second largest city in regional South Australia and the principal centre for manufacturing, steel production and resource processing in the Upper Spencer Gulf region. Whyalla is strategically located with transport, engineering, business, retail and education sectors directly involved in meeting the demands of mining and mineral processing developments. Whyalla is consequently being positioned as “South Australia’s Mining Services Hub”. Proposed industrial developments that will impact Whyalla include the expansion of the Olympic Dam and Prominent Hill mines; and the establishment of several major resource processing plants including Arafura Resources (rare earth processing); DEEPAK (ammonia nitrate processing), and Archean (ammonia and urea processing). These projects involve significant infrastructure investment at Whyalla in the order of several billion dollars and collectively have the potential to create over 5,000 full time jobs in the long term and several thousand jobs during the construction period – see 2.2: Whyalla Industrial Development.

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Agriculture is the second largest industry, making up 42% of South Australia’s total agriculture production. During the 2011 harvest Eyre Peninsula produced 41% of South Australia’s wheat crop, 25% of the barley crop and 32% of the canola crop. The total value of the region’s agricultural industry exceeds $500 million per annum, and approximately 97% of the region’s annual grain production is exported. The Agriculture industry faces a number of challenges as new industries of renewable energy and mineral exploration compete for land use. With these challenges comes opportunities as the new industries attract investment in key infrastructure that will benefit the agriculture sector – see section 3: Agriculture for more detail. Eyre Peninsula’s fishing industry is a recognised leader in world best fishing practice. The ecological sustainability of the tuna, prawn, rock lobster and abalone fisheries is widely promoted and actively championed by all sectors of the industry as it is a key factor in ensuring long term business success. In recent years fishing industry expertise has been transferred to a growing aquaculture industry, which now sees the region farming and exporting oysters, abalone and Yellow Tail King Fish. The technology is also being developed to farm Southern Bluefin Tuna, which has the potential to further strengthen the sustainability of the industry. The region has gained an international reputation as a producer of the highest quality seafood product and is branded as ‘Eyre Peninsula - Australia’s Seafood Frontier’. Mining is the fastest growing industry in South Australia and is beginning to have a significant economic impact in the Whyalla and Eyre Peninsula region. The region incorporates the provinces of the Gawler Craton, Eucla Basin and part of the Officer Basin. The Gawler Craton and Eucla Basin in particular are rapidly becoming one of Australia’s most promising mineral frontiers. Exploration activity in recent years has identified significant mineral prospects including heavy mineral sands, kaolin, gold, silver, nickel, copper and iron ore in the northern and western parts of the region, and iron ore, coal and graphite on the eastern, central and lower parts of the region. The region’s mining operations presently contribute over $534 million to the South Australian economy. This economic impact is expected to grow significantly as several new mining operations are in the process of being developed. The combination of the region’s expansive and pristine natural environment and the clean and green products of the agricultural and fishing industries have helped to position tourism as one of the region’s growing industries. Tourism contributes an estimated $261 million per annum to the regional economy and employs over 2,000 people. The region has a diversity of world class visitor experiences ranging from whale watching at the Head of the Bight and outback camping adventures in the Gawler Ranges to cage diving with Great White Sharks near Port Lincoln. These experiences, in combination with best quality food product, are being used to proactively market the region as a premier conference destination. The recommencement of the Spencer Gulf ferry service between Wallaroo on the Yorke Peninsula and Lucky Bay on the Eyre Peninsula has helped to create more convenient self-drive access to the region from Adelaide. The self-drive tourism sector already has a large market share in the region but has untapped potential for future growth. Finally, the region also has a vibrant and growing small business sector with franchise outlets focussed in the larger centres of Whyalla and Port Lincoln. Regional businesses are arguably the backbone of the region’s economy providing ongoing services, employment and sponsorship to their local communities and the wider Eyre Peninsula. The future opportunities for industry expansion and diversification provide an excellent growth opportunity for all businesses in the region.

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PART ONE:

ECONOMIC PROFILE

AND ISSUES

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2. MANUFACTURING AND MINING

Figure 6: Industrial Development at Whyalla

2.1 WHYALLA INDUSTRIAL DEVELOPMENT Overview of Whyalla and the Surrounding Region Whyalla’s Early Industrial Development Industrial development began at Whyalla with the discovery of Iron Ore in the mid 1800’s at Iron Knob, approximately 50 km north west of the current city of Whyalla. Commercialisation of this resource was facilitated with the construction of a railway from Iron Knob to Hummock Hill (re-named Whyalla in 1914) for Broken Hill Proprietary Limited (BHP) which leased the iron ore deposits in the area. The first train ran in August 1901 and iron ore was transported by barges pulled by tugs, across the gulf to Port Pirie where it was used as flux for BHP’s lead and zinc smelting operations. A 400 metre jetty was completed in 1902 and installation of an ore conveyor belt in 1915 enabled ore to be sent to supply BHP’s newly established steelworks in Newcastle for steel manufacture. (SA Professional Historians Association (2012) SA Historians website, www.sahistorians.org.au, Whyalla City Council (2012) Whyalla City Council website, www.whyalla.com). Construction of a harbour and blast furnace commenced in 1939 and marked the beginning of Whyalla’s significant shipbuilding history. The corvette HMAS Whyalla (the first of 64 ships to be built at Whyalla) was completed in 1941 at the new BHP shipyards. In 1958 BHP announced the decision to construct a fully integrated steelworks to manufacture steel at their site in Whyalla. Construction of the steelworks was completed a decade later in 1968. (Government of South Australia (2012) SA Memory website, www.samemory.sa.gov.au). The City of Whyalla was planned and built to support a population of 50,000, but the population peaked at 33,000 in 1976. Closure of the shipyards in 1978 and rationalisation of steel manufacturing operations led to a period of industry and population decline over the subsequent two decades. The population of Whyalla stabilised in the late 1990’s and has continued to grow steadily over the past ten years. (Whyalla City Council (2012) Whyalla City Council website,www.whyalla.com).

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Since 2000, the growth of industry has led to population stabilisation in Whyalla along with slow, but steady growth. Census data indicates that the population has increased slightly from 21,552 in 2001 to 22,088 in 2011. There has been a slight decline in the unemployment rate during the same period. (Australian Bureau of Statistics (ABS), Census of Population and Housing, Whyalla (C), 2011. Department of Education, Employment and Workplace Relations (DEEWR), Small Area Labour Markets – March Quarter 2012).

2001 2006 2011

Population 21,552 21,416 22,088

Unemployment Rate (%) 7.4 5.2 6.0 Table 10: Population Growth and Unemployment in Whyalla.

Economic Development There are numerous economic development opportunities approaching for Whyalla and the economy of the Region. These are being driven by investment in a wide range of projects including mining, engineering, resource processing and renewable energy. Current and future projects in and around Whyalla involve potential investments of more than $9 billion. These investments are expected to create at least 4,000 direct full time construction jobs and will require a permanent operational workforce of more than 1,000. In addition, for every person working directly on these projects another 3-5 jobs are created indirectly to provide services they require. This will drive growth in other industries including retail, hospitality, building trades and other services for the foreseeable future. (Government of South Australia, South Australian Major Developments Directory 2011/2012, Department for Manufacturing, Innovation, Trade, Resources and Energy (DMITRE) 2011 identifies $1.87 billion, balance estimated from RDA documentation). The City of Whyalla is South Australia’s second largest regional city and largest industrial city. It is the most significant service centre in the region providing retail, education, health, community and other services for residents of Whyalla and the surrounding region. Manufacturing is the largest industry and Whyalla is a hub and principal centre for manufacturing, steel production and resource processing in the Upper Spencer Gulf and Eyre Peninsula regions. The manufacturing sector alone employs almost 3,000 people in Whyalla and contributes approximately $341 million per annum to South Australia’s gross regional product. Whyalla is strategically located with close proximity to substantial and growing mining and mineral processing developments located both within the immediate vicinity of the city and in remote locations to the north, south and west. The city has well developed transport, engineering, business, retail and education sectors directly involved in meeting the growing demands of industry in and around the region. Mining is one the region’s rapidly emerging and most important growth industries. Whyalla is located within the large mineral province of the Gawler Craton and adjacent to the Eucla Basin. These areas have substantial established mineral resource deposits. They also offer great potential for the discovery of new mineral deposits and petroleum sources in the future. There are ongoing developments in a range of minerals including, iron ore, copper, gold and heavy mineral sands, with increased levels of exploration for other commodities including uranium, zinc, nickel, diamonds, petroleum, coal and graphite. The city of Whyalla is working hard to position itself as “South Australia’s Mining Services Hub”, a key centre for the processing and export of mineral resources, as a service centre for supporting industries and for training and skilling the future workforce of the region. The area surrounding the city has many positive attributes including magnificent natural resources, vast stretches of untouched coastline, and vibrant coastal and inland rural communities with a quality of lifestyle, amenity and services which is the envy of many Australians who live in regional Australia.

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Competitive Advantages The economy of Whyalla has been founded, built and shaped over more than 100 years of mining, export, mineral processing and manufacturing. The competitive advantages of the city and surrounding region include;

Well-developed industrial infrastructure including good access to transport (road, rail, air) and Electricity,

Large areas of land available for industrial development and expansion, A major population centre with a strong industrial base, A large skilled industrial workforce, A strong base of engineering and manufacturing service companies, High quality and well established education, training, vocational and tertiary education facilities,

including a major campus of the University of South Australia and TAFE campus with world class training facilities,

High level liveability and amenity with well-established retail, health, education and sporting facilities, close to Adelaide and the eastern states,

Large areas of land available for residential housing, Potential future access to low cost renewable energy, Close proximity to large established mineral resources and highly promising exploration areas,

and Close proximity to major mining and resource processing projects (Whyalla and Eyre Peninsula,

also across northern and western South Australia). Key Challenges Whyalla competes for investment in a highly competitive global investment environment. The region is competing against alternative investments in South America, South Africa, India, China and northern Australia. Positioning Whyalla as an attractive investment destination, then actually securing these large investments is a key challenge. The companies which are considering significant investment in the region are large organisations that operate globally and sell their products in global markets. This means they must be globally competitive and their operations will rely on world class processes, leading edge technologies and a highly skilled workforce. They will also demand world’s best practice operations throughout their supply chains. These companies need to be confident they will be able to secure the competitively priced gas, electricity, water and transport that they need to run their operations. In particular, supply of natural gas to the region presents a significant challenge for future industrial development as the current gas pipeline is close to capacity – see section 7.2 Natural Gas Supply for more detail. Companies investing in the region need access to efficient ports for the import and export of materials and equipment. They also need to be confident they will be able to acquire and retain the highly skilled workforces needed to operate their plants. Much current infrastructure across the region was installed between 30 and 50 years ago and is now aged and at or near full capacity. Community infrastructure is also critical for attracting and retaining the regions workforce. Much of this infrastructure is also aging and needs refurbishment to meet 21st century standards and expectations.

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2.2 CURRENT AND FUTURE ECONOMIC ISSUES Whyalla must continue to diversify its industry base. For many years the city and the regional economy relied on a relative small number of industries often subject to large global market price fluctuations, with local business competitiveness diminished by a high Australian dollar. Attraction of new industries and new investment to the city is essential to maintain growth and reduce the impact of boom and bust cycles. The city’s close proximity to some of the world’s best renewable energy resources, combined with its substantial engineering, fabrication, manufacturing and skills development capabilities indicate Whyalla is ideally positioned as a site for the manufacture and service of renewable energy electricity generation equipment. Whyalla’s central location means that it could effectively service the southern half of the continent for the growing renewable energy industry. Building industry capability is essential to sustain industry and local business growth. There are significant and immediate opportunities for local businesses to expand their operations into mining and resource processing projects. Recent supplier forums by Ironclad, OZ Minerals and BHP Billiton demonstrate substantial opportunities for businesses in the region to work on their projects and/or to supply materials and services. These companies and many of their primary supplier/contractors are also committed to engaging local businesses where they can. Their projects are long term and will potentially provide ongoing business opportunities for many years into the future. If regional businesses are to access these projects and service new and very large customers, it will be essential for them to be well prepared with robust safety, quality, training, tendering and quoting systems in place. It is also important for companies to be able to describe the products/services, capabilities and experience they can bring to a project. Improvement of community amenity is critical to attracting and retaining the highly skilled workforces required by industry. This means that strategic investment must be made into developing and refurbishing community infrastructure (facilities used by the community such as community centres, theatres, sporting precincts, interpretive centres, marinas, cycle tracks and walking trails). It also means that areas close to Whyalla need to be set aside for community recreation. Industrial developments in the region also need to be environmentally sustainable. Similarly, new and ongoing investment is required to ensure that industrial infrastructure (such as gas supply, airports, roads, electricity and telecommunications), critical to the operation of existing businesses and for attracting new industry to the region, is developed concurrently with demand so that industry growth is not constrained. Local Impact of Carbon Tax Legislation The aim of the carbon tax is to change people and industry’s present thinking and behaviour in order to reduce carbon emissions. The Government has introduced a comprehensive carbon emissions reduction measure with the 300 largest Australian polluters being taxed at a commencement rate of $23 per tonne of Carbon Dioxide or equivalent carbon emissions and will move to an Emissions Trading Scheme by 2015. Steel manufacturing is one of the industries significantly impacted by the introduction of the carbon tax as there is no known technology for the manufacture of steel that will reduce the carbon emission within the next 10 years. The Australian steel manufacturing industry is already under considerable pressure with the high Australia dollar making the importation of steel a cheaper option for the Australian market. There is also considerable ongoing concern with the global economic outlook in both Europe and America.

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The steel manufacturing industry will be provided a compensation package with a granting of 94.5% offset permits, which will decrease annually by 1.375% per annum until 2015. Whilst the Australian Government has sought to address and support the steel industry, the carbon tax is an additional cost burden that global steel manufacturers in Japan, China and India will not incur, making the industry less competitive on the global market. In addition the unknown impact after 2015 will reflect on future investments in steel and other manufacturing industries. The Australian Government will consider ongoing carbon tax strategies following assessment of market conditions at the time. OneSteel can access the $300 million industry transition fund over the next 4 years to assist with the introduction of energy efficient initiatives to reduce carbon emissions and protect jobs in OneSteel. The Company has been offered 40% of the fund being approximately $120 million to 2015. The Upper Spencer Gulf region has been identified as one of the most heavily impacted regions in Australia, with existing industries, major new investments and employment within the region being at significant risk from the carbon tax. Perceptions of Whyalla There is a widespread and misleading perception of Whyalla as a drab, hot, dusty and dirty industrial city. This view of Whyalla is impeding tourism, new resident and housing development initiatives. The City of Whyalla has consequently undertaken the staged project to green Whyalla and OneSteel has eliminated the scourge of the red dust through the relocation of ore crushing operations well away from the city. Visual first impressions can be very strong and are based on immediate appearances. Industrial growth and economic development will not necessarily change the appearance of Whyalla, unless these strategies include proactive initiatives to change the way the town looks. A two-pronged approach is proposed to change the appearance of the regional city and attract new residents and industry.

Enhance the look of industrial sites throughout the city, and Change the way in which the industrial history of Whyalla is perceived.

Industrial responsibilities concerning noise pollution, air pollution, ground and waterway pollution are governed by EPA legislation but little has been done concerning the visual appearance and presentation of industrial sites. Industrial sites throughout Australia tend to be located on the outskirts of townships and usually next to main roads near township gateways. Unfortunately, industrial estates can also be eyesores strewn with rubbish and industrial detritus which creates bad first impressions of towns and cities. Even though much has been done to improve the appearance of the northern gateway to Whyalla through plantings, earth mounds and other strategies to diminish direct views of industrial sites, this northern gateway is arguably the city’s aesthetic Achilles Heel. This entry point is the principal gateway to the Eyre Peninsula for travellers and tourists from Adelaide and the eastern states. The gateway needs to be further upgraded using the OneSteel streetscaped gardens as the role model. Simple things like plantings and gardens along cyclone fencing – such as different coloured bougainvillaea’s, garden edging, use of arid land plants etc. - will create a colourful and green entrance whilst blocking out some unwanted vistas. This initiative would also showcase town pride and create a point of difference with other industrial towns in the Upper Spencer Gulf region.

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A similar strategy might also be applied to the Whyalla Industrial Estate to lift the presentation of the development. In order to encourage this, new industries in this precinct should have visual enhancement conditions attached to their development approval. Industrial Aesthetics Whyalla should be very proud of its important industrial heritage and undertake a proactive strategy to not only showcase this heritage but also change the way that people perceive industrial sites. The establishment of a Whyalla Industrial Photographic Prize has the potential to attract photographers from across the region, the State, and from other cities and regions across Australia if the prize is sufficiently attractive. The Whyalla Industrial Photographic Prize should emulate the status of the existing biennial Whyalla Art Prize. The $25,000 acquisitive Whyalla Art Prize attracts artists from across Australia and is slowly building a substantial art collection for the regional city. However, the Whyalla Art Prize produces minimal economic benefit for the city. The event does not directly encourage tourism as there is no need for an artist to ever visit Whyalla (other than to collect their work). The art works also do not require thematic, visual or any other relevance to the City of Whyalla. The proposed photographic prize should be very different. The prize should have the strict eligibility condition that the photographs must be taken of industrial sites in or near Whyalla. This will attract numerous amateur and professional photographers from across the country and therefore boost tourism in Whyalla at the same time, similar to the annual snapper fishing contest. A prize in the region of $20-25,000 would attract broader interest from across Australia which would in turn bring greater tourism and economic benefit. The option of a First, Second and Third prize (all acquisitive, and perhaps with different industrial sponsors) would make it possible to produce an industrial photographic calendar every 4 years. This calendar would be a useful marketing tool to enhance community pride and the initiative would also develop an important historical archive concerning industry in Whyalla over time. A suggestion for consideration is to hold the Whyalla Art Prize and the Whyalla Industrial Photographic Prize on alternate years. Greening Whyalla Whyalla has a history of recycled water use for parks and reserves throughout the city. The “Waterproofing Whyalla” project will significantly expand and enhance the city’s existing recycled water distribution system while also increasing the supply of water available for irrigation of median strips, ovals, parks and reserves throughout the city. The project which commenced in 2010, will effectively transform Whyalla’s streetscapes. Medians and roundabouts will be grassed and irrigated with subsurface irrigation and purpose selected semi advanced tree species will be planted to enhance the city’s overall appearance. The $5.6 Million project has been co-funded by the Whyalla City Council, a State Government Regional Infrastructure Fund grant and a $2.27 million grant under the Australian National Water Security plan. The project involves extending the existing reclaimed water pipe network from the Whyalla Wastewater Reclamation Plant (owned and operated by SA Water), and connecting to an extensive network of new and existing irrigation systems. The new system will have the capacity to supply up to 380 million litres of treated wastewater each year to provide green turfed streetscapes, community spaces, parks and ovals.

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Project benefits include; increasing the availability and distribution of recycled water throughout the city, reducing overall water costs; saving large quantities of potable water currently drawn from the Murray River while also reducing pollutant discharge into the fragile marine environment of Spencer Gulf. The project is due for completion in the second half of 2012. (Whyalla City Council “Waterproofing Whyalla” WCC publication 2010, PIRSA Regional Development, Waterproofing Whyalla's future, Media release 19 September 2011, Minister for Climate Change, Energy Efficiency and Water , Delivering improved water security for South Australians, Media Release 10 June 2010). Housing Development Opportunities People who live in Whyalla tend to be very passionate and very protective about the liveability of the city. In short, they love living there and, if given a choice, would not move anywhere else. This extent of localised passion provides a marketing opportunity to promote Whyalla as a desirable and liveable city. In light of the industrial and other developments planned for the rural city there are opportunities for the establishment of new housing estates and an aligned strengthening of the construction industry sector in Whyalla. These opportunities need to be pursued in line with commercial investment in the town. 2.3 COMMERCIAL INVESTMENT – PROJECTS IN PROGRESS OneSteel – Arrium Limited OneSteel is by far the biggest manufacturing business in Whyalla and in recent years increased steel making significantly from 460 thousand tonnes to 1.2 million tonnes per annum. However, OneSteel is in the process of changing its core business from steel manufacturing to iron ore mining in order to increase profitability. This is mainly because the steel manufacturing sector has been adversely affected by the strong Australian dollar and less demand from construction industries. In 2009 Onesteel commenced phase two of its $390 million Hematite Expansion Project (Project Magnet). The initial project phase involved process development to enable manufacture of steel from magnetite in the integrated Whyalla steelworks and to export high grade hematite ore. Phase two involves and extensive program of exploration, optimisation and mine extension to increase reserves and resources. Extension drilling at the Iron Knob, Iron Monarch, Iron Princess, Iron Baron and Iron Duchess North mines has proved successful and the new Iron Chieftain mine opened during 2010. (DMITRE (2012) DMITRE Minerals website www.pir.sa.gov.au/minerals/mines , and Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE, 2011.) In 2011, OneSteel bought the Peculiar Knob iron ore deposit southeast of Coober Pedy from WPG Resources for $346 million and announced a further $200 million investment to expand its export port and iron ore mining operations. Once Peculiar Knob is in full production it is anticipated that annual iron ore sales will reach about 11 million tonnes per annum by 2013. In the meantime, OneSteel continues to grow and the mining and export division is expected to bring a before tax profit of $171 million this financial year. (Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE, 2011). The shift in core business focus has brought job reductions. Since the GFC in 2008 OneSteel has shed about 1,500 jobs (from a National workforce of about 11,000) mainly from the steel manufacturing sector. The company shed an additional 300 employees and 170 contractors during 2011-12 and, in February 2012, announced a further cut of 430 jobs Australia wide, again from the steel manufacturing sector. This downsizing was offset by the creation of 450 jobs at Whyalla to help the company double its iron ore production and export operations. The company is on track to increase production and will export about 6 million tonnes of ore in 2011-12.

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OneSteel report that the Australian Government’s Steel Transformation Plan assistance package substantially addresses concerns over the impact of the carbon tax on the industry’s competitive position, at least during the four year life of the package. OneSteel’s share of the steel assistance package is estimated at $117 million. OneSteel’s change of Name to Arrium Limited In April 2012 OneSteel announced that it would change its name to Arrium Limited to reflect the significant change in the nature of its business in recent years. OneSteel is now a mining, mining consumables and steel business with increasing global orientation, rather than a domestic focussed steel company. In May, an Extraordinary General Meeting of shareholders voted overwhelmingly to endorse the name change, which came into effect on 2 July 2012.

Figure 7: Bulk carrier ore loading from OneSteel’s Whyalla port.

Arafura Resources Limited - Whyalla Rare Earths Complex In September 2010, Arafura Resources announced its intention to build a rare earths processing complex in Whyalla. Following successful negotiations with OneSteel, the new facility will be located on vacant land adjacent to the OneSteel factory. The rare earth processing plant will utilise Australian developed and proven technology be the first of its kind in Australia. When established the operation is expected to produce 20,000 tonnes per annum and supply about 10% of global demand. Minerals for the plant will be sourced from the company’s Nolan’s Bore mining project in the Northern Territory. Mineral concentrate will be transported by rail to Whyalla for processing via the Adelaide to Darwin rail link. The complex will comprise processing facilities for production of rare earth oxides with co-products of phosphate, uranium oxide and gypsum. Rare earths are chemical elements used in high-end technology products such as iPods, touch screens, mobile phones and flat screen televisions. They are also essential for on-going development of green technologies such as low energy light bulbs, wind turbines, rechargeable batteries, hybrid cars and high strength magnets.

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These minerals are extremely valuable, and with current market prices close to $65 a kilogram, the plant is expected to generate approximately $1.3 billion in annual revenue. (Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE, 2011.) Arafura Resources continues to work toward completion of a Bankable Feasibility Study which will lead to raising the capital required to complete the project. During the last quarter of 2011 the company reported successful production of three different rare earth products from the company’s Nolan’s bore resource. Arafura will seek to secure provisional sales contracts as part of the Bankable Feasibility Study which is scheduled for completion by the end of Q3 in 2013. The company maintains a positive market outlook and continues its demonstration program to prove the process at a larger scale, verify design data and generate samples for further evaluation by customers. (Arafura Resources Limited (2012) Arafura Resources press releases, January to June 2012). During 2012 Arafura Resources will be finalising its Environmental Impact Statement and Feasibility Study. Construction of the plant is expected to cost approximately $1 billion. The project will create 1,000 jobs during construction with 300 permanent jobs once the plant becomes fully operational. The direct economic impact of the project on the City of Whyalla is estimated to be $100 million per annum. ElectraNet Pty Ltd – Substation Replacement and Augmentation Augmentation of the existing high-voltage substation at Cultana to 275/132 kV will upgrade the Eyre Peninsula regional electricity system. This $71 million development will assist in maintaining the quality, reliability and security of supply of prescribed transmission services to Whyalla and the Eyre Peninsula region. This development complements an additional project to replace the existing Whyalla Terminal Substation. The $55 million project will rebuild and replace the existing Whyalla Terminal 132kV substation with two 120 MVA 132/133 kV transformers. The surrounding electricity transmission network will also be reconfigured. The project will move some existing infrastructure to the Cultana substation. Regional electricity issues are detailed in section 7.3: Utility Infrastructure, Power Supply. (Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE, 2011). Whyalla Hospital Refurbishment SA Health is undertaking a $69.3 million project to refurbish acute services facilities at the Whyalla Hospital including mental health, rehabilitation, palliative care services and integration of day surgery into operating theatres. The project will provide new and enhanced cancer treatment facilities and equipment. The estimated completion date is August 2013. (Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE, 2011). Regional health issues are detailed in section 10: Housing and Health Infrastructure and Services. Whyalla Industrial Estate The Whyalla Industrial Estate is South Australia's largest industrial subdivision. It comprises a 150 hectare industrial precinct on the northern boundary of the City of Whyalla. Constructed in 2009, the precinct is comprised of fully serviced prime industrial allotments ranging in size from 1.5 hectares to 15 hectares. Allotments are serviced by a heavy duty road network and electricity supply to meet the needs of industrial companies servicing the growing mining and manufacturing service sector. The Whyalla Industrial Estate is strategically located adjacent to OneSteel on the main highway connecting Port Augusta and the Eyre Peninsula. Stage 1 includes 34 fully serviced allotments, 40% have been sold with the balance available for immediate purchase and occupation.

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A range of companies including Cavpower, Ewings Contractors, Link Engineering, Pacific Marine, Max Cranes, CNC Engineering, Anglo Coal and CI Ceramics have purchased allotments and are building new facilities. It is envisaged that a marketing strategy to encourage more allotment sales will be re-activated once a decision regarding the BHP Billiton expansion of Olympic Dam has been confirmed. (Whyalla Industrial Estate (2012) Whyalla Industrial Estate website, www.whyallaindustrialestate.com). Development of the site was enabled with financial support from the State Government and substantial Local Government investment. It is envisaged that this precinct will become be a significant driver of new investment in Whyalla and skilled jobs growth consistent with the focus and vision for Whyalla as “South Australia’s Mining, Manufacturing and Renewable Energy Services Hub”. With the emergence of mining across many of the region’s communities, RDAWEP recognises the importance of building designated industrial estates to attract and support the demands of mining services companies. Martin Wood Developments – Whyalla Ocean Eyre Estate Ocean Eyre is the largest residential housing estate in Whyalla. The development features a builder display village including Hickinbotham, Statesman and Cavalier built display homes. At completion this estate will comprise approximately 1,500 residential allotments. Blocks range in size from 395m² to more than 800 m². Larger allotments up to 4,000 m² are also available. The development includes shady tree lined streets, reserves, bike trails, a child care centre and is in close proximity to major retail precincts. Currently 220 homes have been built and 350 blocks sold. Approval for a 185 unit retirement village is also in place. (Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE 2011). 2.4 PROJECTS IN THE PLANNING AND APPROVAL PHASE BHP Billiton – Olympic Dam Expansion Project BHP Billiton’s proposed expansion of Olympic Dam, 335 km north of Whyalla, will create the world’s largest open pit mine. Olympic Dam is the world’s largest known uranium reserve, fourth largest copper deposit, and also has rich deposits of gold and silver. An agreement with the South Australian government announced in mid October 2011 enables the construction and operation of the estimated $27.4 Billion Olympic Dam Expansion Project. The BHP Billiton Board is expected to provide a final decision to proceed or to potentially defer the project by December 2012. The project involves construction of a new open pit mine and additional mineral processing facilities alongside the existing underground mine and mineral processing plant. Infrastructure required for the project includes:

A desalination plant located at Port Bonython in the Upper Spencer Gulf which will supply additional water to the project through a 320 km pipeline,

A new gas-fired power station supplied by a pipeline from Moomba, A new 270 km electricity transmission line from Port Augusta, A 105 km rail line to connect Olympic Dam to the national rail network near Pimba, A new airport between Roxby Downs and Andamooka to cater for the expanded workforce, A landing facility 12 km south of Port Augusta and an access corridor to a pre-assembly yard on

the north-western outskirts of Port Augusta, Additional port facilities at Outer Harbor, and A new accommodation village for workers.

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The proposed expansion will increase ore production six-fold and will trigger investment on a scale incomparable to anything that South Australia has experienced in recent history. Potential benefits to the South Australian economy include an estimated $45.7 billion contribution to State Gross Product over the life of the project, 6,000 new jobs during construction, with an additional 4,000 full-time equivalents following construction. It is envisaged the project will create a further 15,000 indirect jobs. Whyalla with its close proximity to Olympic Dam, strong engineering, fabrication, manufacturing capability and skilled workforce is ideally situated as a major supplier of goods, services and people to work on the project. (Government of South Australia, South Australian Major Developments Directory 2011/2012, DMITRE, 2011). BHP Billiton - Desalination Plant A key component of the Olympic Dam Expansion Project is construction of a 100 GL/year desalination plant. A site for the plant has been selected adjacent to Port Bonython, approximately 35 kilometres north west of Whyalla. Concerns about the desalination plant and its potential impact on the marine environment including the Giant Australian Cuttlefish are ongoing. The company has acknowledged these concerns, modified discharge arrangements and committed to stop the flow of discharge water into the gulf if problems occur. The company will not release details of project costs until the project has board approval. The cost of the desalination plant component is however estimated at between $1-2 billion (based on the costs of construction of similar sized plants around Australia). Construction is expected to take approximately 33 months and will require 400 workers who would live in Whyalla and commute to the site by bus. (Government of South Australia, Assessment Report, Environmental Impact Statement, Olympic Dam Expansion. Government of South Australia, September 2011). Port Bonython Fuels - Fuel Terminal The Port Bonython Fuel Terminal project will provide a new regional fuel supply gateway for the northern and western regions of the South Australia. A secure diesel supply is critical to many expanding industries in South Australia including mining and construction, agriculture, marine, transport and defence. Timely and reliable supplies of fuel are essential for efficient and effective business operations. Port Bonython has been identified as a site with suitably deep water and facilities for berthing and offloading ships carrying in excess of 100,000 tonnes of hydrocarbon fuels. It involves construction of liquid hydrocarbon fuel handling, storage and distribution facilities. The initial stage of the project is focused on delivering up to 1 Billion litres of diesel annually to meet the growing fuel requirements. (Senex Energy (2012) Senex Energy Limited ASX announcement 9 March 2012). The Port Bonython Fuel Terminal project will provide the infrastructure required to enable a significant increase in both the volume of fuel and security of fuel supply to the Eyre Peninsula, and northern, western and eastern South Australia. In May 2009 the State Government approved the sale of a 74 hectare parcel of land to Port Bonython Fuels. The project proposal is currently being processed as a Section 49 Crown Sponsored Development by the South Australian Government. The project is owned by Port Bonython Fuels Pty Ltd, formally a wholly-owned subsidiary of Senex Energy Limited. In March 2012 Senex Energy announced the sale of its interests in Port Bonython Fuels to Mitsubishi Corporation. The sale is subject to a number of conditions, which are expected to be fulfilled within coming months. (Senex Energy Limited ASX announcement 9 March 2012).

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Whyalla Bulk Commodities Export Facility A bulk commodities export facility is required in the north of South Australia so that the mining industry can cost effectively export product from the region. A location near Whyalla is preferred because of access to deep water that can cater for cape sized ships (up to 180,000 tonnes). The facility will need to have the capacity to handle up to 20 million tonnes of dry bulk commodity exports per annum. Three locations have been identified near Whyalla:

The existing OneSteel facility at the Port of Whyalla, A new site at Port Bonython, (approximately 35 kilometres north west of Whyalla), and A new site at Nonowie (approximately 25 kilometres south of Whyalla).

The Port of Whyalla is owned and operated by OneSteel. Access to this facility is at the discretion of OneSteel on a case-by-case basis and is dependent upon the type and volume of cargo and OneSteel’s operational requirements at the time. In recent years, OneSteel has supported the landing of various goods for a number of external companies. As outlined earlier, OneSteel has committed to significant expansion of the Whyalla port facility and may include provision to support the port access needs of other companies. A new deep sea port facility suitable for export of bulk minerals and commodities has been proposed at Port Bonython by the Spencer Gulf Port Link Consortium. The consortium is comprised of Flinders Port Holdings, Leighton Contractors, Macquarie Capital, BIS Industrial Logistics and the Australian Rail Track Corporation. The Port Bonython site is has been promoted by the State Government. The new port facility would be capable of servicing 180,000 tonne (Cape size) bulk iron ore carriers and has an estimated cost of $650M. The project includes a three kilometre jetty with conveyor system and a 27 kilometre rail line connecting to the existing Whyalla, Port Augusta rail link. Approximately 400 staff will be required for the 2.5 year construction phase. The South Australian Government granted major project status to the consortium's plan in March 2012. This triggers a rigorous development assessment process which is also recognised by the Australian Government under environmental protection and biodiversity conservation law. The consortium is now required to lodge a development application that will be referred to the independent Development Assessment Commission. The proposed project has undergone feasibility studies. Further extensive investigations, via an Environmental Impact Statement, a Public Environment Report or a Development Report will now be required. Guidelines for these investigations will be publically released and the community will have the opportunity to comment on the investigations and the assessments. The Consortium is presently working with mining companies to define the timing of mine developments and the likely commodity volumes that are to be exported. (Flinders Ports Pty Ltd (2012) Flinders Ports website and Media release March 2012, www.flindersports.com.au). A new deep sea bulk export port facility has been proposed at Nonowie, approximately 25 kilometres south of Whyalla. The site provides access to a large area of deep water (20m) within 6km of the shoreline with deep water channels to enable safe ship movement. It is also adjacent to an extensive area of undeveloped land with no current economic usage and low environmental quality which could be developed for a range of supporting infrastructure, storage facilities and value adding industries. The site could be also connected to rail and road infrastructure by the construction of links to existing corridors.

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Preliminary investigations have been undertaken by a locally based working group with mining, materials handling and manufacturing industry experience. The Whyalla City Council has recently lodged a statement of intent to the South Australian Minister for Planning for a development plan amendment for the site. The location and proposal has not yet received any support from mining or resource processing companies operating or planning operations in the region. This may be due to a lack of awareness of the proposal, location and its potential benefits. (Alternative Port Working Party (2012) Alternative Port Working Party presentations to SA State Government March 2012). Upper Spencer Gulf Regional Synergies Project This project is based on methodology developed by Curtin University’s Sustainable Engineering Group and successfully implemented in the Kwinana Industrial Area in Western Australia. The project aims to involve all industrial companies in the region and is funded through the South Australian Government CleverGreenTM Eco Innovation Program. Industrial inputs, outputs, by-products and supply chains will be analysed to determine if there are industrial synergies which can be used to reduce processing costs, improve profitability and benefit the environment. The project incorporates a process known as ‘Industrial Symbiosis’ which is a method for analysing and determining opportunities for the exchange of materials, energy and water. Initially the project involves working with participating companies in confidence to gather the information required to map the material, energy and water inputs and outputs. Later project stages will analyse data, identify synergies between companies and determine potential for profitability and environmental performance improvement. Workshops and individual site meetings will be undertaken with participating companies to communicate findings which will form the basis for development of individual business cases and implementation plans. Whyalla Solar Oasis - Solar Thermal Renewable Energy Generation and Storage Solar Oasis is a consortium led by energy companies National Power and Sustainable Power Partners. The project will develop a commercial scale 40MWe concentrating solar thermal power plant in Whyalla.

Figure 8: Artist’s Impression of the Solar Oasis at Whyalla.

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The consortium partners were approved for a $60 million grant from the Commonwealth Renewable Energy Development Program in May 2010. Since approval the project developers have continued to negotiate with the Australian Government to work toward finalisation of the grant funding agreement for the project. The company has indicated that an agreement has recently been finalised and is actively seeking investors for the project. When investor funding is secured, pre-construction activities including an Environmental Impact Statement and Detailed Engineering design for the project will be able to commence. Further detail about this project is provided in section 7.4: Utility Infrastructure, Renewable Energy. Archean - Urea Manufacturing Plant The Archean Group is an Indian based diversified company with operations in industrial salt, building materials, mining, minerals, industrial chemicals, fertilisers, shipping, ship building, oil and gas services. The company employs approximately 3,500 staff and operates in five countries from 18 offices predominantly located throughout Asia, the Middle East, South and North America. (Archean Group (2012) Archean website www.archeangroup.com). Whyalla is one of five Australian sites under consideration for construction of a world scale ammonia and urea manufacturing plant. The proposed plant will have a production capacity of 1 million tonnes per annum of urea, which is widely used in agriculture as a nitrogen fertiliser and animal feed additive. Key requirements for the project are a deep water port, access to gas and a suitable operational location. The $1 billion project will incorporate a power generation plant, water treatment plant, effluent treatment and steam generation. The project would require approximately 150 hectares of land, 1,000 construction personnel and 350 operational staff. Deepak - Ammonium Nitrate Manufacturing Plant. Deepak Fertilisers and Petrochemicals Corporation Limited is a diversified Indian publicly listed company. Deepak has a portfolio of products and services which includes manufacture of mining and industrial chemicals, bulk and specialty fertilisers, farming diagnostics, technical ammonium nitrate, mining services and consulting. The company is focussed on global growth based on increased product sales, new product lines and new plants to augment manufacturing capability. Technical grade ammonium nitrate, or TAN, is the main raw material for porous ammonium nitrate and fuel oil explosive mixture. This product is the most widely used and economical civil explosive currently on the market. The company is currently undertaking a feasibility study into the establishment of a Technical Ammonium Nitrate manufacturing plant on a 310 hectare site at Port Bonython. The study includes full community consultation and a requirement to design the plant to minimise land use and environmental impact. The company will also need to comply with strict safety and other licence conditions. The project is expected to involve capital expenditure of $350 million, create more than 400 jobs during construction and 80 full time operational jobs post completion with flow on economic benefits to the local and state economies. The project will also provide significant benefits for the growing mining industry in the region which would no longer be required to purchase explosives from interstate and offshore sources. (DMITRE (2012) website www.southaustralia.biz, Deepak (2012) Deepak website, www.dfpcl.com).

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PROJECT PROPONENT RESOURCE STATUS/COMMENTS

Project Magnet and OneSteel Processing Plant

OneSteel Hematite Magnetite

Ongoing operational mining in South Middleback Ranges [Iron Duke, Iron Duchess, Iron Magnet and Iron Knight].

Ongoing expansion at Iron Chieftain, resumption of activities at Iron Knob and Iron Baron.

New Ore Beneficiation plant planned at Iron Baron. Jacinth/Ambrosia Iluka Mineral Sands Fully operational zircon mining and concentration plant. Tripitaka Iluka Mineral Sands Initial prefeasibility study [PFS] undertaken; project on hold;

additional PFS work required before further statements can be made.

Wilgerup Centrex Hematite All approvals in place. Deferred pending development of Port Spencer. Anticipated production commencing in 2014.

Bungalow Centrex JV with Baogang Iron and Steel Group

Magnetite PFS underway. Anticipate production commencing in 2015.

Gum Flat Lincoln Minerals Iron Ore Scoping Study completed. Mining Lease Application for Stage 1 nearing completion

for production in 2012. PFS for State 2 complete; DFS underway; potential

production start in 2015. Wilcherry Hill IronClad Magnetite Definitive Feasibility Study [DFS] completed.

Mining Lease Proposal Submitted. Anticipate production commencing in 2011.

Warramboo Iron Road Magnetite PFS completed; DFS underway. Anticipate production commencing in 2015.

Poochera (Carey’s Well)

Minotaur Kaolin Ongoing resource definition drilling through 2011. PFS and DFS to be completed in 2011. Anticipate production commencing in 2013.

Tunkillia Mungana Goldmines Limited

Gold/silver Ongoing exploration and scoping study.

Mullaquana Uranium SA Uranium Field Trial planned for 1Q 2012. Anticipate production commencing in 2013.

Carrow, Koppio Bald Hill, Iron Mount, Greenpatch Mount Hill

Eyre Iron [JV between Centrex and Wuhan Iron and Steel Group Co]

Magnetite PFS underway. Anticipate production commencing in 2015.

Koppio Cockabidnie

Lincoln Minerals Graphite Airborne electromagnetic surveys commenced July 2012

Uley Strategic Energy Resources Ltd and MEGA Graphite Australia

Graphite Engineering and refurbishments plans underway to reopen the Uley graphite mine.

Permitting and environmental compliance work underway. Production commencement anticipated for 2013/14.

Eucla Basin Diatreme Resources

Mineral Sands Early stage exploration targeting zircon.

Waddikee Monax Mining Manganese and Iron

Ongoing exploration to enhance resource definition.

Bramfield Lymex Ltd Iron Ore Early stage exploration. Kalgaroo Uranium One Uranium Early stage exploration. Fowlers Bay Gunson Resources Nickel Early stage exploration.

Table 11: Status of Mining Projects in the Region.

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2.5 MINING RESOURCES AND DEVELOPMENT Mining is arguably the fastest growing industry in South Australia and is beginning to have a significant economic impact in the Whyalla and Eyre Peninsula region. This valuable new activity is diversifying the region’s economic base from traditional primary industries and creating new local employment opportunities. The region incorporates the provinces of the Gawler Craton, Eucla Basin and part of the Officer Basin. The Gawler Craton and Eucla Basin in particular are rapidly becoming one of Australia’s most promising mineral frontiers. Exploration activity in recent years has identified significant mineral prospects including heavy mineral sands, kaolin, gold, silver, nickel, copper, iron ore and coal in the northern and western parts of the region, and iron ore, graphite and coal on the eastern, central and lower parts of the region. Established commodities already being mined include iron ore (hematite 5.6 million tonnes p.a.); gypsum (1.9 million tonnes p.a.); heavy mineral sands (506,000 tonnes p.a.), and salt (130,000 tonnes p.a.). The gypsum deposit in the far west of the region is the largest in the Southern Hemisphere. The region’s mining operations collectively contribute over $534 million to the South Australian economy. This economic impact will grow significantly as new mining operations are developed. Expenditure in the Gawler Craton on exploration, drilling and other activity reached over $200 million in 2008, however a number of new operations have since been established across the region, notably in the central and lower parts of the Eyre Peninsula. The status of the region’s mining projects is summarised in Table 11. 2.6 MAJOR MINING PROJECTS Minotaur Exploration Limited - Poochera Minotaur has a significant kaolin mine at Carey’s Well near Poochera. Minotaur recently announced an exploration target of 590-810 million tonnes from five sites on the Eyre Peninsula – Condooringie Well, Carey’s Well, Tootla, Karcultaby South and Tomney. However, the significance of the Carey’s Well kaolin (also known as China Clay) is its quality – i.e. its whiteness and brightness – because it is much more valuable. The kaolin from Carey’s Well is the whitest and brightest kaolin deposit known in the world (i.e. it has a high ISO brightness of about 80). Kaolin is an important ingredient in paint (particularly paint used in the magazine industry), ceramics and is gaining use as a strengthening element in plastics (notably for use in the airline industry). (Australia’s Paydirt, June 2012, p. 28). The Carey’s Well deposit is estimated at 16.3 million tonnes. At a production of 100,000 tonnes per annum, the site could potentially command gross profits of $40 million per annum at the current price of $US400 per tonne. Subject to product quality, prices of $US200-800 per tonne are achievable and Minotaur believes that production of 150-200,000 per tonne is possible from the Poochera site. The production potential will be verified when Minotaur completes a detailed feasibility (DFS) study later in 2012, which may also reveal the viability of marketing the waste product (pure silica sand) for concrete sand usage. (Australia’s Paydirt, June 2012, p. 28).

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Centrex Metals Limited – Southern Eyre Peninsula Centrex Metals Limited has several tenements over iron ore resources on the southern Eyre Peninsula including the Wilgerup Mine, Fusion joint venture (JV) and the Bungalow JV. Wilgerup Centrex is the 100% owner of the Wilgerup mine, located south-east of Lock in the District Council of Elliston. The project has an estimated hematite resource of about 10 million tonnes which will be extracted in an open cut mine at a rate of about 1.6 million tonnes per annum over a six year period. The ore will be transported approximately 140 kilometres by road train to Port Spencer for export (see Fusion JV below). During this operation, further exploration near the site will continue to increase the resource base and extend the life of the mine. Once mining commences the project will employ about 100 people. It is anticipated that the workforce will reside in Lock and be transported to the mine site by a company bus or private transport. (Centrex Metals www.centrexmetals.com.au/projects/wilgerup May 2012). Fusion JV Operating as Eyre Iron Pty Ltd, Centrex Metals and its JV partner Wuhan Iron and Steel Co Ltd (WISCO) are developing the Fusion JV for the production of magnetite in the vicinity of Koppio, approximately 35 kilometres north of Port Lincoln. The joint venture comprises Centrex 40% and WISCO 60%. Fusion is an amalgamation of several projects located in close proximity on the lower Eyre Peninsula incorporating magnetite resources and exploration targets at:

Koppio, Brennand, Kapperna, Iron Mount and Oolanta of about 454 million tonnes, Bald Hill, White Flat and Charlton Gully of an estimated 501-615 million tonnes, Carrow of about 160-220 million tonnes, and Greenpatch of 60-180 million tonnes.

Eyre Iron is presently completing a DFS which will be completed in 2013 at a cost of about $45 million. (Australia’s Paydirt, June 2012, pp. 34-37, Centrex Metals www.centrexmetals.com.au/projects/wilgerup May 2012 ). Port Spencer In order to make the Wilgerup and Fusion projects feasible, the Centrex and WISCO JV is involved in the development of a Cape size deep sea port, Port Spencer, at Sheep Hill north of Tumby Bay. Port Spencer is being designed as a multi-user facility for the export of iron are and grain, with grain exporter Free Eyre engaged to ensure that the port facility can handle the grain demand – see 8.3: Transport Infrastructure, Ports for more detail. The total capital development cost for Fusion including the port facility and a 40 kilometre slurry pipeline is estimated at $1.7-2.6 billion. (Australia’s Paydirt, June 2012, pp. 34-37). Bungalow JV Additionally, Centrex has the Bungalow JV with Chinese steel producer Baotou Iron and Steel Group Ltd (Baogang). The Bungalow site has an exploration target of 530-750 million tonnes of magnetite. The pre-feasibility study for the project should be completed during 2012. (Australia’s Paydirt, June 2012, pp. 34-37).

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IronClad – Wilcherry Hill The IronClad Mining Limited (hereinafter IronClad) Wilcherry Hill mine site is approximately 45 kilometres north of Kimba. This project to mine iron ore (magnetite) is a joint venture between IronClad and Trafford Resources Limited, with IronClad retaining a majority 80% share. The initial production target is 1.25 million tonnes of ore per annum or up to 6 million tonnes over the first 5 years. The ore will be exported via a container and barge transhipment system from a Common User Export Facility (CUEF) being developed at Lucky Bay near Cowell – see 8.3: Transport Infrastructure, Lucky Bay CUEF for details. IronClad will be the first user of the CUEF which aims to be operational by late 2012 or early 2013. This timeframe would not be possible if IronClad had to wait for the construction of a deep water bulk commodities port on the Eyre Peninsula. The Wilcherry Hill mine is different from other iron ore projects in Australia because it has a relatively low start-up capital cost of about $26 million. However, the project involves significant infrastructure investment by IronClad to make the transhipment system operational. This includes, but is not limited to:

INFRASTRUCTURE DESCRIPTION VALUE $ Construction of a purpose built accommodation village at Kimba for 80 people inclusive of mess facilities.

8 million

Upgrade of the road train haulage route from Wilcherry Hill via Kimba and Cowell to Lucky Bay, including by-passes at both towns. Construction commenced during Q1 2012.

13 million

Construction of load-out facility buildings in the CUEF for managing the transhipment operation, including parking areas and fencing. Work will commence in Q3 2012.

8 million

Purchase and provision of a tug boat, dumb barges and self-propelled barges. 11.1 million Design, fabrication and supply of up to 1,800 custom built ore containers. 8.5 million Purchase and provision of container handling equipment. 0.95 million TOTAL ESTIMATED INVESTMENT – ALIGNED INFRASTRUCTURE COSTS 48.55 million

Table 12: Estimated Investment by IronClad for Aligned CUEF transhipment System Infrastructure. Even with these costs, the feasibility study for Stage One established that the Wilcherry Hill project is viable. The project’s viability has been further strengthened because the first two years of production was sold to Chinese steel mills under a comprehensive sales contract and marketing agreement. Also, in January 2012, Hong Kong-based resources industry investor New Page Investments Limited took a $6 million share placement in IronClad and then signed an off-take agreement for the purchase of 50% of all iron ore from Wilcherry Hill in the first four years of operation. Stage 2 of the project will increase production to 5 million tonnes per annum. Stage 3 will occur when the Hercules Project – a separate mine site about 15 Kilometres south-east of Wilcherry Hill – comes into operation. Hercules is expected to increase production to 10-12 million tonnes per annum by 2015. (IronClad ASX Release, Hong Kong Group’s $6M Investment in Australian Iron Ore Developer, Wednesday 11 January 2012). Wilcherry Hill mine and Lucky Bay CUEF will collectively create a minimum of 230 new full time employment positions – i.e. 150 FTE at the mine during operation (plus 100 shorter-term FTE during construction), 40 FTE positions for the trucking contract, and 40 FTE at the CUEF. Employment preference will be given to people who either live in or are willing to relocate to Kimba, Cowell and Lucky Bay. This will minimise the need for a FIFO and DIDO workforce and bring greater social and economic development benefits from the flow-on effect of people residing and spending in these local townships. (RDAWEP, Lucky Bay Harbour Development, Business Case for a Major Upgrade of Lucky Bay Harbour, February 2012).

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Iron Road - Warramboo Iron Road Limited’s Central Eyre Iron Project at Warramboo, 189 kilometres north of Port Lincoln and 26 kilometres south east of Wudinna, is being championed as the biggest resource project in South Australia outside of BHP’s Olympic Dam. The mine is considered to have a 30-year life for magnetite production starting in approximately 2016, with an exploration target of 2.8-5.8 billion tonnes. A pre-feasibility study conducted in 2011 indicated potential resources of 12.4 million tonnes per annum. A site at Hambidge, south of the Warramboo project, has an estimated 1 billion tonnes resource. Iron Road is presently conducting a DFS which will confirm these estimates, and production of about 20 million tonnes per annum is possible. Iron Road hopes to complete the DFS during 2013. Iron Road has estimated that the project will have capital costs of about $2.58 billion. A Cape class port is required for Iron Road to achieve the desired production rate of 20 million tonnes per annum, and this need could be served by the proposed port developments at Port Bonython and Port Spencer – see 8.3: Transport Infrastructure, Ports. It is estimated that Iron Road production will have the capacity of about 65% of a Cape class port. Other required infrastructure includes a rail system to get the concentrate to port, a 275kV transmission from Port Augusta, and a desalination plant for producing 4-5GL of water per annum. Iron Road has estimated that a workforce of about 2,000 people would be required during construction and about 500 during operation. As with IronClad, Iron Road has indicated preference to limit the use of a FIFO workforce and give employment preference to people who live in the local region. (Australia’s Paydirt, June 2012, pp.30-33). Lincoln Minerals Limited – Gum Flat Lincoln Minerals Limited has hematite and magnetite iron ore stocks with resources in the vicinity of 1 billion tonnes at Gum Flat in the Coomunga district, 20 kilometres north of Port Lincoln. The company is preparing a mining lease application and hopes to start mining in mid-2013. Initially, Lincoln Minerals is planning to extract 500,000 tonnes of hematite per annum from the Barns deposit at Gum Flat and then to upgrade the stage one production to 1 million tonnes per annum (40-55% iron) hematite-goethite-magnetite in a 3-5 year operation. Stage two is aiming to produce 10 million tonnes per annum of magnetite ore for a project lasting approximately 20 years. It is anticipated that the ore will be exported from either Port Spencer or Port Lincoln. A side product is that Lincoln minerals will extract an estimated 2 GL of ground water per annum of which only 0.3GL is required for mining purposes. The 1.7GL balance can either be pumped back into the upper aquifer or be allocated to SA Water for public use. (Australia’s Paydirt, June 2012, p.25). Lincoln Minerals – Koppio Lincoln Minerals has inferred graphite resources of about 57,000 tonnes at Koppio, north of Port Lincoln. Historically the Koppio area was mined for graphite in the 1900’s and during WWII where small reserves were extracted underground. However, at the company’s Kangaroo Flat site to the north of Koppio, electromagnetic surveys have identified larger resources in the vicinity of 0.8-1.8 million tonnes of high quality large flake material.

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This is a significant find due to the growing use of graphite in the electric car and lithium battery market, along with use as a conductor of electricity, a lubricant and a component of new super strong carbon based materials. The average prices for large flake material with 94-97% carbon peaked at $US 2,900 per tonne. Lincoln Minerals hopes to have a scoping study completed by the end of 2012 with production commencing in 2013-2014. Strategic Energy Resources and MEGA Graphite Inc. - Uley The Eyre Peninsula has a number of scattered graphite prospects. Strategic Energy Resources Limited and the Canadian firm MEGA Graphite Inc. are investigating reopening the Uley graphite mine south of Port Lincoln. Declining graphite prices and increased freight costs made Uley unviable in 1993 but the world graphite demand has increased substantially due to the qualities of graphite as a heat conductor and for battery cells. Uley is also recognised as one of the biggest large, coarse flake deposits in the world and it is anticipated that the mine will produce high quality export material. Uranium SA Limited - Samphire Uranium Project Uranium SA Limited is an Adelaide based ASX listed uranium only explorer, specialising in sediment hosted uranium mineralisation within South Australia’s Gawler Craton province. The Company holds a portfolio of exploration licences and has discovered sediment and granite hosted uranium mineralisation in an area about 20km southwest of Whyalla. The exploration licence is owned and operated by Samphire Uranium Pty Ltd, which is a wholly owned subsidiary of Uranium SA Limited. Investigative work indicates that the deposit could be a major uranium resource. The mineralisation could be sufficient to support a mine life of between five and 10 years. This projection is expected to be extended as evaluation work progresses and further discoveries are made in the area. Exploration results released in late 2011 identified potential for extensive granite hosted uranium mineralisation and subsequently have resulted in a targeted exploration program during 2012 to determine the extent, tonnes and grade of the mineralisation. Successful development of the Samphire project has potential to bring significant benefits to the Whyalla community and regional economy. (Uranium SA Limited, Uranium SA Limited website http://www.uraniumsa.com.au/ and media releases May-June 2012).

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2.7 SUMMARY – MANUFACTURING AND MINING PROJECTS

PROJECT DESCRIPTION SUMMARY Manufacturing Infrastructure General Support the establishment of strategic infrastructure to

enhance industrial and manufacturing operations in the City of Whyalla.

Whyalla Industrial Symbiosis Project Support the Whyalla Industrial Symbiosis project implementation.

Port Bonython Fuels

Liaise with Port Bonython fuels/Mitsubishi Energy to identify key infrastructure priorities for the Diesel Storage facility project.

Arafura Resources Liaise with Arafura Resources to identify key infrastructure priorities.

Archean Urea Liaise with Archean Urea processing Plant to identify key infrastructure priorities.

Deepak Liaise with Blue Diamond/Deepak to identify key infrastructure priorities.

Position Whyalla as a Mining Services and Education Hub Vocational Training Position Whyalla as a vocational training centre for the

renewable energy industry. Mining Services Sector Position Whyalla as the vocational training and tertiary

education hub for the mining and resource processing sector in regional SA.

Promote the Region as a Preferred Location for Industry Investment Target Mining related Companies Actively target companies providing goods and services to the

mining industry to establish operations and/or administration in Whyalla.

Desalination Plant Identify and attract the suppliers of goods and services to the BHP Billiton desalination plant to base their operations in Whyalla.

Establish Strategically Located Industrial Estates Whyalla Facilitate development opportunities for the Cultana Industrial

Estate and the Whyalla Industrial Estate. Support the development and implementation of a fully serviced environmentally sustainable industrial estate at Whyalla.

General Encourage the State Government to engage Local Government in the planning and establishment of designated industrial estates. Provide strategic support to the District Council of Ceduna to develop purpose built industrial estates.

Change Perceptions of Whyalla The Appearance of Whyalla Support the City of Whyalla to undertake initiatives to beautify

the City of Whyalla, particularly at industrial estates and sites and city gateways. Promote the initiative of establishing a biennial Whyalla Industrial Photographic prize.

Table 13: Summary, Manufacturing and Mining Projects.

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2.7 SUMMARY – MANUFACTURING AND MINING PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Encourage the growth of the construction industry General Actively target companies providing goods and services to the

mining industry to establish operations and/or administration in the region. Assist with the formation of local alliances for major construction contracts. Investigate opportunities for residential projects in Whyalla. Investigate opportunities to increase the size of the construction and trades workforce in Whyalla.

Mining Infrastructure General Develop a strategic regional mining and infrastructure plan

identifying the specific strategic infrastructure and investment needs for the region. Support the establishment of strategic infrastructure to enhance mining development and processing operations.

Whyalla Encourage the City of Whyalla and Planning SA to review the Council’s Development Plan to ensure the appropriate land zoning for industrial, commercial and residential development.

Minotaur Assist Minotaur Exploration identify supply chain and water infrastructure requirements for the establishment of the Carey’s Well Kaolin mining project.

Centrex Metals Liaise with Centrex Metals to identify iron ore supply chain infrastructure and handling system requirements for the establishment of mining operations.

IronClad Liaise with IronClad to identify iron ore supply chain infrastructure and handling system requirements for the Wilcherry Hill project.

Iron Road Liaise with Iron Road to identify iron ore supply chain infrastructure and handling system requirements for the establishment of the Warramboo project.

Lincoln Minerals Liaise with Lincoln Minerals to identify iron ore supply chain infrastructure and handling system requirements for the establishment of the Gum Flat project.

MEGA Graphite Australia Liaise with MEGA Graphite Australia to identify supply chain infrastructure and handling system requirements for the establishment of the graphite mining project.

Uranium SA Liaise with Uranium SA to identify supply chain infrastructure and handling system requirements for the establishment of the Mullaquana uranium project.

Mining Development Economic Impact General Support the establishment of sustainable and commercially

viable exploration and mining projects in the Eucla basin, Gawler Craton and the Great Australian Bight. Assist mining companies to obtain development approval for mining projects in the region. Support business improvement initiatives that that build the capability of local businesses to meet the growing demand for supplies and services to the mining sector. Table 13: Summary, Manufacturing and Mining Projects (Cont’d).

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3. AGRICULTURE 3.1 OVERVIEW Agriculture is the second largest industry in the region, making up 42% of South Australia’s total agriculture production. During the 2011 harvest Eyre Peninsula produced 41% of South Australia’s wheat crop, 25% of the barley crop and 32% of the canola crop. The State produced 7.94 million tonnes of grain which is the third largest crop on record. The total value of the region’s agricultural industry exceeds $500 million per annum. The average annual volume of all grain crops is currently 2.2 million tonnes although this peaked to 3.2 million tonnes in 2009. In 2011 the region produced 2.5 million tonnes. (Australian Bureau of Agricultural and Resource Economics – ABARE – Crop Report, June 2012). Grain export volumes account for an average of 97% of Eyre Peninsula’s annual wheat, barley, and legume production. The region is renowned for its high quality premium grains, particularly high protein wheat, malting barley varieties, milling oats and canola. Livestock continues to attract high prices and famer interest in the sheep industry remains stable. Collectively agriculture, forestry and fishing is the largest employment sector on Eyre Peninsula, 3.2 AGRICULTURE TARGET TEAM The Agriculture Target Team serves as a link through RDAWEP to major regional groups including Eyre Peninsula Natural Resources Management (EPNRM) and Eyre Peninsula Local Government Association (EPLGA). The target team serves as a sounding board for the industry and through collaboration will provide proactive constant improvement to a more sustainable industry in the region. Members of the Agriculture Target Team provide high level strategic advice to RDAWEP Board members and staff. Target Team membership includes representation from across the broader region, i.e. from Port Lincoln, Kimba, Minnipa, Cleve, Streaky Bay, Tumby Bay, Kyancutta, Charra and Nundroo – see Appendix 3: RDAWEP Target Team Membership. Target Team members assist the Board in developing a high level regional plan for the agriculture sector. The key priorities from this plan are then linked directly to the Board’s strategic planning document. The Agriculture Target Team members provide direction on the following:

Provision of high level, strategic advice on matters and issues effecting the economic performance of the region’s agriculture sector,

Advice on how to optimise and develop regional agriculture infrastructure and resources, Identification of key priorities and effective strategies to assist with business development

initiatives including the roll out of relevant training and support programs in the region, Advice on existing and future workforce supply and demand requirements, and Providing advocacy and lobbying on matters affecting the economic performance of the sector.

Target Team Objectives The Agriculture Target Team key focus areas include:

Transport, Port handling and infrastructure, Climate change adaption,

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Drought, Linking existing industry groups for greater collaboration, Industry skills and workforce demand management, Natural resource management, Lobby and advisory group to government, and Funding and investment attraction.

3.3 TRANSPORT, STORAGE AND HANDLING INFRASTRUCTURE Supply Chain Costs Since the privatisation and monopolisation of the state’s grain storage, handling and export infrastructure, Eyre Peninsula farmers and the wider rural community in general, have been highly focused on the development of a new, competitive grain export terminal on the Eyre Peninsula. It is widely held that an open access, competitively managed grain terminal on the Eyre Peninsula with the opportunity for grower equity involvement will bring about substantial long term competition and reduced grain export costs for all industry participants. Canadian grains giant Viterra, current owner of the old Australian-listed ABB Grain, has recently announced a takeover by commodities trader Glencore. South Australian grain growers hope the takeover by rival Glencore will mean an improvement in services, however growers still face a monopolistic situation for grain handling and logistics. As demonstrated in Table 14, growers are currently faced with significant charges to get their grain on to export ships. Receival and export handling costs are a significant portion of each individual farming enterprise and given the current monopolistic situation on Eyre Peninsula there is little farmers can do to manage this risk. The table outlines the charges Eyre Peninsula growers face in getting grain from their local receival site on to the ship. Prices per tonne range from $41.39 to $57.39 which is a significant proportion of input costs for growers and can severely impact profitability and therefore long term sustainability of farming enterprises across the region. The vessel booking fee of $5 per tonne Viterra charges other grain marketing companies (which in turn is passed on to growers) makes it restrictive for those companies to participate in this market. This cost is considered by grain growers to be a cash cow for Viterra and provides no benefit to the industry and is anticompetitive from a grain marketing company view point. With the transition from a grower owned co-op to corporate ownership of infrastructure there is a lack of investment into key supply chain infrastructure such as the rail network which encourages inefficiencies. Farmers have also lost transparency of costs through the supply chain. The financial benefit to having an alternative export port to Viterra’s operation on the Eyre Peninsula is forecasted to reduce FOB’ing costs * by approximately $5 per tonne and in addition provide a direct freight saving of $5 per tonne to up to 50% of the region’s grain growers. These figures translate to economic benefits to the industry as a whole estimated at $11.25 million per annum – see Table 14. (*FOB’ing is short for Free on Board – a commonly used shipping term regarding the charge for the loading and shipment of goods).

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LOCATION

PORT

VESSEL

BOOKING FEE $

RECEIVAL

FEE $

PORT

INLOADING FEE $

PORT HANDLING

AND SHIPPING

FEE $

SITE TO SITE OUT TURN $

MONTHLY

STORAGE $

LOCATION

DIFFERENTIAL $

TOTAL $

Wudinna Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 22.19 57.39 Kyancutta Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 22.72 56.92 Wudinna Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 22.19 56.39 Yaninee Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 20.82 56.02 Kimba Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 21.70 55.90 Waddikee Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 19.80 54.00 Minnipa Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 18.48 53.68 Warramboo Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 19.36 53.56 Witera Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 17.56 52.76 Pintumba Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 17.04 52.24 Elliston Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 17.20 51.40 Mangalo Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 17.13 51.33 Darke Peake Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 16.67 50.87 Cowell Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 16.46 50.66 Lock Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 15.94 50.14 Kielpa Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 15.81 50.01 Cungena Thevenard 5.00 11.20 3.90 10.70 2.45 0.95 14.90 49.10 Rudall Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 14.22 48.42 Streaky Bay Thevenard 5.00 11.20 3.90 10.70 2.45 0.95 11.92 47.12 Arno Bay Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 12.55 46.75 Wirrulla Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 10.87 46.07 Penong Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 9.58 44.78 Nunjikompita Thevenard 5.00 11.20 3.90 11.70 2.45 0.95 9.15 44.35 Ungarra Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 10.03 44.23 Port Neill Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 9.98 44.18 Yeelanna Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 9.85 44.05 Cummins Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 8.47 42.67 Tumby Bay Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 7.75 41.95 Edillilie Port Lincoln 5.00 11.20 3.90 10.70 2.45 0.95 7.19 41.39

Table 14: Viterra Storage and Handling Charges 2011 Harvest ($ per tonne).

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DESCRIPTION ANTICIPATED SAVING

(PER TONNE) VOLUME (TONNE)

TOTAL SAVING (PER ANNUM)

FOB’ing $5 1,500,000 $7,500,000 Direct Freight $5 750,000 $3,750,000 TOTAL $11,250,000

Table 15: Estimated Economic Benefit to Grain Industry From Access to an Alternative Export Option.

Figure 9: Impact of Supply Chain Costs on a farming enterprise at $220 per tonne (Wheat). Port Lincoln and the Port of Thevenard The agriculture industry is currently serviced by two ports – Port Lincoln and the Port of Thevenard. Port Lincoln is one of the best natural deep water ports in the southern hemisphere. The port is the main export terminal for the region’s grain industry, with Panamax vessel capacity and is the region’s major deep water port. Its limited land size, multiple land ownership and conflicting user requirements already make for a congested facility; however its future transport task is forecast to be far greater and even more diverse than current demands. With no investment in Port Lincoln’s port and related infrastructure grain exports would continue, but current congestion issues between grain and other product handling activities will continue through the city centre and at the port. Rail unloading operations will become increasingly insufficient as larger vessel sizes demand greater loading rates. With the fishing and aquaculture industries continuing to grow across the Eyre Peninsula, limited wharf space will become an even greater issue. Operational inefficiencies and OH&S issues will be adversely impacted, and some fishing operations may choose to relocate elsewhere as opportunities arise for improved wharf-related operations.

$57.39 $48.42 $41.39

$220 $220 $220

0

50

100

150

200

250

Wudinna Rudall Edillilie

Storage & Handling Wheat Price

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In addition to this, there is currently restricted space for access, storage and the delivery of iron ore and/or mineral concentrates at the port. There are a number of factors contributing to this issue, with the most significant being the rail corridor leading into the port and residential and commercial sites in the immediate port and central business district areas which have in effect hemmed in the port facility. This is a disadvantage to the port and in the future it may be a deterrent in attracting new industries to use the facility. The Port of Thevenard is the major port on the far west coast of Eyre Peninsula. Major cargoes handled through the port include gypsum, grain and salt exports. In 2011 the facility handled 3.0 million tonnes of cargo, an increase of 900,000 tonnes of output in 5 years. Iluka Resources now utilise the Port of Thevenard as the major export facility with 420,710 tonnes of zircon product from the Jacinth Ambrosia mining operation being shipped out in 2011. This will contribute approximately $628 million to the gross State product of South Australia and $2.1 billion to the national gross domestic product. The Thevenard jetty has two berths each capable of handling ships of 198m length overall (LOA) and 28m beam with a berthing pocket 30 metres wide and 9.8 metres deep. A gantry supports a load out conveyor and a discharge boom with a travel length of 160.5m, capable of bulk loading grain at 750 tonnes per hour and gypsum at 950 tonnes per hour, into ships holds with a maximum outreach of 18 metres. RDAWEP has identified the re-development of the Port of Thevenard as a major project that will ensure the long term sustainability of an integrated export port facility and supply chain logistics system on western Eyre Peninsula that maximises, over the long term, the efficiency of grain and minerals exports, storage and handling while minimising the community impacts of changes to the current logistics system. The project includes a number of key components which include:

The deepening of the Yalata Channel from the existing 8.2 metres to 10.7 metres and widening of the corners to 150m,

Increasing the shipping export capability of the Port from 25,000 tonne to 45,000 tonne capability, and

The upgrade or replacement of the ship loader with a system capable of operating at 1500-2000tph.

The main benefits that accrue from the re-development of the Port of Thevenard including the deepening of the Yalata Channel and associated supply chain infrastructure ensure the long term viability of Thevenard as a future export facility for grain, gypsum, and salt. At the same time it will secure the Port as the preferred export facility for all new mineral export products in the north and western part of the region. The additional services provided by this infrastructure will provide essential inputs to regional competitiveness, production and sustained economic growth on western Eyre Peninsula. The opportunity has arisen for the grain industry to benefit from the pending mining developments in the area. These developments rely on efficient transport logistics, infrastructure and shipping systems to be in place in order to maximise economic returns on major investments. The increase in tonnages moving through the Port facility will not only maximise the use of the infrastructure, but at the same time will provide significant opportunities for integration and the leveraging of investment with other industries. This project is now reliant on the owner of the grain handling infrastructure (Viterra, soon to be Glencore) investing in the upgrade of the belt loader. To date, Viterra has initiated engineering investigations into the existing loader capabilities.

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PORT

2003

2004

2005

2006

2007

2008

2009

2010

2011

Thevenard

1,778,421

1,680,385

1,814,575

1,955,008

1,888,207

2,071,234

1,959,234

2,704,559

3,000,528

Port Lincoln

1,534,472

1,877,392

1,204,644

1,711,542

765,575

945,934

1,225,940

2,257,835

2,578,253

Port Giles

436,498

699,152

399,845

542,081

154,102

362,472

305,949

520,987

1,043,882

Wallaroo

219,474

706,939

340,704

425,330

165,391

424,866

505,530

702,524

908,937

Port Pirie

588,207

403,837

407,121

313,467

272,397

298,232

669,958

519,336

203,101

Table 16: Flinders Port Shipping Statistics Port Spencer – Sheep Hill Sections 2.6 and 8.3 provide the background discussion on the proposed Port Spencer Development to support Centrex Metals’ mining operation at Wilgerup. The proposed port is strategic as the site provides access to cape class vessels (200,000 tonne payload) within 480 metres of the coastline. The site is central to both the iron ore mining tenements and to the grain industry on Eyre Peninsula providing substantial cost savings in transport costs and heavy vehicle traffic in Port Lincoln. The Port Spencer development aims to provide a multi commodity port that serves the mining and grain commodities as an alternative industry hub.

Figure 10: Port Spencer, Eyre Peninsula

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Lucky Bay Common User Export Facility Section 8.3: Port Infrastructure provides the background discussion on the Lucky Bay Common User Export Facility. This facility utilises an innovative container and barge transhipment system originally intended for IronClad Mining Limited’s operation at Wilcherry Hill, however it can also be used for other commodities such as grain. The Lucky Bay Common User Export Facility provides an opportunity to make substantial savings in transport and heavy vehicle costs in Port Lincoln as it has the ability to provide a multi commodity port that serves the mining and grain commodities as an alternative industry hub. Road Network The agriculture industry is a heavy user of the Eyre Peninsula road network and a number of issues that require addressing have been identified by the Agriculture Target Team including highway passing lanes, the Port Lincoln CBD Bypass and support for the EPLGA Road Priority Projects. Refer to Section 8.1: Road Network. Rail Network The increase in infrastructure requirements to support mining activity brings opportunities for the Agriculture industry. The Port Spencer development includes investigating a strategically located rail haulage route that provides a key link from central Eyre Peninsula mining operations to Port Spencer which would also provide benefit to central grain growers. Refer to Section 8.2: Rail Network. 3.4 SUSTAINABLE AGRIBUSINESS INITIATIVES Input costs have an obvious risk factor in the percentage ratio of cost versus returns, driven directly by the natural experiences and vagaries of weather – i.e. insufficient or untimely rain, frost or early onset of hot temperatures. Vehicle Registrations The disproportional increase in registration fees from single vehicles to road trains and B trains makes it cost prohibitive for farmers to select the most efficient transport mode for carting grain. These fees have doubled recently and this does not encourage investment in the most efficient farming systems. In addition to addressing registration fee increases, there is also a need to encourage advancement in road transport capacity through introducing larger payloads. Western Australia demonstrates a system of efficient combinations and South Australia should follow suit through a change in legislation allowing these vehicle combinations. Chemical and Fertiliser Costs In addition to the grain handling costs discussed in the previous sections, fertiliser and chemical input costs are a significant component to farming costs of production. Supplier pricing of fertiliser and chemical has historically been reflective of grain prices which causes volatility in pricing. Volatility in turn elevates the risk farming enterprises must carry in preparing forward budgets and setting grain marketing strategies to achieve profit targets and remain sustainable.

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Mice Baiting The impact of mice plagues has been a significant issue for Eyre Peninsula farmers in recent years. This is exacerbated with changing farming techniques such as retention of stubble and intensive crop rotation. The frequency of mice numbers reaching plague proportions has elevated to 1 in 5 years vs historical figures of 1 in 15 years. Mice baiting is very expensive and regulations are restrictive leaving farmers with little choice in managing this risk. Farmers are already required to have Chem Cert qualifications to handle chemicals on farm and should be allowed to mix mice bait chemical provided they meet certain protocols. This would provide cost competitive alternatives, improving profitability and sustainability. Commodity Prices Since market deregulation farmers have experienced volatility in commodity prices. Grain prices are at the mercy of many influencing factors including:

Total world grain supplies, impacted by: o Prices o Weather o Other grain prices

Demand, impacted by:

o Economies o Substitutes o Policies

Australian factors:

o Australian dollar o Local weather

World grain stocks are the major factor and all of these elements are constantly changing and the market is constantly assessing “fair value”. Profit is defined as the difference between input costs and ultimate crop returns with crop yields and harvested product prices being the deciding factors. This situation provides short term risk in meeting the input costs with forecasted target yields and prices set without a guaranteed result, and a longer term risk in being able to achieve profit targets that allow for machinery replacement and succession planning. A key conjecture with Australian agriculture production is the belief at government level that it can continue indefinitely to compete against subsidised products. Products are sold into the same markets with the same basic supply and demand criteria but with a vastly uneven playing field in terms of return for producers. Competitiveness has been maintained to this point by means of improved efficiencies – e.g. scale of operations, water use efficiencies (minimum till) etc. It is questionable that these types of initiatives will deliver the required competitive gains needed to remain sustainable in the long term. Under guidance from the Agriculture Target Team RDAWEP will investigate potential initiatives to mitigate the risks of volatile commodity prices such as:

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Improvement in the industry’s access to warehouse data which gives an indication of supply stocks of grain which in turn affects price.

Investigation into value adding opportunities for grain and livestock to attract a price premium e.g. branded lamb products and exploring alternate uses for crops within the domestic market and niche contracts for the global market.

Supporting additional grain marketers offering products to Eyre Peninsula farmers as third party port operations emerge and doing business becomes easier outside of the current monopolistic control.

3.5 INDUSTRY SKILLS AND WORKFORCE DEVELOPMENT Workforce demand has the potential to impact the region’s agriculture industry. As mining activity increases so too will the need for skilled workers to carry out the projects. The agriculture industry is at risk due to the financial discrepancies between mining wages and agriculture wages, and the transferrable nature of agriculture skills to the mining industry such as heavy vehicle operation, diesel mechanics and welding skills. Without a sustainable skilled workforce the ability for the region to maintain food production at current levels is questionable. Service industries supporting agriculture including machinery dealerships will also be impacted by the migration of skilled workers to the mining industry. The need for training facilities within the region remains a priority for the agriculture industry. Travelling to Adelaide to undertake training proves costly and often affects the youth retention rate within the region. Eyre Peninsula has two facilities that deliver agriculture training – Minnipa Research Centre and Sims Farm in Cleve. Refer to sections 12.3 and 12.4 for the details about these facilities. In addition to supporting these training facilities the development of a scholarship program supported by industry is also a key initiative to retain youth in the region. 3.6 NATURAL RESOURCES MANAGEMENT As discussed in Section 1. Introduction: Overview of the Region, Natural Resources Management (NRM) in this region is primarily the focus of the Eyre Peninsula Natural Resources Management Board. RDAWEP has not traditionally had a direct role in the planning and implementation of environmental projects. Under guidance from the Agriculture Target Team, NRM issues as they relate to agriculture will be a greater focus for RDAWEP in the future, particularly with the Australian Government’s Clean Energy Future program. Climate Variability Weather is a crucial factor to the success of farming enterprises. Any variance to weather conditions has a detrimental impact on yields and therefore profit. Climate change is a threat for the Whyalla and Eyre Peninsula region. Predictions suggest that the southern parts of South Australia are likely to become warmer, with an increase in the number of hot days and a decrease in the number of colder nights. Projections to 2070 show a warmer future with the best estimate showing increased drying. Adapting to and managing the impact of climate change is no longer a question of ‘if’ but rather ‘how’, ‘where’ and ‘how fast’.

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Forecasts suggest that the impacts of climate change could result in changes to the marine and coastal environment. Potential problems include rising sea levels (which might affect coastal residential and tourism developments), rising sea temperatures (causing thermal expansion of the upper layers of the oceans), increased seawater acidification (due to higher atmospheric carbon dioxide levels), altered ocean currents, changes in upwelling events and impacts to fisheries productivity. Predicted drier weather patterns and increased wind and storm damage are likely to impact cropping land, arable land and farming practices in the region. The effects could include shorter growing periods for native plant and animal species as well as agriculture, fishery and aquaculture resources. Water resources are likely to be further strained, with a decline in annual rainfall and higher evaporation rates leading to less runoff to streams and estuaries. Droughts are expected to be more frequent and more severe. Clean Energy Future The Australian Government’s Clean Energy Future is comprised of four elements:

1. A carbon price, 2. Renewable energy, 3. Energy efficiency, and 4. Action on the land.

Action on the land is made up of seven elements known collectively as the Land Sector Package which recognises the crucial role biodiversity plays in maintaining the productive capacity of our landscape. The Australian Government Department of Sustainability, Environment, Water Population and Communities (SEWPaC) is responsible for the delivery of four new measures that support the restoration and protection of landscapes. These measures are designed to assist the land sector transition to a lower carbon economy while improving the resilience of Australia’s landscapes to the impacts of climate change, improve the environmental outcomes of carbon farming projects and help landholders protect carbon and biodiversity values on their land. The four measures are:

1. Biodiversity Fund ($946.2 million) to help build connectivity and resilience in the landscape by promoting biodiverse carbon plantings and revegetation, management of existing biodiverse carbon stores and managing pests in a connected landscape.

2. The establishment of a permanent, expert Land Sector Carbon and Biodiversity Board ($4.4 million) to provide advice to ministers and parliament on the implementation of the Land Sector Package.

3. Regional Natural Resources Management Planning for Climate Change Fund ($43.9 million) with the Department of Climate Change and Energy Efficiency (DCCEE) to support regional NRM organisations to incorporate climate change mitigation and adaptation actions on the land into existing regional NRM plans.

4. Indigenous Carbon Farming Fund ($22.3 million) to support Indigenous participation in the

Carbon Farming Initiative with DCCEE. The Land Sector Package also includes the following measures to help rural communities benefit from carbon farming:

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Carbon Farming Initiative non-Kyoto Carbon Fund ($250 million) to purchase CFI credits that

are not counted towards Australia’s Kyoto Commitments (DCCEE).

Carbon Farming Futures ($429 million) measure to help farmers and other land holders to benefit from Carbon Farming. This work will include R&D along with extension and a grants program. (Department for Agriculture, Forestry and Fisheries).

Carbon Farming Skills ($4.2 million) package to support green jobs and ensure that landholders have access to credible, high quality advice and carbon services (DCCEE).

The Regional NRM Planning for Climate Change Fund will support the 56 regional NRM organisations to incorporate climate change mitigation and adaptation actions on the land into existing regional NRM plans. Funding is $43.9 million over five years and the project has two streams: Stream 1: Funding for regional NRM organisations to update existing regional NRM plans to support

land use planning for Carbon Farming Initiative, Biodiversity Fund activities and climate change impacts ($28.9 million).

Stream 2: Funding for coordination of research to produce regional level climate change information

in the form of scenarios that are directly applicable and useful for regional NRM planning ($15 million).

One of the requirements of the NRM funding is for the plans to use best available information to develop actions that are based on collaboration with government, community and other stakeholders. RDAWEP will play an important role in this process as a stakeholder and through its links with industry, particularly via the Agriculture Target Team. The RDAWEP Agriculture Target Team has identified two projects which may be eligible under Stream 2 of the Climate Change Fund to help improve forecasting information – namely the Regional Radar System and Regional Moisture Probes Project. The Regional Radar System involves installing weather radar infrastructure on lower Eyre Peninsula to capture more timely information on weather events coming through the region. The Regional Moisture Probes project involves data collection across the region to record sub surface moisture levels, moisture available in plant root zones and are used specifically to govern urea application rates during crop growth stages to try and maximise yields. Food Security The Food and Agriculture Organisation has estimated that the world population will rise by a third to 9.1 billion by 2050, resulting in the need for a 70% increase in food production. Eyre Peninsula’s agricultural sector will have an important role to play as a net producer of grains, legumes and red meat products. Whilst the Australian Government has not recognised the importance of food security due to the relative low cost of food production within Australia, food security and investment by overseas countries in Australia is receiving considerable media attention. Overseas countries are undertaking a long term strategy with future population growth expected to increase 35% or 3.5 billion by 2050. The impact on the demand for food is estimated at a 70% increase in production by 2050.

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Land Use Eyre Peninsula has an exciting future with the emergence of the two significant industries of mining and renewable energy, which have the potential to diversify the region’s economic base. The Green Grid report provides the basis to leverage both industry and carbon programs in the development of a new industry base within the region, including supporting renewable energy manufacturing. The region has the potential to provide 30% of the national renewable energy target by 2020, with the estimated potential of 2000 MV through wind, solar and wave energy. (See section 7.4 Renewable Energy for more detail). The Gawler Craton and the Eucla Basin provide one of the most exciting new mineral provinces in the world. Exploration interest and investment in the search for iron ore, coal, gold, lead, zinc, uranium, mineral sands, kaolin and graphite provide the basis of developing a sustainable new mining industry within the region. These opportunities have the potential to impact on the region’s agriculture industry in terms of land use. Whilst multiple land use is the goal, this cannot be achieved in all instances and the risk to the agriculture industry is a reduction in land available for broad acre cropping and livestock farming in lieu of mining and renewable energy enterprises. This has obvious impacts on food security. Corporate Ownership As individual farming enterprises struggle to remain sustainable, the region’s industry is likely to see an increase in corporate ownership of farms whereby economies of scale will be achieved through much larger parcels of land and the use of larger machinery that can operate at higher capacities. Corporate ownership also brings with it the likelihood of foreign investment funding these enterprises. Whilst this may be a way of continuing food production in the region, it is not conducive to sustainable farming enterprises as we know them today. The social and cultural impacts that this will have on Eyre Peninsula communities must not be taken lightly.

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3.7 SUMMARY – AGRICULTURE PROJECTS

PROJECT DESCRIPTION SUMMARY Industry Consultation and Support Target Team Maintain an effective Agriculture Target Team. Support the Upgrade and Maintenance of Transport, Storage and Handling Infrastructure Thevenard Port Upgrade Work with Port of Thevenard infrastructure owners and port

stakeholders to finalise an investment framework to enable the deepening of Yalata channel and upgrade of key infrastructure.

Port Spencer Provide strategic advice and support for the establishment of a mineral and grain export hub at Port Spencer.

Lucky Bay Common User Export Facility

Liaise with grain producers and exporters to identify grain supply chain infrastructure and handling system requirements for the Lucky bay Common User Export Facility.

Third Party Bulk Handling and Storage Identify future locations and planning zones for grain and minerals bulk handling and storage facilities.

Highway Passing Lanes Identify strategic locations for passing lanes on national and state highways.

Port Lincoln CBD By-pass Lobby and pursue funding for a heavy vehicle haulage route around the Port Lincoln CBD.

ELPGA Road Priority Projects Assist the EPLGA and DPTI with the prioritisation and implementation of the Whyalla and Eyre Peninsula Road Strategy. Assist the EPLGA and DPTI with the strategic assessment of road upgrades that are necessary for increased road train usage.

Rail Haulage Route Support the establishment of a new, strategically located rail haulage route that provides a key link from central Eyre peninsula mining operations to Port Spencer.

Support Sustainable and Viable On Land Agribusiness Opportunities Value Adding Develop a supply chain program for prime lamb products.

Work with prime lamb growers to facilitate market research and investigate opportunities for the development of value added lamb products. Work with farmers to facilitate market research and investigate opportunities for the development of value added grain products.

Input Costs Facilitate initiatives to drive costs down for farming enterprises Industry Skills and Workforce Development Workforce Development Planning Develop workforce planning packages for business and

industry across the region. Facilitate the engagement of the industry sector in the

development of a workforce plan. Minnipa Research Centre Support the development of the Minnipa Research Centre as

the key centre for agricultural research and extension initiatives on the Eyre Peninsula.

Sims Farm, Cleve Area School Support further development of the Agriculture Skills and Trade Training Centre at Sims Farm in Cleve.

Youth Scholarships Develop a scholarship program supported by the agricultural industry to retain youth in the region.

Table 17: Summary of Agriculture Projects.

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3.7 SUMMARY – AGRICULTURE PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Natural Resource Management Water Resources Work with the regional Water Taskforce to ensure the rapid

expedition of identified key priorities in the revised Eyre Peninsula Water Master Plan

Managing the Impact of Mining on the Food Supply Chain

Facilitate access to information for land owners working with Mining companies to effectively undertake multiple land use initiatives.

Clean Energy Future

Develop initiatives to take advantage of the Clean Energy Future program to increase the reliance of the Agriculture Industry.

Table 17: Summary of Agriculture Projects (Cont’d).

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4. FISHING, AQUACULTURE AND FOOD PRODUCT 4.1 OVERVIEW The region’s commercial fishing and aquaculture industry (which includes the West Coast and Eyre Peninsula sectors) accounts for approximately 80% of South Australia’s seafood produce. The industry is highly trade focused exporting over 80% of seafood produce from the region. Most of these products find their way into markets in New Zealand, Asia, Europe, the Middle East and the USA. In 2010/2011 the region’s aquaculture sector accounted for 97% of the total aquaculture production in South Australia. The total value of aquaculture production in the region for 2010/2011 was $234.7 million, or 96.3% of the total SA value of $243.645 million. The region also employed 87.3% (635) of the State’s 727 FTE employment positions in the aquaculture sector. (EconSearch Pty Ltd, The Economic Impact of Aquaculture on the South Australian and Regional Economies, 2010/11, A report prepared for PIRSA Fisheries and Aquaculture, May 2012). The region’s collective fishing and aquaculture industry employs over 1,024 people, with tuna farming and oyster growing being the largest employers.

PRODUCT SECTOR SOUTH AUSTRALIA RDAWEP

2010-2011 Production

(‘000kg) Value of

Production ($m)

Direct Employ (FTE)

Proportion of

Production

Value of Production

($m)

Direct Employ (FTE)

Aquaculture Southern Bluefin Tuna 5,800 140.170 177 100% 140.170 177 Marine Finfish 3,620 27.909 107 100% 27.909 107 Oysters 6,154 36.472 285 97% 35.623 267 Mussels 1,174 2.425 25 90% 2.241 19 Abalone 317 10.842 67 63% 6.711 51 Freshwater Finfish 168 2.323 29 0% 0.01 1 Marron and Yabbies 37 1.032 20 11% 0.126 1 Other 2,977 22.471 17 98% 21.900 13 Total Aquaculture 20,247 243.645 727 97% 234.681 635 Wild Catch Fisheries Rock Lobster* 1,695 82.4 Abalone* 815 28.0 Prawns* 2,319 34.4 Sardines 33,220 19.3 71 100% 19.3 58 Other Marine Fisheries* 3,683 27.4 Inland Water Fisheries* 1,679 5.4 Total Wild Catch 43,411 196.8 TOTAL SEAFOOD 63,658 440.445

Table 18: Production, Value and Employment of the Aquaculture and Fishing Industry, South Australia and RDAWEP. (*Please Note: data not yet available for 2010/2011 by region). Eyre Peninsula is developing a world class reputation for its high quality range of premium seafood in both domestic and international markets. This reputation has been built on sound environmental management, sustainability and entrepreneurship. In a major marketing initiative, Eyre Peninsula continues to develop a regional food brand under the banner of Eyre Peninsula – Australia’s Seafood Frontier, to differentiate the regional seafood product as world’s best quality - see Regional Food Brand page 73 for more detail.

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4.2 FISHING AND AQUACULTURE TARGET TEAM The Fishing and Aquaculture Target Team serves as a link through RDAWEP to major regional groups including Eyre Peninsula Natural Resources Management Board and Eyre Peninsula Local Government Association. The target team serves as a sounding board for the various fishing industry sectors and through collaboration will provide proactive advice to improve the sustainability of the industry. Members of the Fishing and Aquaculture Target Team are drawn from all sectors of the industry and provide high level strategic advice to RDAWEP Board members and staff. Target Team members also assist the Board in developing a high level regional plan for the fishing and aquaculture sector. The key priorities from this plan are then linked directly to the Board’s strategic planning documents. The Fishing and Aquaculture Target Team members provide direction on the following:

Provision of high level, strategic advice on matters and issues effecting the economic performance of the region’s various fishing sectors,

Advice on how to optimise and develop regional fishing infrastructure and resources, Identification of key priorities and effective strategies to assist with business development

initiatives including the roll out of relevant training and support programs in the region, Advice on existing and future workforce supply and demand requirements, and Providing advocacy and lobbying on matters affecting the economic performance of the sector.

Target Team Objectives The Fishing and Aquaculture Target Team key focus areas include:

Transport, fish unloading facilities, fuel access and infrastructure, Marine Parks, climate change adaption and natural resources management, Industry skills and workforce demand management, Marketing initiatives, Linking existing industry groups for greater collaboration, Lobby and advisory group to government, and Funding and investment attraction.

4.3 TRANSPORT, UNLOADING AND HANDLING INFRASTRUCTURE Transport Due to the nature of fresh seafood and the quality standards that need to be met, the distance to market is an issue from a time and cost of freight perspective as product must either be air freighted or road transported in refrigerated vehicles. RDAWEP is supportive of projects looking at reducing freight costs to the Perth and Queensland markets in particular where traditionally sales have been low due to transport cost barriers. Initiatives include sending seafood to Adelaide to be consolidated with complementary fresh product - e.g. fresh vegetables - and transferred to interstate markets as well as consolidating Eyre Peninsula product locally from various fishing sectors to send directly to domestic and export markets. Innovative value chain initiatives are also a priority for the industry where all the links along the supply chain are adding value to enable the highest quality product to be delivered to consumers. Examples of value chain initiatives include facilitating two way communication between the stakeholders within the supply chain to ensure consumer feedback reaches primary producers, and investing in packaging that extends shelf life, is fit for purpose with various modes of transport and ensures product traceability is protected.

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Unloading Facilities As part of the Eyre Peninsula Ports Master Plan developed in 2009, planning studies were undertaken for the upgrade of the Port Lincoln and Thevenard ports. The rationalisation of competing use between grain export and the fishing industry was addressed at both facilities with the recommendation that the fishing fleets be relocated to purpose built unloading facilities nearby. The preferred relocation sites are the old slipway facility at Thevenard and the old BHP wharf at Proper Bay in Port Lincoln. Refer to section 8.3 Port Infrastructure – Port Lincoln and the Port of Thevenard. Fuel Access Various sectors of the fishing industry have identified access to fuel along the West Coast of Eyre Peninsula as an issue. Fuel access is an important element in the design of the Thevenard Fish Unloading Facility however smaller unloading facilities south of Ceduna have limited fuel supply options which impacts on the efficiency of the industry. 4.4. MARINE PARKS The South Australian Government recently released the final consultation report on the establishment of the marine parks sanctuary areas within the 19 marine parks of the State waters. This follows the establishment of the 19 marine park boundaries in 2009, which allowed for the creation of the multi user boundaries within each of the marine parks. The establishment of the Marine Park Sanctuary Zones provides designated areas for the conservation of marine species where a no take policy for both commercial and recreational fishing exists and would allow only certain activities within the prescribed areas of the marine parks. These zones have been developed following extensive statewide engagement with the key industry groups and the local marine park advisory groups. While the establishment of marine parks has been supported by the commercial fishing industry and the community the concern is the lack of identification of the threats and the species that are presently threatened within the State’s marine waters. The establishment of the marine parks is about the future protection of the State’s most pristine marine environments for the future. Eyre Peninsula has been concerned with the economic impact of the introduction of marine parks, particularly on coastal communities which rely on the marine environment as the main economic driver to support commercial fishing and recreational tourism activities. The Department of Environment, Water and Natural Resources is required to undertake a regional impact statement on the establishment of marine parks to ensure that the communities and Government understand the impact and potential economic loss associated with the marine parks. In addition the compensation for loss of commercial fishing activity is yet to be determined. The establishment of the Marine Parks Sanctuary Zones has been determined at a total percentage area of 6%, which is less than the initial 20% sought by the conservation groups. The largest area of impact in the State is the Far West Coast Marine Park and the Nuyts Archipelago Marine Park on Eyre Peninsula. The sanctuary zones have been significantly expanded from what was recommended by the Local Marine Parks Advisory Committee – see Figure 11: South Australian Proposed Marine Park Zones.

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Figure 11: South Australian Proposed Marine Park Zones.

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The largest economic impact is on the fishing sectors which include the lobster, abalone and marine scale fisheries. The release of the document detailing the Australian Government’s proposed marine park structure is pending. The marine parks are located in national waters immediately adjacent to the State waters. An assessment of the combined economic impact needs to be fully understood for the region’s fishing and recreational activity. There is considerable nervousness within the commercial and recreational fishing industry sectors about the marine parks no take areas and the displacement impact that the sanctuary areas will have on each of the fishing sectors and coastal communities. The concern from the aquaculture sector is very understandable as there is significant alignment between the marine park protection zones and active aquaculture tenements in the region – see Figure 12.

Figure 12: Active Aquaculture Tenements, March 2012 4.5 SUSTAINABLE FISHING AND AQUACULTURE INITIATIVES Although future growth is looking positive, Eyre Peninsula’s commercial fisheries sectors are subject to global market forces and the costs of operating are exposed to considerable fluctuation. Over the past years industry input costs have been strongly influenced by rising fuel prices, fluctuating interest rates, unfavourable exchange rates, increasing wage rates and the global financial crisis; all of which have had an impact on the incomes of operations. (Australian Maritime and Fisheries Academy, Corporate Plan, 2009-2014).

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The Australian fisheries sector will continue to face a number of ongoing challenges including continuous changes to the operating environment due to exchange rate movements, increasing fuel costs, and ongoing changes to management arrangements. Additionally, longer-term challenges are emerging, including a move to the adoption of market standards in fish labelling and retailing in both the domestic and international markets, and the challenge to adapt to climate change. Given the above, the future sustainability and competitiveness of the region’s fishing sectors will depend on individual businesses being able to constructively address the price pressures that they will continue to face. Maximising the efficiency of operations by reducing overall input costs such as fuel usage, wages, and travel distances will therefore be essential. Quota Management The South Australian Government utilises quota management systems to manage the sustainability of the biomass for Eyre Peninsula’s fishing sectors. This is a potential risk to the fishing industry as quota is linked directly to the economic viability of the sector. Sustainable fishing practices and robust data collection on species stocks are vital for industry to mitigate the risk of quota cuts. South Australia’s Spencer Gulf King Prawn fishery entered history books with a series of firsts in sustainability. Represented by the Spencer Gulf and West Coast Prawn Fisherman’s Association (SGWCPFA), this fishery is the first prawn fishery in the Asia Pacific, and the first king prawn fishery in the world, to gain the prestigious Marine Stewardship Council (MSC) certification for sustainability. The MSC standard allows fisheries to be assessed by independent certification bodies against rigorous and science based criteria, and was established in consultation with international conservation and fisheries management stakeholders. The MSC standard is the benchmark for sustainable fisheries management. This type of accreditation not only demonstrates sustainability from a quota management point of view, but provides chefs, wholesalers and consumers with confidence as the market has a growing awareness of sustainable eating. Southern Bluefin Tuna South Australia’s Southern Bluefin tuna industry accounts for 99.6% of Australia’s tuna catch. Tuna is the largest single sector in the state’s aquaculture industry accounting for approximately 58% of the state’s gross value of aquaculture production in 2010-2011. In 2009 the international political decision and subsequent Australian Government announcement to cut Southern Bluefin Tuna quotas by 24% over the following 2 years (from 5,265 tonnes to 4,015 tonnes) had a severe impact on fishing operations with hundreds of local jobs lost and a estimated loss of $80 million annually to the local economy of Port Lincoln. Following evidence of the sustainable management and numbers of Southern Bluefin Tuna in the waters of the Great Australian Bight, the tuna industry and the Port Lincoln community advocated the reinstatement of the tuna quota back to the previous level of 5,265 tonnes. In late 2010 the fishing quota was again lifted from its all-time low demonstrating the severely depleted species is recovering. The species found mainly off southern Australia slumped to around 5% of its original stock size under international long lining pressure over 50 years and Southern Bluefin Tuna is on conservation groups' fish-eating advisory black lists, particularly after it was found to have been devastated by a hidden 20-year Japanese over catch.

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Recent stock assessments showed a dramatic increase in the number of juvenile fish, and sustained strength in the population of older fish. In 2012 the Tuna industry will be able to take 4,528 tonnes of Bluefin, up around 500 tonnes from 2011, and the quota will slowly rise over the next two years. Sardine Industry The sardine (pilchard) fishery is South Australia’s largest fishery by volume with the 2010-12 total allowable catch (TAC) being set at 34,000 tonnes representing about 15% of the total spawning biomass. Since its establishment, the industry has grown significantly with the value of output reaching $19.27 million in 2010/11. Fresh and frozen tuna fodder account for the majority of the volume of sales of sardines. It is estimated that approximately 55% of the total volume of fish sold in 2006/07 was fresh tuna fodder, while 42% was frozen tuna fodder. The remaining volume was sold for human consumption as either a fresh (0.6%) or frozen (1.8%) product. Into the future the sardine industry is aiming to achieve the supply of at least 10% of the annual harvest (approx. 3,400 tonnes) to alternate domestic or export markets increasing the net return of the product by developing new value added products. (EconSearch Pty Ltd, Economic Indicators for the South Australian Sardine Fishery 2010/11, June 2012). Abalone The western zone of the abalone industry fishery stretches from the Western Australian border around to Arno Bay in the Spencer Gulf. The value of output generated directly in South Australia and the Eyre region by abalone fishing enterprises was $31.0 million in 2007/08. The output generated in South Australia by associated downstream activities (processing, transport, retail/food services and capital expenditure) was $4.6 million, $2.9 million of which occurred in the Eyre region. (EconSearch Pty Ltd, Economic Indicators for the South Australian Abalone Fishery 2007/08, May 2009). Opportunities exist for improving the profitability of the region’s abalone product through innovative packaging solutions allowing producers to pack locally rather than relying on interstate partners. Oyster Hatchery - Food Security The Eyre Peninsula is South Australia’s major oyster producing region. Oyster farms are located in five major areas around the region which include Ceduna, Smoky Bay, Streaky Bay, Coffin Bay and Cowell. The oyster industry is the second largest aquaculture sector in the region with direct output valued at over $40 million. For as long as the oyster industry has been operating in South Australia it has been almost totally dependent on obtaining its regular annual spat (juvenile) oysters from hatcheries in Tasmania. Until recently the supply of spat has not been an issue for the South Australian industry as there has been a sufficient amount to support all growers. The rapid expansion of this sector in both South Australia and Tasmania, along with a number of other contributing factors has lead to a serious shortage of spat supply to the South Australian growers in recent years. The reliance on this one source for spat has left the industry in a very vulnerable position. Tasmanian suppliers of spat can only supply so much stock each year, therefore it is in their own interest to ensure the industry in Tasmania is adequately supported before any other interstate rivals. This has been to the detriment of the South Australian industry. The local industry has experienced restrictions on spat orders, delays in delivery and long waiting lists before obtaining stock. The most serious implication is the dramatic drop in the production levels two-three years after the shortage.

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Whilst South Australia has had an operational hatchery (South Australian Abalone Developments) since around the mid 1990’s it is widely acknowledged that it has not been able to cater adequately for the industry’s growing demand on stock. Industry has long supported the concept of another hatchery being established in South Australia to resolve this problem. The Eyre Peninsula has been considered an ideal location for the development of a hatchery facility for a considerable time. This has been due mainly to a number of key factors including good consistent historical production performance, de-centralisation of hatchery facilities to a different geographical location in the region, the pristine water quality (as per the EPA), good water flows and relatively sheltered bays. The development of a hatchery to support the oyster industry will inevitably provide significant ongoing economic benefits and flow-on to the State’s regions. This facility is the key-underpinning factor in the industry’s long-term ability to be able to expand and undertake activities such as exports to lucrative overseas markets on a regular basis. Having both the quantity and quality of product will increase the grower’s ability to become more competitive and meet the supply demands of these markets. Value Added Seafood Products Long regarded as a top-quality product, Eyre Peninsula seafood is appreciated by many of the world’s most respected chefs. The industry has demonstrated innovative value adding initiatives over the years including farming techniques, processing and packaging initiatives and marketing activities to drive profitability. RDAWEP is supportive of continuing to develop value adding initiatives for the fishing sector. 4.6 REGIONAL FOOD BRAND In 2006, the Eyre Peninsula food industry launched Eyre Peninsula, Australia’s Seafood Frontier, a co-operative marketing brand designed to position Eyre Peninsula’s food industry as a premium region showcasing its world-class strengths: i.e. environmental sustainability, innovation, pioneering spirit and premium quality food products. Brand Eyre Peninsula’s overriding goal is to develop and sustain a premium for its quality food products. Previous promotions have enjoyed considerable success, with food buyers and media applauding the initiative. The initiative promotes the region’s seafood and produce to leading food identities, chefs and trade representatives. It brings opinion leaders face-to-face with the fisherman, farmer and processor, educates them on the commitment, passion and pride that has seen the industry confidently take its place on the world stage. The result is improved returns for producers and reinforcement of Eyre Peninsula’s reputation as a premium food producing region. Brand Eyre Peninsula is championed by the region’s seafood industry, whose diverse wild and aquaculture products have built a strong reputation over the past 30 years. Leveraging existing relationships and markets, the region’s hallmark seafood producers provide a valuable leadership role, enabling emerging food sectors such as meat, wine and condiments, to enter the marketplace. Eyre Peninsula, Australia’s Seafood Frontier has been trademarked by RDAWEP on behalf of the Eyre Peninsula food industry. An industry steering committee has been established to develop the brand and implement key initiatives.

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Figure 13: Regional Food Brand

Membership Structure An active membership base is critical to ensuring Brand Eyre Peninsula becomes a strong, recognisable brand that consistently delivers quality products that stand out from the competition. Membership is available to Eyre Peninsula growers, processors, food service outlets and tourism businesses that achieve the Standards Program requirements. An annual membership fee is required. Marketing and Event Program Under the regional food brand initiative there are number of marketing strategies to increase the volume of business into domestic and international markets. The Brand Eyre Peninsula Marketing Program embraces the concept of ‘bold gestures’ – a theory that believes it is more effective to narrow the focus and create memorable connections with a brand, than to embrace mass marketing techniques. Establishing personal relationships and emotional connections with industry leaders is crucial to the program. All initiatives need to be targeted, imaginative and bold. An annual marketing and event program was launched in June 2012 and focuses on showcasing the magic of the region and reinforcing the brand values. 2012/2013 initiatives include:

Eyre Peninsula Seafood Week in Sydney

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Social Media Strategy Eyre Peninsula Seafood Week in Melbourne South Australian Pub Promotion Exclusive Eyre Peninsula Seafood Mission Australia’s Seafood Mission Opinion Leaders Program Interstate Print Campaign Photography Moving Billboards

Trade and Consumer Education Tools

Development of the Eyre Peninsula Seafood Flavour Wheel Eyre Peninsula Seafood Retail and Food Service User Guide Consumer Program

Culinary Tourism

‘Chef Masterclass’ Program Culinary guide to Eyre Peninsula Eyre Peninsula Food Service “Product Education” Program

Professional Development

‘Seafood Marketing Masterclass’ For further details on the 2012/2013 Marketing and Event Program, please refer to the Brand Eyre Peninsula 2012/2013 Food Prospectus. 4.7 INDUSTRY SKILLS AND WORKFORCE DEVELOPMENT Workforce demand has the potential to impact the region’s fishing and aquaculture industry. As mining, oil and gas exploration activity increases, so too will the need for skilled workers to carry out the projects. The fishing and aquaculture industry is at risk due to the financial discrepancies between mining wages and fishing industry wages, and the transferrable nature of marine skills to the mining industry. In particular, marine engineers will be in demand due to their mechanical skills and level of safety training. Without a sustainable skilled workforce the ability for the region to maintain food production at current levels is questionable. Service industries supporting fishing and aquaculture including marine mechanic companies, fishing and fuel supplies will also be impacted by the migration of skilled workers to the mining industry. The need for training facilities within the region remains a priority for the fishing and aquaculture industry. Currently the Eyre Peninsula has no means of offering certain elements of the training and skills development to service the fishing industry, mining, oil and gas industry and also fire fighting requirements. Candidates requiring training in the areas of marine engineering, sea safety and fire safety are required to go to Adelaide or interstate which is cost prohibitive for many. Eyre Peninsula has three facilities that deliver fishing and aquaculture training – The Australian Maritime and Fisheries Academy (AMFA) Port Lincoln Campus, TAFE Regional SA Port Lincoln Campus and the Lincoln Marine Science Centre which is predominantly used for aquaculture and fisheries research in regional South Australia. Refer to section 12.4 Tertiary Education Facilities for more detail about these facilities.

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RDAWEP with input from the Fishing and Aquaculture Target Team supports the expansion and development of the Port Lincoln Marine Science Centre as the key facility for aquaculture and fisheries research in regional South Australia. Eyre Peninsula Sea Safety and Fire Fighting Training Centre The AMFA has recognised an opportunity to expand its course offering to cater for the growing demand for maritime workers in the mining, oil and gas sector. In order to take up this opportunity, the academy requires an upgrade of training facilities to be able to deliver specific elements required by this sector. There are two components to this training: Engineering Through meetings with the Eyre Peninsula Mining Alliance, there appears to be a skills shortage that can be covered through the current MED1 course which includes the following engineering components: Diesel, Hydraulics, Automated Fire Fighting Systems and Refrigeration. This course currently requires 4 years of sea time to complete. Sea Safety and Fire Fighting Training including Helicopter Underwater Escape Training Fire Safety is a component of the Sea Safety Training and has application beyond the fishing and maritime industries. Land based mining operations, oil rigs, and local CFS and MFS organisations all require fire safety training. Currently participants wanting fire safety training are required to travel to the Brukunga facility in the Adelaide Hills. Helicopter Underwater Escape Training (HUET) is a specific requirement for working on oil rigs. The AMFA has identified a joint venture partner (Perth based ERGT Australia) to deliver such training in South Australia, provided facilities with the required infrastructure are available. RDAWEP supports the expansion and development of the AMFA as the leader in the provision of the maritime, fishing, and seafood industry-based education and development programs. 4.8 SUMMARY – FISHING, AQUACULTURE AND FOOD PROJECTS

PROJECT DESCRIPTION SUMMARY Fishing Industry Representation and Support General Maintain an effective Fishing and Aquaculture Target Team. Upgrade and Maintenance of Transport, Unloading and Handling Infrastructure Thevenard Fish Unloading Facility Work with the District Council of Ceduna and the fishing

industry to develop a commercial fishing industry unloading facility and safe harbour.

Port Lincoln Fish Unloading Facility Work with the fishing and aquaculture industry in Port Lincoln to develop a commercial fishing facility.

Fuel Access Assist with the establishment of fuel distribution on the West Coast for the fishing industry.

Management of the Impact of Marine Parks Marine Parks Communicate to Government the issues pertaining to the

development of marine parks around the Eyre Peninsula. Support the development of regional economic impact

statements for the proposed inner boundaries of marine parks around the Eyre Peninsula.

Table 19: Summary – Fishing, Aquaculture and Food Projects.

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4.8 SUMMARY – FISHING, AQUACULTURE AND FOOD PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Develop a Distinctive Regional Food Brand Branding Assist the region’s food industry to raise the profile of Eyre

Peninsula’s Food brand “Eyre Peninsula – Australia’s Seafood Frontier” to industry peers, buyers and consumers.

Develop an Eyre Peninsula “Australia’s Seafood Frontier” business plan.

Support Sustainable Fishing and Aquaculture Initiatives Quota Management Support industry in initiatives to improve sustainability of

fishing practices and research to prove biomass stock levels. Value Adding: Sardine Industry Assist the sardine industry with the development and trialling of

value added sardine products. Value Adding: Abalone Encourage and support abalone producers to develop

innovative, new value added seafood products for market. Food Security Encourage and support the development of an Oyster

Hatchery to sustain the region’s Oyster industry. Sustain and Develop Market Initiatives for Domestic and International Markets Market Initiatives Continue to facilitate and implement the “Australia’s Seafood

Mission” with food businesses, wholesalers, leading chefs, restaurateurs, and the food industry media. Establish two new value chains for seafood within Australia. Facilitate missions for food industry businesses to other states, regions and countries. Work with industry to facilitate trade displays at strategic food marketing events.

Industry Skills and Workforce Development Workforce Development Planning Develop workforce planning packages for business and

industry across the region. Facilitate the engagement of the industry sector in the

development of a workforce plan. Eyre Peninsula Sea Safety and Fire Fighting Training Centre

Support the expansion and development of the Australian Maritime and Fishing Academy (AMFA) as the leader in the provision of the maritime, fishing, and seafood industry-based education and development programs

Port Lincoln Marine Science Centre Support the expansion and development of the Port Lincoln Marine Science centre as the key centre for aquaculture and fisheries research in regional South Australia.

Table 19: Summary – Fishing, Aquaculture and Food Projects.

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The Brand Message: Nature gifted the Eyre Peninsula with something unique Something powerful, sharply defined, highly sought after; A coastal region that is: Isolated, rugged, pure, raw, with seafood to die for; Nature’s definition of indulgence and abundance.

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5. TOURISM 5.1 OVERVIEW The Eyre Peninsula is a vast and unspoilt region occupying the western area of South Australia. Tourism is one of the region’s key growth industries, with a rapidly growing reputation for its unique and diverse range of nature based visitor experiences and premium seafood products. The region has unique world class tourism experiences - whether it is whale watching at the Head of the Bight, snorkelling among sea lions and dolphins at Baird’s Bay, swimming with cuttlefish in Whyalla, cage diving with Great White Sharks or swimming with Southern Bluefin Tuna in Pt Lincoln, or having a gourmet camp oven under the stars in the Gawler Ranges. 5.2 TOURISM STATISTICS The Eyre Peninsula is one of 11 tourism regions across South Australia and accounts for more visitor nights (domestic plus international) than any other tourism area in the State except for Adelaide. It also has a longer average length of stay for domestic visitors than any other South Australian region. Tourism is an important economic sector that contributes over $260 million to the regional economy per annum and directly employs about 2,000 people. In 2008, Tourism Research Australia estimated that domestic overnight visitors spent $223 million or an average of $148 per night. In the same year, domestic day trip visitors spent $38 million in the region at an average of $137 per visit. See Table 20: Tourism Industry, Eyre Peninsula Collated Statistics 2003-2009. The South Australian Tourism Commission (SATC) recognises that tourism activity is generally characterised by short-term fluctuations within longer-term growth, and the Eyre Peninsula shares this pattern. The period of 2003-08 experienced a decline in the number of domestic overnight and day trip visitors to the region but there was a recovery during 2008-09. In 2004 overnight visitor numbers reached a peak of 2.14 million, in comparison to 1.28 million for 2007 and 1.8 million in 2009. A similar trend can be seen in the number of domestic day trips taken to the region with 411,000 visits in 2006 and a low of 276,000 visits in 2008, but increasing to 309,000 in 2009. Whilst no official research has been undertaken to explain the reasons for visitor fluctuations in recent years some contributing factors include: Global Financial Crisis (GFC). Despite the Australian economy recovering from the GFC of 2008-

09 more quickly than other major economies, domestic overnight tourism activity and expenditure were at the lowest levels since 1998.

Shorter Domestic Trips. In the last decade Australians have been less likely to travel domestically. Data indicates a move towards domestic trips of shorter duration, which threatens travel to more remote regional areas.

Fuel Prices. As regional destinations are generally drive destinations, fuel prices influence domestic travel within Australia. High fuel prices have particular significance for the Eyre Peninsula as the road trip from Adelaide around the Spencer Gulf via Port Augusta can take 6-9 hours, depending on which section of the region is being visited.

Cheaper Air Travel. Cheaper interstate airfares are now an expected feature of domestic aviation. A quick interstate city trip is consequently an appealing option for travellers who might otherwise have come to the Eyre Peninsula.

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Value of the Australian Dollar. The higher value of the Australian dollar during 2010-11 made international travel a cost effective option and there was a noticeable increase in the number of Australians travelling overseas.

OVERNIGHT

VISITORS 2003 2004 2005 2006 2007 2008 2009

Intrastate visits 295,000 282,000 250,000 304,000 265,000 249,000 283,000

Interstate visits 124,000 121,000 67,000 91,000 69,000 101,000 83,000

International visits

13,000 16,000 10,000 13,000 16,000 14,000 17,000

TOTAL 432,000 419,000 327,000 408,000 350,000 364,000 383,000 VISITOR NIGHTS

Intrastate nights N/A N/A 1,041,000 1,241,000 861,000 972,000 1,176,000

Interstate nights N/A N/A 395,000 495,000 249,000 534,000 516,000

International nights

N/A N/A 124,000 111,000 171,000 131,000 120,000

TOTAL 2,130,000 2,141,000 1,560,000 1,847,000 1,281,000 1,637,000 1,812,000 AVERAGE NO. OF NIGHTS Average length of stay (o/night visitors)

5

5.1

4.8

4.5

3.7

4.5

4.7

DOMESTIC DAY TRIP VISITORS

No. of Domestic day trip visitors

373,000 314,000 408,000 411,000 304,000 276,000 309,000

Spending by domestic day trip visitors

$28,000,000

$56,000,000

$25,000,000

$42,000,000

$35,000,000

$38,000,000

$30,000,000

Average expenditure per visit

$77.00

$151.00

$79.00

$103.00

$113.00

$137.00

$98.00

Spending by domestic o/night visitor

N/A

$138,000,000

$164,000,000

$174,000,000

$160,000,000

$223,000,000

$193,000,000

Average expenditure per visitor night (domestic o/night visitors)

N/A

$75.00

$79.00

$88.00

$92.00

$148.00

$114.00

Table 20: Tourism Industry, Eyre Peninsula Collated Statistics 2003-2009. (SA Tourism Commission, Eyre Peninsula Regional Profile)

(Please Note: SATC collects the tourism data for all regions across South Australia but data post 2009 has yet to be released).

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5.3 EYRE PENINSULA REGIONAL PERFORMANCE Although visitation to the region has generally declined since 2003, the unit spending by day trip visitors increased from $77 in 2003 to $113 in 2007 and then back to $98 in 2009. A similar pattern occurred for the average expenditure per visitor night with an increase from $75 in 2004 to $148 in 2008 and back to $114 in 2009. Nevertheless, there was a positive change in 2009 when the number of domestic and international visitors (and visitor nights for the same) exceeded the average for the previous 6 years. It is difficult to get an accurate picture of the region’s tourism industry because data collection systems leave a lot to be desired. Different research organisations seem to collect data from a different base. For example, according to the Australian Tourism Data Warehouse (ATDW) database, there were 216 accommodation facilities listed in the Eyre Peninsula in April 2010. However not all accommodation operators register with ATDW, so the actual number of businesses could be somewhat larger. RDAWEP has estimated that there are over 1,200 tourism businesses in the region comprising over 230 businesses directly involved with tourism and over 1,000 that can be best described as tourism related.

BUSINESS SIZE AND

EMPLOYEES

TOURISM CHARACTERISTIC

INDUSTRIES

TOURISM CONNECTED INDUSTRIES

TOTAL TOURISM INDUSTRIES

Micro (1-4 employees)

69 264 333

Small (5-19 employees

45 273 318

Medium (20-199 employees)

15 60 75

Large (200+ employees)

0 3 3

Total Employing 129 600 729

Non- employing businesses (includes owner/ manager)

105 435 540

Total Businesses 234 1,035 1,269

Table 21: Regional Tourism Business Data. (Regional Tourism Profile 2007, Eyre Peninsula Region, Tourism Research Australia).

5.4 SOUTH AUSTRALIAN PERFORMANCE In the 12 months to December 2008, South Australia received around 5.3 million visitors and accumulated 25.5 million visitor nights. Total travel expenditure in South Australia for this period was $4.3 billion, up 2% on the previous year. Total international and domestic visitation to the State was down by 7%. Overall total visitor nights decreased by 2% with international nights down marginally 0.2%, interstate nights were down 5% however, intrastate nights were up by 0.5%. South Australians travelling in their own State accounted for 37% of the nights, visitors from interstate 36% and international visitors 27% of the nights. (South Australian Tourism Trends, March 2009).

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The SATC Strategic Plan 2009-2014, indicates that tourism activity has generally been characterised by short-term fluctuations within longer-term growth. But overall, South Australia experienced limited growth in intrastate, interstate, and international demand. For example, for the period from 1999 to 2007:

International: South Australia’s average annual growth rate in visitor numbers was 1.6%, below

the national growth rate of 2.9%. The state’s average annual growth in nights was 5.9%, slightly above national annual average growth of 5.7%.

Interstate: South Australia’s average annual growth rate for interstate visitors was 1.6%, slightly below the national growth rate of 1.9%. South Australia’s average annual growth in interstate nights was 1%, slightly higher than the national average annual growth rate of 0.8%.

Intrastate: The average annual growth rate for intrastate visitors in SA was 0.9%, slightly above the national rate of 0.7%. Intrastate nights were down 1.1 % per annum both nationally and in SA.

Domestic tourism accounts for 94% of visitors to SA, 74% of visitor nights and 88% of visitor expenditure. SATC suggests that the downward trends in domestic tourism during the period from 1999-2007, both nationally and in South Australia, have been caused by factors including higher levels of personal and household debt; changing household consumption patterns; greater levels of outbound travel; a changing labour market; more affordable longer distance travel; increasing domestic holiday costs and fluctuations in the price of petrol. These factors affect affordability and competitiveness. Factors contributing to international trends during this period included the movement of the Australian Dollar; the increasing cost of oil translating to increased fuel surcharges; concern about carbon emissions generated through long-haul travel; ongoing international security issues; and intermittent concerns about potential pandemics. Combined, these factors reduced Australia’s affordability and attractiveness in the face of increasing competition from cheaper and more accessible destinations. 5.5 EYRE REGION’S SHARE OF THE STATE TOURISM MARKET The Eyre Peninsula region has marginally increased its share of the South Australian tourism market in recent years.

7.8%

5.6%

3.9%

6.8%

9.6%

4.6% 4.7%

7.5%

Intrastate visits Interstate visits International visits TOTAL

Eyre Region's Share of State Market(visitors)

2008 2009

Figure 14: Eyre Region Share of the State Tourism Market, Visitors 2008-2009.

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Over 2008-09, visitor numbers increased overall from 6.8% to 7.5% of the State market. This was comprised of a 1.8% increase in intrastate visitors; a 0.8% increase in international visitors, and a 1.0% decrease in interstate visitors to the region. There was a similar result with visitor nights during the same period. Intrastate visitor nights increased by 3.2%, but interstate and international visitor nights decreased by 0.5% and 0.2% respectively.

10.2%

5.9%

1.9%

6.4%

13.4%

5.4%

1.7%

7.1%

Intrastate nights Interstate nights International nights TOTAL

Eyre Region's Share of State Market (visitor nights)

2008 2009

Figure 15: Eyre Region Share of the State Tourism Market, Visitor Nights 2008-2009.

In summary, it is evident that numerous external factors have retarded growth of the tourism industry at the State level over past years. But the data demonstrates that tourism patterns in the Eyre Peninsula region are generally consistent with the fluctuating performance of the industry as a whole. 5.6 THE CURRENT SITUATION IN THE REGION Tourism is a tough industry and the majority of businesses struggle to make modest profits. Like all regions, the Eyre Peninsula is facing increasing competition to maintain, let alone grow, tourism activity. Because of relatively static growth in the domestic market, more discerning international markets and a growing range of tourism experiences, the region will have to work harder to maintain its market share. As a result of increased competition and changing tourist expectations, no tourism experience can afford to stay the same. Regions with a large proportion of operators who do not adapt to change will ultimately experience a decline in market share, through lower visitation or lower yield. Positive change will only occur if appropriate building blocks are in place to support the tourism industry moving forward. However, in recent years it has become evident that the regional tourism industry is suffering serious disparities and challenges in the areas of infrastructure provision, business capability, workforce capacity, product development and marketing.

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5.7 TOURISM TARGET TEAM RDAWEP has established a Tourism Target Team to identify industry wide needs, address key issues impacting the sector and encourage industry collaboration. Tourism Target Team members provide high level strategic advice to the RDAWEP Board members and staff. The Target Team assists the Board in developing a high level regional plan for the tourism sector. The key priorities from this plan are then linked directly to the Board’s strategic planning document. The Tourism Target Team members provide direction on the following: Provision of high level, strategic advice on matters and issues affecting the economic performance of

the region’s tourism sector, Advice on how to optimise and develop regional tourism infrastructure and resources, Identification of key priorities and effective strategies to assist with business development initiatives

including the roll out of relevant training and support programs in the region, Advice on existing and future workforce supply and demand requirements, and Providing advocacy and lobbying on matters affecting the economic performance of the sector. Target Team Objectives The Tourism Target Team objectives include:

The development of a Regional Tourism Plan, inclusive of advice about infrastructure, business development and a workforce skills strategy, and marketing,

Facilitation of tourism business development initiatives, Tourism training identification and implementation, and Funding and investment attraction.

Target Team Membership The Tourism Target Team membership includes representatives from right across the region including Government and regional bodies, business and industry associations and tourism related businesses. Specific organisations on the Target Team include EPLGA appointed Council representatives, the Department of Environment, Water and Natural Resources, Tourism Eyre Peninsula and the SATC. See Figure 16 and Appendix 3: RDAWEP Target Team Membership for more detail. Specialist input is obtained by invitation as required is at the discretion of the Chair and RDAWEP staff. Staff appointed to the Target Team undertake the implementation including: Provision of administrative support, Coordination of meetings and agendas, Assist the Target Team with the development of the Tourism Strategic Plan, Ensuring plan alignment with the RDAWEP Regional and Strategic Plans, The implementation of key actions and priorities identified in the Tourism Strategic Plan, Reporting to the Target Team on the progress of actions and initiatives, and Provision of management advice on all matters concerning the development and promotion of the

regional tourism sector.

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Figure 16: RDAWEP Tourism Target team Organisational Chart. 5.8 REGIONAL TOURISM BRANDING Background Prior to 2012 tourism destination marketing of the Eyre Peninsula was the responsibility of Tourism Eyre Peninsula Inc. under a resource agreement with the South Australian Tourism Commission. A state government restructure in late 2011 resulted in the withdrawal of all SATC resources from the region. As a consequence, a three year funding agreement was determined between local government, RDAWEP, SATC and Tourism Eyre Peninsula to fund a Regional Tourism Manager to facilitate destination marketing for the region. There has also been a significant effort from the SATC for regions to re-establish their identities and brands and to utilise these regional brands in the destination marketing of each region. In recognising the significant brand equity established by the existing food branding and the additional benefits of co-branding two leading industries, the tourism and food industries made a strategic decision to co-brand under the Eyre Peninsula, Australia’s Seafood Frontier brand – see section 4: Regional Food Brand for more details.

Deidre Turvey Chairperson

Eyre Peninsula Tourism Target Team

Eyre Peninsula Tourism Target Team

Diana Williams Chairperson

Product Development & Marketing

Subcommittee

RDAWEP Tourism Development

Manager

Adrian Griffen Chairperson Infrastructure Subcommittee

RDAWEP Economic Development

Manager/s

Craig Haslam Chairperson

Business Development & Workforce

Subcommittee

RDAWEP Business Advisor/s

Brad Riddle Tourism Development

Manager – Eyre Peninsula

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This decision led to the inaugural launch of the Eyre Peninsula, Australia’s Seafood Frontier tourism marketing program. This program is a dynamic initiative designed to secure Eyre Peninsula’s position as one of the world’s premium tourism and food destinations. By reinforcing the region’s competitive advantages in both the domestic and international markets, and by providing a unified, collaborative approach, the brand aims to maximise the tourism growth potential of the Eyre Peninsula. The brand will be championed by the region’s tourism industry leaders, whose products have built a strong reputation over the years. Leveraging existing relationships and markets, the region’s hallmark tourism and seafood products will provide a valuable role, enabling emerging tourism sectors such as culinary, conference and cruise tourism to enter the marketplace. Membership Structure An active membership base is critical to ensuring Brand Eyre Peninsula becomes a strong, recognisable brand that consistently delivers quality products that stand out from the competition. Membership is available to Eyre Peninsula tourism businesses, food service outlets, growers, and processors that achieve the Standards Program requirements, with an annual membership fee. Marketing and Event Program The Marketing and Event Program rationale has been outlined in section 4.6. The tourism specific initiatives for 2012-2013:

Eyre Peninsula – Australia’s Seafood Frontier Tourism Website Social Media Strategy Opinion Leaders Program Photography Online Advertising Campaign Seafood Frontier Fishing and Coastal Camping Guide Nullarbor Guide Eyre Peninsula Conference and Events Planner Eyre Peninsula Roadshow in Sydney Eyre Peninsula Roadshow in Melbourne

Trade and Consumer Show Support

Domestic Consumer Shows (Adelaide, Melbourne, Perth, Sydney Caravan Shows) International Trade Shows (Discover SA, Talk SA, ATE East, ATE West)

Culinary Tourism

‘Chef Masterclass’ Program – via regional food brand Culinary guide to Eyre Peninsula Eyre Peninsula Food Service “Product Education” Program – via regional food brand

Professional Development

Industry Specialist Program

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Figure 17: Gawler Ranges Wilderness Safaris Camp.

5.9 TOURISM INFRASTRUCTURE Successful tourism development initiatives require the ongoing upgrade and provision of strategic tourism infrastructure throughout the region. This includes:

The provision of integrated directional and interpretive signage, Accommodation upgrades and new developments, Ongoing improvement of visitor information centres, The strategic provision of interpretive centres, Development of walking, cycling and interpretive trails, Ongoing upgrade of camp ground facilities and caravan parks, and The continuous improvement and upgrade of key transport infrastructure such as airports, roads,

ferry services and ports. Initiatives concerning the development of roads and airports are outlined in section 8: Transport Infrastructure. Initiatives concerning the upgrade of arts and theatre facilities, walking trails, interpretive centres and foreshore developments are detailed in section 9: Social and Community Infrastructure. The overarching strategy for the long-term, comprehensive development of tourism in the region is presented in a separate report – (RDAWEP, Building Eyre Peninsula as a Tourism Destination, A Strategic Regional Tourism Plan for Infrastructure Provision, Business Capability, Workforce Development, Product Development and Marketing, Final Report January 2012).

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Figure 18: The purpose of Branding.

For further details on the Marketing and Event Program, please refer to the 2012/2013 Eyre Peninsula Tourism Prospectus.

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5.10 SUMMARY – TOURISM DEVELOPMENT PROJECTS

PROJECT DESCRIPTION SUMMARY Tourism Infrastructure General Assist Councils and developers to secure approvals and

funding to establish or upgrade high priority signature tourism projects at key locations. Maintain an effective Tourism Target Team Support and implement the upgrade of visitor information centres. Support the development of strategic interpretive centres.

Accommodation Facilitate accommodation upgrades and new developments. Cruise Ship Access Facilitate infrastructure upgrades to support cruise ship

access. Lucky Bay Develop Lucky Bay as a tourism gateway. RV Facilities Work with the EPLGA to develop a network of RV friendly

camp ground facilities. Tourism Marketing and Branding Regional Tourism Brand Assist the tourism industry to raise the profile of the region’s

tourism brand to industry peers, buyers and consumers. New Marketing Initiatives Develop a fishing and coastal camping guide.

Develop and implement a corporate and conference tourism marketing plan. Develop and implement an intra-regional famil program. Develop market appeal for the niche and VIP cruise sector. Develop the annual Nullarbor Guide. Develop the region as a culinary tourism destination. Manage the collection of tourism statistics. Support the development of international markets.

Table 22: Summary – Tourism Development Projects.

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6. SMALL BUSINESS SECTOR 6.1 OVERVIEW The region’s small business sector is an integral part of all townships with the highest concentrated numbers being in the two major cities of Whyalla and Port Lincoln. Small businesses are arguably the backbone of the region’s economy providing ongoing services, employment and sponsorship to local communities. Small business sustainability is directly related to the success of the region’s major industries – manufacturing and mining, agriculture, fishing and aquaculture, and tourism. Many small businesses have been established to directly support and service these industries. Also, many members of the community are employed in these industries and their living expenditure, in turn, supports the small business sector. The region’s business owners face daily issues including but not limited to geographical distance, freight costs, training and capability building costs, employment shortages, finance restraints, limited customer groups and the seasonality of some business operations. 6.2 WHYALLA RETAIL SECTOR Whyalla is the second largest regional city in South Australia and the major retail centre for the Eyre Peninsula and Upper Spencer Gulf region. Whyalla boasts some of the best shopping facilities outside of Adelaide and draws regular customers from across and beyond the region including Ceduna, Port Lincoln, Roxby Downs, Peterborough, Port Pirie, and towns in between. Whyalla’s businesses are spread throughout the city in several linear retail-shopping developments which house major department stores such as Harvey Norman, Harris Scarfe, Target and Spotlight. Whyalla has two major shopping precincts – Whyalla City Plaza and Westlands Shopping Centre - with the other shopping areas being smaller shopping villages or strips. Whyalla City Plaza Whyalla City Plaza is the major boutique shopping area located in the original CBD of the town. Over 100 businesses operate from this historical area housed in a mixture of art deco and older buildings. The Plaza houses the big five banks and professional services ranging from legal offices and employment organisations to real estate offices, boutique traders, a 24-hour gymnasium, other specialty stores and Harvey Norman. A short time ago there were ample premises available for rent in the City Plaza, however over the past 12 months many shops have been privately renovated and fitted out to suit new arrivals to the city, making for a more vibrant business district. The major shortcoming of the Plaza is the lack of available weekend and evening dining options. Only one of the two hotels serves meals and the cafes are closed in the evenings, Sunday’s and public holidays, and very few businesses trade more than 5 days a week. This is unhelpful for both visitors and members of the community who work normal business hours and wish to shop at these services during weekends. Westlands Shopping Centre The modern Westland Shopping Centre promotes itself as the largest undercover shopping centre in regional South Australia boasting over 50 stores including fashion chains of Noni B, Rockmans,

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Jeanswest, Supre, Betts and Strandbags, two major supermarkets, an internal food court, banks and many other specialty shops. Many of the stores open 5½ days with some trading 7 days. Located outside around the Westland Shopping Centre car park perimeter are the fast food giants KFC, McDonalds, Pizza Hut and Hungry Jacks along with Woolworths Petrol, Radio Rentals and The Car Bath. In 2008, Westlands announced a $55 million upgrade comprising an extension ($35 million) and fit outs of the existing shops (approximately $20 million). In late 2011, improvements to the existing car park facilities began, complementing the Whyalla City Council’s new Community Library and parking area. Further upgrades of the shopping centre are planned but have yet to commence. (Whyalla News, 14th April 2008, http://www.whyallanewsonline.com.au/news/local/news/general/55m-westland-upgrade/401351.aspx). Other Shopping Centres in Whyalla The other smaller shopping centres spread throughout the city comprise a general business mix including personal and professional services, health professionals, medical practitioners, restaurants, computer stores, gift and trade businesses. Some of these shopping clusters are very alive, fully occupied and offer a variety of shops and services with hardware retailers Stratco and Mitre 10, Cheap as Chips, Spotlight and Harris Scarfe scattered amongst other specialty shops. However, other shopping strips are located in bad positions due to previous poor planning and are mostly unoccupied. Some centres tend to look weary and rundown due to the lack of occupancy and poor maintenance. This broad distribution of services around Whyalla means that the business sector lacks critical mass. This is extremely unhelpful for businesses looking to attract customers, and makes it difficult for locals and visitors in their search for particular stores and products, which are frequently in different locations. The lack of suitable signage and marketing is also a significant impediment to businesses that are not located in the main shopping centres. 6.3 PORT LINCOLN RETAIL SECTOR Port Lincoln’s retail shopping businesses are predominately located in the two main streets; Liverpool Street and Tasman Terrace in the central CBD. These streets are mostly longstanding niche businesses and there is little shop turnover. Edinburgh Street is emerging as an additional retail area in Port Lincoln. The established retail commercial buildings that landlords have had difficulty leasing, relate to inefficient specifications or commercial leasing arrangements rather than a lack of new business expansion in the City. Many business owners and investors are favouring purpose built pre-leased buildings to meet the specifications and lease arrangements of the required business needs. The policy of 7 day trading is supported by the City of Port Lincoln council and currently, weekend opening hours are at the business owner’s discretion and often participation in Sunday trading revolves around seasonality and major events in the region. Kmart, Target, Radio Rentals, Retravision and Mitre10 are the key major brands and are in locations spread across the city. KFC, McDonalds, Subway and Eagle Boys Pizza are the fast food chains in the area. There are numerous car dealerships and light industrial businesses within Port Lincoln, mostly based south of the CBD. These businesses supply services to the key industries right across Eyre Peninsula.

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6.4 OTHER TOWNSHIPS Other regional towns, such as Ceduna, Cleve, Cowell and Kimba once had vibrant main streets with all buildings occupied. However in some townships operating facades are becoming more scattered and sparse. Core retail businesses still do well, but some businesses have merged in order to reduce overheads. The result is that some operations are now selling a wider range of goods and this is pressuring staff capability through the need to have a wider range of product knowledge and stock awareness. If regional retail is to survive in the smaller townships, business owners need to improve their signage and business presentation, become proud of their towns, champion their regions, and improve their marketing. It is also critical for more businesses to embrace on-line technology and develop their customer service skills to encourage customer loyalty. 6.5 SMALL BUSINESS SUPPORT AGENCIES Business Associations The small business sector has industry led support agencies in most townships. Both Port Lincoln and Whyalla have Chambers of Commerce. These are membership based business associations that strive to support and advance business and industry in their regions. The organisations provide individuals and businesses with information from with other business organisations, local government, regional development boards, and other relevant organisations through business networking, government information sessions and other information sharing events. Whyalla in particular, has numerous other support agencies including:

Whyalla 1st - a membership based business association that aims to develop a rapport with industry and government, bringing key business and professionals to speak on issues that affect Whyalla’s economic development and business future.

Enterprising Women - a membership-based women’s association with the charter to provide and

promote opportunities for women to engage in business networking, experience sharing and personal development activities.

Young Professionals Whyalla - has been created to help connect young business people who

have moved to Whyalla. The committee organises social events and fundraisers throughout the year to provide a platform for young people to meet and socialise.

Retail Traders Associations The Whyalla City Plaza Traders Association and the Westland Shopping Centre Traders work within their groups to encourage businesses to work on joint marketing promotions. Through their co-ordinators, these associations raise issues with Whyalla Council, consider long-term plans and strategies, and provide mutual support. They continuously determine strategies to vitalise and improve their shopping precincts, including funding arrangements to support marketing and promotion. Many other towns in the region have similar support groups undertaking similar roles, such as tourism and traders associations which work collectively on promotional and other strategies for the long term economic development their communities.

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6.6 BUSINESS DEVELOPMENT ISSUES Towns in the RDAWEP region are slowly experiencing an economic upturn with the population increasing and a relatively low unemployment rate. Business confidence is relatively positive, especially in Whyalla which is awaiting the commencement of numerous forecasted industrial projects. Many businesses in Whyalla and Port Lincoln are expecting higher turnover in 2012 than in previous years. Retail traders are nevertheless finding it tough competing with online sales, declining in-store sales and rising overheads - as is the trend nationwide. However, online technology provides an opportunity for regional businesses to find niche and new markets that are currently not being accessed. The businesses that are most likely to do well are those that are willing to respond to shifting consumer traits and change their business model to embrace and use online technology. The attraction and retention of skilled and experienced staff nevertheless remains the major problem for the region’s business sector. Other identified issues from all industry sectors include:

Skilled workers are moving away from communities into the mining industry to take advantage of the higher wages, leaving local enterprises (particularly skilled trades such as electricians and plumbers) with limited human resources capacity to carry out their business.

Managers and owners consequently have to spend more time on customer service and less time on business development and marketing. This trend is very noticeable on weekends where managers and owners undertake customer service to reduce the cost burden of staff penalty rates.

Some larger organisations have not developed the capability for major project readiness and are therefore not in a position to benefit from mining and industrial projects planned across the region.

6.7 RDAWEP BUSINESS DEVELOPMENT ADVISORY SERVICES RDAWEP has established a business advisory unit to assist the growth and sustainability of small to medium size business enterprises (SME). RDAWEP Business Development Advisers are located in Whyalla and Port Lincoln and they play a key role in the delivery of quality information to intending and existing SME throughout the region. This, together with the objective to promote, facilitate and foster sustainable economic development initiatives, creates business and industry growth, employment opportunities and attracts business investment to the region. The Department of Primary Industries and Regions (PIRSA) and Local Government Councils provide funding for this service as part of the RDAWEP Board partnership. This free and confidential service focuses on assisting the business sector with business enquiries and provides support services to individual businesses on an as needed basis, regardless of size or turnover. This support includes:

Business start up assistance to help prospective business owners understand the necessary core processes when starting a business. The level of assistance varies depending on the stage of business start up cycle and industry sector.

Assistance with construction of business, marketing and advertising plans – including the provision of templates, business feasibility studies, business planning and budgeting (cash flow and projected forecast), financial benchmarking and KPI setting.

Distribution of Australian Taxation Office (ATO) publications. (RDAWEP currently holds a Regional and Remote Services Contract to distribute pamphlets and assist country small business customers with general ATO enquiries. Distribution includes electronic formats to ensure that the latest information is circulated).

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Mentoring and the facilitation of contact between business and other Government bodies, including the ATO.

Advice concerning business expansion strategies, diversification strategies, succession planning and exit strategies.

Human resources and customer service advice. Assistance with government grant applications for funding to build business capability, business

efficiency and provide opportunities for innovation. Business Development Advisory services are delivered through a variety of means:

Provision of professional support and services in a confidential manner, one on one with regional business owners (through direct contact, telephone and electronically),

Attracting and facilitating workshops throughout the region and offering individual SME’s the opportunity to participate when appropriate,

Contributing to future growth and development of the regional economy by identifying client capabilities and potential and providing targeted and managed support,

Delivering concise, practical advice through tools provided by private enterprise and State and Australian Government programs, and

Identifying the needs of SME’s to build specific business and employment capabilities to ensure major project readiness – see section 6.10 for more detail.

The confidential meetings concentrate on the diverse needs of small business operators and include, but are not limited to, the development of marketing strategies, employment and human resources, cash flow projections, innovation and business diversity. The workshops are a mix of free and fee-based participation and directly service the needs of the region. The workshops range from short sessions to full day seminars on a variety of topics relevant to the needs of small business operators and their employees. Workshop topics include small business finance, business structures, succession planning, workforce immigration and skills, building business capability, business marketing (traditional and electronic), customer service and grant information. 6.8 BUSINESS AND ECONOMIC DEVELOPMENT TARGET TEAMS The RDAWEP Business Development Advisers have established industry based Target Teams to support business development strategies. The Eyre Peninsula Business Target Team (EPBTT) was started due to a critical need to provide the region’s business owners with a collaborative voice to ensure that their needs are heard and addressed in a timely manner. The EPBTT has been designed to achieve a greater degree of collaboration within the region and directly contribute to sustained levels of economic growth within local business and industries. Members of the EPTT have expertise and experience across a broad cross-section of business types, and include Council and network partners with representation from Cleve, Wudinna, Cummins, Ceduna, Port Lincoln, Streaky Bay, Kimba and Cowell – see Appendix 3: RDAWEP Target Team Membership. The Target Team meets throughout the region on a needs basis providing a direct voice to RDAWEP to ensure the current needs of Eyre Peninsula businesses are being delivered. A similar Target Team has been established in Whyalla, but in this instance the Whyalla Target Team has a broader economic development role in determining city-wide development initiatives. The Whyalla Target Team held its first meeting in July 2012.

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6.9 REGIONAL BUSINESS WORKFORCE Increasing industry expansion across the region and South Australia has resulted in employee shortages which are of high concern. RDAWEP works with business operators to increase training and work opportunities to encourage employees to relocate and stay at regional businesses. This strategy aims to ensure the growth and longevity of the regional economy. The Business Development Advisers are also working with high schools to develop a guest speaker program for RDAWEP staff and regional business and industry operators. The aim is to broaden student knowledge about the options and benefits of working in regional businesses in order to encourage young people to stay and work in the region. 6.10 MAJOR PROJECT READINESS The South Australian Major Projects Directory lists a record value of $109 billion in projects in South Australia. It is considered that these projects will provide many opportunities for SME’s to service the mining and resources sector. In order to bid for work in major projects or supply chains, businesses must undertake a prequalification (risk mitigation) process and provide a business capability statement. The capability statement needs to detail the required technical, managerial, and financial capacity to carry out contracts and minimise contractual risks. Owners and managers looking to expand and grow their businesses are showing interest in skill development and networking programs to develop and extend their business knowledge and the capability and capacity of their organisations. RDAWEP offers varying levels of assistance to help businesses become major project ready. This includes engaging with individual SME’s to determine their current capabilities, accreditations, future growth potential and readiness for joint venture projects. 6.11 INDIGENOUS ECONOMIC DEVELOPMENT STRATEGY In addition to supporting small business through the business advisory unit RDAWEP has a dedicated Indigenous Economic Development Officer to proactively drive economic and business development strategies for Aboriginal people. Background In 2008 the Eyre Regional Development Board prepared an Indigenous Economic Development Strategy in partnership with the region’s local Indigenous communities, DFaHCSIA, and other Australian Government and State Government agencies to identify opportunities and pathways for indigenous involvement in the growth of the regional economy. The recommendations continue to be implemented by RDAWEP. The goal is to create a vibrant and dynamic Indigenous community which balances cultural and social goals with sustainable economic development. The aim is to provide a strategy for the development of local economic growth and opportunities for Indigenous training and employment. The Economic Development Strategy identified opportunities for Indigenous involvement in five industry sectors:

Mining, The Indigenous and local economy, Land based activities in agriculture, horticulture and natural resources management, Water, sea and land based activities in commercial fishing and aquaculture, and Tourism and the arts.

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The report recognised the vast size of the region and acknowledged that there are different priorities and opportunities for Indigenous communities in three different sectors:

The northern region - Yalata and Oak Valley, Central region - Ceduna and surrounding areas, and Southern region - Port Lincoln and surrounding areas.

Economic development activities in the strategy are guided by the following principles: Commitment to quality of life for Indigenous people and the need to ensure that economic

development, employment and training opportunities are suited to Indigenous community needs. Commitment to the sustainable economic development of business and economic wealth for

Indigenous communities. Commitment to constructive and informed consultation and discussion with local Indigenous people

regarding actions and options to improve their economic life. In order to achieve the project aim, five key strategies were selected for implementation:

Establish good corporate governance and corporate structure. Establish a solid business investment methodology and framework for the corporate structure. Implement regional Indigenous economic development opportunities in the five industry sectors. Develop real employment and training opportunities that relate to key strategic business areas. Develop small business strategies and support systems from the ground up.

Indigenous communities of this region have made significant advances over the past five years, and embrace economic development as a strategy to improve their employment opportunities and the community and individual economy. The Indigenous Economic Development Strategy aims to pursue the economic development of Indigenous communities; however for this strategy to succeed the following will be required:

Government will need to provide appropriate resources for a minimum of three years to enable economic development enterprises to become established and successful.

Government will need to provide establishment resources that will enable businesses to borrow additional project funds on a commercial basis.

The restrictions and uncertainty of title resulting from existing caveats, Government purpose agreements, and leasing arrangements on community land and building assets need to be resolved to allow economic development strategies to proceed.

Indigenous communities, individuals and Native Title holders need to adopt and endorse appropriate structures that separate commercial decision making from social agendas and control.

6.12 INDIGENOUS ECONOMIC DEVELOPMENT PROJECTS One of the major impediments preventing Indigenous people from pursuing commercial opportunities is the problem of accessing suitable financial support, either by loans or overdraft arrangements. Whilst Indigenous Business Australia (IBA) provides limited assistance without security the organisation’s eligibility criteria does not always suit the need. Many Indigenous organisations and family groups have real estate that could be used for loans security; however the majority of assets have caveats that prevent their use as collateral for financial support. Government is slowly beginning to adopt a more commercial approach to such matters; however it is necessary to lobby continuously for policy changes to enable Indigenous people to progress in the commercial environment.

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RDAWEP is a member of three panels that support Indigenous economic development and employment. These are the IBA Business Consultant, the DEEWR Indigenous Employment Panel and FaCHSIA’s ‘Breaking the Cycle’ panel. It is imperative that RDAWEP participation is continued because these panels are important lobby groups for improving Indigenous access to funding and resource support for developing commercial activities and employment outcomes. RDAWEP Indigenous economic development activity provides ongoing mentoring and support to both new and existing business. This includes ensuring compliance with statutory obligations, the analysis of financial modelling, and supporting value adding initiatives to existing business operations. With the introduction of the DEEWR “Remote Regions Service Provider” system on 1st July 2013, it will be necessary to be either the lead agency or part of a consortium for the delivery of Indigenous services under this program. The aim of the new delivery model is to establish a one-stop shop for programs to support Indigenous employment, economic development, disabled services, community development projects, and youth leadership. RDAWEP currently provides services in three of the new remote regions identified by DEEWR in the new model, and should therefore ensure that this activity continues. Business Opportunities in the Mining Sector Increased mining exploration in the region provides opportunities for Indigenous commercial joint ventures. In particular, there is an opportunity for Native Title claimant groups to negotiate commercial contracts and employment outcomes by expediting the path of Indigenous Land Use Agreements which must be obtained by mining companies. For example, business planning has commenced to obtain haulage and road maintenance contracts with Centrex Metals Limited. It is imperative that ongoing liaison is maintained with mining companies to provide more commercial and employment opportunities for Aboriginal people. In order to support this initiative, funding will be provided either directly or obtained from DEEWR and/or IBA to engage specialist assistance with the preparation of tenders and contracts. Fishing and Aquaculture Sector The fishing and aquaculture industry is a major component of the regional economy and a leading employment provider. A number of Aboriginal people are already engaged in the industry, mainly as deckhands or in the processing area. Community based Aboriginal organisations have established two aquaculture ventures - one in the Port Lincoln region (a sub-tidal lease producing black lip mussels, that is being managed by an experienced operator) and an oyster lease in Denial Bay (this venture has recently been sold, but the organisation has retained a share in the operation). However, as with a number of community based ventures that do not have a joint venture arrangement the commitment to ensure commercial success is relatively low. Family based business ventures have demonstrably more success. Munda and Wanna Mar, a family organisation at Smoky Bay, has obtained a 20 hectare lease of water near Cape D’Estree. Benthic reports indicate high nutrients and suitable weed to encourage the establishment of an artificial reef for the purpose of abalone aquaculture. Support for this initiative will be provided with the development of a business case that will be used to obtain an aquaculture licence, and also a research grant from Commercialisation Australia. RDAWEP will provide support to obtain finance to establish the venture.

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Commercial Mixed Farming Enterprises Agriculture is the second largest industry in the region. During the past twenty to thirty years Aboriginal organisations and family groups have accumulated in excess of 50,000 hectares of land in the region. Most the land is suitable for either cereal cropping, livestock ventures or both. Some smaller allotments and parts of the larger ventures are suitable for herb and vegetable growing. The region currently has four herb and vegetable ventures in operation, but ongoing provision of mentoring and business support is required to ensure their success. Assistance is also required to enable these ventures to obtain financial support for improved infrastructure to make the operations more efficient and improve product quality. Assistance is being provided to negotiate joint venture agreements with experienced operators to ensure the enterprises deliver commercial returns and provide employment for Aboriginal people. The share farm arrangement at Koonibba Farm that has been operating for several years is working extremely well in this regard. Intensive support will be required to assist the Yalata community to develop the largest land holding in the region at Colona Station as a livestock operation. RDAWEP to date has coordinated the preparation of property management plans that will be used to obtain financial support for infrastructure improvements and livestock purchases. Arts and Cultural Ventures The region has two established visual arts outlets – Kuju Arts in Port Lincoln and the Ceduna Aboriginal Arts and Cultural Centre on the Far West Coast. These ventures sell Aboriginal art and artefacts produced by artists from across the region including communities at Koonibba, Yalata, Oak Valley and Scotdesco. The Ceduna Aboriginal Arts and Cultural Centre also has a language centre to safeguard, teach and provide information about the Wirangu language. Business and marketing plans have been developed for both art centres. The arts ventures require review with the aim to develop additional markets - either on the east coast of Australia or internationally. Both centres are included in an Indigenous Tourism Trail that is being developed, which will provide a marketing opportunity to improve sales and increase their customer base - see Aboriginal Tourism below. Aboriginal Tourism An Indigenous Tourism Trail has been planned across the region with the aim to retain visitors for additional days and improve the viability of existing Aboriginal tourism ventures through collective critical mass. The trail, which will be implemented in 2012/2013, includes activities such as Yalata beach fishing, Scotdesco cultural experiences; a walking tour at Koonibba, Ceduna Arts and Cultural Centre, Kuju Arts, and sites that have both Indigenous and non-Indigenous significance such as Eyre’s waterhole at Streaky Bay and Poonindie Mission near Port Lincoln. Tourism is an important and growing industry in the RDAWEP region. The region has many unique assets including the whale watch interpretive centre at the Head of the Great Australian Bight on the Nullarbor Plain, approximately 300 kilometres west of Ceduna. For six months of the year – usually between April/May and September/October - Southern Right Whales can be viewed from the boardwalks along the Bunda Cliffs directly above. During the June-July peak period up to 40 females with calves can be viewed within 100 metres of the shore. For the balance of the year visitors can view the spectacular and rugged cliffs at the Head of the Bight and avail themselves of the interpretive facilities. The whale watch venture currently hosts about 32,000 visitors per year. However, there is significant potential to value add to this business as it is located adjacent to the Eyre Highway, the main east–west

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road route across Australia. This route is very well travelled by interstate and international visitors on self-drive holidays across the country. Preliminary research indicates that the Nullarbor Plain region is ready to be established as a tourism destination and not just a drive through experience. Funding is currently being sought to prepare a feasibility study and business case to investigate the viability of establishing a resort style village on the Nullarbor Plain. The study will assess the merit and benefit of promoting the collective assets of the area to tour operators - such as Maralinga Village (a nuclear tourism experience), cave sight seeing (including cave diving), 4WD tours, nocturnal tours, whale watching, Aboriginal cultural experiences and beach fishing. The business case will consider options to attract investors and gain government funding support to position the Nullarbor Plain as a tourism destination. 6.13 SUMMARY – BUSINESS DEVELOPMENT PROJECTS

PROJECT DESCRIPTION SUMMARY Develop a Globally Competitive Business Sector in the Region Business Development Support and Advice Establish and maintain an effective Eyre Peninsula Business

Target Team. Establish and maintain an effective Whyalla Target Team. Provide professional business advisory services. Initiate business assistance and innovative development programs.

Business Innovation Assist businesses to secure funding to develop and commercialise innovative technologies, systems, processes and products.

Facilitate investment growth in the retail and services sector. General Actively support new and expanding retail developments. Whyalla Identify retail and services gaps in Whyalla and actively

promote business gap opportunities. Major Project Readiness Facilitate the collaboration of businesses to make them major

project ready Assist venture capital opportunities for business and industry General Develop a prestigious investment award recognising

outstanding business investment in the region. Develop a regional prospectus to attract external investors. Facilitate connections between business, industry and venture capitalists and provide strategic direction. Host a regional investment conference. Work with business and industry to develop investments offers that are commercially attractive to venture capitalists. Maximise investment attraction through leverage of the enterprise zone fund. Develop and update the regional industry investment profiles and regional prospectus.

Workforce Development Workforce Gaps and Needs Assist business and industry to identify employment shortages.

Identify workforce skills and training needs. Develop workforce planning packages for business and industry across the region.

Table 23: Summary – Business Development Projects (Cont’d).

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6.13 SUMMARY – BUSINESS DEVELOPMENT PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Workforce Development (Cont’d) Workforce Gaps and Needs (Cont’d) Facilitate the engagement of industry sectors in the

development of workforce plans. Facilitate the marketing of available employment opportunities. Develop a scholarship program supported by industry to retain youth in the region. Support youth development programs with a focus on entrepreneurship and business development. Actively promote and implement a business mentorship program in Whyalla that is directly targeted at younger business people.

Support export awareness and development initiatives General Facilitate export marketing opportunities and procedure

workshops. Support export awareness initiatives and grant access programs.

Facilitate Business Investment in Community Sustainability Community Banking Facilitate the establishment of community banking facilities

across the region. Indigenous Participation in Business and Commercial Investment General Lobby Government agencies to adopt a more commercial

approach to funding and policy. Maintain current position as a member of the Indigenous Employment Panel, the Indigenous Business Australia Business Consultant Panel, and the FaCHSIA ‘Breaking the Cycle’ Panel. Provide business advice and mentoring support to new and existing business enterprises. Support and further develop existing and new Indigenous businesses. Provide services as the “Remote Regions Service Provider” - either as the lead agency or as part of a consortium – in three designated areas of the region (Eyre Peninsula Remote, Far West Remote, and Whyalla).

Indigenous Business Opportunities in the Mining Sector Joint Ventures Assist key Indigenous organisations to establish joint venture

partnerships with mining related contractors. Indigenous Participation in Mining Liaise with mining companies to identify specific business

opportunities for Indigenous participation. Support the Indigenous community with the development of tender bids for mining projects.

Indigenous Participation in the Fishing and Aquaculture Sector Abalone Aquaculture Support Munda and Wanna Mar to develop an abalone

aquaculture venture.

Table 23: Summary – Business Development Projects (Cont’d).

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6.13 SUMMARY – BUSINESS DEVELOPMENT PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Indigenous Commercial Mixed Farming Enterprises General Assist Indigenous organisations with the implementation of

farm lease arrangements. Koonibba Farm Facilitate the development of a cereal cropping and livestock

operation on the Koonibba Farm. Colona Station Work with Yalata Community Inc to develop a long term

business and infrastructure plan for the re-establishment of Colona Station as a sheep station.

Herb and Vegetable Ventures Provide mentoring and logistical support for existing ventures and assistance for new ventures.

Arts and Cultural Businesses Ceduna and Kuju Arts Centres Work with the Ceduna and Kuju Arts Centres to implement the

recommendations of the Art Centre business and marketing plans.

Commercial Opportunities in the Tourism Sector Head of the Bight Continue to support the development and expansion of the

Head of the Bight and Nullarbor Plain region. Indigenous Tourism Trail Implement an Indigenous tourism trail across the Eyre

Peninsula. Nullarbor Tourism Venture Coordinate the development of a feasibility study and business

case that links the Head of Bight, Nullarbor Hotel Motel, Cooke 4WD and Maralinga Village to develop the Nullarbor Plain as a tourism destination.

Table 23: Summary – Business Development Projects (Cont’d).

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PART TWO:

INFRASTRUCTURE PROFILE

AND ISSUES

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7. UTILITY INFRASTRUCTURE 7.1 WATER SUPPLY Water supply is arguably the most important issue that impacts the future sustainability, growth and prosperity of the region. SA Water operates and maintains the regional water system, which is primarily comprised of two supply networks. Whyalla, Iron Knob and Kimba are connected to the State’s mains water distribution system and supplied with River Murray water via the Morgan-Whyalla pipeline. The southern and western parts of the region (Port Lincoln, Lock, Cleve, Wudinna and Ceduna) are supplied via the Tod-Ceduna pipeline from groundwater basins. The two systems are connected between Kimba and Lock with much of the supply now comprising a mixture of water from the River Murray and groundwater basins. The Eyre Peninsula does not have abundant natural water resources. For much of the Peninsula, the relatively low rainfall, high evaporation, permeable soils and flat landscape provide little surface run-off and few surface waters. The Tod River, about 18 kms north of Port Lincoln, is the only significant surface water catchment in the region but due to high salinity levels, the Tod Reservoir is no longer used for water supply. The region’s potable water supply is largely drawn from isolated local groundwater systems. The two major groundwater basins lie within the Southern Basins Prescribed Wells Area and Musgrave Prescribed Wells Area. Other localised lenses produce water of varying quality and quantity. Due to low rainfalls and poor recharge over some years, water allocations were reduced. Measures were introduced to reduce demand such as targeted communication, a rebates program and the implementation of water restrictions for a period of time. Water restrictions were removed in April 2011 and since then the region has been brought in line with the rest of the State where Water Wise Measures apply. When the SA Government released the Eyre Peninsula Demand and Supply Statement in April 2011, it identified that the demand for drinking quality water would exceed supply between 2017 and 2023 subject to the extent of population growth. However that finding has now been revised. The 2012 annual review found that under a worst case scenario of high population growth the demand for drinking quality water is projected to exceed supply in 2023-2024. The projection is extended to 2025-26 if population growth is low. This revised demand projection was influenced by several factors, including:

There was reduced regional demand for River Murray water in 2010-11 and SA Water did not have to utilise the region’s full entitlement - 9.3 gigalitres (GL) was supplied but the maximum supply capacity was estimated at 11.2GL.

Above average rainfall in 2009-10 and good rainfall during 2010-11 led to increased recharge into aquifers in the Southern Basins and Musgrave Basins Prescribed Wells Areas, resulting in increased licence allocations from some aquifers.

The impact of climate change on recharge to Prescribed Wells Areas and runoff into the Tod Reservoir catchment was less severe than originally projected. (Impacts of Climate Change on Water Resources, Eyre Peninsula Natural Resources Management, Phase 3 Volume 2, April 2012).

The growth in demand from the mining sector is not expected to have a detrimental impact on mains water supply because mining companies will supply their operations from the desalination of seawater or non-prescribed groundwater resources. (Eyre Peninsula Demand and Supply Statement Annual Review, April 2012).

The review noted that local government across the region has well developed capacities for capturing and reusing stormwater and reusing waste water for non-drinking purposes. But in this instance the impact of Community Wastewater Management Schemes could not be properly ascertained due to difficulties in obtaining reliable data.

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These water projections are very positive for the region so an Independent Planning Process about water use is now not required until 2018-19, but the situation will be monitored annually. Sustainable water use is a great concern to many people in the region. With forecast population growth and increasing requirements for water from the industrial sector there is growing local demand for the strategic establishment of desalination plants to supplement the existing supply. SA Water’s Long Term Plan for the region identified that seawater desalination is the preferred option for an additional water source. Subsequent Annual Reviews have identified two potential sites for the location of a plant on Lower Eyre Peninsula (at Sleaford Bay and Shoal Point). RESIC has estimated that annual water demand for industrial purposes on the Eyre Peninsula will increase from 30 GL in 2013 to 50GL in 2021. It is planned that approximately 80% of this water will be sourced from desalinated seawater and about 80% of this demand is for non-potable water. (RESIC, 2011 Resources and Energy Infrastructure Demand Study, Parsons Brinckerhoff, November 2011 p.10). SA Water will assess water applications from mining companies for trial or pilot mining schemes on a case by case basis – including partnership opportunities with new resources for both mining and public water supply. Several desalination plants have been proposed. Development approval has been given to BHP for the construction of a desalination plant at Point Lowly to support the proposed expansion of the Olympic Dam mine. BHP has indicated that the plant will produce about 80 megalitres of extra non-potable water per day that will be available for industrial and other use. The cost of accessing this water has yet to be determined. The City of Whyalla has expressed interest in obtaining this supply to assist with future industrial establishment in Whyalla. Another desalination plant will be established at Port Spencer to support the Centrex Metals iron ore mine at Wilgerup. More desalination plants will be needed to support other mining enterprises – particularly if slurry is to be used for transporting the ore in preference to road and rail transport. Collaboration between the private and public sector is essential to determine the capacity and best location for desalination plants. For example, there is considerable community and fishing industry concern about the possible impact of salinity discharge into Spencer Gulf from the BHP plant at Point Lowly. The potential impact on the Upper Spencer Gulf prawn fishery and the breeding grounds of the Giant Australian Cuttlefish are major concerns, which has led to a polarisation of opinion about the economic benefits and environmental consequences of desalination plants. The RDAWEP Board has identified the establishment of desalination plants for the provision of potable water as one of the most critical needs for the region, but there are mixed opinions about how and where desalinated water can be provided. Some people are in favour of locating smaller desalination plants at different sites around the region for provision of localised water supply. But access to SA Water infrastructure would be necessary for reticulation purposes. SA Water has advised that it is open to third party access to the drinking water system; however proponents would need to demonstrate their commitment and risk management procedures to comply with the Australian Drinking Water Guidelines and the Safe Drinking Water Act, 2011. There is no doubt that the State Government, SA Water, Local Government and other key regional stakeholders must commit to the strategic establishment of desalination plants to meet future community, business and industry water needs. Different types of desalination options should be investigated to ensure provision of the most cost effective and efficient infrastructure. SA Water has advised that it works collaboratively with prospective customers to ensure provision of the most efficient scheme to meet customer needs and that infrastructure planning is an ongoing part of this process. SA Water, however, is obliged to comply with National Water Initiative Principles (established in 2004) including the provision to ensure full cost recovery for water services.

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7.2 NATURAL GAS SUPPLY Whyalla is the only town in the RDAWEP region with a natural gas supply. The gas is provided from the Moomba to Adelaide pipeline via a 73km long 150mm lateral line from Whyte Yarcowie to Port Pirie and a 87.8 km long 200mm pipeline from Port Pirie to Whyalla under the Spencer Gulf. The major users of the gas in the Upper Spencer Gulf include OneSteel in Whyalla, Nyrstar in Port Pirie and Santos in Port Bonython along with a number of smaller industrial and commercial operations and homes in Whyalla and Port Pirie. The wider Eyre Peninsula is reliant on bottled gas supply.

Figure 19: Gas Supply from Port Pirie to Whyalla via Port Bonython. The demand for a natural gas supply to the region is likely to increase in forthcoming years as businesses look to achieve more efficient means of operation. The establishment of new mining and industrial enterprises will drive the demand for increased gas provision in the Upper Spencer Gulf. The capacity of Whyalla to meet the needs of industrial growth will be greatly enhanced by increasing the natural gas supply. Additional gas supply is required at Whyalla for pending major industrial developments by Arafura Resources, DEEPAK and Archean. However, the gas pipeline from Whyte Yarcowie to Port Pirie is operating at close to capacity. The pipeline from Port Pirie to Whyalla has spare capacity, but this is effectively not available because of the limitations on the supply of gas to Port Pirie. It has been known for quite some time that a duplicate gas pipeline is needed to meet industrial demand in the Upper Spencer Gulf. In 2004 the Upper Spencer Gulf Common Purpose Group, commissioned a research study into this matter. The Case for Increasing Natural Gas to the Upper Spencer Gulf concluded that the gas pipeline to Port Pirie was nearly at capacity, limiting the development of industries requiring gas at both Port Pirie and Whyalla. The study recommended that:

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Duplicate gas pipelines need to be provided to Port Pirie and Whyalla, at an estimated cost of $20 to $30 million.

The pipelines need to be large enough to meet future demand in the Upper Spencer Gulf region. The cost of gas must be competitive to attract industry. The study noted that, due to uncertainty about the long term gas demand and probable low financial return, a commercial pipeline developer is unlikely to build infrastructure with suitable capacity or deliver gas at a competitive price. The study consequently argued that government should have a role in facilitating the infrastructure provision because of the resulting economic benefits to the region and South Australia as a whole. (The Case for Increasing Natural Gas to the Upper Spencer Gulf, Potential Energy and GPS Engineering, 2004). One of the key issues for this proposal is that, under existing infrastructure provision arrangements in South Australia, the State Government expects that the cost of new infrastructure primarily for industrial purposes will be met by the private sector. In view of the multi-million dollar cost to upgrade gas infrastructure it is understandable that business enterprises have been reluctant to commit and development negotiations are at a stand still while the State Government and relevant agencies investigate options for future gas provision. In 2011 the Upper Spencer Gulf Common Purpose Group contracted Potential Energy and GPA Engineering to extend the 2004 study to: (1) provide an up-to-date capital development cost estimate to increase the gas supply to the Upper Spencer Gulf, and (2) review gas supply and gas prices in South Australia. (Increased Gas Supply to the Upper Spencer Gulf, Potential Energy and GPA Engineering, April 2011). The study investigated several options to increase gas capacity to the Upper Spencer Gulf. The findings relevant to increasing gas supply to Whyalla were:

Case study 3 – increase the gas provision to Whyalla by an additional 30 petajoules (PJ) per year using three looping pipelines and two compressors at a capital development cost of $80.9 million.

Case study 4 – increase capacity by an additional 60 PJ/year using a larger 350mm pipeline from Whyte Yarcowie to Port Pirie, a compressor at Port Pirie, and a 400mm pipeline from Port Pirie to Whyalla at a capital cost of $143.7 million.

The consultants noted that the cost estimates were preliminary and could vary by ± 30% and that provision of a new pipeline across Spencer Gulf is expensive and should be avoided if possible, unless it is absolutely necessary to meet the desired capacity. On gas pricing, the study found that South Australia is likely to suffer a growing gas price disadvantage compared to the eastern states as the availability of gas from the Cooper basin decreases and gas is transported from more distant reserves in eastern Queensland. In addition, the price of gas was estimated to increase by 3% to 5% per annum over the next ten years. The study re-emphasised the finding from 2004 that “unless Government support for expansion of the Whyte Yarcowie-Port Pirie-Whyalla pipeline is forthcoming, gas consuming industries considering establishing in the Upper Spencer Gulf would also have the price disadvantage of the cost of the expansion of the pipeline” and without Government support, gas consuming industries would need some other competitive advantage to offset the infrastructure costs and entice them to establish in the region. In summary, there is little doubt that the existing limitation on gas provision to the Whyalla area is a deterrent to industrial growth and that an appropriate infrastructure cost sharing arrangement between the State and Australian Governments and private sector needs to be determined to support the development of competitive enterprises in the RDAWEP region.

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7.3 POWER SUPPLY The Upper Spencer Gulf is the main source of coal fired power generation for South Australia. Power to the Whyalla area is supplied by ElectraNet from the Northern and Playford Power Stations via 275/132kV substations located at Davenport and Cultana. The Lower Eyre Peninsula transmission system – i.e. power supply for the area south of Whyalla – is supplied from wind and coal powered sources. A single 132kV transmission line extends from Whyalla to Yadnarie substation (approximately 8.5km west of Cleve). From Yadnarie, single 132kV transmission lines extend west to Wudinna and south to Port Lincoln. This transmission network is supplemented from wind farms at Cathedral Rocks, south of Port Lincoln (supplying 66MW) and Mt Millar, west of Cowell (supplying 70MW). Due to extensive distances, the Port Lincoln supply is supported by a back-up system of three diesel turbine generators, operated by Synergen, in the event that the transmission network fails. The western section of Eyre Peninsula is supported by a lower voltage 66kV transmission line that runs from the Wudinna substation to Ceduna and Penong. This transmission line and the rest of the network across the Eyre Peninsula are supplied by ETSA Utilities and comprise a mixture of 66kV, 32kV and 11kV distribution systems. The distribution networks are extensive and service most of the communities and farming enterprises in the region.

Figure 20: Existing Whyalla and Eyre Peninsula Electricity Transmission Network.

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The transmission lines from Whyalla to Port Lincoln were established in 1967 and are generally in poor condition. Condition assessments have reported that conductor corrosion, strand breakage and other damage from vibration have been commonplace since the early life of the line. The lines were partially upgraded in 1998 and 2008 to increase thermal rating capacity from the original 49°C to 65°C. The consequence is that it is no longer possible to implement further rating capacity increases as a means to cater for additional electricity demand. A recent condition assessment conducted by ElectraNet has recommended that the conductor, earth wire and towers (especially south of Middleback) be replaced prior to 2020, with some sections needing replacement prior to 2015. (Lower Eyre Peninsula Reinforcement, RIT-T: Project Specification Consultation Report, ElectraNet, February 2012, pp.17-18). Other transmission lines across the region have limited capacity to accommodate additional demand, especially at the extremities of the transmission system. For example, the transmission line west of Wudinna is at full capacity and in very bad condition. At present, the Lower Eyre Peninsula 132kV transmission system is operating at close to capacity during times of average demand. During peak demand the system exceeds capacity and relies on back-up support of diesel generated power from Port Lincoln. Electricity demand across the region is forecast to increase significantly due to residential, commercial, mining and industrial developments. Based on future demand information about these developments – especially for proposed mining and port projects – ElectraNet has identified that the existing electricity infrastructure throughout the Lower Eyre Peninsula is insufficient to meet the forecast load and that Electricity Transmission Code reliability standards at the Port Lincoln connection point will fail to be met from 2013/14 (based on an estimated average load growth rate for the Lower Eyre Peninsula of 3.3% over the next 20 years). Indeed, longer term projections indicate growth of over 900MW, with about 600MW of this load required south of Cultana. ElectraNet has stated that increases of this magnitude would be beyond the capability of the 275kV transmission lines between Davenport and Cultana and that infrastructure upgrade solutions for the Lower Eyre Peninsula need to be compatible with the longer term solutions for the region as a whole. (Lower Eyre Peninsula Reinforcement, RIT-T: Project Specification Consultation Report, ElectraNet, February 2012, p.13 and p.15). One problem for providing a reliable source of electricity across the region is that the anticipated new demands involve numerous spot loads dispersed over a wide geographical area, with the connections required at different timeframes. Power Transmission Infrastructure Upgrade Options In February 2012, ElectraNet prepared a Project Specification Consultation Report investigating options to meet future electricity demand. The report investigated numerous options for this provision, including:

Eight possible solutions that were studied but not progressed because they were considered to be unfeasible for technical and/or commercial reasons, and

Two options, which are considered to be credible infrastructure solutions, which were detailed in the report.

The credible transmission options are: (1) the provision of a 275kV double circuit transmission line from Cultana to Port Lincoln North, and (2) the provision of a 275kV double circuit transmission line from Cultana to Port Lincoln North, but initially energised at 132kV. Both options include four different infrastructure and implementation scenarios to cater for different connection demands. The costs were:

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Scenario 1 Scenario 2 Scenario 3 Scenario 4 OPTION 1 (Estimated $ million) 635 675 910 910 OPTION 2 (Estimated $ million) 535 620 910 910

Table 24: Estimated Transmission Upgrade Option and Scenario Costs. Both options require the provision of new substations and transmission lines in accordance with new connection requests but, for scenario 1 and 2 under Option 2, the provision of some substations can be deferred resulting in capital development cost savings of $100 million and $55 million respectively. The cost estimate of $910 million for scenarios 3 and 4 is the same for both options. Due to the lead time for establishing the new infrastructure, both options require the provision of additional diesel generation at Port Lincoln to ensure that ElectraNet meets its Electricity Transmission Code obligations. The consultation process regarding these infrastructure options commenced in April 2012 with public submissions required by 18 May. The ElectraNet Report did not discuss how the capital development costs for new transmission will be met. But based on existing cost recovery strategies in Australia it is likely that the cost will be passed onto consumers through higher electricity charges. This prospect is of considerable concern to the community, business and industry across the region because South Australians are already paying among the highest electricity prices in the developed world. (See Appendix 2: The Cost of Electricity). Other Power Supply Issues Fowlers Bay Power Supply Fowlers Bay, located 150kms west of Ceduna, is a small and remote community with a permanent population of about 20 people. The township comprises 77 allotments and about 40 houses, owned by 50 landholders. The township has six commercial businesses largely servicing the tourism industry including a 27 powered site caravan park, 9 holiday units, 1 bed and breakfast, a general store and kiosk and 2 fishing charter operations. Fowlers Bay has become a popular tourism destination for self drive travellers and fishing holidays with the community swelling to over 100 people during the spring, summer and autumn months and school holiday periods. The town is not connected to mains power as the western 66kV transmission line terminates at Penong. The lack of mains power is restricting growth and expansion of the town as a tourism destination and a base for nearby mining operations to the north of Yalata. Power is currently supplied by way of privately owned diesel generators. Residents pay for their own diesel which means the cost of power is subject to fluctuating fuel prices. This is unsustainable on a cost and carbon footprint basis. A large diesel generated power station is located approximately 30kms away at Nundroo. This unit provides power to Nundroo and the nearby small community of Coorabie. A single swer power line extends from Coorabie to within 10kms of Fowlers Bay. Nundroo and Coorabie have experienced significant population decline over the years. The Nundroo power station is consequently under utilised but has the capacity to support a larger population, such as Fowlers Bay. A demand survey conducted by the former Eyre Regional Development Board indicates that 50 Fowlers Bay landholders are prepared to connect to mains power with the projected uptake and consumption to be between 190,000 and 200,000 KW hours within 3 years from the initial connection. The connection of Fowlers Bay to the Coorabie swer line is recommended to enhance the sustainability and development of this coastal tourism township.

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Port Neill Power Supply Port Neill, located about 90kms north of Port Lincoln, is provided with power by the ETSA distribution network consisting of three single phase lines, each with 11kV capacity. These transmission lines run in parallel from a nearby substation at Lipson, with each line providing supply to a different part of the Port Neill township. This distribution network is operating at full capacity. The absence of a three-phase supply and limitations of the single-phase power supply are impacting housing growth and constraining the expansion of business and industry in the area. There is a need to upgrade the electricity supply to the town, including the provision of a three-phase distribution network from Lipson Cove, to provide security for the future growth of the community. This power infrastructure upgrade will provide opportunities for future housing development at Port Neill to accommodate workers at Port Spencer and the Wilgerup mine. (Interest in Land for Mine Workers, Port Lincoln Times, 17 April 2012, p.6). 7.4 RENEWABLE ENERGY Renewable energy has the potential to be a major industry in the region due to natural assets including consistent wind resources, sunshine and high wave energy action along the west coast of Eyre Peninsula. The region is rated in the top ten locations in the world for the production of renewable wind energy, with a landscape that is suitable to accommodate large scale wind farms. Indeed, the Eyre Peninsula has been identified as offering extensive opportunities for wind generation with four wind zones experiencing wind speeds above 8 metres per second and having the potential to produce more than 10,000MW of generation. (Green Grid, Unlocking Renewable Energy Resources in South Australia, Macquarie, Worley Parsons and Baker & McKenzie, 2012 p.1). Eyre Peninsula’s climate provides an estimated 300 cloud free days per annum, particularly in the northern parts of the region, making it an ideal location to support a large scale solar energy farms. In short, the region has an opportunity to make a significant contribution to the Australian Government’s target of providing 20% of the nation’s energy through renewable energy resources by 2020.

Figure 21: Cathedral Rocks Wind Farm.

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Wind Farms As previously indicated, the Lower Eyre Peninsula transmission network is presently supplemented from wind farms at Cathedral Rocks, south of Port Lincoln (supplying 66MW of power) and Mt Millar, west of Cowell (supplying 70MW of power). Both wind farms are not operating at full capacity because the 132kV transmission infrastructure will not cope with additional power inputs. Even though the Eyre Peninsula has been identified as an ideal location for wind farms the capacity limitations of the transmission network is presently a deterrent to the establishment of more wind farms in the region. ElectraNet expects that the proposed transmission infrastructure upgrade on the Lower Eyre Peninsula will have an impact on the total amount of wind power that can be generated. ElectraNet has consequently indicated that the market benefits associated with the development of additional wind farms will be taken into account in its assessment of the preferred infrastructure upgrade option for the Lower Eyre Peninsula. (Lower Eyre Peninsula Reinforcement, RIT-T: Project Specification Consultation Report, ElectraNet, February 2012, p.22). Green Grid Proposal In July 2010, a consortium including Macquarie Capital Advisers, Worley Parsons and Baker McKenzie (hereinafter the consortium) prepared a feasibility study which assessed the transmission and generation potential for wind energy in the Eyre Peninsula. The report supported a case for wind farm generation investment in four highly suitable wind zones that experience wind speeds above 8 metres per second: Southern Area – an inland area of higher elevation north of Port Lincoln. Central Area – a large inland area of higher elevation north of Cleve. Northern Area – a large remote inland area north-west of Port Augusta. (Note: this area is actually

outside the RDAWEP region and falls within the RDA Far North Region). Western Area – coastal areas around Elliston (see Figure 22). Stage 1 of the Green Grid project prioritised use of the central and western areas due to the size and maturity of wind farm developments being considered and ease of planning and logistics. Stage 2 would implement wind farms in the other two zones. Stage 1 will involve the construction of a high voltage 500kV above ground transmission network from Davenport to a connection point on the west coast near Elliston. The use of 500kV lines will enable large generation output to be carried at any one time. Each line will be rated for an average maximum of 1,000MW, but with tolerance to accommodate almost double this amount on occasions of high generation. Total capital cost for Stage 1 is estimated to be $613 million – with 78% for line costs and 22% for substations. Operation and maintenance for Stage 1 is estimated at $11.7 million per annum. Four wind energy companies with international experience have expressed interest in stage one of the Green Grid proposal – i.e. Origin Energy, Pacific Hydro, Transfield Services and Acciona Energy. The proposed transmission investment for Stage 1 would create 2,000MW of additional generation worth approximately $4.5 billion in wind energy generation. It is also estimated that this stage would create around 1,400 direct and 1,600 indirect jobs during construction and approximately 5,000 FTE jobs in total over the first 20 years of operation. (Green Grid, Unlocking Renewable Energy Resources in South Australia, Macquarie, Worley Parsons and Baker & McKenzie, 2012, p.43).

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Figure 22: Proposed Green Grid Development Stages.

Stage 2 would consist of an additional 500kV line from the Central region toward Port Lincoln and a second line from Davenport to the Northern region. These lines would unlock up to 1,000MW each with the total Stage 1 and 2 configurations supporting a total of 4,000MW. This would increase the generation capacity of South Australia to 7,500MW. Doubling the generation in Stage 2 from 2,000 to 4,000MW will cost an additional $296 million for capital and $6.6 million p.a. for operations and maintenance. The business case for the Green Grid project identified that the limit on interconnectors to Victoria is the greatest impediment to large scale wind generation on the Eyre Peninsula. The financing of the project assumes that electricity generated in Eyre Peninsula will be supplied to load centres in Victoria as part of Stage 1. For this purpose the consortium recommended a phased upgrade of existing transmission infrastructure to provide a 500kV system between Davenport and Heywood in Victoria. This option was recommended because it had the least cost, could be undertaken in stages and would enable substantial electricity flow to Victoria (more than doubling the current export between the two states). The estimated capital development cost for the Davenport to Heywood augmentation is approximately $818 million. Stage 2 assumes similar augmentation providing power to Mount Piper in New South Wales at an estimated capital cost of $1,853.71 million. (Green Grid, Unlocking Renewable Energy Resources in South Australia, Macquarie, Worley Parsons and Baker & McKenzie, 2012, p.41).

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Increasing the network capacity for wind generation from the current 900MW to 4,000MW would increase South Australia’s contribution to the Australian Government 2020 Large-scale Renewable Energy Target (LRET) from 5.7% to a forecast 30%. This will help Australia meet its renewable energy objectives at a lower cost to the overall economy. (Green Grid, Unlocking Renewable Energy Resources in South Australia, Macquarie, Worley Parsons and Baker & McKenzie, 2012, p.4). In early 2012 RDAWEP coordinated a delegation of key industry members to meet with Canberra representatives about the Green Grid proposal in order to gain a higher profile and recognition of the renewable energy potential of the Eyre Peninsula. Pacific Hydro Project Pacific Hydro is an Australian company specialising in hydro-electric technology and wind farms globally. Pacific Hydro has 1,934MW of hydro power and wind farm projects at varying stages of development, construction and operation in Australia, Chile, Brazil and the Philippines. Pacific Hydro technology uses a mixture of wind and water to generate electricity. The wind generators power pumps which pump sea water into reservoirs which is later used through turbines to generate electricity. For several years Pacific Hydro has been wind testing a coastal site to the north of Coffin Bay. Strategies are currently being pursued to develop this initiative as a pilot demonstrate project showcasing the pumped hydro technology.

Figure 23: Pacific Hydro Project Site North of Coffin Bay.

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Wave Energy Project Wave energy is the least developed of the renewable energy power sources but, in theory, has great generation potential because unlike wind, waves seldom stop. Wave energy is consequently regarded as one of the most concentrated forms of renewable energy available and about 100 companies worldwide are researching options to efficiently harness wave energy. Wave Rider Energy, a renewable energy company based in Adelaide, has developed unique wave harnessing technology and has constructed a pilot plant to test the capability and efficiency of the system. The pilot plant, constructed in Port Adelaide after four years of development, was launched in November 2011. The plant takes the form of a floating platform which will be anchored to the sea floor. The plant will produce power by converting the ocean’s kinetic energy into mechanical energy, with waves striking 144 buoys which rise and fall turning an axle to power 14 generators. The plant will be installed for testing at Lock’s Well, south of Elliston during 2012. Wave Rider Energy chose the west coast of Eyre Peninsula for the pilot project because the wave climate in the location is the best available in South Australia. In fact, the South Australian coast is regarded as one of the best locations for wave energy potential because the Southern Ocean is known to produce the highest and most powerful waves in the world.

Figure 24: Artist’s Impression of the Wave Rider Energy Pilot Plant.

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During the pilot phase the plant will not transmit energy to the shore but will be sending energy data to Adelaide for analysis. If the results are positive, a working plant will be constructed within two years that will produce one megawatt of electricity, capable of powering 500-700 homes – i.e. the plant could therefore power the town of Elliston. There is potential to use similar plants to desalinate water at several locations around the coast of Eyre Peninsula or produce energy for mining operations. Whyalla Solar Oasis Thermal Project A 40MW solar thermal project planned for Whyalla took a major step forward in March 2012 when the Whyalla Solar Oasis Consortium signed a funding deed with the Australian Government for a $60 million grant. The project is being driven by a Whyalla Solar Oasis Consortium comprised of Wizard Power (which bought the original solar dish technology from the Australian National University where it was researched and developed from the 1970’s) and two development companies, National Power and Sustainable Power Partners. The $60 million grant was first awarded to the project in 2010 from the Australian Government Renewable Energy Demonstration Program. However the signing of the deed was largely delayed by government caution after the winning tenderers for a similar $1.5 billion solar project failed to secure financing. But the Consortium is hopeful of sourcing equity and finance from Chinese partners and suppliers rather than Australian banks because Chinese investors have proven to be more innovative and flexible with cutting edge technology projects. The negotiations were underway in China in March 2012. Once the financial agreements are finalised construction is likely to commence in May 2013 and take about 30 months to complete. The $230 million project will be the first commercial scale solar thermal plant to dispatch power to the Australian electricity market. The project will generate 66 GW of solar electricity each year, enough to power 9,500 Australian homes and reduce greenhouse gasses by 60,000 tonnes per annum (equivalent to taking 17,000 cars off the road p.a.). The project will comprise about 330 solar dish concentrators which each have 500m² of curved mirrors capable of focussing energy on a receiver and generating steam with temperatures in excess of 2,000C. The plant will be located adjacent to a Solar Storage pilot plant already under construction by Wizard Power in Whyalla. This project, which has been supported by a grant from the Australian Government’s Advance Electrical Storage Technologies Program, will showcase Wizard Power’s energy storage technology – see Figure 8 on page 42 for an artist’s impression of the project. The project is expected to create over 200 jobs in Whyalla during construction, along with significant opportunities for businesses in the region and further jobs for the operation and maintenance of the plant. 7.5 NUCLEAR ENERGY At a strategic planning workshop in 2011, the RDAWEP Board identified that the use of nuclear energy should not be discounted and that the concept should be reserved as a possible longer term option. This decision was made in recognition of the potential and extraordinary amount of power that may be needed in the future to accommodate mining and industrial growth in the region. RDAWEP will therefore monitor information about nuclear power for future consideration. The current RDAWEP Board supported this decision at a strategic planning meeting on 21st June 2012.

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7.6 COMMUNICATIONS INFRASTRUCTURE The provision of reliable and fast communications infrastructure is critical to community and business development in the region. Telecommunications will be generally improved with the roll out of National Broad Band infrastructure. Optical fibre presently connects some of the region’s populated areas. But only Whyalla, Port Lincoln and Ceduna have access to ADSL broadband capable of carrying large volumes of data efficiently, effectively and affordably. ADSL services in other towns are only available through Telstra or resold Telstra wholesale services. Video conferencing facilities are available through schools, remote Indigenous centres, TAFE campuses and hospitals. In addition a number of Eyre Peninsula councils are providing video conferencing facilities to community groups and local organisations. National Broadband Network The National Broadband Network will deliver fibre-to-the-premises in towns such as Whyalla, Port Lincoln, Kimba, Cleve, Cowell, Tumby Bay and Ceduna. Other towns will receive wireless or next generation satellite services. NBN Co announced the details of the major three-year roll out across Australia in April 2012. Approximately 150 communities in South Australia are included in the plan but only four of them are in the Whyalla and Eyre Peninsula region - and they will not be connected until 2014. Whyalla will be connected with fibre between March and September 2014; Kimba and Cowell will be connected from September 2014, and Cleve will be connected from December 2014. Timelines have yet to be set for extending the fibre network to Port Lincoln, Tumby Bay and Ceduna, but the services are unlikely to be available until after 2015. The delay in rolling out NBN in this region is disappointing for some communities and businesses but the process is being driven cost efficiencies and project logistics and the principle of providing priority connection to people who presently have limited or no access to broadband services. The NBN roll out across Australia will take about 10 years. Once completed 93% of premises will receive broadband via fibre optic cable, but the remainder – which includes the bulk of remote communities – will be served by a combination of next-generation fixed wireless and satellite technologies - 4% via fixed wireless and 3% via satellite. Cummins will be among the 4% of towns to get the fixed-wireless alternative and the rest of the Eyre Peninsula, including Elliston and Streaky Bay, will have access to broadband by satellite. (Fast Internet Takes Time, Port Lincoln Times, 2 April 2012). Concern has been expressed that the inferior wireless and satellite services may disadvantage some businesses and households. Whereas fibre to the premises technology will provide broadband speeds of up to 100 megabits per second, the wireless and satellite services will provide download speeds of 12 megabits per second. As most remote Aboriginal communities will only be provided with satellite services, it has been argued that the NBN roll out will maintain disadvantage and widen rather than close the gap between Indigenous and non-Indigenous communities. (ABC News, NBN disparity threatens to widen the gap, 12 July 2011). It is arguable that some of the smaller towns in the RDAWEP region that are only provided with satellite services might be disadvantaged in comparison with larger regional centres. However, NBN Co has confirmed that smaller towns with hospitals that only receive a satellite connection will be able to use services such as E-health (on line electronic health support) because the new satellite services will be vastly superior to what exists now, and have the speed capability to send and receive large files. (Presentation by J Dennis, NBN Co Advisor – Stakeholder Relations to RDAWEP Board, 18 May 2012).

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One issue is that NBN Co has a town size threshold which means that some smaller towns (including those with hospitals, such as Wudinna) might not be connected to fibre even if the infrastructure runs right past the town. NBN Co is presently reviewing its Extension Policy so there is a chance that the fibre connection of some towns might be reviewed. RDAWEP should review the fibre connectivity status of towns across the region and argue for fibre connection where appropriate. The NBN rollout will provide opportunities for on-line business growth. RDAWEP should therefore foster business use of the Internet through forums and other means to encourage development of the region’s digital economy. Mobile Phone Coverage Mobile phone coverage presently extends across the region via the Telstra Next G network, giving broad phone coverage to most rural townships and communities. Other phone network providers (Optus and Vodafone) have expanded their service coverage and offer service alternatives, but only in the major townships. However some areas in the region, including places near regional centres and larger towns, suffer from communication black spots with poor, fluctuating and sometimes non-existent mobile phone and wireless broadband reception. The communications black spots are largely caused by local topography. Some areas to the north of Port Lincoln along the coast and in the Koppio Hills – such as Ungarra and Louth Bay - are notorious for poor communications, with mobile telephone calls and the Internet regularly losing signal. A community meeting held with Telstra at Ungarra in 2011 about the poor mobile phone reception was informed that it was cost prohibitive for Telstra to construct additional mobile phone towers to service such a small community. Nevertheless, if the Whyalla and Eyre Peninsula region is to remain economically competitive and be marketed as a quality place in which to live and work, the least that can be expected is that mobile telephone signal will not drop out during phone calls, especially when the caller is in direct line of sight to a major regional centre.

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7.7 SUMMARY – UTILITY INFRASTRUCTURE PROJECTS

PROJECT DESCRIPTION SUMMARY Water Supply Water Supply and Quality Work with the Regional Water Taskforce to ensure the rapid

expedition of identified key priorities in the revised Eyre Peninsula Water Master Plan.

Water Desalination Plants Provide strategic support for the establishment of desalination plants to support mining and community needs. Seek agreement with BHP Billiton to access additional desalination water for other industrial use. Pursue opportunities that will maximise local company participation during the construction of the BHP Billiton desalination plant near Whyalla.

Water Re-use Schemes Encourage and assist Councils with the development of water re-use initiatives in communities. Work with key stakeholders to secure funding for the expansion of the Port Lincoln CleanSeas water re-use scheme.

Natural Gas Supply Increased Gas Supply to Whyalla Support the expansion of gas supply to the City of Whyalla. Power Supply Power Transmission Upgrade Facilitate improvement in high voltage transmission

infrastructure. Fowlers Bay Power Supply Provide support to connect Fowlers Bay to mains power supply

via extension of the swer line from Coorabie. Port Neill Power Supply Pursue the upgrade of the mains power supply to Port Neill

inclusive of a three-phase supply.

Renewable Energy General Support the development and commercialisation of of solar

power technology in the region. Encourage the utilisation of local renewable energy source for desalination plant energy requirements.

Whyalla Actively encourage the use and adoption of renewable energy in the City of Whyalla.

Develop and promote the UniSA Whyalla Campus, regional Sustainability Centre as a key demonstration site for pilot renewable energy technology projects.

Wind Farms Assist developers to establish strategically located wind farms in the region. Support the aggregation of wind farm developments to determine capacity and the timeframe for establishment with the aim to facilitate transmission collaboration.

Green Grid Promote the benefits of Government investment into transmission infrastructure for large scale renewable energy projects to maximise the nation’s best natural resources.

Wind and Pumped Hydro Schemes Seek funding for a pilot demonstration site for the combination of wind and hydro renewable technology.

Table 25: Summary – Utility Infrastructure Projects.

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7.7 SUMMARY – UTILITY INFRASTRUCTURE PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Renewable Energy (Cont’d) Wind and Pumped Hydro Schemes (Cont’d) Justify locations for the establishment of combined wind/hydro

renewable energy schemes to provide competitive and reliable power.

Wave Energy Support the development and commercialisation of wave power technology in the region. Promote the establishment of the Wave Rider pilot plant at Elliston and the use of local contractors for monitoring programs.

Solar Oasis Thermal Project Liaise with Solar Oasis to identify key infrastructure priorities for the Whyalla Solar Thermal Renewable Energy Generation and Storage project. Support the development and commercialisation of the Wizard Power solar power project. Support the establishment of localised construction and supply agreements for the City of Whyalla.

Nuclear Energy Nuclear Power Collect information and research about nuclear power for

possible cost benefit consideration in the longer term. Communications Infrastructure NBN Rollout Review the fibre connectivity status of towns across the region

and lobby for NBN Co to connect additional towns to optical fibre where practicable. Encourage further investment by government and telecommunications providers into the development of a more cost effective, efficient and expanded communications network. Pursue funding opportunities that will enable the installation of a high speed, quality broadband network across the region.

Digital Economy

Foster business use of the Internet to develop the region’s digital economy.

Table 25: Summary – Utility Infrastructure Projects (Cont’d).

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8. TRANSPORT INFRASTRUCTURE 8.1 ROAD NETWORK The region is part of the National Highway 1 network. Eyre Highway is the major east-west road across Australia, traversing Eyre Peninsula from Port Augusta to the WA/SA border via Ceduna and the Nullarbor Plain. The Lincoln Highway runs along the eastern coast of Eyre Peninsula connecting Spencer Gulf towns between Whyalla and Port Lincoln. The Flinders Highway follows the western coast of Eyre Peninsula connecting Port Lincoln with Ceduna, and the Tod Highway runs north-south between Port Lincoln and the Eyre Highway at Kyancutta, connecting towns in central Eyre Peninsula. The highways are maintained by the State Government Department of Planning, Transport and Infrastructure (DPTI). The region also has a network of 12,742 kilometres of local roads, 94.9% of which are unsealed. Most of these roads are the maintenance responsibility of local government, but some are classified as ‘rural arterial’ roads and are therefore the responsibility of the DPTI. The region’s eleven local Councils collaborate through the Eyre Peninsula Local Government Association (EPLGA) to develop a strategic regional roads plan which is supported by funding from the Special Local Roads Program. Road maintenance and development, however, is a major financial burden for the Councils due to the size of the road network and limited ability to raise capital from the ratepayer base. Grain, mineral resources and other commodities are being transported across the region primarily by road which is placing pressure on the road network and exacerbating maintenance and development issues. Most of the region has a designated route network for B-double vehicles up to 25.0m in length, double road trains up to 36.5m, and there are limited routes for triple road trains up to 53.5m long. As of May 2012, the only triple road train route in the region was from Iluka’s Jacinth Ambrosia Mine north of Yalata to Thevenard Port, but several other triple road routes are being explored by mining companies. Highway Passing Lanes The region’s highway network only has two passing lanes – on either side of the Flinders Highway on the western outskirts of Port Lincoln. Increasing use of the highways by road trains and a growing self-drive tourism sector – notably grey nomads towing caravans or driving large mobile homes such as Winnebagos and fifth wheelers - has led to local demand for the strategic installation of passing lanes to improve road safety. This need has also been identified by the RDAWEP Board in strategic planning workshops. The City of Whyalla has identified the highway between Port Augusta and Whyalla and the Port Bonython Road as high priorities for the installation of passing lanes, largely because of growing and planned industrial developments in the area. (Port Augusta to Whyalla Road, Whyalla News, January 31 2012, p.2). Preliminary approaches by the City of Whyalla and the EPLGA to the DPTI indicate that the construction of passing lanes on highways in the region is not regarded as a State Government infrastructure priority. However, if mining operations and industrial developments are established across the region at the rate anticipated then significant road upgrade works - including the construction of highway passing lanes and better road maintenance programs - will be needed to provide appropriate road infrastructure and improve road safety.

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Road Infrastructure for Mining Enterprises IronClad Wilcherry Hill Mine The establishment of a Common User Export Facility (CUEF) at Lucky Bay harbour for the export of iron ore requires an upgrade of the designated haul road from IronClad’s Wilcherry Hill Mine north of Kimba to Lucky Bay. The haul route, which includes heavy vehicle by-passes around the Kimba and Cowell, will use existing roads that will be upgraded to make the route safe for super triple road train use. A route assessment was conducted in 2011 which details the road works that are needed. The improvements concern sight lines, road width and quality, turning movements and the alignment of corners and intersections etc. (Lucky Bay CUEF Development Application, Appendix K: Wilcherry Hill Super Triple Route Assessment, Mine to Lucky Bay (Route 2), GHD May 2011). The haul route upgrade involves the construction of a new access road from Lucky Bay Road along a public road reserve to the CUEF site. The intersection with Lucky Bay Road will be constructed with turning lanes appropriate for road train use. This access road is necessary to improve road safety at Lucky Bay by separating the road trains from vehicles utilising the Spencer Gulf ferry Service. The haul route roads are owned by the District Councils of Kimba and Franklin Harbour which are concerned about ongoing road maintenance, given that the haulage rate will be one triple road train, approximately every 30 minutes, and 24/7. The Councils are consequently in the process of negotiating road maintenance agreements with IronClad. Consideration is also being given to changing the road status to ‘rural arterial’ and therefore making the State Government responsible for road maintenance. IronClad will pay the estimated $13 million capital development cost to upgrade the haul route. Wilgerup Mine Centrex Metals Limited has several tenements over iron ore resources on the Eyre Peninsula and proposes to construct a deep water bulk commodities port – Port Spencer, at Sheep Hill north of Tumby Bay - to export the ore. The port infrastructure will be developed in several stages and will also be used for grain storage and export. Port Spencer will initially be used to export hematite ore from Centrex’s Wilgerup Mine, south-east of Lock in the District Council of Elliston. During Stage One of the project the hematite will be transported in road trains. Two haul route options are being considered:

Option 1: via Rudall and Verran to the Lincoln Highway north of Port Neill and then south along the highway to Port Spencer, and

Option 2: via the Tod Highway to Cummins then east to the Lincoln Highway near Tumby Bay and than north along the highway to Port Spencer.

The preferred route has yet to be determined. Decisions about the best route and the required upgrade works to improve the roads are subject to further negotiations with DPTI. (Golder Associates, Centrex Metals – Port Spencer, Eyre Peninsula: Traffic Impact Assessment, September 2011). It is anticipated that the iron ore and grain will be delivered in different heavy vehicles ranging from truck and trailer combinations through to B-doubles and road trains. 70 heavy vehicles are expected to travel to and from the mine site each working day (i.e. 140 vehicle movements per day). A further 40 vehicles per day (i.e. 80 vehicle movements in total) are expected to transport grain to the port from various farms during the harvesting season (normally over a 6-8 week period around December and January).

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The Port Spencer development requires the upgrade and sealing of Swaffers Road and Lipson Cove Road between the Lincoln Highway and the port facility. Swaffers Road will be upgraded and sealed over 5 km to a standard required to accommodate heavy vehicle access to the port. Lipson Cove Road will be improved and sealed for passenger vehicle use from the Lincoln Highway to a port access point. The intersection of Coast Road with Swaffers and Lipson Cove Roads will be also sealed for safety and maintenance reasons. The junctions of both roads with the Lincoln Highway will be upgraded to provide safer access and egress including the provision of protected turning lanes. The Swaffers Road intersection requires significant earthworks to remove an existing grade and level an area to make it easier for trucks to enter the Lincoln Highway when egressing from the port. Other Road Issues and Projects Port Lincoln Heavy Vehicle By-pass The need for several heavy vehicle by-pass routes has been identified, notably at Port Lincoln, Cleve, Cummins and Wudinna. The need for a heavy vehicle by-pass at Port Lincoln, especially for vehicles entering from the north along Lincoln Highway, has long been recognised. At present, these vehicles (including double road trains) travel to the port and silo area through the heart of the Port Lincoln CBD and retail sector. The vehicles need to negotiate four roundabouts and one set of pedestrian lights in this process. This vehicle route is particularly problematic during the 6-8 week grain harvest season which brings a larger number of road trains into the CBD. One of the key concerns is the traffic conflict between heavy vehicles and parental transport at four schools along the route. With heavy vehicles requiring longer braking distances and cars having poor visibility near the trucks, this situation is regarded by many people as having considerable potential for accident. Increased use of B-double vehicles and road trains to transport product to and from the Port Lincoln wharf is placing considerable pressure on the CBD road network, which was not designed for such use. The Port Lincoln City Council has consequently investigated the matter and identified two options to divert heavy vehicles around the town centre. The need for the by-pass is recognised in the City of Port Lincoln Strategic Directions Plan but a preferred option has yet to be determined. When this matter was first investigated in 2009-2010 the option of exporting iron ore from Port Lincoln wharf was being seriously considered. It was envisaged that iron ore would be transported from mine sites on the lower Eyre Peninsula by rail and road train and it was felt that this would exacerbate road train issues in the Port Lincoln CBD. At the time, it was recognised that the by-pass might be cost prohibitive for both the capital development and increased operational costs for the trucking industry. Community pressure about environmental concerns and the potential for bulk commodity cross contamination led to the search for an alternative port option. The proposed construction of Port Spencer may overcome the need for a by-pass because it will be the export point for iron ore from the lower Eyre Peninsula and has the potential to reduce grain tonnage transfer through the Port Lincoln CBD. (See: Port Spencer – Sheep Hill in this section of the report).

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Kingoonya to Wirrulla Road The Kingoonya to Wirrulla Road provides a 290 km link between the Stuart Highway in the north of South Australia and the Eyre Highway. The road is presently a formed rubble surface that is very rough in parts and susceptible to washout in some sections. This route is strategically important as it provides a short cut saving about 420km in road distance for drivers moving between northern South Australia, the west coast of Eyre Peninsula and Western Australia. The route is gaining recognition as one of South Australia’s key outback tourism routes linking the unique Flinders and Outback Tourism Region to the Eyre Peninsula. In recent years both tourism regions have identified the road as an opportunity to develop and promote travel experiences linking the two areas. There is significant growth potential for this tourism market with over half a million visitors travelling along the Stuart and Eyre Highways each year. Traffic along the Kingoonya to Wirrulla Road has grown noticeably in recent years, due to use as a main drive-in-drive-out route by mining employees working at Roxby Downs and Prominent Hill. The RDAWEP Board has recognised the road upgrade as a priority for many years but the project cannot proceed until capital development funding has been sourced.

Figure 25: Section of Kingoonya to Wirrulla Road Subject to Washout.

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Tod Highway Several issues have been identified with the Tod Highway. Approximately 100kms of the Highway between Kyancutta and Karkoo has yet to be widened. This has become problematic as trucks and road trains have become larger and wider. This section of the highway is apparently so narrow that several incidents have been reported of truck side mirrors clipping each other because the drivers are reluctant to steer off the bitumen onto the dirt road verges. The EPLGA has advised that it has written to DPTI about this matter but the road widening is not considered to be a priority. The second issue concerns short-stacking. ‘Short-stacking’ is a term used to describe instances in which there is not enough room for large trucks – such as road trains, and truck and trailer combinations – to stop at an intersection or crossing without impeding traffic movement and safety behind them. This occurs at some side roads along the Tod Highway where the distance between the highway and the railway line (which runs parallel to the Tod) is very short. Two things occur in these instances. When a truck turns off the highway and stops at the railway line, the rear end of the truck or trailer is left protruding onto the highway. Alternatively, when a truck travels along a side road and stops at the highway intersection, the rear end of the stopped vehicle is left hanging across the railway line. Both instances have obvious safety implications. The EPLGA had advised that many short-stacking issues were identified in a national rail audit and that many of the crossings which did not meet Australian safety standards were on the Eyre Peninsula. The problem sites were investigated by local Councils, DPTI and Genesee and Wyoming Australia (GWA – the owner and operator of the region’s rail system). The majority of sites only needed signage and minor modifications to rectify the problems but some crossings will be closed to road train use. These crossings will be gazetted shortly. Local Road Priorities The ELPGA, through Tonkin Consulting, last prepared an assessment of Council road priorities in 2010 (ELPGA, Council Road Priority Assessment, Summary Report, Tonkin Consulting, February 2010). This 2010 ranking is current for the April 2012 funding round for the Special Local Roads Program, but a new road strategy will be developed for 2012-2013. The 2010 road priorities were assessed by a process which rates projects relative to the regional importance of roads for transportation (i.e. freight) or social (i.e. tourism and accessibility) functions. The 2010 assessment used a scoring system that ranked road projects against the following goals:

Reduce conflicts between tourist, passenger and freight vehicles. Develop and manage an effective transport system for heavy vehicles. Reduce impact of heavy vehicle movements through township and key centres. Improve regional airport facilities, air services and access. Reduce the number of commercial vehicles on the road network. Reduce travel delays for freight. Promote and assist local tourism. Implement an appropriate road hierarchy and resolve management responsibility. Reduce road accidents including fatigue related incidents. Reduce pollution and other environmental impacts. Improve community access to education, health and social services. Improve efficiency of transport by rail. Promote and assist existing and developing industries.

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These goals are consistent with RDAWEP transport infrastructure development strategies. The 2010 EPLGA road priority listing is as follows:

PRIORITY COUNCIL ROAD NAME Freight Priority List

1 DC Cleve Balumbah Kinnaird Road 2 DC Kimba Balumbah Kinnaird Road 3 DC Ceduna OTC Road 4 DC Tumby Bay Yallunda Flat-White Flat Road 5 DC Ceduna Kalanbi Road 6 DC Ceduna Nunya Road 7 Wudinna DC Elliston Stock Route 8 DC Elliston Mt Wedge Road

Social Tourism Priority List 1 DC Streaky Bay Sceale Bay Road 2 City of Port Lincoln London Street Bridge 3 DC Lower Eyre Peninsula Old Flinders Highway Road 4 DC Lower Eyre Peninsula Yallunda Flat-White Flat Road 5 DC Ceduna Miltaburra Road 6 DC Franklin Harbour Beach Road

Table 26: EPLGA Road Upgrade Priority Listing 2010-2012. 8.2 RAIL NETWORK The Eyre Peninsula railway network is an aged system of narrow gauge railway lines that is not connected to the national standard gauge network. The railway lines link the Port of Thevenard at Ceduna to Port Lincoln via a route passing through Wudinna, Lock and Cummins. A branch line extends eastwards from Cummins through Ungarra, Rudall and Kimba terminating at Buckleboo in the north of the region. These railway lines are used exclusively to transport grain to Port Lincoln for export. North of Cummins, a small spur line extends approximately 50kms from Yeelanna to Kapinnie. Another line stretches from Thevenard to Kevin (near Penong) approximately 70kms west of Ceduna, and is used for hauling gypsum for export from Thevenard Port. The Trans Australian Railway Line passes through the northwest of the region through Cook, south of the Maralinga Tjarutja Lands, but this standard gauge Interstate line comes from Port Augusta and is not connected to the Eyre Peninsula rail network. (This line is owned and operated by the Australian Rail Track Corporation). A standard gauge railway line running north from Whyalla to Port Augusta is the only line connecting the region to the national standard gauge network. This line services and terminates at the OneSteel steelworks factory in Whyalla. OneSteel is also the owner of a rail line system between the Whyalla steelworks and iron ore mining operations at Iron Knob, Iron Baron, and Iron Duke. This is an isolated narrow gauge system that is not connection to the Eyre Peninsula system. In 2006 OneSteel upgraded this rail system with the expectation that the Whyalla steelworks will continue operation until 2027. The OneSteel railway line is operated by Genessee and Wyoming Australia (GWA).

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Figure 26: Eyre Peninsula Rail Network. Rail Network Condition and Issues The Eyre Peninsula rail system is generally in poor condition. Grain train operations have been curtailed between Buckleboo and Kimba on the eastern line and Wudinna to Thevenard on the western line. The line north of Ungarra is generally in very poor condition and the Yeelanna to Kapinnie line has been closed. The Wudinna to Port Lincoln line and the Kimba to Cummins line are the only parts of the network to have been refurbished. This upgrade increased line capacity to handle a maximum average axle load of between 14 and 15 tonnes. Although some of these rail lines are now dormant the rail owner, GWA, is required under the lease agreement with the State Government to keep the lines maintained in a ‘fit for purpose’ condition to allow for the transfer of rail vehicles along the line. GWA also owns the rolling stock and operates all rail services on the Eyre Peninsula (including the OneSteel rail network – see Figure 27). The curtailment of parts of the rail network has resulted in grain being hauled across the region from rail depots to ports by road trains which is placing additional pressure on the local and state road networks. Thevenard to Penong Line The Thevenard to Kevin rail line is the busiest section of the network carrying 1.8 million tonnes of gypsum per annum from the Gypsum Resources Australia (GRA) mine at Kevin for export from Thevenard Port. The poor condition of the rail line infrastructure resulted in significant weight, volume and speed restrictions, thereby limiting freight capacity and operational efficiency. The line is has been operating at full capacity with no capability to handle the forecast demand for additional tonnages of gypsum and other products (such as potential future use for the cartage of mineral sands).

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Significant upgrading of the line is required to maintain existing freight levels and provide scope for future freight growth. GRA and GWA consequently signed a 5-year contract for gypsum freight services during 2012 - inclusive of a $15 million capital upgrade agreement of the railway line.

Figure 27: Genessee & Wyoming Owned and Operated Railway Lines in SA. Mining Impact Mining development across the region has exacerbated the need to upgrade rail infrastructure as mining operations have a preference for rail (or slurry pipelines where possible) over road cartage. New rail corridors need to be established to meet the future needs of mining operations. The narrow gauge railway line from Cummins to Kimba needs to be extended 27km from Ungarra to the Port Spencer development at Sheep Hill. As previously indicated, Stage 1 of the Port Spencer development will operate by transporting ore and grain to the port facility by road train combinations.

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The proposed rail extension from Ungarra will provide a more effective and efficient rail network across the eastern part of the region and link Port Spencer with four iron ore deposits. A new standard gauge line needs to be provided between Whyalla and Point Lowly to cater for planned industrial and port developments. This has been identified as part of the proposal to construct a deep water bulk commodities port at Port Bonython - see page 129 Port Accessibility in the Whyalla Region). Connecting Eyre Peninsula to the National Rail Network There is an opportunity with the emergence of the mining industry that the region and the Australian Government examine the strategic connection and economic benefits of connecting the Eyre Peninsula to the national rail network. This connection might be driven by having a standard gauge network service to a single Cape Class port at either Port Spencer or Port Bonython. One Steel Rail Upgrade An upgrade of rail infrastructure is planned at Whyalla as a result of OneSteel’s purchase of Western Plains Group (WPG) iron ore resources in 2011. OneSteel is undertaking a $200 million refurbishment of the Whyalla Port to accommodate increased ore export requirements. The upgrade will apply to rail infrastructure both outside and inside the OneSteel factory, and includes:

Provision of a new rail turning loop at Port Augusta to accommodate longer trains, Installation of another passing loop on the line between Port Augusta and Whyalla (probably in

the vicinity of Roopena Station) to accommodate increased train frequency, and An upgrade of the entire rail network within the steelworks, including provision of a turning loop.

The rail upgrade within the steelworks requires the provision of a dual gauge system to incorporate the standard gauge line from Port Augusta and narrow gauge lines from Iron Duke and Iron Baron. (RDAWEP Board AGM Presentation, John Hobbs, General Manager, OneSteel, 11th October 2011) 8.3 PORT INFRASTRUCTURE The Eyre Peninsula has over 2,000 kilometres of coastline and the region’s ports are critical infrastructure for interstate and international trade. The four main commercial ports are located in Whyalla; Point Lowly, Port Lincoln and Thevenard. OneSteel owns and operates the Whyalla Port facility which is used to export iron ore and steel product. SANTOS manages nearby Port Bonython at Point Lowly for the export of petroleum products, principally LPG and crude oil from the Coober Basin. Port Lincoln and the Port of Thevenard are operated by Flinders Ports with the bulk grain facilities on both wharves being owned and operated by Viterra Pty Ltd. Thevenard is also used for the export of mineral sands, gypsum and salt, and both Port Lincoln and Thevenard are key facilities for the region’s important fishing industry. These ports all have significant bulk loading facilities and storage capacity, but they also have numerous operational issues. The Eyre Peninsula Ports Master Plan, 2009 summarised the key issues as: There is a need to provide and maintain quality port infrastructure, including improvements to loading

and storage facilities and rail and road access. The infrastructure is inadequate for existing use, resulting in additional demurrage cost to users

through loading delays.

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The ports have the potential for conflict and cross contamination due to using the same bulk loading infrastructure for different commodities.

The ports lack the capacity to store and transfer product for the emerging mining developments in the region.

Several different strategies are being pursued to provide major port infrastructure in the region. Port Accessibility in the Whyalla Region Mining companies have expressed interest in seeing the development of a bulk commodities export facility in the north of state to cater for mines that are currently under development. The area near Whyalla is the preferred location because of the ability to access deep water that will cater for Cape sized ships (up to 250,000 tonnes). The three locations have been identified near Whyalla: The existing OneSteel facility at the Port of Whyalla. A new site at Port Bonython, which is about 20kms north-east of Whyalla. A new site at Nonowie, about 20kms south of Whyalla. At present, the Whyalla port cannot be accessed as it is almost exclusively used by OneSteel. In recent years, OneSteel has supported unloading activity for a number of external companies, but access is at the discretion of OneSteel on a case-by-case basis and subject to company operational requirements at the time. However in August 2011, following the purchase of WPG iron resources, OneSteel announced a $200 million investment to expand its port and iron export operations, including the possible provision of third party access to the port facilities. Port Bonython has been identified as a possible location for a new port because the State Government owns approximately 2,200 hectares of land at Point Lowly and the construction of a new jetty would provide reasonable access to 20 metre deep waters. The existing SANTOS jetty cannot be considered as the facility does not have the loading infrastructure for bulk commodities and the upgrade for bulk commodity use would be cost prohibitive. The Port Bonython site is being promoted by the State Government and the Spencer Gulf Ports Link (SGPL) consortium – see page 41. The capital development cost is estimated at $600 to $700 million. SGPL is consulting with mining companies to determine the timing of mine developments and the likely commodity volumes to be exported. The project is included on the Infrastructure Australia priority projects list and was given Major Project status by the South Australian Government in March 2012. The bulk commodities port will require the construction of a 3 km long jetty and conveyor system in order to reach 20 metre deep water. If the proposal is approved the construction period will take approximately 2.5 years and it is expected to be operational in about 4 years. The development includes the provision of a 25km rail line to link the port with existing rail infrastructure between Whyalla and Port Augusta. Port Bonython is the proposed location for other major infrastructure investments including a bulk diesel fuel terminal, a refinery and the BHP Billiton desalination plant for the Olympic Dam expansion. However, the proposed industrial developments at Point Lowly have polarised the Whyalla community and there is a strong push from community groups (such as the Alternative Ports Working Party, Cultana Jenkins Shack Owners Association and Point Lowly Shack Group) for the provision of a port south of Whyalla at Nonowie. The proposed Point Lowly developments are seen as degrading the best and only attractive coastal area in the Whyalla region and are being opposed for environmental reasons to preserve Point Lowly for recreational and tourism use and protect the Great Australian Cuttlefish that aggregate in the area.

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Granting the Port Bonython facility with major project status has exacerbated community anguish because the jetty will need to be constructed through the very centre of the cuttlefish aggregation grounds and there is great concern about the potential impact of sea bed disturbance on the cuttlefish breeding cycle. A feasibility study and capital development costing for the Nonowie port proposal has yet to be prepared however the City of Whyalla has lodged a statement of intent with the Minister of Planning for the site.

Figure 28: Proposed Industrial and Port Developments at Point Lowly.

Port Lincoln and the Port of Thevenard Following preparation of the Eyre Peninsula Ports Master Plan in 2009 planning studies were prepared for the upgrade of the Port Lincoln and Thevenard ports. The studies recommended a significant upgrading of bulk loading facilities to increase capacity and enhance operations. The rationalisation of competing use between grain export and the fishing industry was addressed at both facilities with the recommendation that the fishing fleets be relocated to purpose built port infrastructure nearby. The preferred relocation sites are the old slipway facility at Thevenard and the old BHP wharf at Proper Bay in Port Lincoln.

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The planning and development for a purpose built unloading facility and safe harbour at Thevenard has been completed and the project was spade-ready in March 2012. Grant applications were lodged for the capital development. The South Australian Government allocated $1.5 million for the project from the Regional Development Infrastructure Fund subject to the provision for $4.075 million by the Australian Government from the Regional Development Australia Fund. The RDAF application was not approved so the project remains in abeyance until funding can be sourced. In order to support the operational logistics of the fishing industry operating in the Great Australian Bight, a fuel distribution outlet should be established at the proposed facility or close to Ceduna. In Port Lincoln, a Port Lincoln Wharf Relocation Committee has been formed comprising representatives of the fishing industry and RDAWEP, which is undertaking preliminary consultation for the development of a fishing facility at the former BHP wharf. The fishing facility is part of a larger project to develop adjacent land inclusive of an industrial park, a residential development and a golf course. The Port Lincoln fishing industry is being consulted about the proposal with the key stakeholders from the tuna, sardine, prawn, rock lobster, mussel, abalone and kingfish industry sectors. The wharf and adjacent land is owned by the Lukin Family and the wharf will be named the ‘Dinko Lukin Wharf’ in honour of the late tuna fisherman’s contribution and service to the local fishing industry. The relocation of the fishing industry from the Port Lincoln and Thevenard Ports will make it possible for both wharves to be more used more efficiently. The mining and grain industries strongly support the re-development of Thevenard Port as the upgrade is critical to the export of mineral sands and grain from the far west and north western parts of the region – see section 3.3: Transport, Storage and Handling Infrastructure on page 56 for more detail. An earlier proposal to upgrade the Port Lincoln facility through provision of a second loader for the export of iron ore is no longer valid as the Port Spencer development will provide this service. Port Spencer – Sheep Hill Increased exploration activity on eastern and lower Eyre Peninsula has revealed extensive resources of high grade hematite and magnetite and several companies including Centrex Metals, Lincoln Minerals, IronClad and Iron Road want to establish iron exports within 5 years. The provision of port infrastructure to support Cape class vessels is vital to these projects as no port in South Australia can presently has this capacity. Sheep Hill, approximately 21kms north-east of Tumby Bay, was identified as an ideal location for a port facility because the site:

Is central to several iron ore deposits on the Lower Eyre Peninsula. Is only 5kms from the Lincoln Highway and 27kms from rail infrastructure at Ungarra. Provides access to 20 metre plus deep water within 500 metres of the shore line (which

eliminates the need for dredging and minimises the cost of jetty infrastructure). Does not have native vegetation issues because the adjacent land has been denuded of

vegetation by previous broad acre farming practices. There are no native title issues.

Port Spencer is being developed by Centrex Metals Limited primarily for the iron ore mining operation at Wilgerup. However grain will also be exported from the facility and Free Eyre, an Eyre Peninsula based farmer owned agricultural company, is part of the design team investigating the viability of grain export using smaller Panamax sized vessels.

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Figure 29: 3D Image Model of Port Spencer Development.

Centrex intends to develop the port in four stages. Stage One will establish the base infrastructure and allow for the export of hematite and grain delivered to the site by road trains. Future stages will expand the operation to include the export of magnetite delivered by slurry pipelines and the delivery of hematite and grain by rail. The estimated cost of Stage One is $150-200 million. The justification for this project is based solely on the viability of Centrex’s various joint ventures; however the port will eventually be available for other users on commercial terms. Stage One advanced to the public and regulatory comment stage with the release of the Public Environmental Report in March 2012. The consultation period concluded on 27th April and the South Australian Government will then consider granting development approval. If approval is granted, Centrex aims to start construction in late 2013 and commence exports in early 2015. Lucky Bay Common User Export Facility An alternative port solution, a Common User Export Facility (CUEF), is currently being constructed at Lucky Bay utilising an innovative container and barge transhipment system. The facility is being developed to export iron ore from IronClad Mining Limited’s operation at Wilcherry Hill, north of Kimba. With this transhipment system, iron ore will be loaded into sealed containers at Wilcherry Hill then be transported by road train to Lucky Bay. The containers will be loaded onto barges and then be emptied into export vessels moored in the Spencer Gulf. In order to meet the export target of approximately 1.25 million tonnes per annum, the process requires a 24/7 operation with road trains scheduled to leave the mine site about every 30 minutes. This transhipment system has several financial and other advantages because the CUEF overcomes the need to construct an expensive deep water bulk commodities port and can be established at a fraction of the cost. For example, the estimated construction of Stage One of Port Spencer is $150-200 million. In comparison, the Lucky Bay CUEF will cost approximately $12.168 million.

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The construction of Port Spencer will also be cheaper than a typical deep water port because of shorter than normal jetty structure – i.e. the cost of the proposed facility at Port Bonython, which requires a 3 km long jetty, is estimated at $600-700 million. A CUEF also has the advantage of a much shorter construction timeframe and less environmental impact than a traditional deep water bulk commodities port. For example, the construction of Port Spencer will take at least 18 months whereas the Luck Bay CUEF will have a 5 month construction period. The CUEF is critical infrastructure for the Eyre Peninsula’s fast developing mining operations that are production ready because there is presently no other realistic option for the provision of a bulk commodities minerals export facility within the next three to four years. This is a major holdup for mining companies that are, or are close to being, production ready. The Lucky Bay CUEF will be able to service mining companies well into the future because the facility has the capacity to grow as export tonnages increase. When fully developed with a permanent floating harbour moored in Spencer Gulf, the CUEF will be much more cost effective and efficient and will be able to export the product of other mining companies as well as grain. (For further detail see – Lucky Bay Harbour Development, Business Case for a Major Upgrade of Lucky Bay Harbour, RDAWEP, Final Report February 2012). The State Government gave the project development approval in April 2011. In July 2012 the project received $2.212 million from RDAF and $306,000 from RDIF. The project is under construction and hopes to be operational by the end of 2012. Other Ports There is a need to improve recreational port infrastructure in the region through the development and upgrade of strategic boat ramps and marina facilities. The CleanSeas kingfish aquaculture enterprise operates from the Arno Bay Marina, which is owned by the District Council of Cleve. This facility has both industry and recreational use and was designed for both purposes. However, during recent years, Cleve Council experienced ongoing maintenance issues caused by vessels striking the mooring platforms. The damage was such that the operation of the marina became unsustainable. Design solutions were sought and 13 additional fender piles were installed to prevent vessels from striking the mooring platforms. RDAWEP assisted the District Council of Cleve with a funding application for the South Australian Government RDIF. The application was successful and provided $106,576 for 50% of the project cost in May 2012, with the remaining costs shared between Cleve Council and CleanSeas. 8.4 AIRPORTS Commuter air services are critical transport in the region for business, industry, tourism, health, education, social and recreational travel purposes. The region’s three main airports are located at Port Lincoln, Whyalla and Ceduna. The facilities are owned and operated by local government – the City of Whyalla, District Council of Ceduna and the District Council of Lower Eyre Peninsula (for Port Lincoln Airport). The airports provide facilities and services for regular passenger transport (RPT), charters, defence aircraft, medical retrieval - i.e. the Royal Flying Doctor Service (RFDS) - and general aviation operations. Port Lincoln is South Australia’s busiest regional airport, with in excess of 190,000 passengers annually. The latest passenger survey indicates that 40.4% of passengers between Adelaide and Port Lincoln travelled for business purposes with most of these (71.9%) employed by the private sector. (Department of Planning, Transport and Infrastructure, Port Lincoln-Adelaide Air Passenger Survey Report, November-December 2011, January 2012).

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Whyalla’s passenger numbers are approximately 60,000 per annum and Ceduna’s passenger numbers have grown to about 25,000 per annum. The region has other airports with sealed runways and pilot activated lights at Wudinna, Streaky Bay, Tumby Bay, Kimba, Cleve and Elliston. The airports at Cowell, Cummins, Lock and Minnipa have unsealed airstrips to accommodate light aircraft and the RFDS. The Cummins and Cowell aerodromes have pilot activated runway lighting. Airports are fast becoming critical infrastructure for mining and industrial developments because much of the workforce is comprised of fly-in-fly-out (FIFO) staff, particularly in remote areas and during site construction when large numbers of tradespeople are needed for short periods of time. The airports have different infrastructure needs. The airports at Whyalla, Ceduna, Wudinna and Cleve require upgrades to improve operational effectiveness and cater for increased use from the mining, tourism and business sectors. As the airports are owned and operated by local Councils the desired upgrades is cost prohibitive. The redevelopment of Whyalla and Ceduna airports has been put into abeyance while management options are being investigated. Port Lincoln Airport is presently undergoing a major upgrade costing $12.7 million. The project includes the construction of a new terminal building with facilities befitting a regional gateway (inclusive of security screening); provision of a new taxiway and apron; reconfiguration of the airport entrance road, landscaping and provision of a larger car parking area, and associated improvements to lighting and electrical infrastructure. Construction commenced in May 2012 and will take approximately 12 months to complete.

Figure 30: Artist Impression of the New Port Lincoln Airport Terminal. The Port Lincoln Airport redevelopment was able to proceed because of the income derived from good passenger use and because the District Council of Lower Eyre Peninsula was successful in securing grant funding of $1.02 million from the State Government RDIF; $350,000 from the SA Tourism Commission; $4.5 million from the Australian Government RDAF and $1 million from the Australian Government for the installation of security equipment. The airport redevelopment was the highest priority RDAWEP project in 2011.

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Varying levels of investment will be needed from the South Australian and Australian Governments to establish appropriate infrastructure at the other airports in the region, particularly to support the surge in mining and industrial development at Whyalla and Ceduna. Whyalla Airport Whyalla Airport has extensive capability. The facility receives an average 60,000 passengers per annum. Additionally, the Australian Defence Force uses the facility intermittently for transporting defence personnel. The airport also provides emergency freight services for the local steelworks industry. The airport has two runways, three taxiways, a general aviation apron, a sealed RPT apron and a lawn helicopter parking area. The main sealed runway (1,786 metres in length) and the taxiway have pilot activated lighting for night time use. Other infrastructure includes refuelling facilities, hangars, a pump house with associated firefighting equipment, and a power house with a backup 90KVa generator. With industrial and mining growth in the Upper Spencer Gulf Region the upgrade of Whyalla Airport is now urgent. The terminal building and runway need to be upgraded to accommodate FIFO mining staff and growth in business activity. The pending legislative requirement for passenger and carry-on baggage security screening infrastructure at regional airports has exacerbated this need. Passenger numbers through Whyalla Airport are expected to grow substantially in future years. Increased mining and industrial activity and the expansion of the Cultana Defence Training Area will arguably exceed the capability and capacity of existing infrastructure and accelerate the need for a major upgrade of the facility. The City of Whyalla is presently considering a range of development options and has indicated the intention to prepare a business case as soon as possible for the project. Ceduna Airport Ceduna Airport is the largest regional airport on the west coast of Eyre Peninsula. The facility provides public landing strips and associated infrastructure for passenger transport and general aviation operators. The main 1,737 metre long runway is sealed and has the capacity to support Fokker F27 48 seater aircraft and DASH 8 50 seater aircraft. The second 1,006 metre runway has a gravel surface and is largely used for light aircraft. Over the past 5 years Ceduna Airport has experienced a significant 54.7% growth in RPT numbers with in excess of 20,000 people using air services regularly. The airport is the major conduit for the FIFO workforce at Iluka Resource’s Jacinth Ambrosia mine located about 80kms north of Yalata. This $2 billion mineral sands mine has had a significant economic impact on Ceduna with 120 people employed at the site since establishment in 2008-9. Due to the growing passenger numbers, the RPT operator (Rex, Regional Express) has increased the frequency of air services. The airport infrastructure is subsequently operating at full capacity, particularly during peak travel periods, and is clearly inadequate for existing and projected use. Ceduna District Council has prepared a Master Plan for the facility upgrade which recommended a three staged development including the construction of a new terminal building; provision of a new taxi way, apron and runway, and construction of associated commercial servicing facilities. Ceduna Council is reviewing the master plan to determine more cost effective options. The possibility of operating the airport via Adelaide Airport management is being considered as part of this process.

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Wudinna Aerodrome Wudinna Aerodrome, located north-west of Wudinna township, has two runways. The main 1,510 metre long runway is sealed and equipped with lighting. The runway is sealed to 18 metres wide with a further 6 metres unsealed on either side. The second unsealed runway is 939 metres long by 30 metres wide. The facility has a small, kit-constructed terminal with seating, toilets and a pay phone. The terminal is in good condition but can only handle small passenger volumes. A weather station was installed at the aerodrome in 1999 which automatically relays information to the Bureau of Meteorology. In order to encourage aerodrome use the Council does not charge user fees, however aviation gas is no longer available. There are currently no regular air passenger operations from the facility, but the tarmac is used by crop spraying aircraft, freight aircraft and emergency services (medical retrieval teams and fire fighters). The Wudinna District Council is in the early stages of planning for expected passenger growth through the airport resulting from the nearby Iron Road mining development. A master and business planning process is being undertaken to ensure that future needs will be met. A separate capability and logistics assessment has been undertaken as part of the Iron Road mineral prospect. The study has identified the need to upgrade Wudinna Aerodrome to support the FIFO requirements of the $2.5 billion mining operation. At present, Wudinna District Council is working with Iron Road’s consultant, Aurecon, to provide cost estimates for upgrading the runway to QF400 standard (i.e. the ability to handle 74-seat aircraft that are currently servicing Port Lincoln by Qantas). This information will be linked into a DFS for the Iron Road development. Once the DFS is finalised in either late 2012 or early 2013, the Council will have a better understanding of airport upgrade requirements, which might include the need for new terminal. In addition to meeting mining needs, a facility upgrade will enable Wudinna Aerodrome to be positioned as the regional gateway to central Eyre Peninsula and the Gawler Ranges tourism region. The airport has a considerable amount of unused land suitable for commercial development especially for the anticipated growth in air freight movements. This option will be investigated as part of the process of determining future aerodrome operations. Wudinna District Council is presently managing the airport but management options will be considered once the future use and scale of the airport is known. Cleve Aerodrome Cleve Aerodrome comprises a sealed main runway 1,350 metres long and a rubble secondary runway 895 metres in length. The main runway has pilot activated lighting and is equipped with the infrastructure for instrument landings from one direction only. In recent years the runway lighting system was converted from kerosene to power and a back-up generator is provided in the case of a power blackout. Other infrastructure includes a terminal building with toilets and a waiting area. The terminal is in bad condition with a leaking roof and needs a major upgrade or replacement. District Council of Cleve Annual Business Plan 2011-2012 has a goal of providing the maximum standard of physical infrastructure within the financial capacity Council. The identified strategy is to replace terminal facility if an appropriate relocatable building becomes available. The cost of refurbishing the terminal is also being investigated. The aerodrome does not have refuelling facilities; however private operators are able to store fuel in a locked compound at their own risk. The aerodrome does not have an RPT service but has retained RPT registration as a future development contingency.

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At present, a bank plane provides a twice daily service between Cleve and Adelaide transporting bank documents, pathology specimens and small amounts of freight. One private plane is based at the aerodrome. The only other services are occasional charters, the RFDS and use by crop dusting aircraft during October to November and for fire bombing as required. The main runway needs to be resealed and should be lengthened and widened in the longer term. The latter would require the purchase of adjacent farmland and significant earthworks to level the terrain. 8.5 SUMMARY – TRANSPORT INFRASTRUCTURE PROJECTS

PROJECT DESCRIPTION SUMMARY Road Network Highway Passing Lanes Identify strategic locations for passing lanes on national and

state highways. Port Lincoln CBD By-pass Lobby and pursue funding for a heavy vehicle haulage route

around the Port Lincoln CBD. Kingoonya to Wirrulla Road Lobby for the realignment and upgrade of the Wirrulla to

Kingoonya Road. ELPGA Road Priority Projects Assist the EPLGA and DPTI with the prioritisation and

implementation of the Whyalla and Eyre Peninsula Road Strategy. Assist the EPLGA and DPTI with the strategic assessment of road upgrades that are necessary for increased road train usage.

Rail Network Thevenard to Penong Rail Line Assist GRA to address the company’s key supply chain issues. Ungarra to Port Spencer Extension Support the establishment of a new, strategically located rail

haulage route that provides a key link from central Eyre peninsula mining operations to Port Spencer.

Whyalla Rail Link Support the establishment of a new, strategically located rail haulage route that provides a key link from northern mining operations to the Whyalla export port facility.

Standard Rail Link to a Cape Class Port The construction of a standard gauge railway line to a Cape Class port at either Port Spencer or Port Bonython to link the Eyre Peninsula with the national standard gauge rail network.

Port Infrastructure General Identify future locations and planning zones for grain and

minerals bulk handling and storage facilities. Whyalla Port Facility Work with project proponents, the City of Whyalla, mining

interests and the State Government to develop a plan for an appropriate port facility near Whyalla.

Port Spencer Provide strategic advice and support for the establishment of a mineral and grain export hub at Port Spencer.

Lucky Bay Common User Export Facility Liaise with ironclad to identify iron ore supply chain infrastructure and handling system requirements for the Wilcherry Hill project.

Thevenard Port Upgrade Work with Port of Thevenard infrastructure owners and port stakeholders to finalise an investment framework to enable the deepening of Yalata channel and upgrade of key infrastructure.

Table 27: Summary - Transport Infrastructure Projects.

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8.5 SUMMARY – TRANSPORT INFRASTRUCTURE PROJECTS (Cont’d)

PROJECT DESCRIPTION SUMMARY Port Infrastructure (Cont’d) Ceduna Fishing Industry Port Work with the District Council of Ceduna and the fishing

industry to develop a commercial fishing industry uploading facility and safe harbour.

Assist with the establishment of fuel distribution on the west Coast for the fishing industry.

Port Lincoln Fishing Industry Port Work with the fishing and aquaculture industry in Port Lincoln to develop a commercial fishing facility.

Other Ports Support the development and upgrade of recreational boat ramps and harbour facilities. Assist the District Council of Cleve with the redevelopment of the Arno Bay Marina.

Airports General Improve airline services to the region’s key airport facilities at

Port Lincoln, Whyalla and Ceduna to cater for business and tourism growth.

Port Lincoln Airport Work with the District Council of Lower Eyre Peninsula for the redevelopment and upgrade of Port Lincoln Airport.

Whyalla Airport Work with the City of Whyalla to develop a maser plan for the redevelopment of and upgrade of Whyalla Airport. Work with the City of Whyalla to identify and develop opportunities for the utilisation of the airport as a strategic base for defence operations.

Ceduna Airport Assist the District Council of Ceduna to secure funding for the redevelopment and upgrade of Ceduna Airport.

Wudinna Aerodrome Assist the Wudinna District Council to secure funding for the redevelopment and upgrade of Wudinna Aerodrome.

Cleve Aerodrome Assist the District of Cleve to secure funding for the redevelopment and upgrade of Cleve Aerodrome.

Table 27: Summary - Transport Infrastructure Projects (Cont’d).

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9. SOCIAL AND COMMUNITY INFRASTRUCTURE 9.1 SOCIAL AND COMMUNITY INFRASTRUCTURE By way of definition ‘social and community infrastructure’ is a broad category that encompasses the facilities and things which help communities to function more cohesively and make them better places to live. For the purpose of this Regional Plan social and community infrastructure is structured into two categories:

Sports and recreational facilities – i.e. ovals, tennis and netball courts, basketball stadiums, bowling clubs, golf courses, swimming pools, race tracks, car and motorcycle dirt circuits, horse riding, walking and cycle trails etc.

Community and cultural facilities – i.e. town halls, community centres, libraries, art galleries, cultural centres, theatres, cinemas, museums, dance studios, heritage buildings etc.

Collectively, this infrastructure has an extremely important social function because it enhances the well being, amenity and the liveability of communities. Such infrastructure is exceptionally important in regional areas because rural towns can often be isolated from city-based and mainstream sporting, arts, entertainment and cultural services. Also, in view of the numerous industrial and mining developments that are proposed in the region, the availability of high quality social and community infrastructure is critical to the attraction and retention of a skilled and experienced workforce, in preference to FIFO-DIDO arrangements. There is a strong link between community cultural infrastructure and tourism because communities with interesting cultural heritage tend to be not only good places to live, but also very good places to visit. It is therefore understandable that heritage museums, art galleries, and arts and music festivals feature strongly in tourism marketing literature. The interface is manifest in facilities that serve both community and visitor purposes such as information centres, interpretive centres, historical museums, art galleries, interpretive trails, playgrounds and the like. For example, the Parnkalla Trail along the shores of Boston and Proper Bays at Port Lincoln connects several prominent and historical landmarks – e.g. the site of the first European landing, the Axel Stenross Maritime Museum, the town jetty, the Makybe Diva statue and Port Lincoln Yacht Club. The 17.8 kilometre walking and cycling trail is well used by the local community for fitness and dog walking, but it is also a tourism asset used by many visitors to experience and view Port Lincoln. Due to this tourism connection, walking and heritage trail infrastructure is included in this Regional Plan under the community and cultural facilities heading. The RDAWEP region has a diversity of social and community infrastructure ranging from the purpose-built Middleback Theatre complex in Whyalla and multi-use Ravendale Community Sports Centre in Port Lincoln, to the Excell Blacksmith and Engineering Museum at Tumby Bay and oval sporting complexes in most townships. Some of this infrastructure is very well used and has strong community and financial support, but some has arguably outlived its purpose and requires major upgrade or replacement. As an overview, social and community infrastructure in the region is of varying age, quality and condition, and has cost issues concerning ongoing maintenance and capital development, operational issues regarding sustainability (from both a financial and human resources perspective), and functional issues concerning suitability for intended use. These issues are compounded with the difficulty of complying with Occupational Health, Welfare and Safety demands in a changing regulatory environment. Collectively, these matters present an interesting challenge to Local Government which is largely responsible for social and community infrastructure provision.

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9.2 SPORTING AND RECREATION FACILITIES Sport and Recreation in Regional Communities It is widely accepted that sporting and recreational activities contribute to the development of stronger social networks and more cohesive communities. Indeed, the social fabric of most Australian rural towns has traditionally been based around sporting clubs. This is certainly the case on the Eyre Peninsula where the sport and recreation participation rate often eclipses State and Australian averages. In the 2006 Exercise, Recreation and Sport Survey (ERASS) the overall participation rate in sport and recreation on the Eyre Peninsula of 83.1% was above the State average of 81.0% and exceeded the Australian benchmark of 82.5%. There was little difference in the participation level on the basis of gender. The Eyre Peninsula exceeded the State average for both men and women and women’s participation exceeded the Australian benchmark. (Participation in Exercise, Recreation and Sports in Regional SA, Office for Recreation and Sport, Fact Sheet No. 10. July 2006. It should be noted however that in 2006, the Eyre region boundary did not include Whyalla and the regional city was included in statistical data for the northern region).

GENDER STATE PARTICIPATION RATE

AUSTRALIAN BENCHMARK

EYRE PENINSULA PARTICIPATION RATE

Women 81.4% 82.4% 84.2% Men 80.7% 82.6% 82.1%

Table 28: Exercise, Recreation and Sport Participation Rate by Gender 2006. Similar participation levels were experienced in the 2009 ERASS, where the Eyre and Western region participation rate of 80.2% exceeded the State average of 77.6%. (Regional Participation in Exercise, Recreation and Sport in South Australia, Summary Sheet, Office for Recreation and Sport, 2012. Please note that more recent data is not available, because the regional breakdown of 2010 and 2011 ERASS data has yet to be undertaken by the Office for Recreation and Sport). The study also found that regional communities are more likely to support local sport through a club based structure, and are more likely to be a volunteer or spectator than their metropolitan counterparts. In regional communities it was found that about one third of adults participate in sport and recreation through their clubs, and one quarter were involved as a coach, official, umpire or administrator. (Trends in Recreation and Sport, Office for Recreation and Sport, 2011, pp.8-9).

Figure 31: Regional Sports Participation as a Player, Coach, Official or Administrator.

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On a comparative basis, the Eyre and Western region rated equal third in the State for club player participation, first in the State for participation as a coach, official or administrator, and first in the State for spectator participation with 71.7% of the population involved in watching local sport – well above the State average of 62.8%. (Regional Participation in Exercise, Recreation and Sport in South Australia, Summary Sheet, Office for Recreation and Sport, 2012).

Figure 32: Regional Sports Participation as a Spectator.

In 2010, an Office for Recreation and Sport Household Survey found that both regional and metropolitan participants were mostly satisfied with the accessibility of sports and recreation facilities. The majority of South Australians were also satisfied with the quality of the sport and recreation facilities they used. However, regional participants who relied on public infrastructure for recreation (i.e. trails, paths, parks and the beach) were in general less satisfied with the quality when compared to metropolitan participants. (Trends in Recreation and Sport, Office for Recreation and Sport, 2011, part 2, p.8).

Figure 33: Satisfaction with the Accessibility and Quality of Facilities and Public Infrastructure. Regional Sports Facilities In the Whyalla and Eyre Peninsula region, most sporting activity is comprised of the traditional sports of Australian Rules football, netball, cricket, tennis, basketball, bowls and golf - largely because these sporting activities have been historically available. Township sports facilities consequently provide the infrastructure to support these activities. Most towns in the region have either a single or a number of sporting facilities. The infrastructure in smaller towns is often basic and usually consists of an oval or ovals, tennis and netball courts, bowling greens and a golf course.

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Wudinna for example, has a community oval with a licensed Community Club, along with a gymnasium, basketball courts, tennis courts, netball courts, a bowls club, a swimming pool and golf club. Some towns – even extremely small towns like Penong - also have racecourses for horse racing meetings. The cities of Whyalla and Port Lincoln offer a more comprehensive range of quality recreational facilities and provide for a wider range of sporting activities, such as the provision of infrastructure for hockey and soccer – including lighting for night matches. Local Government is the main provider of sport and recreation infrastructure, including open space facilities such as parks, walking and cycling trails. However a large proportion of the region’s sporting infrastructure is dated and upgrades have not occurred for many years, due mainly to a lack of funding and competing Council priorities. Various sport and recreation consultancy studies have been conducted for Local Government in the region since 1999 and similar issues have been identified in all Council areas. These studies include:

Port Lincoln Recreation and Sports Strategy Plan, Sue Suter and Associates, 1999, Cleve Multipurpose Sports Complex, Phillip Gray and Associates, 2000, Eyre Peninsula Recreation, Sport and Open Space Strategy, Phillip Gray and Associates, 2002, Ceduna Recreation, Sport and Open Space Strategy 2005-2010, Collins Anderson Management,

2005, Ceduna Sporting Facility Feasibility Study, Collins Anderson Management, December 2006, Review of the Future of Football on Eyre Peninsula, Collins Anderson Management, 2007.

In 2008, the EPLGA formed a Sport and Recreation Infrastructure Committee to review these studies in order to determine a regional position on sporting infrastructure. Only some EPLGA Councils participated in the project – i.e. the District Councils of Ceduna, Streaky Bay, Tumby Bay, Wudinna, Cleve, Franklin Harbour and the City of Port Lincoln – but the key outcomes were: (Statement of Position, Sport and Recreation Infrastructure Committee, EPLGA, January 2008). The Consolidation of Sporting Facilities The co-location of sporting clubs within a single facility is regarded as the most cost effective and efficient way of managing and sustaining sports infrastructure. This strategy is now well recognised right across Australia and has been brought about by sport and recreation trends which have seen:

Rising costs to operate, manage and maintain sports clubs and grounds, Greater competition for declining sponsorship dollars, Declining sports participation in some regions and towns, making it difficult to field teams and

including the loss of teams in some sporting competitions, A shift away from traditional club based, competitive team sports toward other fitness and

recreational activities such as walking, aerobics, gym exercise, cycling, swimming and running, A declining volunteer base – primarily due to ageing and volunteer burn-out – resulting in growing

difficulty to attract and retain coaches, officials, and club administrators. (Trends in Recreation and Sport, Office for Recreation and Sport, 2011, part 1, pp.2-7).

In short the operation, management and maintenance of stand alone sports facilities by individual sports clubs is no longer sustainable - particularly where there is a duplication of facilities in a town – e.g. 3 football/netball clubs and 3 oval complexes. There are significant financial and operational benefits to be gained from the co-location of sporting clubs into a shared facility. Not only does this arrangement spread the maintenance burden and operational costs between clubs, but it accrues critical mass enabling opportunities for sharing sponsorship benefits, providing higher quality facilities and delivering a broader range of sporting activities.

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In order to ensure the future sustainability of sporting clubs many smaller towns in the region are seeking to rationalise their sports and recreation facilities. However some sports clubs are resistant to the co-location strategy, fearing a loss of club identity and history. (Statement of Position, Sport and Recreation Infrastructure Committee, EPLGA, January 2008, p.8). Exemplary models of multi-use sporting facilities have nevertheless been developed at the Ravendale Community Sports Centre in Port Lincoln, and the Kimba Recreation Reserve. The Streaky Bay Oval Precinct is currently in the process of staged development. The final stage of the project was boosted by funding of $1.72 million from Round One of the RDAF in 2011. The need for similar multi-use sports facilities has been identified at Ceduna, Cowell, Cummins and Whyalla. These proposals are at various stages of feasibility and development, but need to be pursued. Risk Management at Sporting Facilities Local Councils vary in their approach with facility maintenance. The vast majority of sports grounds are leased by clubs which are responsible for infrastructure maintenance. However, these sports clubs are typically small and struggle to find the funding and human resources to maintain the facilities. Even though the primary maintenance responsibility rests with the sporting clubs, ELPGA members believe that Councils have an interest in monitoring risk with injuries that might be sustained from failing infrastructure. The position statement recommended that Councils conduct risk audits of sporting infrastructure on Council land and conduct information forums to better understand issues associated with risk assessment. Community Use of School Sporting Facilities The duplication of sporting facilities is exacerbated in some towns because most schools have turf ovals, courts and other sporting infrastructure – replicating community sporting facilities. In some instances school sporting facilities are able to be used by community groups, but usually after school hours. The EPLGA recommended that Councils and sporting clubs consider the benefits of sharing resources and pursue joint user agreements with schools before embarking on the costly development of new facilities. Regional Sporting Events The position statement recommended that regional and State level events be held wherever possible as a way of promoting regional tourism and sports participation. This option has been a major consideration in the development of multi-use facilities at Ravendale, Kimba and Streaky Bay. Streaky Bay Oval Precinct The Streaky Bay Oval Precinct is an important community hub providing recreational and social opportunities for the residents and visitors. Sporting activities in the precinct include football, netball, basketball, tennis, cricket and the pony club. A masterplan was developed in consultation with the community for a staged upgrade of the oval to provide a quality community and regional sports facility. The master plan identified upgrade requirements and facilitated the co-location of sporting and community groups within the precinct. The process included a review of management structures to better promote sporting club cooperation and detailed a staged infrastructure replacement program to meet the needs of user groups and the general community. The key project benefits include a sustainable facility that meets community aspirations and growth potential, greater opportunities for social inclusion, and the ability for Streaky Bay to host regional events

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and conferences. While the masterplan has a 20 year timeframe for full development of the facility, a distinct short-term project was identified to construct the following elements:

A multi-court facility for netball, basketball and tennis, New change room and store facilities, A playground and BBQ with landscaping and associated facilities, A 200-seat community club with capacity for conferences and training, including a commercial

kitchen, kiosk and bar, along with office space for sports and community groups, A reception area, gymnasium and performing space, The construction of two synthetic bowling greens, and An upgrade of the main entrance.

The total cost of this project stage was estimated at $2.85 million. The project commenced with the construction of the multi-use courts, and funding was secured from several sources to progress the project – i.e. State Government grants $518,000, Council contribution $370,000 and community contributions $243,000. The receipt of capital development funding of $1.72 million from the RDAF in September 2011 ensured that the project will be satisfactorily completed. Cummins Recreation Centre In conjunction with local sporting clubs the Cummins Recreation Centre has been investigating upgrade options for recreation grounds in the town. The project involves the co-location of community sporting and recreation facilities and the construction of a multi-use community complex. Stage One involves rebuilding the Cummins Swimming Pool precinct with new change rooms, a canteen and public conveniences to be shared by the swimming pool and two football clubs. This stage is estimated to cost $700,000 with the Cummins Community Bank contributing $250,000. The 2011-2012 Annual Business Plan included a $50,000 contribution from Council towards stage 1. (District Council of Lower Eyre Peninsula, Annual Business Plan 2011-12, section 9.4). Construction commenced in May 2012 and it was anticipated that the project would take about 30 weeks to complete. (Port Lincoln Times, New Canteen and Changerooms Underway, 31 May 2012, p.3). Stage Two involves development linked to the existing school and community complex to provide a shared community facility which will include a commercial standard kitchen and canteen, public and disabled toilets, change rooms, meeting rooms, a community function room and clubroom, improved internal sports viewing areas, umpire rooms, and all-weather sheltered outdoor viewing areas. This multi-purpose recreation facility is a key strategic investment of approximately $2.07 million and a priority project of the Cummins district. The project involves operational partnerships with two football/netball clubs along with cricket, tennis, basketball, swimming and bowling clubs. Local community and sporting clubs were actively engaged during the planning stage and the proposal is strongly supported at the local and regional level. Residents of the District Council of Lower Eyre Peninsula will benefit from the availability of such a venue in Cummins, which is the operational centre for the Great Flinders region sporting competitions. The facility is planned to meet the standards required for inter-regional and State sporting events and will be of particular value to the Cummins Area School and the broader district.

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Mallee Park Football Club, Port Lincoln Mallee Park Football Oval is Indigenous owned by the Port Lincoln Aboriginal Community Council (PLACC) and operated by the Indigenous Mallee Park Football Club. The facility is used for a range of community events. Planning scenarios have been undertaken in the past to investigate options for better utilisation of the facility. New furniture and a commercial kitchen are needed to make the clubrooms more useable for functions, and the internal and external walls and ceiling need to be insulated to provide sound baffling for conference and meeting use. During May 2012 the PLACC Board reviewed existing planning documents in order to determine future direction for the facility. Centenary Oval, Port Lincoln The Centenary Oval is an important sporting facility in Port Lincoln and an upgrade of the oval was identified as a needed project in several City of Port Lincoln Strategic Plans. The oval is the base for the Port Lincoln Football League. In 2010-11 Council spent $300,000 on building a new toilet block and refurbishing the bar and canteen building. Council received about $70,000 worth of in kind contributions and donations from the community for this stage. In 2011-12 Council budgeted $250,000 toward refurbishing the change rooms and extending the administration section of the clubrooms. This work was assisted by about $40,000 worth of contributions and volunteer labour from members of the sporting community. In addition to the previous works, Council has spent significant money extending the recycled water scheme to Centenary Oval so that the oval could be irrigated using recycled water. In 2012-13 Council is proposing to install a new perimeter fence around the oval, but this budget expenditure has yet to be ratified by Council. The Port Lincoln Football League and a project steering committee are proposing to construct a new grandstand. Council will not contribute to this project component, and the funding will be provided by the league, community donations and an AFL grant. In the longer term, an upgrade of an amenities block and storage sheds at the southern end of the oval will complete the facility refurbishment. 9.3 COMMUNITY AND CULTURAL FACILITIES Community and cultural infrastructure provision is less comprehensive across the region. Nearly all towns have sporting facilities and some form of community, institute or memorial hall, but very few towns have specialised or dedicated facilities to support community and cultural activities such as community centres, visitor information centres, historical museums, libraries, art galleries, cultural centres, theatres, cinemas and the like. Most township halls are relatively old. They were purpose built originally to accommodate the social needs of the time and provided the infrastructure for dances, community meetings, wedding receptions, remembrance ceremonies etc. The halls predominantly comprise a flat wooden floor, a small stage, some form of kitchen or supper room and folding trestles and chairs for function seating. However community and social needs have changed significantly over the years. Many of the township halls have received minor renovations and been adapted for multiple community and cultural use – e.g. as visitor information centres, function spaces, and occasional art galleries and theatre spaces for local artists and visiting theatre groups. This occurs in community halls at Ceduna, Elliston, Streaky Bay and Wudinna. The towns of Tumby Bay and Cummins have venues to sell local arts with a focus on the local community. The region also has four accredited Visitor Information Centres to support and develop tourism at Ceduna, Elliston, Whyalla and Port Lincoln.

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The region has two premier arts and cultural facilities – the Middleback Theatre in Whyalla which opened in 1986, and the historic Civic Hall complex in Port Lincoln, which dates from the late 1870’s. The Middleback Theatre is the only purpose built arts facility in the region and comprises a 500-seat proscenium arch auditorium along with the infrastructure for major theatre and music performances (orchestra pit, control box, computerised light and sound technology etc.). The facility has a separate Whyalla Cinema and infrastructure in the foyer to function as an art gallery. The Middleback Theatre primarily services communities in the northern part of the region. The Port Lincoln Civic Hall complex primarily services communities in the southern, central and western parts of the Eyre Peninsula. The facility includes a 500-seat Nautilus Theatre, two gallery spaces (including the A Class Walter Nicholls Memorial Gallery, which is one of only seven A class galleries in regional South Australia), a gallery shop which showcases and sells the work of local artists, and a range of different sized meeting spaces, including a rehearsal room equipped with wet area infrastructure. The region has two specialist Indigenous arts centres – the Ceduna Aboriginal Arts and Cultural Centre at Ceduna and Kuju Arts at Port Lincoln. These facilities have visual arts workshops and sell the work of local Aboriginal artists. Other notable community cultural facilities include:

D’Faces of Youth Arts Hall at Whyalla – which fosters youth creativity in theatre, music and the visual arts and is one of only two dedicated youth arts facilities outside metropolitan Adelaide.

Axel Stenross Maritime Museum in Port Lincoln – which has a comprehensive collection of photographs, models and boats showcasing the maritime and fishing history of the region, and includes a working slipway.

Whyalla Visitor Centre and Maritime Museum – a facility with high visibility due to highway location next to the HMAS Whyalla (the first ship to have been built at the Whyalla shipyards). The facility includes a separate maritime museum featuring the maritime and Indigenous history of the area.

Koppio Museum – featuring a historical collection of photographs, artefacts, tools, plant and equipment from local farms, including a working blacksmith shop and living pioneer cottage.

Excell Blacksmith and Engineering Museum in Tumby Bay – a blacksmith and engineering workshop that has been kept largely intact from its original working state from 1935 to 1976.

Ceduna Historical Museum – with displays about the history of the Ceduna area and featuring numerous artefacts and documents concerning the British Government Atomic Bomb Test Program at Maralinga during 1953-63.

Darling Terrace Gallery in Whyalla – is owned and managed by the Whyalla Art Group, with ongoing visual arts and crafts exhibitions provided on a membership basis.

Arts and cultural development is being fostered by Country Arts SA (CASA) which has Arts Officers based at Whyalla, Port Lincoln and Streaky Bay. CASA operates the Middleback Theatre in Whyalla, and provides an annual touring performance program across regional South Australia. The Middleback Theatre and Port Lincoln Civic Hall are major venues for the touring program and both provide office space for CASA Arts Officers. However the Port Lincoln Civic Hall is owned by the City of Port Lincoln and is totally independent of CASA operations, being run by a community-based Management Board. Community participation in arts and cultural activities appears to be strong and growing. There are active arts, crafts, theatre, photographic, writing, historical and other groups in most towns, particularly at Whyalla and Port Lincoln. Some of these groups seem to be surviving quite well in makeshift and less than adequate facilities. However, several plans are in progress to upgrade facilities to make them more suitable for the operational needs of arts and cultural groups.

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One of the issues concerning arts and cultural development is that meaningful participation data is not available. CASA collects basic data about event attendance but a comprehensive audit of cultural facilities, services and community groups has never been undertaken in the region. Given the historical importance of sport in rural townships it is understandable that most local Councils have developed specialised recreation and open space plans, but community cultural development planning is largely an incidental part of the Local Government strategic and business planning process. The need for more proactive community cultural development planning has nevertheless been recognised by Local Government. The District Council of Ceduna has identified the need for a theatre and conference facility to accommodate arts and entertainment activities. The project is at the concept development stage and a feasibility study is needed to consider other options, including the possible upgrade of the Ceduna Memorial Hall. The City of Whyalla has identified the need for a purpose built art gallery to house the biennial City of Whyalla Art Prize and showcase the City of Whyalla Art Collection. Options for this provision have been investigated but the project has been put into abeyance, pending a proposed upgrade of the Middleback Theatre. The City of Whyalla is also supporting the proposed development of a major interpretive facility, and the District Council of Franklin Harbour is planning to construct new administrative offices, which incorporate a purpose designed visitor information centre. Key social and cultural infrastructure projects include: Port Lincoln Civic Hall Redevelopment The Port Lincoln Civic Hall complex is a regional community facility providing theatre, art gallery, music and function services to the central, western and lower parts of the Eyre Peninsula. The facility is centrally located in the Port Lincoln CBD and tourism precinct. The Tasman Terrace address overlooking Boston Harbour is arguably one of the prime positions in Port Lincoln. The facility is located next to shops and the Post Office, close to the Visitor Information Centre, and is strategically placed near the focus of major community and tourism events such as the annual Tunarama Festival. The Civic Hall is managed by a community based Management Board, supported by three paid part time staff and a pool of over 130 volunteers. The facility operates as a self-funded entity with income derived from ticket sales, art work sales and functions, and an annual budget from the City of Port Lincoln. The building is the third structure to be erected on the site. The first was an Institute Hall constructed in 1879, which had a stage added in 1898. In 1924 the facility was rebuilt and renamed, becoming the Port Lincoln Soldiers Memorial Hall. This building was rebuilt again in 1936 after being gutted by a fire in 1934. The original infrastructure was basic - comprising a flat wooden ground floor area, a proscenium arched stage and a balcony seating area. By the 1960’s the hall had received a few minor upgrades but still fell short of meeting the requirements of touring companies. The dressing rooms were inadequate, and the lighting and sound systems did not meet touring company requirements. During the 1970’s and 1980’s there was community demand for a brand new replacement facility but the decision was eventually made to upgrade and adapt the existing hall for better use. Major renovations costing over $2.1 million were completed in May 2001, which upgraded the ground floor to provide a 500-seat theatre (the Nautilus Theatre), two art galleries and better function space. The stage was enlarged and the proscenium arch removed as part of these works. The project was funded through a Centenary of Federation Grant of $1 million from the Australian Government, a $500,030 grant from the State Government and over $425,000 raised from community donations and sponsorships. Since completing the redevelopment, there has been an extraordinary increase in attendances to performances and exhibitions with visitation averaging 25,000 people per annum in recent years. User demand has now out grown the facility and further audience development is curtailed by infrastructure constraints.

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The City of Port Lincoln proposes to further develop the Civic Hall by upgrading the derelict first floor space to provide another gallery, workshop spaces and community meeting areas. The upgrade will also provide a new function area with carpeting, air-conditioning and a lift to make the space more accessible. The estimated $1.3 million redevelopment will meet the growing cultural facility needs of the lower Eyre Peninsula and enhance the amenity and liveability of Port Lincoln for both local residents and visitors. Middleback Theatre Upgrade at Whyalla The Middleback Theatre (named after the Middleback Ranges north-west of Whyalla) is the only purpose built arts facility in the region. The facility comprises a 500-seat proscenium arch auditorium with supportive infrastructure for major theatre and music performances. The theatre complex, operated by CASA, houses the Whyalla Cinema and has infrastructure which permits the foyer to function as an art gallery. The Middleback Theatre has strong patronage through the CASA performing arts program and use as a cinema, but it is also the premier venue in Whyalla for major conferences and community events. Middleback Theatre has a Venue Manager (responsible for operations, bookings and marketing), a Technical Manager (responsible for all the technical aspects of the complex operations), and houses a part-time CASA Arts Officer. The theatre foyer gallery is used for the biennial Whyalla Art Prize. One of the walls has been surfaced and equipped with hanging rails for this purpose. This is a temporary measure until a new art gallery can be constructed in another part of the building. The design concept for the gallery was prepared in 2009 and the State Government, through CASA, provided $400,000 for the gallery construction. But the project has been in abeyance due to funding constraints concerning the City of Whyalla. After 26 years of service the facility is in need of maintenance and refurbishment to carry it into the future. In 2010 the auditorium was upgraded with new floor finishes and seating along with access improvements for people with disabilities. A major upgrade of the theatre is proposed, costing an estimated $8,035,245, so that the facility can better cater for the future arts, community and conference needs of Whyalla. The upgrade includes:

Provision of a new Black Box Theatre – a smaller and more flexible space which will enable performance and dance to be presented in more intimate and innovative ways, including cabaret style seating at tables.

Provision of high definition digital and 3D technology in the cinema. This is important because existing 35mm film technology will be phased out of cinemas within the next 18 months.

Establishment of an A-class gallery. This will include the essential environmental and atmospheric controls to enable the presentation of major touring exhibitions which presently cannot be shown in Whyalla.

Inclusion of a new outdoor performance space and major sculpture area adjacent to a new entry canopy which will enable outdoor community and arts events of varying scale.

General upgrades throughout the facility for safety, access and equity compliance, improved patron amenity and infrastructure to reduce energy use and environmental impacts. These improvements include increased ramp access and wheelchair positions in the auditorium, new disability access toilets and enhanced augmentation for the hearing impaired.

The proposed upgrade will provide the cultural infrastructure and amenities to help make Whyalla a more appealing city in which to live, work and visit and will help in the attraction and retention of the professional workforce that is necessary for planned industrial and mining developments in the region.

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D’Faces of Youth Arts D’Faces of Youth Arts in Whyalla is the only dedicated youth arts organisation in the region and one of only two youth arts companies in South Australia that is not based in Adelaide. The organisation provides training and arts development opportunities for young people up to 27 years of age in the genres of performing and visual arts. All D’Faces projects are based on community cultural development principles, where art is created ‘by’ the participants as opposed to ‘for’ them. Professional practising artists from around Australia lead D’Faces projects and share their skills with participants and local artists, building on local knowledge. Young people in the Whyalla are impacted by high unemployment rates from intergenerational unemployment, along with juvenile justice issues, substance misuse and low levels of numeracy and literacy. D’Faces of Youth Arts thereby provides critical youth development and training services in Whyalla and is currently funded by The City Whyalla with $25,000 per annum to manage the council’s youth arts program. D’Faces has been active since 1994 but service provision has been constrained by the lack of fit-for-purpose infrastructure. In 2006, D’Faces obtained a loan from the City of Whyalla to purchase a small hall – Buff Hall – from the Buffalo Lodge to provide a base for the organisation. Minor renovations were undertaken at the time, but substantial refurbishment is needed to provide more appropriate facilities. A feasibility study and project costing was undertaken in 2008 which estimated the total refurbishment cost to be $1.2 million. The upgrade will provide sound proof recording studios, a prop construction and storage area, disabled toilet facilities, workshop and wet area, an improved 88-seat performance space and a new foyer with catering facilities for patrons. Some preliminary refurbishment works were completed during 2010 with funding assistance of $150,000 from BHP Billiton. The BHP Billiton funding was allocated to urgent first-stage improvements, including an office upgrade, refurbishment of an old cold-room into a multi-media and green room space, a new kitchen, the installation of a reverse cycle air conditioner system, and replacement of windows, security screens and awnings. Infrastructure capital funding is needed to complete the refurbishment. Elliston Coastal Trail Elliston is located on the rugged western coast of Eyre Peninsula approximately 170 kilometres north west of Port Lincoln and 235 Kilometres south east of Ceduna. Elliston is a well known and timely rest point on the journey along the Flinders Highway, with the Elliston Bakery being a popular coffee and snack stop. Elliston has a growing aquaculture industry and is becoming renowned for its tourism and arts focus. Elliston houses one of the four accredited Visitor Information Centres in the RDAWEP region and hosts popular arts and sculpture events annually. The township infrastructure spreads along the northern and south eastern sides of Waterloo Bay, which is a significant reef bound inlet faced on both sides by spectacular cliffs. The south eastern cliffs host the Little Bay Clifftop Drive and the north western cliffs have the Anxious Bay Clifftop Drive. Both of these drives are popular for local residents and tourists and include viewing points and trails. The Anxious Bay Clifftop Drive is also the location of the ‘sculptures on the cliffs’ – a series of permanent sculptural installations resulting from previous art exhibitions. The District Council of Elliston commissioned a coastal trail study to develop and improve this trail and drive network and provide the community with a valuable recreational and tourism asset. The Elliston Coastal Trail Concept Plan is also part of a much broader strategy to establish a network of walking and cycling trails throughout regional South Australia. (Elliston Coastal Trail Concept Plan, Aspect Studios Pty Ltd, February 2012).

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Figure 34: Elliston Coastal Trail Concept Plan.

The concept plan proposes to upgrade and link the two clifftop trails and provide user amenities including shelters, steps to the beaches, and fencing in some areas to improve safety. The concept makes use of existing walking and cycling tracks along both cliff tops and the town centre, but improves the network with a new multi-purpose trail to link and showcase key town elements. The concept proposal is to undertake the development in four distinct stages over approximately four years:

STAGE DESCRIPTION COST ESTIMATE 1 Upgrade Anxious Bay Clifftop Drive Trail 662,910.00 2 Link Anxious Bay Trail through to the Town Centre 188,205.00 3 Link Town Centre to Little Bay Clifftop Drive Trail 201,375.00 4 Upgrade Little Bay Clifftop Drive Trail 313,389.00

Total Estimated Project Cost 1,365,879.00 Table 29: Elliston Coastal Trail Concept Plan – Estimated Project Costs for Staged Development.

The estimated project cost is $1,365,879.00. However, the final project cost might vary once fully detailed costings have been prepared, inclusive of any zone allowances that might apply. The development concept assumes that the final trail alignment will be determined in coordination with environmental management plans to protect threatened species and will provide opportunities to interpret the natural environment. Consultation with traditional owners is also assumed.

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This project provides an excellent opportunity to showcase and experience natural and built assets in the vicinity of Elliston and will value add to recreational and tourism amenity in the region as a whole. In June 2012, the District Council of Elliston was granted $251,143 from the South Australian Government Open Space Program to commence Stage 1 of the project.

Figure 35: Elliston Clifftops between Waterloo and Anxious Bays.

Cuttlefish Interpretive Centre Whyalla is renowned for being the Cuttlefish Capital of the World. Each year between May and August thousands of Giant Australian Cuttlefish – sepia apama – migrate to the coastline near Point Lowly for spawning. This breed of cuttlefish is one the largest known, growing to 60 cm long and 5 kg in weight. The Whyalla cuttlefish have become a global phenomenon, with scientists, recreational divers, snorkelers and photographers documenting their quirky mating displays and behaviours. The cuttlefish have consequently become a worldwide phenomenon and the subject of ongoing research. There is widespread community concern that the proposed development of a BHP Billiton desalination plant at Point Lowly and construction of a second deep water port at Port Bonython, may negatively impact the cuttlefish and their breeding cycle. In view of the importance of the cuttlefish to Whyalla, the development of a significant cuttlefish interpretive facility has been proposed to showcase and provide education about the cuttlefish and their breeding characteristics. It is envisaged that the interpretive centre will be a state-of-the-art facility that incorporates world’s best practice in the design and building fabric, visitor experience and amenity and the ecological functioning of the building. The facility will also provide administrative and laboratory facilities for visiting cuttlefish researchers. This project is a joint initiative of RDAWEP and the City of Whyalla which see the interpretive centre as an opportunity to value add to tourism product and position Whyalla as the northern gateway to the region. Woodhead was appointed the project architect in October 2011, with a brief to identify the optimum location for the interpretive centre at either Point Lowly or Whyalla, and provide design concepts and costings for the facility. The project commenced with individual stakeholder consultations in November 2011, a combined stakeholder workshop in December and interactive community consultations during February and March 2012. The consultation process made it very apparent that the Whyalla community is quite polarised about development at Point Lowly. Some very passionate community groups (such as the Alternative Ports

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Working Party, the Cultana Jenkins Shack Owners Association and the Point Lowly Shack Group) object to the existing industrial zoning of Point Lowly and want the area rezoned for tourism and recreation purposes. Their argument is primarily about safeguarding the liveability of Whyalla for community benefit because, in their opinion, industrial development at Point Lowly will degrade the best and only attractive coastal area in the Whyalla area, and will have a serious negative impact on the cuttlefish aggregation. It is understandable that these groups (along with many other individuals) were largely in favour of locating an interpretive centre at Point Lowly, whereas other stakeholders preferred a location in Whyalla to strengthen the tourism focus of the city. Collectively, the stakeholders stressed that the interpretive facility should showcase and interpret the marine biology and environment of the Upper Spencer Gulf as whole, rather than focus on the cuttlefish.

Figure 36: Option Showing Main Facility at Whyalla, with Satellite Facilities at Point Lowly and Other Locations.

In June 2012, Woodhead presented two possible development options to a meeting of project stakeholders – i.e. a concept and design principles for two sites at Point Lowly and a concept and design principles for a facility at Whyalla foreshore. The presentation included the option of developing the centre as an integrated network of facilities in different locations comprising satellite facilities at both Point lowly and Whyalla. The stakeholder meeting almost unanimously opted for locating the main interpretive facility at Whyalla foreshore, with satellite facilities located at Point Lowly and Whyalla Library and Visitor Information Centre. The design concept for the shell of the building and a feasibility study are now being pursued. The tourism potential of the cuttlefish at Whyalla has long been recognised and the feasibility study will make use of earlier consultant reports on this matter. (e.g. Tourism Potential of the Cuttlefish at Whyalla, Andrew Robertson Marketing and Consulting, June 2003). The feasibility study will also investigate management, operational and financial models and explore state-of-the-art options for the interpretive display. It is consequently anticipated that the project will not be implementation ready until late 2014.

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Whyalla Visitor Information Centre and Maritime Museum The Whyalla Visitor Information Centre (WVIC) is strategically located on the highway from Port Augusta, between the OneSteel factory and Whyalla CBD. The WVIC is a key tourism landmark due to high visibility from its location next to the dry docked and very prominent HMAS Whyalla – the first ship built at the Whyalla Shipyards. The facility is a unique complex comprising the WVIC building, the static HMAS Whyalla and the Whyalla Maritime Museum. These attractions are located in a large and pleasant garden setting which has BBQ facilities and shelters for use by the Whyalla community and visitors. For people travelling from the eastern states and Adelaide, the WVIC is the first significant tourism facility they encounter in the region. The WVIC therefore has potential to serve two distinct but related functions: (1) to provide tourism information specific to the City of Whyalla and, (2) to market the Whyalla and Eyre Peninsula region as a whole. A tourism workshop conducted at Whyalla in July 2011 identified that the WVIC has various functional issues and needs to be upgraded, enlarged or replaced. Services at the WVIC building are arguably constrained by its small size and there are operational issues which impact its income potential – i.e. the facility egress bypasses the souvenir sales section, amounting to a lost sales opportunity. (The full details of the Whyalla tourism workshop outcomes are documented in Building Eyre Peninsula as a Tourism Destination, RDAWEP January 2012, Appendix 10.3). The WVIC is nevertheless a successful tourism and visitor information centre and received a bronze medal in the visitor information services category of the 2011 South Australian Tourism Awards. There is significant potential to develop the WVIC as a regional, rather than a local facility, and it should therefore be equipped with the infrastructure and services that benefit a regional gateway. Options for better functioning of the WVIC should be considered as part of the process to locate satellite interpretive functions in the building as part of the Cuttlefish Interpretive Centre development. These options will be investigated during the project feasibility stage. Community and Visitor Infrastructure at Point Lowly The July 2011 Whyalla tourism workshop identified the need to improve infrastructure and facilities at Point Lowly for local residents and visitors. This claim was made in recognition of two things:

1. The importance of the Great Australian Cuttlefish to Whyalla as a tourism asset, and 2. The importance of Point Lowly as a liveability asset for the Whyalla community.

Point Lowly is the closest location to the cuttlefish aggregation and many people, both locals and visitors, go snorkelling to observe the cuttlefish at close quarters. The main access points have some basic interpretive signage and access stairs but there are presently no other facilities to support snorkelling activity. People currently have no option but change into wetsuits in the open or in their vehicles. The tourism workshop identified the need for provision of some basic infrastructure, such as change rooms, showers and toilets, to enhance interaction with the cuttlefish. Point Lowly has been used historically by the Whyalla community for holidays, fishing and other recreational activities, because it is arguably the best and only attractive section of coastline in the vicinity of Whyalla. The Point Lowly peninsula offers spectacular views over Spencer Gulf to the Flinders Ranges in the northwest, where several layers of mountain ranges can be seen.

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The peninsula has shack settlements at Point Lowly near the lighthouse and north along the eastern coast to Fitzgerald Bay. This coast also has a sheltered boat ramp and several free camping areas which are becoming increasingly used by travellers, particularly self-equipped grey nomads. The tourism workshop identified the need to provide better facilities to support the camps and attract more tourism to the area. Large sections of the Point Lowly peninsula are zoned industrial and proposed projects include the BHP Billiton desalination plant, Port Bonython bulk commodities export facility, Port Bonython fuels and possibly a second refinery and an explosives factory. As previously indicated, the extent of industrial development planned at Point Lowly has polarised the Whyalla community because many people strongly believe that the area should be safeguarded for tourism and recreation purposes and be rezoned accordingly.

Figure 37: Cuttlefish Interpretive Infrastructure at False Bay, Point Lowly.

The option of industry and tourism coexistence is not regarded as viable because some people believe that the industrial developments will degrade the overall amenity of Point Lowly and that the expected increase in heavy vehicle traffic on Point Lowly Road will be a deterrent to tourism in the area. These views are supported by the claim that there is ample industrial zoned land in closer proximity to Whyalla with existing infrastructure that can be used for industrial development purposes. The July 2011 Whyalla tourism workshop identified the need to provide ablutions infrastructure at the various free camp sites along the eastern coast of the peninsula. This option should be investigated if better recreational and tourism use of Point lowly is to be pursued.

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Figure 38: View Across Spencer Gulf from Point Lowly (photo courtesy of Woodhead Architects).

Eyre Peninsula Fishing Interpretive Centre The Southern Bluefin Tuna industry is largely responsible for transforming Port Lincoln into the regional city it is today. Southern Bluefin Tuna is renowned in Japan as a sashimi grade premium product. Based in Port Lincoln, the Southern Bluefin Tuna industry employs 4,000 people and is a key tourist attraction. Most of the Southern Bluefin Tuna harvest is exported to Japan, with product also sent to Korea, China, United States, Singapore and Europe. The fishing industry and maritime history is extremely important to the culture and sense of place of Port Lincoln. Sealers visited the area around 1828 and whaling ships – predominantly French - were fishing the local bays and island regions during the 1820s to the 1840s. Windjammer boats constantly visited Port Lincoln as part of the coastal trade in the Spencer and St Vincent Gulfs and many shipwrights were operative in Port Lincoln during the late 1800’s and early 1900’s. (City of Port Lincoln Website, www.portlincoln.sa.gov.au/history). Port Lincoln houses the Lincoln Marine Science Centre (built in 1995 by Flinders University of SA to support research and tertiary education in marine science), and the Australian Maritime and Fisheries Academy (established in 1997 as a training centre for maritime, fishing and seafood industries). The region’s fishing and aquaculture industry financially supported both developments. Port Lincoln also has the Axel Stenross Maritime Museum which celebrates the life of the Finnish born shipwright, Axel Stenross. The museum was established in 1982 after the death of Axel Stenross in 1980 and has been developed and operated by an incorporated association of volunteers. This museum is the only facility in Port Lincoln that showcases the fishing and maritime history of the region. The museum includes the living quarters, blacksmith shop and boat shed used by Axel Stenross along with his shipwright tools. The museum has displays of restored boats; boating artefacts, boat models, and a vast collection of photographs and paraphernalia presenting the shipping stories and maritime history of Port Lincoln. The museum also manages an operational slipway and mooring facilities. A relatively new Axel Stenross Boat Ramp built by the City of Port Lincoln is located next to the museum, with both sharing the car and boat parking facilities. The maritime historical importance of Port Lincoln is locally recognised and widely known across the region, but is arguably understated as a tourism attraction. One reason is that the museum is only open on a part time basis. Even though the Axel Stenross Museum collection is comprehensive, the fishing industry section is quite thin. There is growing demand for better museum facilities to house important historical artefacts that are privately held by fishing dynasty families. The construction of a new fishing interpretive centre has been proposed, with one option being the inclusion of a purpose built facility in the next stage of the Port Lincoln marina development.

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This proposal might potentially duplicate some of the material that is already on display at the Axel Stenross Museum. A substantial upgrade of the Axel Stenross Museum might therefore be a better use of resources, be more cost effective and produce a better outcome. This would be in keeping with the vision held by some members of the Axel Stenross association who would like the facility to be open fulltime and be upgraded with the infrastructure for a café or restaurant, a new jetty, al fresco BBQ facilities and more extensive exhibition space. This option was discussed with key members of the association during 2011, but the leap from a part-time operation with volunteers to a fulltime operation with employees was too daunting for some members and not supported at the time. Fulltime operation will be necessary if the Axel Stenross Museum wishes to adopt a serious tourism function. The association has consequently sought the advice and support of the RDAWEP Tourism Development Manager about this matter. The development of an Eyre Peninsula Fishing Interpretive Centre has nevertheless been identified as a need for both historical and tourism purposes and a detailed feasibility study should be conducted to investigate the best options for this provision. Whyalla Foreshore and Town Centre Master Plan The Whyalla Foreshore and Town Centre Master Plan was released in April 2005 after extensive community consultation during 2004. The project prepared a comprehensive plan for a substantial, quality development of the foreshore linked with the revitalisation of the original town centre. The project aims to improve the profile of Whyalla and animate local and visitor activity. (Hames Sharley, Whyalla Foreshore & Town Centre Master Plan, April 2005). The project is being implemented over several stages, with the initial stage already completed. The project had a severe set back in 2011 with significant damage caused by a storm and high tide. Stage 2 of the project was activated during June 2012. A review is required to examine initiatives that have been completed and examine changes in City of Whyalla priorities. Gawler Ranges National Park The further development of the Gawler Ranges National Park is a key project for tourism development in the northern sector of the region. Previous planning identified the need for the construction of a walking and cycling trail through the park. The park development is presently being considered by the District Councils of Wudinna and Kimba as part of their respective strategic planning processes. Parnkalla Trail The Parnkalla Trail is a significant walking and cycling trail that stretches 17.8 kilometres along Boston Bay from North Shields in the District Council of Lower Eyre Peninsula to Proper Bay in the City of Port Lincoln. The section from North Shields to the Port Lincoln CBD runs parallel to the Lincoln Highway. The facility is well used by the local community for fitness and dog walking, but it is also a tourism asset used by many visitors. In 2008, the City of Port Lincoln prepared a 10-year strategy for the staged upgrade of the trail, commencing at the northern Council boundary. (City of Port Lincoln, Parnkalla Trail 10-Year Strategy, 2008-2018). In 2010-11, Council spent approximately $133,000 preparing the base, building retaining walls and bitumen sealing the trail from the northern boundary to the Oasis Apartments on the edge of the CBD

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(approximately 1 kilometre). This project was assisted with a grant of $77,000 from the Australian Government. In 2011-12 Council budgeted $115,000 on similar work to extend the sealed section of the trail between the Axel Stenross Maritime Museum boat ramp and Oasis Apartments (approximately 600 metres). This work commenced in June 2012. In 2012-13 Council is proposing to improve and seal the section of the trail in the CBD from the Boston Hotel to the main wharf, but this expenditure has yet to be ratified by Council. The completion of the project will result in the provision of significant social, community and tourism infrastructure in Port Lincoln. 9.4 SOCIAL AND COMMUNITY DEVELOPMENT INITIATIVES Regional Cultural Audit Community based planning is essential for the successful development of social and community infrastructure. This is clearly evidenced by the extent of sports and recreation planning that has been undertaken at the State, regional and Local Government level. Unfortunately, the same cannot be said for community cultural development planning in the region and South Australia as a whole. As has been previously stated, no specialist research or planning has been undertaken in this region about cultural facilities, cultural services, cultural needs and the community groups involved. Community cultural development planning is largely an incidental part of the strategic and business planning of local Councils. Unlike the sport and recreational sector, there is no quantifiable data about things such as:

The number and range of facilities in the region that are used for arts and cultural purposes. The operational and infrastructure development needs of these facilities. The extent of community involvement in arts and cultural activities as a participant, spectator,

administrator or volunteer. The level of satisfaction with the quality and accessibility of arts and cultural infrastructure.

There is sufficient anecdotal information available to suggest that arts and cultural activities are flourishing quite well in some towns across the region, and that the level of community participation and involvement might be much greater than many people think. There is only one way to find out. It is consequently proposed that RDAWEP facilitate a regional audit to gather data about the arts and cultural sector and use this information for strategic and infrastructure planning purposes. This proposal has been discussed with CASA which has indicated intention to support and participate in the initiative. Eyre Peninsula Community Foundation The Eyre Peninsula Community Foundation (EPCF) is a philanthropic trust that aims to develop a pool of capital (called a corpus) from fund raising, community and business donations and use the interest from the fund investment to support projects that benefit the regional community. The EPCF provides leadership in finding innovative solutions to community development challenges and has the potential to support sections of the community that, for a range of reasons, are ineligible for government grants and other community benefit funding. The EPCF was established in 2004 through the support of the Eyre Regional Development Board and a community based steering committee. The formative Board of Directors was appointed in 2008, and the governance regime of operations manual, strategic plan, policies and procedures was developed and endorsed during 2009.

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One of the objects of the Foundation is to encourage and enable individuals, families, corporations and charitable organisations to engage in philanthropy and contribute in ways that will benefit local communities and local causes. The EPCF funding pool includes a General Fund, a Trust Fund and a Disaster Fund, all of which are exempt from taxation. Donations to the Trust Fund and the Disaster Fund are tax deductible, and the proceeds of Disaster Fund can be provided directly to people who have suffered as the result of a disaster – such as a bushfire. The EPCF is gradually becoming more active as it builds its funding corpus, and has been involved in several community initiatives, including:

Back to School Vouchers – the EPCF is a conduit for the distribution of vouchers valued at $50.00 for the purchase of school materials and accessories. The vouchers are distributed to schools across the region which allocate the vouchers to students from families eligible for School Card and/or low income support. The Back to School Voucher program is an initiative of the Foundation for Rural and Regional Renewal (FRRR) and the Sydney Myer Foundation. The EPCF has distributed approximately $40,000 worth of vouchers in recent years.

Smoky Bay Jetty Redevelopment – in liaison with FRRR, the EPCF assisted the Smoky Bay

community to fundraise for the redevelopment of the Smoky Bay Jetty as part of the town’s Centenary Celebrations. Again acting as a conduit for the FRRR, the EPCF was able establish a specific purpose project donation account which enabled the Smoky Bay community to claim a tax deduction for donations over $2.00 for the jetty reconstruction. This helped to raise community donations of approximately $70,000 toward the project that totalled $634,000.

EPCF Port Lincoln Charity House – in June 2012 the EPCF held an auction of a brand new

Charity House that was constructed on land donated by the Port Lincoln based Sarin Group. The house was constructed by a local builder – Keith Daniels Homes – at a reduced rate due to materials, product and other donations being provided from the local building industry and suppliers. The house did not sell at the auction but several parties have expressed interest in the purchase. The profit from the sale will provide a substantial contribution to the EPCF corpus.

EPCF Board strategic planning has identified several initiatives that will be pursued during 2012-13 to raise funds for the corpus and cement the profile of the organisation. Key strategies include a targeted approach raising the profile of the organisation in Whyalla, EPCF attendance at township events across the region, and coordinating a region wide event in the form of an Eyre Peninsula Bush Bash. (Eyre Peninsula Community Foundation Inc., Strategic Plan, Endorsed May 2009 and updated June 2012). The EPCF recognises the importance of maintaining the highest possible governance standards and has identified the need for governance training for Board Members. Ideally, an appropriate consultant will conduct a workshop to address the role and responsibilities of Board Members and Directors of not-for-profit organisations. RDAWEP assistance will be sought to facilitate the workshop, which should be open to Board Members of other not-for-profit organisations to maximise the community benefit.

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Figure 39: Structure and Operation of the Eyre Peninsula Community Foundation Inc.

EP Disaster

Fund

EP Community Foundation

Trust

Tax Concession Charity (TCC)

Non-Tax Deductible Donations

General Fund Theme Funds Named Funds

Grants to DGR’s, other organisations & individuals

for charitable purposes.

Deductible Gift Recipient (DGR) Tax Deductible

Donations

Gift Fund Theme Funds Named Funds

Grants only to DGR’s

Deductible Gift Recipient (DGR) Tax Deductible

Donations

Grants to DGR’s &

Individuals in necessitous

circumstances.

EP Community Foundation

General Fund

Trustee for

Eyre Peninsula Community Foundation General Fund Eyre Peninsula Community Foundation Trust

Eyre Peninsula Disaster Fund

Eyre Peninsula

Community Foundation Inc.

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9.5 SUMMARY – SOCIAL AND COMMUNITY INFRASTRUCTURE PROJECTS

PROJECT DESCRIPTION SUMMARY General Support the development of strategic social infrastructure

including education, health, arts and cultural, sports and recreation facilities.

Sporting and Recreation Facilities Cummins Recreation Centre Support the staged development of the Cummins recreation

Centre. Cleve Multi Purpose Sports Complex Support the development of a regional multi purpose sports

complex at Cleve. Mallee Park Football Club, Port Lincoln Support an upgrade of the Mallee Park Football Club oval to

make the operation of the facility more sustainable. Community and Cultural Facilities General Support and implement the upgrade of visitor information

centres. Support the development of strategic interpretive centres.

Port Lincoln Civic Hall Development Support the City of Port Lincoln to secure funding for the upgrade of the Port Lincoln Civic Hall complex.

Middleback Theatre Upgrade Support Country Arts SA and the City of Whyalla to secure funding for the upgrade and refurbishment of the Middleback Theatre complex.

D’Faces of Youth Arts Assist D‘Faces of Youth Arts with the planning to refurbish the Buff Hall facility as a regional youth arts complex.

Elliston Coastal Trail Support the District Council of Elliston to secure funding for the development of the Elliston Coastal Trail.

Cuttlefish Interpretive Centre Undertake the feasibility stage for the development of a Cuttlefish Interpretive Centre in the Whyalla area, inclusive of options for interpretive displays.

Whyalla Visitor Information Centre and Maritime Museum

Support the City of Whyalla to secure funding to upgrade and reconfigure the Whyalla Information Centre and Maritime Museum complex.

Community and Visitor Infrastructure at Point Lowly

Investigate the merit and benefits of providing community and tourism infrastructure at Point Lowly as part of the Cuttlefish Interpretive Centre feasibility study.

Eyre Peninsula Fishing Interpretive Centre Conduct a feasibility study to investigate the best options to develop a fishing industry interpretive facility at Port Lincoln.

Township Revitalisation Support local government with township revitalisation strategies.

Whyalla Foreshore and Town Centre Master Plan

Support the staged implementation of the Whyalla foreshore and town centre master plan.

Gawler Ranges National Park Continue to implement the key priorities identified in the Gawler Ranges Tourism and Recreation Plan.

Social and Community Development Initiatives General Support strategic initiatives that develop and encourage

regional and community based leadership. Cultural Development Conduct a regional cultural facilities and activities audit. Eyre Peninsula Community Foundation Support the EPCF Board to attract donations and raise

community and industry awareness about the Foundation. Investigate the merit of conducting a governance workshop for Board Members and Directors of not-for-profit organisations.

Table 30: Summary – Social and Community Infrastructure Projects.

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10. HOUSING AND HEALTH INFRASTRUCTURE 10.1 REGIONAL HOUSING OVERVIEW In 2011 31.8% of the region’s occupied dwellings were owned outright, 30.8% were mortgaged and approximately one third of dwellings (33.7%) were rental properties. The extent of home ownership was notably higher in smaller Council areas (averaging 48.0%) than in Whyalla, Port Lincoln and Ceduna where home ownership was 24.1%, 28.6% and 31.9% respectively. Conversely, the extent of rental was above the regional average in the larger towns of Whyalla (39.0%), Port Lincoln (36.0%) and Ceduna (38.6%), whereas the average in the smaller Councils was 23.0%.

LOCAL GOVERNMENT

AREA

OCCUPIED PRIVATE

DWELLINGS

OWNED OUTRIGHT

OWNED WITH A MORTGAGE

RENTED

No. % No. % No. % No. %

Whyalla 8,937 88.7 2,153 24.1 3,037 34.0 3,489 39.0

Port Lincoln 5,518 87.3 1,581 28.6 1,715 31.1 1,988 36.0

Ceduna 1,274 80.9 406 31.9 314 24.7 492 38.6

Cleve 687 70.2 307 44.6 194 28.2 159 23.1

Elliston 427 55.5 218 51.2 89 20.9 104 24.4

Franklin Harbour 479 63.6 235 49.1 117 24.4 106 22.1

Kimba 411 76.7 218 53.0 85 20.7 87 21.2

Lower Eyre Peninsula 1,735 72.7 719 41.4 651 37.5 322 18.5

Streaky Bay 757 66.6 374 49.5 179 23.7 176 23.3

Tumby Bay 1,047 70.5 495 47.2 251 23.9 263 25.1

Wudinna 484 78.3 234 48.3 99 20.5 127 26.2

REGION 21,943 81.3 6,973 31.8 6,752 30.8 7,396 33.7

Table 31: Occupied Private Dwellings and Ownership Status, ABS Census 2011. The vast majority of dwellings (78.5%) were traditional separate houses, 15.6% were semi-detached, row, terrace or town houses and 4.7% were flats, units or apartments. The percentage of traditional houses was significantly higher in the smaller Councils areas (including Ceduna) where the average was 94.0% compared with Whyalla (67.5%) and Port Lincoln (75.7%) – see Table 32: Dwelling Structure Type – excluding visitor only accommodation. Three bedroom dwellings comprise over half of the housing stock in the region (57.5%). This is relatively consistent in all Council areas with the exception of Whyalla where three bedroom dwellings comprise 63.2% of housing – see Table 33: Number of Bedrooms, Occupied Private Dwellings. The region has 7,395 rental properties with 74.1% located in Whyalla and Port Lincoln (5,481 properties collectively). Almost half (47.2%) of all rental properties are located in Whyalla. Most of the region’s housing authority properties are also located in Whyalla (1,889 or 68.5%), with 95.2% of housing authority properties located in Whyalla, Port Lincoln and Ceduna – Table 34: Rental Premises, Landlord Type. The median weekly rent in the region is $150, below the median rent for South Australia at $220 per week. The rental is less than 30% of household income for the vast majority of households (91.8%). Similar ratios are experienced for monthly mortgages where the median mortgage of $1,300 per month is

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below the state average of $1,500, and is less than 30% of household income for 93.9% of households – see Table 34: Dwellings – Mortgage and Rent.

LOCAL GOVERNMENT

AREA

SEPARATE HOUSE

SEMI-DETACHED

ROW OR TERRACE

HOUSE

FLAT,UNIT OR

APARTMENT

OTHER DWELLING

No. % No. % No. % No. %

Whyalla 6,031 67.5 2,495 27.9 380 4.3 32 0.4

Port Lincoln 4,180 75.7 837 15.2 457 8.3 46 0.8

Ceduna 1,154 90.7 4 0.3 76 6.0 36 2.8

Cleve 669 97.1 4 0.6 0 0.0 11 1.6

Elliston 388 91.1 4 0.9 8 1.9 23 5.4

Franklin Harbour 434 90.6 7 1.5 23 4.8 15 3.1

Kimba 402 97.6 4 1.0 0 0.0 0 0.0

Lower Eyre Peninsula 1,656 95.4 18 1.0 20 1.2 42 2.4

Streaky Bay 697 92.2 11 1.5 22 2.9 26 3.4

Tumby Bay 956 91.3 33 3.2 43 4.1 15 1.4

Wudinna 484 100.0 0 0.0 0 0.0 0 0.0

REGION 17,218 78.5 3,416 15.6 1,034 4.7 256 1.2

Table 32: Dwelling Structure Type – excluding visitor only accommodation, ABS Census 2011. (Other dwelling includes: caravan, cabin, houseboat, improvised home, tent, sleep out, or a house or flat attached to an office or shop).

LOCAL GOVERNMENT AREA

ONE BEDROOM

TWO BEDROOMS

THREE BEDROOMS

FOUR OR MORE

BEDROOMS

NUMBER NOT

STATED

No. % No. % No. % No. % No. %

Whyalla 225 2.5 1,365 15.3 5,647 63.2 1,495 16.7 183 2.0

Port Lincoln 212 3.8 1,068 19.3 3,050 55.2 1,017 18.4 147 2.7

Ceduna 60 4.7 168 13.2 716 56.2 285 22.4 30 2.4

Cleve 16 2.3 98 14.3 383 55.7 177 25.8 13 1.9

Elliston 29 6.8 64 15.0 213 49.9 108 25.3 8 1.9

Franklin Harbour 24 5.0 64 13.4 264 55.1 114 23.8 10 2.1

Kimba 23 5.6 53 12.9 231 56.2 98 23.8 6 1.5

Lower Eyre Peninsula 81 4.7 259 14.9 855 49.3 500 28.8 20 1.2

Streaky Bay 42 5.6 143 18.9 380 50.3 175 23.1 10 1.3

Tumby Bay 44 4.2 207 19.7 559 53.3 214 20.4 22 2.1

Wudinna 11 2.3 71 14.6 258 53.1 141 29.0 5 1.0

REGION 798 3.6 3,601 16.4 12,625 57.5 4,340 19.8 482 2.2

Table 33: Number of Bedrooms, Occupied Private Dwellings, ABS Census 2011.

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LOCAL GOVERNMENT

AREA

RENTAL PREMISES – LANDLORD TYPE

Real Estate Agent

State or territory housing authority

Person not in same

household

Housing cooperative, community,

church group

Other landlord type

Landlord not stated

TOTAL

Whyalla 1,007 1,889 351 23 169 48 3,487

Port Lincoln 712 597 506 35 103 39 1,992

Ceduna 96 139 120 51 65 21 492

Cleve 10 24 76 4 30 16 160

Elliston 4 14 57 0 16 13 104

Franklin Harbour 19 4 52 6 15 9 105

Kimba 0 12 47 3 15 10 87

Lower Eyre Penin. 50 8 176 6 47 34 321

Streaky Bay 22 26 81 0 29 16 174

Tumby Bay 48 14 138 19 24 22 265

Wudinna 3 23 68 0 21 12 127

REGION 1,972 2,758 1,678 190 547 250 7,395

Table 34: Rental Premises, Landlord Type, ABS Census 2011.

LOCAL GOVERNMENT

AREA

RENT WEEKLY

PAYMENTS

MORTGAGE MONTHLY

PAYMENTS

Median Rent Household with rent less than 30% of household

Income

Household with rent more

than 30%of household

income

Median Mortgage

Household with mortgage less

than 30% of household

Income

Household with mortgage

more than 30%of

household income

Whyalla 150 89.9 10.1 1,300 94.0 6.0

Port Lincoln 180 89.3 10.7 1,300 92.7 7.3

Ceduna 136 93.6 6.4 1,192 96.1 3.9

Cleve 85 97.4 2.6 733 95.8 4.2

Elliston 62 97.3 2.7 1,083 93.6 6.4

Franklin Harbour 180 96.1 3.9 1,120 94.2 5.8

Kimba 85 99.0 1.0 575 99.0 1.0

Lower Eyre Peninsula 140 96.8 3.2 1,200 91.5 8.5

Streaky Bay 140 95.6 4.4 1,116 93.9 6.1

Tumby Bay 150 92.7 7.3 1,200 93.8 6.2

Wudinna 84 98.0 2.0 758 98.1 1.9

South Australia 220 - - 1,500 - -

REGION 150 91.8 8.2 1,300 93.9 6.1

Table 35: Dwellings – Mortgage and Rent, ABS Census 2011.

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10.2 MEDIAN RENT AND MORTGAGE COSTS Between 2006 and 2011, the median rent in the region increased by 39.3%. The largest increases were 78.2% in the District Council of Franklin Harbour, Kimba (60.4%) and Tumby Bay (57.9%). The District Council of Elliston had the smallest increase at 3.3%. This figure has skewed the average rental increase in the region which is 42.9% across the other ten local government areas. Mortgages across the region increased by 41.4% during the same period. However this average has been skewed by a reduction of -2.8% experienced in the District Council of Cleve. With the exclusion of Cleve, the average mortgage increase across the other ten local government areas was 45.8%. The largest increase in the median mortgage was 76.4% at Whyalla, followed by Elliston (66.6%), Streaky Bay (57.6%) and Franklin Harbour (51.9%). Data on actual house prices is not usually available for regional areas of South Australia due to the low number of houses being sold in the smaller District Councils. However data is available for the larger Councils of Whyalla and Port Lincoln. In Whyalla, median house prices increased from $262,000 in March 2011 to $342,000 in March 2012. However, in Port Lincoln the median house price was $290,000 in March 2011 and March 2012, after peaking slightly at $300,000 in December 2011. (www.propertydata.com.au).

LOCAL GOVERNMENT

AREA

MEDIAN RENT

MEDIAN MORTGAGE

2006 2011 %

Increase 2006 2011 %

Increase Whyalla 104 150 44.2 737 1,300 76.4

Port Lincoln 141 180 27.6 997 1,300 30.4

Ceduna 100 136 36.0 823 1,192 44.8

Cleve 70 85 21.4 754 733 -2.8

Elliston 60 62 3.3 650 1,083 66.6

Franklin Harbour 101 180 78.2 737 1,120 51.9

Kimba 53 85 60.4 498 575 15.5

Lower Eyre Peninsula 100 140 40.0 867 1,200 38.4

Streaky Bay 100 140 40.0 708 1,116 57.6

Tumby Bay 95 150 57.9 800 1,200 50.0

Wudinna 68 84 23.5 600 758 26.3

REGION n/a 150 39.3 n/a 1,300 41.4

Table 36: Regional Median Rent and Mortgage Costs, 2006 and 2011. Housing price fluctuations can be attributed to a number of factors which have a direct effect on economic activity and buyer confidence. Mortgage payments are presently increasing across Australia because house prices are high and new home owners have little option but to take out larger loans. Some people are reluctant to do this because they cannot afford the higher repayments. Home ownership rates are consequently dropping as a result. Another consequence is that the people who are unable to purchase a home are driving up rental prices which jumped nationally by 49.2% between 2006 and 2011. (The Weekend Australian, Sharp Drop in Ownership, Housing Goal Fades for Young Families, 23-24 June 2012, pp.1-2).

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10.3 FUTURE HOUSING CHALLENGES A decade of positive economic growth along Eyre Peninsula’s coastal strip has accelerated the “sea change” phenomenon. A large number of houses continue to be built in coastal areas with most capitalising on the spectacular views on offer. Since about 2009, notable housing development has occurred at the coastal townships of Streaky Bay, Ceduna, Tumby Bay, Coffin Bay and Port Lincoln. However, in view of the region’s predicted population growth and anticipated industrial and mining developments there will be demand for more affordable, quality and specialist housing to accommodate:

Professional and medical workforces in larger regional centres (Whyalla, Port Lincoln and Ceduna),

Ageing residents, Students – particularly at Whyalla, Indigenous people in Ceduna, Whyalla, and Port Lincoln and the Aboriginal communities of

Yalata, Oak Valley and Koonibba, and FIFO and DIDO workforces at locations near to mining sites across the region.

Ageing Population It is anticipated that the region’s housing profile will change substantially in forthcoming years, notably due to population ageing and the movement of retirees from agricultural areas to larger towns. The ageing of the population is expected to affect:

Housing densities and occupancy rates as some older people move into smaller dwellings, The demand for housing in larger townships as retirees move closer to health and community

services, and The demand for a variety of specialist housing types including retirement housing and

independent and supported aged-care facilities. (Government of South Australia, Eyre and Western Region Plan, April 2012, p.41).

For example, in 2001 Tumby Bay had 375 people aged 65 years and over. In 2006, this figure grew to 446 - an increase of 18.9%. In 2011, this aged sector in Tumby Bay grew to 621 people, a further increase of 39.2%. The District Council of Tumby Bay is consequently in the process of preparing a Sustainable Future Master Plan focusing on Tumby Bay and Port Neill which are expected to bear most of the housing demand. The Master Plan is anticipating the provision of new residential and industrial developments along with a marina expansion, township greening and an upgrade of the Tumby Bay town centre zone. (Master Plan, Tumby Bay Sustainable Future Structure Plan – Stage 1 Discussion Paper, May 2012). Tumby Bay is not alone in such ventures as other Councils have similar housing development strategies underway – e.g. at Whyalla, Port Lincoln, and Wudinna. Housing development in Whyalla includes 1,500 allotments at the Whyalla Ocean Eyre Estate, which includes a 185 unit retirement village – see section 2: Commercial Investments Whyalla – Projects in Progress. Whyalla Aged Care and Retirement Living Master Plan In line with national aged care trends, Whyalla is experiencing increasing demand for community aged care services, especially high care dementia services as people endeavour to remain living in the community as long as possible. Population projections for Whyalla indicate that 20.36% of the population is over 60 years of age and this figure is predicted to progressively increase over the next ten years.

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While there are a number of well established aged care services available in Whyalla there is an urgent need to undertake forward planning now to ensure that appropriate and adequate aged care services are available to meet the future needs of the community. With many people preferring to remain in their own homes longer with community care services, often with the support of a primary carer such as a family member, there is increasing demand for overnight and day time carer respite services in particular dementia respite services. As this trend continues, further planning and development of community respite services such as specific dementia day care services will be required to meet increasing waiting lists. Community consultation has also identified growing demand for development of lifestyle and retirement villages for the community in and around Whyalla as a greater proportion of the population approaches retirement age. Maintaining a skilled aged care workforce is one of the biggest challenges faced by the Aged Care Industry with a high number of current employees retiring and competing demand for young people entering the workforce from other high paying sectors, especially the mining industry in this region. The development of an Aged Care Strategy or Master plan is urgently needed to identify the diverse needs of each group of older people in Whyalla and guide the development of any future services to support Whyalla become a better place to grow older. The Impact of Mining The District Council of Tumby Bay is also anticipating that the development of Port Spencer will have a notable impact on housing demand, house and rental prices. The median rent in Tumby Bay rose 57.9% between 2006 and 2011, from $95 to $150 per week. (Advice from the CEO indicates that much of this increase occurred during the last 12 months as a direct result of planning for Port Spencer). Similarly, median house mortgages rose 50% in the same period from $800 to $1,200 per month. (ABS Census 2006 and 2011). In August 2012, Centrex Metals expressed interest in leasing a section of the Tumby Bay Airfield from Council in order to house over 1,000 workers during the construction phase of Port Spencer and mining developments. At peak, it is anticipated that the accommodation would house up to 1,300 people. The proposal will be put to community consultation before being considered by Council. If the proposal is endorsed the accommodation village could be in place by mid 2013. (Port Lincoln Times, Airfield Plan for Tumby Mine Camp, August 16, 2012 pp.1 and 2). As previously indicated, IronClad has established family style residential accommodation for 80 people at Kimba to accommodate the workforce for the Wilcherry Hill mine. Similar housing developments are anticipated at Lock for the Wilgerup Mine, and Cowell and Lucky Bay for the Lucky Bay CUEF. These various housing developments need to be cognisant of the need to provide appropriate social and community infrastructure to retain and support these workforces. Housing Needs of Low Income and Disadvantaged People Although home ownership in the region is generally more affordable than in Adelaide, increasing house prices are making home ownership prohibitive for first home buyers, single people, Indigenous people, youth and low to mid income earners. Over the past decade, the social housing component of the public housing sector has increased. Whilst the percentage of total housing allocations has fluctuated slightly over the years, it nevertheless increased from 12.74% in 1999-2000 to 14.71% in 2008-09.

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There is increasing demand from Aboriginal people for social housing. As a result, more Aboriginal people are accessing public housing and associated support services. With a growing Aboriginal population in the region, attention will need to be given to their specific housing needs to avoid overcrowding and associated poor health outcomes that have been the subject of several Productivity Commission reports on Indigenous Disadvantage in recent years. 10.4 HEALTH INFRASTRUCTURE AND SERVICES Role of RDAWEP RDAWEP does not have a direct role in the planning, development or provision of health services and infrastructure in the region. However RDAWEP, as the key regional agency for sustainable economic development and liveability in the region, recognises the vital importance of having accessible, high quality health services and infrastructure. RDAWEP and the Eyre Peninsula Health Advisory Council consequently meet with other agencies as part of the Eyre Peninsula Regional Facilitation Group regarding the coordinated provision of health, housing, education, water, policing and other services across the region. Health services planning and provision in regional areas is undertaken by the Australian Government through the Department of Health and Ageing, and the South Australian Government through the SA Health, Country Health SA Local Health Network (CHSALHN). Department of Health and Ageing The Australian Government Department of Health and Ageing has the vision of “better health and active ageing for all Australians” and provides an extensive range of services for this purpose. Programs range from primary health care and services for older people including their carers, through to improving health workforce capacity and improved health for Aboriginal and Torres Strait Islander peoples. The Departmental website (www.health.gov.au) lists 176 program initiatives – 105 of which have relevance to the Whyalla and Eyre Peninsula region. In 2011 the Department established a new agency – Rural and Regional Health Australia – to provide a single entry point to information on regional health and aged care programs, including policy and service delivery (www.ruralhealthaustralia.gov.au). The Department also expanded the Medical Specialist Outreach Assistance Program (MSOAP) to increase maternity and eye care services in rural and remote areas. In total MSOAP provided rural and remote patients with access to doctors working in more than 100 medical speciality disciplines and sub-specialities during 2011. (Department of Health and Ageing, Annual Report, 2010-2011, 2010-2011 Overview, p. 6). The key rural health services and initiatives provided by the Department include:

Rural Primary Health Services Program – providing improved access to a range of primary and allied health care services including health education and screening programs and preventative health initiatives.

Medical Specialist Outreach Assistance Program – providing improved access to specialist services in rural and remote Australia, including Indigenous chronic disease and maternity multi-discipline teams.

National Rural and Remote Health Infrastructure Program – to improve access to health services by providing funding for essential health infrastructure and equipment, as well as strategic services planning for small rural private hospitals.

Royal Flying Doctor Service of Australia (RFDS) – the Australian Government funds the RFDS traditional services including the provision of 24-hour emergency evacuation services, primary

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health care clinics at remote sites, remote consultations by telephone and radio, and the provision of medical chests with pharmaceutical and medical supplies in isolated locations (such as pastoral properties, Indigenous communities, out-stations, remote mining sites and lighthouses).

Rural Women’s GP Service – funding the travel of female GP’s to eligible remote communities to conduct general practice clinics for female patients.

Visiting Optometrist Scheme – enabling optometrists to deliver outreach services in remote and very remote locations.

In addition, the Department provides a range of services and programs to Aboriginal and Torres Strait Islander people and remote Indigenous communities, including funding for health clinic infrastructure and equipment and housing for health clinic staff. Other health services include:

Section 100 Pharmacy Support Allowance – funding to support the use of quality medicines including education and training support. This program ran until June 2010.

Pharmacy Scholarship Scheme – scholarships to encourage Aboriginal and Torres Strait Islander students to study for a registrable qualification in pharmacy.

Pharmacy Assistant Traineeship Scheme – to encourage and support Aboriginal and Torres Strait Islander people to become trained as pharmacy assistants and technicians.

Maximise Quality Use of Medicines Program – the Quality Use of Medicines Maximised for Aboriginal and Torres Strait Islander Peoples Program ran until June 2010 and provided structured support for the quality use of medicines in Aboriginal Community controlled health clinics.

These various Indigenous health programs and services are highly relevant to the Yalata/Maralinga Health Service based in the Yalata and Oak Valley Aboriginal communities in the far west of the region. In over-viewing these rural and remote health programs it is important to understand the remote classification of the RDAWEP region. Under the Australian Standard Geographical Classification – Remoteness Areas system (developed by the ABS and introduced in July 2010), most of the Whyalla and Eyre Peninsula region is classified as Remote Australia (RA 4) or Very Remote Australia (RA 5). The Very Remote Australia area stretches northwest from approximately Elliston to the West Australian border and includes the key townships of Elliston, Wudinna, Streaky Bay and Ceduna. The area around the City of Whyalla is the only part of the RDAWEP region with an Outer Regional Australia (RA 3) classification – see Figure 40: Remoteness Area Classifications of Australia. National Strategic Framework for Rural and Remote Health In 2012 the Australian Government expanded its health strategy for rural and regional communities through the development of a National Strategic Framework for Rural and Remote Health. The framework was prepared by the Australian Health Ministers’ Advisory Council (AHMAC) Rural Health Standing Committee (RHSC). The RHSC includes representatives from the Commonwealth Department of Health and Ageing and health departments from each State and the Northern Territory. (Commonwealth of Australia, National Strategic Framework for Rural and Remote Health, April 2012). The framework promotes a collaborative national approach to policy, planning, design and delivery of health services in rural and remote communities and is directed at decision makers at all government levels. The framework aims to improve health outcomes for rural and remote Australians through the provision of timely access to quality health services, no matter where people live. The framework recognises that the complexity of delivering quality health care in rural and remote areas is magnified by the unique characteristics of each location, and where issues such as health service access and the sustainability of a health workforce present particular challenges.

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Figure 40: Remoteness Area Classifications of Australia.

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In essence, the strategic framework is a planning tool aimed at identifying systemic issues and developing new ways to address health needs in different areas. The framework also recognises the needs of specific population groups including older people, babies, children, Aboriginal and Torres Strait Islander people, people with chronic disease, refugees and people from culturally and linguistically diverse backgrounds. (Commonwealth of Australia, National Strategic Framework for Rural and Remote Health, April 2012, p. 2). 10.5 REGIONAL HEALTH SERVICES, PLANNING AND INFRASTRUCTURE Under the South Australian Government health planning and provision, the Whyalla and Eyre Peninsula region is covered by six local health services:

Whyalla Health Service Port Lincoln Health Service Ceduna Health Service Eastern Eyre Health Service Mid West Health Service Lower Eyre Health Service

Each health service has a local Health Advisory Council. These are consultative bodies that were established under the Health Care Act (SA) 2008 to advise the Minister for Health about issues related to specific groups and regions. The health services have developed 10-Year Local Health Service Plans which provide the long term strategic vision for health services in each area.

Whyalla 10 Year Local Health Service Plan, 2010-2019. Port Lincoln 10 Year Local Health Service Plan, 2010-2019. Ceduna 10 Year Local Health Service Plan, 2011-2020. Eastern Eyre 10 Year Local Health Service Plan, 2011-2020. Mid West 10 Year Local Health Service Plan, 2011-2020. Lower Eyre 10 Year Local Health Service Plan, 2011-2020.

As part of this planning process, CHSALHN established task groups in five country regions across the state in August 2011 to prepare implementation plans for years 1-3 of the above health plans. The Implementation Plan for the RDAWEP region encompasses the Eyre Peninsula, Far North and the Flinders Ranges. (Country SA Health Service Implementation Planning, 10 Year Health Services Plans Implementation Plan Years 1-3, Eyre, Far North and Flinders Ranges, 2011). The purpose of the Implementation Plan is to set priorities for new and enhanced health services and provide a more coordinated health system for better health outcomes in rural and remote South Australia. (www.countryhealthsa.sa.gov.au /About Us/StrategyforPlanning CountryHealthServices). Health Infrastructure Residents in the Whyalla and Eyre Peninsula region have access to a wide range of health services in a number of locations, including access to eleven hospitals. The Whyalla, Port Lincoln and Ceduna Hospitals are regional facilities attracting priority status and all have either undergone or are earmarked for major redevelopment – i.e. Ceduna Hospital had a $36 million redevelopment during 2009-10, Whyalla Hospital is undergoing a $69 million redevelopment scheduled for completion in May 2013, and the $39 million redevelopment of the Port Lincoln Hospital is currently at the planning stage. Eight smaller hospitals at Cummins, Elliston, Streaky Bay, Tumby Bay, Wudinna, Cleve, Cowell and Kimba provide a range of primary health services, including residential aged care.

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There are additional Community Health Centres located at Port Lincoln, Tumby Bay, Cleve, Whyalla, Lock, Wudinna and Ceduna. Dedicated Indigenous Health Centres are located in Port Lincoln (Port Lincoln Aboriginal Health Service); Ceduna (Ceduna Koonibba Aboriginal Health Service); Whyalla (Nunyara Wellbeing Centre) and Yalata (Yalata/Maralinga Health Service). The details of the respective health services at each facility are available at www.sahealth.sa.gov.au Hospitals and health services in the Eyre and Western region of South Australia. Whyalla Health Services Whyalla Country General Hospital is located approximately 380 kilometres by road from Adelaide. The core catchment area for the Whyalla Hospital and Health Services includes the Statistical Local Areas of Whyalla, Cleve, Franklin Harbour, Kimba and Unincorporated Whyalla. For more specialised services the Whyalla Hospital supports a broader catchment including Coober Pedy, Roxby Downs, Flinders Ranges, Unincorporated Flinders Ranges, Unincorporated Far North and Port Augusta. The resident population of the Whyalla core catchment is 25,096 and for more specialised services the catchment extends to 52,491. The core catchment has a high level of socioeconomic disadvantage, with a moderate level of socioeconomic disadvantage in the broader area. (Whyalla 10 Year Local Health Service Plan, 2010-2019, pp.5-6). Port Lincoln Health Services Port Lincoln Country General Hospital is located approximately 650 kilometres by road from Adelaide. The catchment area for the Port Lincoln Hospital and Health Services extends throughout the Eyre Peninsula to the Western Australian border. The catchment covers the local government Councils of Port Lincoln, Tumby Bay, Lower Eyre Peninsula, Elliston, Wudinna, Streaky Bay and Ceduna, and includes the Yalata Aboriginal Community (200 kilometres west of Ceduna and 605 kilometres from Port Lincoln). The resident population of the Port Lincoln catchment is 29,043. The levels of socioeconomic disadvantage vary from very high to moderate. (Port Lincoln 10 Year Local Health Service Plan, 2010-2019, pp. 5-6). Ceduna Health Services Ceduna Hospital is located approximately 780 kilometres by road from Adelaide, 405 kilometres from Port Lincoln and 450 kilometres from Whyalla (the two closest Country General Hospitals). The catchment for the Ceduna Health Services extends more than 530 kilometres from the Western Australian border to Lake Everard in the east. The catchment has a high number of young people and a significant and increasing Aboriginal population (24.9% of the Council population). Over 21% of the Aboriginal population speak an Indigenous language as their first language. (Ceduna 10 Year Local Health Service Plan, 2011-2020, pp. 4-5). The catchment area is considered very remote. There is no public transport within the area and limited public transport to Adelaide. Overall, the catchment has a relatively high socioeconomic disadvantage, including a high rate of unemployment. It is predicted that there will be nil to small population growth over the next 10 years. This is supported by 2011 Census data which identified a growth rate for Ceduna of minus 5.83%. Eastern Health Services The catchment area for the Eastern Eyre Health Service encompasses the District Councils of Cleve, Kimba and Franklin Harbour and contains the Cleve, Kimba and Cowell Hospitals. Kimba, Cowell and

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Cleve are located approximately 500-560 kilometres from Adelaide and 110-150 kilometres from the Whyalla Hospital. Many residences in the area are up to 50 kilometres from their nearest health service. The catchment population is approximately 4,500 with over 40% residing in the District Council of Cleve. The catchment has a moderate level of socio-economic disadvantage. (Eastern Eyre 10 Year Local Health Service Plan, 2011-2020, pp. 4-5). Mid West Health Services The Mid-West Health Services area encompasses the District Councils of Elliston, Streaky Bay and Wudinna, and includes the townships of Wudinna, Streaky Bay, Elliston, Minnipa, Kyancutta, Warramboo, Yaninee, Lock, Port Kenny, Venus Bay, Bramfield, Sheringa, Tooligie, Murdinga, Wirrulla, Poochera, Haslam, Sceale Bay, Bairds Bay, Eba Anchorage and Perlubie Landing. Streaky Bay and Elliston are located approximately 700 kilometres by road from Adelaide. Wudinna is approximately 560 kilometres from the Adelaide CBD. Elliston and Streaky Bay Hospitals are located 170 kilometres and 290 kilometres respectively from Port Lincoln Country General Hospital. (Mid West 10 Year Local Health Service Plan, 2011-2020, pp. 5-8). The catchment population is approximately 4,466 and is projected to increase 8% by the year 2021. The catchment has a moderate level of socioeconomic disadvantage. Lower Eyre Health Services The Lower Eyre Health Services region encompasses the catchment areas of the Tumby Bay and Cummins Hospitals and the District Councils of Tumby Bay and Lower Eyre Peninsula. Cummins and Tumby Bay are located approximately 50-65 kilometres from Port Lincoln Country General Hospital and over 600 kilometres from Adelaide. The catchment includes the townships of Tumby Bay, Cummins, Port Neill, Lipson, Ungarra, Koppio, Edillilie, Mount Hope, Coffin Bay and Lock. The catchment population is approximately 6,622 with about 52% residing within the Cummins Hospital catchment area. The population is projected to increase by 8% by the year 2021. The catchment experiences a range of socioeconomic disadvantage ranging from high to relatively low. (Lower Eyre 10 Year Local Health Service Plan, 2011-2020, pp. 5-6). 10.6 KEY REGIONAL HEALTH ISSUES AND PRIORITIES The RDAWEP region has a very good range of health infrastructure in different locations and the current upgrades of the Whyalla and Port Lincoln Hospitals will improve this provision. The region nevertheless experiences a number of issues which impact the provision of quality health services to the regional community. Key issues identified in the Health Services Implementation Plan for the region were:

The majority of the catchment is identified as remote or very remote. Some residents are consequently located very large distances from major health services centres and a Country General Hospital.

Transport impacts on access to both existing and future health services. The planning Taskgroup

recommended that a transport strategy be developed for the area in partnership with a range of stakeholders including education, transport, Royal Flying Doctor Service, Australian Red Cross, passenger transport initiatives and existing health providers. The Taskgroup suggested that a variety of strategies may be required given the distances and diverse needs, along with overarching coordination to make the best use of resources.

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Risk factors for health related problems are higher for smoking, insufficient physical activity and a Body Mass Index overweight score for persons residing in the Eyre Region when compared with both the South Australian and country SA proportions. Risk factors for obesity and smoking are higher for persons in the Northern and Far Western Region when compared with both South Australia and country South Australia.

South Australia has the highest proportion of older people in the nation. In the Eyre, Far North

and Flinders catchment approximately 13.6% are over the age of 65 years. The percentage of the population living beyond the age of 65 is expected to rise from the current 13.6% to approximately 17.8% by 2026. It was also noted that, in 2009, patients over 65 years of age accounted for approximately 31% of all separations in hospitals across the region.

The Aboriginal and Torres Strait Islander population has a much younger age structure than the

general population. In South Australia the median age of the Aboriginal population is 21.5 years compared with 39 years for the non-Indigenous SA population. The younger age structure of the Indigenous population is due to higher levels of fertility and mortality when compared with the non-Indigenous population. South Australia’s Aboriginal population is hospitalised at twice the rate of the non-Aboriginal population: 389 separations per 1000, compared with a non-Aboriginal rate of 192 per 1000 (South Australia’s Aboriginal Health Care Plan 2010-2016).

The Taskgroup noted the importance of recruiting and retaining a skilled and experienced

workforce as a fundamental priority which must be met to maintain core health services. It was noted that national health workforce shortages are magnified in rural and remote areas such as the Eyre, Far North and Flinders Ranges. Consequently, each priority area in the Implementation Plan (see below) addressed workforce development needs and it was recommended that these be integrated with countrywide workforce development strategies to recruit, retain and ensure a skilled workforce of core clinicians such as general practitioners, nurses and allied health professionals. CHSALHN is encouraged to explore a range of alternative workforce models into future, such as supporting training rotations between rural and metropolitan based medical practitioners and other health professionals.

In order to overcome some health service access issues the planning Taskgroup recommended

the rollout of desktop video conferencing through telehealth and strengthening broadband capacity across the remote outlying areas. The proposed NBN rollout across the region will provide improved access to e-health services – see section 7.6: Utility Infrastructure, Communications Infrastructure.

The identified priorities for years 1-3 of the Health Services Implementation Plan for the Eyre, Far North and Flinders Ranges were: Mental Health

Increase the focus on mental health well-being, early intervention, illness/suicide prevention and substance misuse.

Build up a coordinated network of services across the continuum. Build up a multi-disciplinary team to support an integrated response to 24/7 emergency response

service, Limited Treatment Centres, Intermediate Care, community rehabilitation and pathways across the catchment.

Primary Health Care

Build capacity for primary prevention and early intervention to be ‘everybody’s business’ and integrated across the continuum of care.

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Identify opportunities for the development of a network or partnership model to facilitate a regional approach to health planning.

Develop a model of care that builds capacity for providing culturally safe outreach services aligned to the needs of remote communities in the region.

Develop a model of care which builds the capacity of smaller sites at Coober Pedy, Oodnadatta, Marla and Ceduna to provide more comprehensive support to transient vulnerable Aboriginal populations from the Anangu, Pitjantjatjara and Yankunytjatjara Lands and other remote communities coming in for care, coordinated to provide culturally appropriate services with opportunities for primary prevention and early intervention.

Aged Care and Respite

Establish Geriatric Evaluation and Management units at Port Lincoln and Whyalla that provide services to satellite units.

Increase community based care through innovative models for ageing in place. Enhance care models for clients with dementia or with complex behaviour. Improve and increase the respite options for older persons and their carers across the geographic

area. Maternal and Birthing Services

Establish a community midwifery model of care that is a collaboration between midwives, general practitioners, specialist obstetricians and the health service; follows and supports pregnant women through antenatal and postnatal care.

Ensure sustainable and high quality obstetric and neonatal services models. Emergency Services

Develop a model of care for emergency response to suit local needs, resources and capacity. Up-grade Accident and Emergency equipment and communication technology.

Early Childhood Development, Paediatrics and Youth

Increase local access to specialist paediatric services and Child Development Units, building on existing resident/visiting paediatricians, resident paediatricians, resident general practitioners and child development teams.

Enhance multi-disciplinary networks across service providers to encourage open and patient centred collaboration.

Expand promotion, prevention early intervention strategies. Aboriginal Health

South Australia’s Aboriginal population has a different demographic profile to the non-Aboriginal population with a very young age structure, reflecting higher birth rates and shorter life expectancy. The Eyre, Far North and Flinders Ranges Taskgroup acknowledges the diversity in health and wellbeing of Aboriginal people within the catchment area and has integrated key actions for addressing health inequities for Aboriginal people across each of the priorities for action throughout the Implementation Plan. The Taskgroup recognises and has integrated in the development of the Plan the directions identified in the Northern and Eyre Aboriginal Health Advisory Committees’ regional Aboriginal Health Improvement Plans and acknowledges the importance of further consultation and engagement with Aboriginal Community Controlled Health Services, community members, the Aboriginal Health Council of South Australia and other key partners in development and implementation of services for Aboriginal populations .

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The key actions for addressing health inequities for Aboriginal people include:

Reduce ill-health within the Aboriginal population. Develop a culturally responsive health service. Promote Aboriginal community health and wellbeing. Encourage improved pathways for Aboriginal people accessing health services.

In addition a number of key enablers have been identified as critical in the successful implementation of all priority actions. These include:

Making a commitment to the satellite health units and remote outlying communities across all

priority actions, recognising their isolation and other unique needs. The development and sustainment of partnerships in the provision of services. Recognition that resident general practitioners are critical in rural South Australia for the provision

of primary health care services and inpatient care emergency services, surgery, obstetrics and anaesthetic services in Country Health SA Local Health Network owned and operated hospitals and health services.

Addressing issues impacting on the patient journey including access to both services as close to home as possible, transport to and from services locally and to major centres where required, and the provision of services which recognise cultural and other diversity.

Workforce development to ensure a sustainable and appropriately skilled workforce. Infrastructure developments to maintain a high standard of safe and contemporary health service

facilities. Ensuring consistent and reliable monitoring of safety and quality across all services. Integrated, coordinated and client centred models of care. Flexible and responsive to community and client choices, recognising cultural and family needs. Advocating for other community priority needs that may be operationally managed outside of

CHSALHN, such as dental services. (Country SA Health Service Implementation Planning, 10 Year Health Services Plans Implementation Plan Years 1-3, Eyre, Far North and Flinders Ranges, 2011, pp. 2-4).

10.7 THE IMPACT OF MINING ON HEALTH INFRASTRUCTURE AND SERVICES Although the RDAWEP region has good range of health infrastructure and services – albeit not without issues – the predicted growth of the mining sector has the potential to have a significant impact. Additional health infrastructure may be required in towns close to mining operations, such as upgrades to the smaller hospitals at Ceduna, Kimba, Cowell, Tumby Bay and Lock. Based on the experience of mining towns in Queensland and Western Australia, a proactive health workforce recruitment strategy may also be needed to keep doctor/nurse/patient ratios at reasonable levels and reduce the waiting times for medical appointments – e.g. recent experience in Moranbah in Queensland saw the doctor/patient ratio double. This will need to be a region wide strategy because additional health workers are likely to be required at the larger Country General Hospitals in Whyalla and Port Lincoln due to the mining resources impact in these rural cities. Existing Department of Health and Ageing Programs – such as the Medical Specialist Outreach Assistance Program, the National Rural and Remote Health Infrastructure Program and RFDS emergency evacuation services – may require additional funding and support to meet increased service demands.

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10.8 SUMMARY – HOUSING AND HEALTH PROJECTS

PROJECT DESCRIPTION SUMMARY Promote the region as an attractive lifestyle location Marketing initiative Develop a marketing plan targeted at attracting new residents

to the region. Encourage and support strategic coastal development initiatives New developments Assist developers with the establishment of marina facilities in

the region. Work with developers to establish strategic coastal property developments and tourism precincts. Play a facilitation role between developers, environmental groups, coastal protection and zoning departments.

General Strategic Infrastructure Support the development of strategic social infrastructure

including education, health, arts and cultural, sports and recreation facilities.

Whyalla Aged Care Master Plan Support the development of an Aged Care Master Plan at Whyalla.

Table 37: Summary – Housing and Health Projects.

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11. INFRASTRUCTURE DEMAND 11.1 RESIC INFRASTRUCTURE DEMAND STUDY In 2011 the SA Government’s advisory body for resources and energy, the Resources and Energy Sector Infrastructure Council (RESIC), contracted Parsons Brinkerhoff to undertake a resources and energy infrastructure demand study across the state – Parsons Brinkerhoff, 2011 Resources and Energy Infrastructure Demand Study (IDS), November 2011. The IDS built on previous studies conducted in 2007 and 2009. A survey was distributed to 83 companies in the resources, petroleum and geothermal sector of which 32 responded. Some companies did not provide certain information because of commercial confidentiality. Additional consultation was conducted with government departments and industry sectors including the South Australian Chamber of Mines and Energy, the South Australian Freight Council, the Eyre Peninsula Mining Alliance and the Braemar Alliance. The IDS was released for community consultation about the proposed establishment of three corridor supply chains for all infrastructure (power, water, rail, road) to three strategically located deep sea ports to service the Eyre Peninsula, the Far North and Braemar Province – i.e.:

Port Bonython – to service the Far North, Port Spencer – to service the Eyre Peninsula, and Myponie Point (on the Yorke Peninsula) – to service the Braemar Province.

The report made five key recommendations:

1. That the State Government facilitate the development of infrastructure corridors and utility hubs through a master planning process, to identify and clarify the associated infrastructure planning policy, regulatory and commercial issues associated with the corridors and utility hubs identified through the IDS.

2. That the South Australian Government facilitate the development of three deep sea ports that are

able be serviced by appropriate rail and road infrastructure, sufficient to support the future development of minerals and energy projects in South Australia.

3. That a nominated case manager be appointed to work with local mineral resources companies,

the Australian Energy Regulator (AEG) and ElectraNet, to assist in accelerating the 275kV augmentation on Eyre Peninsula by the end of 2016 (ahead of the current 2018 AEG statutory approval) or earlier if this timeframe is appropriate to meet mining industry needs.

4. That the Department of Water (DOW) undertake detailed mapping to identify ground water

resources and potential extractable volumes at identified key areas in South Australia. As a priority the key area of Eyre Peninsula is to be finalised by December 2012. This is crucial to allow identification of sustainable water supply solutions for future resources projects in the region.

5. That the Department of Manufacturing, Innovation, Trade Resources and Energy (DMITRE) work

with the geographically grouped resources and energy project proponents to:

Assist with making company infrastructure projects investor ready, Assist in packaging investment ready information for prospective investors, and Assist in connecting investment packages and resources and energy project proponents with

likely infrastructure investors.

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These recommendations provide a welcomed focus on the Whyalla and Eyre Peninsula region as an area qualified to investigate underground water supplies and case management of the 275 kV transmission upgrade. However, the IDS failed to properly address the core element of the objectives – i.e. the development of supply lines through the establishment of common infrastructure corridors to address the State’s mining and infrastructure needs and attract market investment. Market need is the critical demand factor, together with the timeframes of individual mining companies, the resource product type, and the volume and potential life of the resource. Continued demand and consumption of resources and Net Present Values (NPV’s) drive the need to mine and export resources more expediently. Companies and infrastructure providers respond accordingly with staged processes to increase resource volumes and manage financial risk to protect their infrastructure investment. But in the event that the mining boom might fade, capital development plans are at risk of not being implemented - particularly with larger infrastructure projects such as the establishment of strategic Cape class bulk export port facilities. However, a market driven, staged ‘demand and response’ approach to infrastructure development provides for multi entry level by different sized mining companies and maximises the use of existing port facilities as the first step export points. The IDS report does not address the option for multi port usage, does not investigate the volume and life span characteristics of resources, and did not investigate if mining companies have the required markets. The report has also not addressed priorities to attract investment in the immediate future. For example, Thevenard Port was not identified as a key location for investment to increase supply chain efficiencies, even though it is the major port in the far western part of the region. But Thevenard is operating at near full capacity and requires industry collaboration to improve its capability. The port has experienced a 50% growth tonnage increase from 2,000,000 to 3,000,000 tonnes over the last seven years and has now reached export capacity. The port had 103 individual ship movements in 2011, and therefore has limited capacity to attract new mineral resource exports from the Eucla Basin or Gawler Graton – yet these areas are experiencing significant mining exploration growth. The OneSteel port at Whyalla Port was not included in the IDS strategy, even though OneSteel has made a $200 million investment commitment to increase the loading capacity of the transhipment operation from 6 million tonnes to 12.6 million tonnes. OneSteel has also indicated support for allowing third party access to the facility. The Port of Adelaide was also excluded from the IDS strategy, but Flinders Ports has an investment commitment of $120 million for the provision of bulk handling infrastructure for mineral products. Furthermore, at the time the IDS was being conducted, the proposed establishment of the CUEF at Lucky Bay had been submitted to the State Government and was awaiting development approval. The CUEF is located at the nearest point to IronClad’s mining operation at Wilcherry Hill, which will reduce both the transport costs and carbon impact on the environment. Importantly, the CUEF transhipment system overcomes the need to build expensive deep sea port infrastructure. A CUEF can therefore be built at a fraction of the cost and has a smaller construction timeframe than a bulk facilities port and can consequently meet the immediate export needs of smaller mining companies such as those operating in the Lower Eyre Peninsula. However, the CUEF system was also excluded from the IDS. Furthermore, the IDS utilities demand analysis investigated electricity, water, gas, telecommunications and diesel fuel but did not investigate renewable energy options – even though significant wind, solar power and geothermal projects are located in the Whyalla and Eyre Peninsula and Upper Spencer Gulf regions. Detailed modelling of transport options and analysis of the capability and capacity of current infrastructure was also not undertaken in the project.

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The infrastructure plan also does not address the key issues of workforce housing and the social infrastructure required in communities to underpin the attraction and retention of a workforce. In short, RDAWEP believes that the RESIC study fails to provide a comprehensive master plan for infrastructure investment in South Australia. RDAWEP has consequently initiated the development of an integrated regional infrastructure master plan for the Upper Spencer Gulf in partnership with the RDA Far North Region and the RDA Yorke and Mid North Region. 11.2 INTEGRATED REGIONAL INFRASTRUCTURE MASTER PLAN The Upper Spencer Gulf (USG) region comprises the cities of Port Pirie, Port Augusta and Whyalla and traverses three Regional Development Australia (RDA) Committee areas of the Far North, Yorke and Mid-North and Whyalla and Eyre Peninsula. Economic and social planning is undertaken in the USG by the three levels of government: e.g. the Australian Government through the three RDA Committees; local government by the Cities of Port Pirie, Port Augusta and Whyalla, and the State Government through various departments including, but not limited to:

Department for Manufacturing, Innovation, Trade, Resources and Energy (DMITRE), Department of Planning, Transport and Infrastructure (DPTI), Department of Primary Industries and Regions (DPIR), Department of Planning and Local Government (DPLG), and Department of Environment, Water and Natural Resources (DEWNR).

Strategic planning for the USG is also undertaken by the Upper Spencer Gulf Common Purpose Group (USGCPG) - a collaborative, not-for-profit organisation which brings the Cities of Port Pirie, Port Augusta and Whyalla together on a united front to address key economic and social issues and opportunities. In recent years the USG has experienced a significant resurgence largely due to the growth and development of mining and resource processing industries in the north and west of the state. Mining is the fastest growing industry in the northern part of South Australia and is beginning to have a significant economic impact in the USG, particularly at Whyalla. The USGCPG has been concerned with the potential loss of major industries and service providers in each of the three cities and the potential opportunities of a major transition with the emergence of the mining, manufacturing and renewable energy developments. The group has prepared a submission to address these issues and maximise economic opportunities through the development of a master plan that provides a strategic direction to the future of the USG and surrounding areas. The three USG RDA’s also recently supported the South Australian Government’s application for $1.5m from the Australian Regional Infrastructure Fund. The application was successful and the funds will be used to develop infrastructure master plans for the each of the three RDA regions to assist in overcoming capacity constraints associated with the State’s mining expansion, which is concentrated in this region. The application drew heavily from the RDA Regional Plans in addition to detailed background information and established local connections. The USGCPG has raised the potential of an industry forum with mining and renewable energy companies and key industry stakeholders. The focus of the proposed forum will include:

Infrastructure investment and collaboration, Business capability, Skills and workforce development, and Community amenity.

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Minister Simon Crean is supportive of the concept and is proposing that a focused forum be planned for August 2012. The Minister and the Ministerial Advisory Consultative Review Council [MACRC] visited Whyalla and Port August on the 17th May 2012 to gain an insight of the issues and the potential opportunities in the USG and surrounding areas. The visit by Minister Crean and the MACRC provided a great opportunity to gain support under the Australian Government ‘Placed Based Funding’ for communities and regions that will undergo significant economic transition. Upper Spencer Gulf Summit The purpose of the summit is to maximise the benefits of the mining and renewable energy investment booms for regional communities in the USG region. The Summit will raise awareness with the Australian and State Governments of the opportunities and challenges in the USG. In addition, the summit will bring local knowledge to inform and enrich Australian and State Government policy and decision-making and build alliances between industry players and coordination across all government sectors. It is proposed that through the RDA bodies (and working with the South Australian Government), the Department of Regional Australia, Local Government, Arts and Sport will convene a high-level summit involving key Ministers (State and Australian), Mayors and CEOs of Local Government, RDA Chairs, key executives of resource companies and those servicing the mining sector. The summit objectives are to:

Showcase the economic development opportunities, Capture the window of opportunity, Avoid ‘black spots’ in timing between plant closures and new job opportunities, Share and accelerate current investment strategies, Identify market failures and gaps requiring government intervention and/or industry collaboration, Identify infrastructure project priorities for pre-feasibility studies, business case development, and

private and/or public funding, and Announce agreements, key outcomes and projects requiring government intervention and/or

industry collaboration. Key themes for the summit include:

Infrastructure - proposals for infrastructure projects, integrated infrastructure planning, renewable energy to support mining, and the National Broadband Network.

Workforce Development - skills development, labour market participation, workforce planning, indigenous employment programs.

Business Development - improved matching between services sector capacity and mining industry demand, supply chain mapping, improved networking between small to medium enterprises to capture large mining industry tenders.

Community Amenity - housing, population, health, attractive and liveable communities. Clean Energy Future - the region’s competitive advantages for renewable energy generation,

building transmission networks, carbon farming and biodiversity opportunities. The potential summit outputs include: Infrastructure:

Launch of the Infrastructure Master Plans for the USG, Targeted infrastructure pre-feasibility studies and business case development, Projects aligned with private and public funding sources, Launch of an Upper Spencer Gulf Port Plan (subject to State Government funding), Maximised share of Minerals Resource Rent Tax (DPTI/DIT); Digital Economy Strategy for early release and National Broadband Network opportunities in Port

Augusta (DFEEST); and

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Industry commitment to infrastructure investment - including strengthened industry alliances and government-facilitated/industry-driven collaborative common purpose infrastructure solutions (DPTI).

Business Development:

Improved matching between services sector capacity and mining industry demand (Heavy Industry Hub project) (PIRSA),

Supply chain mapping (DMITRE), Complementary Australian Government funding for the Plan for Accelerating Exploration (PACE)

program (DMITRE/DRET), Improved matching of mining industry tenders and local suppliers (DMITRE/ICN); and Improved networking between SME firms to capture large mining industry tenders.

Workforce Development:

Better integration of State and Australian Government programs, Resource industry and regional workforce development plans (DEEWR/DFEEST), Resources industry workforce development template mandated (DEEWR/DIISR/DMITRE), Social inclusion through increased labour market participation from disadvantaged jobseekers

(DEEWR/DFEEST), Increased labour market productivity through skills development (DEEWR/DFEEST), and Indigenous employment programs.

Community Amenity:

Population and housing development strategies, Health services provision included all policies for the USG pilot program, Integrated design in regional centres and infrastructure/industry hubs; and Local community development plans and projects.

Clean Energy Future:

Analysis of the region’s competitive advantages for renewable energy generation, Implementation of the Green Grid initiative and transmission network upgrades, and Carbon farming and biodiversity opportunities.

11.3 WORKFORCE DEMAND AND PLANNING The workforce sector has been identified as one of the main economic issues in Australia due to the pending increase in the number of Baby Boomers reaching retirement age and demand out stripping the supply of a skilled workforce. This is particularly evident in regional locations where mining activity is having a major impact on other regional industries, as these industries are unable to compete on wage levels being provided as an incentive to secure mining industry workforces. Mining and the construction phases of proposed major processing projects will have a severe impact on employment and existing industries in the region. With the emergence of the region’s mining industry it is estimated that 6,000 jobs will be created in the region during the project construction phase and 4,000 jobs directly within the mining industry over the next 5 years. The mining industry also has the highest indirect employment demand at a ratio of 3:1 for supporting services and contractors.

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Eyre Peninsula Resources Sector Workforce Study In October 2011 the South Australian Training and Skills Commission released a report prepared by the Resources and Engineering Skills Alliance (RESA), Workforce Study for the Resources Sector in the Eyre Peninsula, which claimed that more than 6,700 new jobs could be created on the Eyre Peninsula over the next ten years by mining projects alone. This estimate is comprised of 4,500 jobs by 2016 (with 1,700 of these required in 2014) and another 2,200 jobs by 2021. The analysis was based on consultation with the mining sector, and included the assumption that at least seven new mining projects being developed in the region (extracting iron ore, uranium, kaolin, mineral sands and graphite) will proceed to operation. The projects included in the workforce forecasts were:

PROJECT MINE SITE/LOCATION OneSteel Project Magnet and the OneSteel processing plant Iluka Jacinth Ambrosia Mine IronClad Wilcherry Hill Stage One Iron Road Warramboo Centrex Bungalow Centrex Lower Eyre Peninsula Projects (Eyre Iron Joint Venture) Lincoln Minerals Gum Flat Stage One Lincoln Minerals Gum Flat Stage Two Uranium SA Mullaquarna Minotaur Poochera

Table 38: Summary of Projects included in the Workforce Forecast. In making these job estimates, the study noted that mining operations tend to have a relatively high level of staff turnover and that new job openings will substantially exceed the number of new jobs created. Turnover was estimated at 15% to 30% per annum and it was consequently anticipated that the job replacement demand to 2021 might exceed 5,000 positions. (Resources and Engineering Skills Alliance and Innovation Economics, Workforce Study for the Resources Sector in the Eyre Peninsula, October 2011, p.3). The study also noted that all of the participating companies “expressed a strong desire to recruit people from the local region, although the need to bring staff from outside the region was recognised as a reality.” (Workforce Study for the Resources Sector in the Eyre Peninsula, p. 5) Workforce research indicated that the largest number of job openings would be for the following occupations:

Accountant Metallurgic Technician Surveyor Motor Mechanic - Diesel Electrical Engineer Welder Mechanical Engineer Metal Fabricator/Boilermaker Production or Plant Engineer Fitter Mining Engineer Electrician Environmental Scientist Driller Geologist Miner Metallurgist Stationary Plant Operator Occupational Health and Safety Professional Mobile Plant Operator Laboratory Technician Truck Driver Electrical Technician Mining Support Worker Mechanical Technician

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The qualifications in the greatest demand ranged from Certificate II level in various categories through to Bachelor of Engineering and Bachelor of Science. The positions available to applicants without experience ranged from nil for some technical roles to 100% for plant operators. The general estimate was that about 10%-20% of positions would be available for people without experience for most positions requiring formal qualifications. (Resources and Engineering Skills Alliance and Innovation Economics, Workforce Study for the Resources Sector in the Eyre Peninsula, p. 4). The workforce employment forecasts need to be considered as a best case scenario as there is a likelihood that some projects will not proceed through to operation (due to technical issues, problems with accessing infrastructure and finance, the need for government approvals, changing company priorities and international market conditions). The study therefore applied ratings which reduced the job creation estimates. When the probability weighting is assigned the number of ongoing direct jobs falls substantially from 2,200 to 700, and estimates for replacement demand also fall dramatically. However, it should be noted that the study did not include the impact of the Olympic Dam expansion which will create an estimated 10,000 jobs in the same fields (although RESA believes that closer to 15,000 jobs will be created in the longer term). The study also excluded the planned Arafura Resources rare earths processing plant and the Deepak ammonium nitrate processing complex at Whyalla, which are expected to produce 1,400 jobs during their construction phases and approximately 400 permanent positions. The bottom line is that the potential workforce growth in the region is quite significant but, in view of the skills under demand by the mining industry, it is unlikely that some positions will be recruited locally. Even though the various companies indicated a strong desire to recruit people from the local region wherever possible, the need to bring staff from outside the region was recognised as a reality, and international migration was identified as a last resort to fill positions. Key Workforce Issues Key workforce planning and development issues that will impact the region include:

Supply and demand – the looming surge in retirees will shrink the pool of skilled and experienced workers in the next few years. This process started in 2011 as large numbers of Baby Boomers started to reach 65 years of age.

Skill utilisation - Australian workforce demand is estimated at 2.3 million additional participants with a minimum of Certificate III qualifications by 2015. On average, only 40% of workforce participants enter into a position that they are trained in and 45% of the workforce change employment every 3 years. (Workforce Australia Report 2011).

Experience and gaps – the majority of workforce positions are only available to qualified and experienced people. Employers across the region have experienced recruitment difficulty due to the lack of experience, qualifications and employability skills of applicants with the greatest difficulty in the areas of technicians and trade workers (65%), managers and professionals (58%), community and personal service workers (43%), and machinery operators and drivers (38%). (DEEWR, Survey of Employer’s Recruitment Experiences, Eyre peninsula Labour Market, February 2011).

Skill shortage – South Australia faces a bigger struggle for skilled workers than other states because of an ageing population coupled with net interstate migration and lower levels of productivity. (The Advertiser, Search Here, There and Everywhere for Staff, Business, 3 November, 2011, p. 60).

Productivity – productivity levels in Australia are arguably 35% less than in the USA for projects near cities and 60% less productive for projects in remote locations. The Business Council of Australia Study, ‘Pipeline of Pipedream?’ therefore claimed that infrastructure is more expensive to deliver in Australia than the US, “with airports 90% more expensive, hospitals 62%, shopping centres 43% and schools 26% more expensive”. (ABC News Just In, High Costs Threaten Mining Industry, www.abc.net.au, 7 June 2012).

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Population changes – as previously indicated population growth estimates for the region over the next 9-20 years range from approximately 0.23% (DPTI, Eyre and Western Region Plan) to 8% (Country SA Health Service, 10 year Health Services Implementation Plan). These growth levels will be insufficient to provide the personnel required to meet the region’s workforce needs. The region’s average population is also ageing due to the growing number of older people and the loss of people aged between 25 to 34 years.

Some of these issues are acute in the RDAWEP region. For example, a recent KPMG report ‘Expanding Horizons’ highlighted the risk of workforce impact on the region’s agriculture and fishing industries, due to the following characteristics:

The region has the highest median age workforce in Australia at 48 years, The region has the highest portion of workforce aged over 55 years (35.8%), The region has a disproportionately low number of workers aged less than 35 years (23.6%), and Baby Boomers generally exit the workforce at the age of 65 years, which commenced in 2011.

The combination of the mining emergence and retirement of many of the workforce in the fishing and agriculture industries is a major concern to the region’s economic capacity. The businesses and industries being impacted from being unable to compete on wages alone is estimated at 25 to 30% of the existing workforce. The issue of workforce development is critical to industries and businesses across the region, whereas the strategy of “Advertising and hope they come” is high risk. In view of these various issues, the RDAWEP region needs to develop workforce strategies that include:

Providing career pathways and encouragement of school students, Retention of the existing workforce, Intra and interstate workforce attraction program, and a Regional migration program.

These strategies are further discussed in section 12: Education, Training and Employment Programs and section 13: Economic Development and Job Creation Strategy. 11.4 THE IMPACT OF MINING ON HOUSING AND INFRASTRUCTURE There is widespread and growing concern across Australia about the social, cultural, economic and infrastructure impact of mining workforces on rural communities – especially the impact from workforce attraction programs that result in the adoption of fly-in-fly-out (FIFO), drive-in-drive-out (DIDO) and bus-in-bus-out (BIBO) workforces. These concerns are being driven by experiences in the Pilbara in Western Australia and coal mining townships in Queensland. The Pilbara has seen escalating house rental costs with people paying $550 per week for a single bedroom in a shared house, $2,300 per week for two bedroom houses and up to $3,500 per week for 5-bedroom houses. A Pilbara Development Commission survey found that during 2011, the average rent for a house in Port Hedland was $1,861 per week and about $1,700 in Karratha. This is approximately four times the median rent in Sydney, Brisbane, Perth and Melbourne. (The Weekend Australian, Renters Paying Thousands a Week for House in Pilbara, August 6-7, 2011 p. 9). The enormous growth in FIFO workforce culture in Western Australia has been blamed for stretching air traffic control capacity to the limit and it is predicted that the volume on some routes will double in the next few years. (ABC News, Fly-in, fly-out culture stretching air traffic, www.abc.net.au October 27, 2011).

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In the coal mining town of Moranbah, in the Shire of Isaac in Queensland, house rental is averaging about $2,000-3,000 per week and bonds of up to $9,600 are required in advance. House prices have peaked at $850,000 to $1 million and real estate agents cannot get enough of them to sell. (ABC Television, Four Corners, 28th May 2012). Moranbah was established over 30 years ago with housing predominantly provided for families. But in recent years the Shire population has grown from 23,000 to 43,000 with the expansion of the BHP Billiton coal mines. Moranbah is now surrounded by accommodation camps, predominantly for single workers, and family homes are being demolished and replaced with single accommodation units. The economic and infrastructure impact on Moranbah has been extensive. Long term resident families are leaving due to the increasing housing and rental costs. The hospital is overcrowded and there are longer waiting times for medical appointments. Many shops in the town centre, such as the fruit and vegetable store and gift shop, have closed due to the lack of spending by the mining workforce. The town centre is consequently desolate and riddled with empty shops and business confidence is eroding. The motel is fully booked for miner accommodation, but it cannot get receptionist and restaurant staff because it cannot compete with mining salaries. The presence of a large FIFO population also changes important services scenarios. The Shire of Isaac has only nine GP’s and the doctor/patient ratio was one doctor for every 2,500 residents. However, when the FIFO population is taken into account this ratio is increased to one in 4,800, exacerbating the waiting times for medical appointments. (KPMG, Social Infrastructure Planning to Support Resources Growth, The Infrastructure Short Report, March 2012). Moranbah is accessed by a single lane highway, but the number of road crash sites has reportedly escalated from accidents by a tired and growing DIDO workforce returning to their homes after long shifts. DIDO workers typically spend 2-3 hours driving after their week or fortnight long shifts, because the miners are choosing to drive long distances to other towns to avoid soaring rent prices in Moranbah. Moranbah now rates as the most expensive place to live in Queensland because of the severe accommodation squeeze. (The Weekend Australian, Fly-in Workers ‘Sucking Life from Town’, July 23-24, 2011 pp.1 & 6). The social and community impact is quite significant. The town has less families and more single people. Long term residents no longer feel safe because the town is becoming full of strangers who come and go. Women in particular have indicated that they no longer walk their dogs or exercise at night because they do not feel safe. The opinion of some people is that Moranbah has become a fractured town. It is no longer family friendly, fewer families are involved in local sport, and it is slowly losing its identity as it becomes a hotel town. Domestic violence and incidents of rape are reportedly on the increase, and there are escalating levels of gambling, drinking, depression, and loneliness. (ABC Television, Four Corners, 28th May 2012). The FIFO impact is known to occur on two fronts as it is now recognised that the families of FIFO miners also need support. A support service – FIFO Families – has been established in Western Australia with 14 support groups across the state and a website that receives approximately 2,500 hits per week. The organisation was established to provide support to mothers rearing children by themselves when their partners are working away and to combat the high FIFO attrition rates (up to 60% at some mine sites) and the miner suicides that occasionally occur. (The Weekend Australian, Flying into Trouble, 7-8 April 2012, Inquirer pp. 13-14). The ABC Four Corners Moranbah report substantiates the knowledge that some regional towns get very little economic or community benefit from mining because the FIFO-DIDO-BIBO workforces tend to eat and socialise at company messes and spend very little money and time in local businesses and communities.

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The impact on services and infrastructure is becoming a major concern to Local Government because FIFO workforces are using social and community infrastructure – roads, parks, swimming pools etc. - but because they are not permanent residents they do not pay rates. Pilbara Regional Council is consequently pursuing a formula to measure the extra costs that FIFO workforces impose on Local Government with the view to seek cost recovery from the mining sector. (Pilbara Regional Council, Best of Both Worlds? Seeking a Sustainable Regional Employment Solution to Fly-In-Fly-Out Operations in the Pilbara, July 2012). The pending Australian Government House of Representatives Standing Committee report on FIFO workforces in regional Australia should provide more substantive detail about the social and economic impact of the FIFO work culture. 11.5 PREFERRED STRATEGY FOR REGIONAL WORKFORCE DEVELOPMENT Mining companies and RDAWEP are well aware of the potential workforce impacts on rural towns and RDAWEP has been proactively discouraging the use of FIFO-DIDO workforces in the Whyalla and Eyre Peninsula region. This is largely because towns near FIFO-DIDO predominant mine sites are experiencing very little economic impact from mining, and are left with the harmful effects of mining activity in the form of dangerous roads, escalating house rental costs and increased demand on social infrastructure and community services. (Paul Cleary, The Weekend Australian, FIFO Jobs Leave Hole in the Regions, July 23-24, 2011, Inquirer p. 3). The preferred workforce development strategy is to give employment preference to people who either live in or are willing to relocate to the region. Several companies have expressed the desire to adopt this strategy. For example, IronClad’s Wilcherry Hill mining project north of Kimba will create approximately 230 new full time employment positions. 150 positions will be created at the mine (and be accommodated in Kimba), 40 positions will be created with the trucking contractor (and be accommodated at Kimba and Cowell), and 40 positions will be at the Lucky Bay CUEF (and be accommodated at Cowell and Lucky Bay). IronClad is giving employment preference to people who either live in or are willing to relocate to Kimba and Cowell. This will minimise the need for a FIFO and DIDO workforce and consequently bring greater social and economic development benefits from the flow-on effect of people residing and spending in local townships. These benefits will be magnified if new families relocate to the region. Indeed, IronClad has already constructed family style accommodation at Kimba for 80 people that is specifically designed to attract families and thereby maintain a gender balance. This employment strategy has the potential to grow both the Kimba and Cowell communities and produce some very desirable social, sporting and cultural outcomes and improve the liveability of both towns. (www.ironcladmining.com/projects/wilcherryhill). Centrex has adopted a similar workforce strategy for the Wilgerup Mine, where the estimated 100 workers will reside in the nearby town of Lock and will commute to the mine by bus or personal transport. (www.centrexmetals.com.au/projects/wilgerup). However, the reality of the situation (not just in the RDAWEP region but right across in Australia) is that specialist staff such as geologists, engineers and mining managers cannot usually be recruited locally and mining companies, due to increasing competition to recruit the best people are becoming more and more reliant on FIFO-DIDO workforces to fill specialist positions. It also needs to be recognised that it is difficult to attract some families to regional areas because they harbour concerns about the lack of social and community infrastructure particularly in the areas of health care, child care, and the range and quality of education facilities.

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There is, nevertheless, growing and widespread recognition that mining will stimulate growth in the regions. The Eyre Peninsula has already been described as ‘the next Pilbara’ in recognition of the growth potential particularly at Whyalla, Port Lincoln and the smaller costal towns. (The Weekend Australian, Regions Strike the Mother Lode, Weekend Property p. 6, 3-4 December 2011). Whatever the situation, as part of the infrastructure investment to support mining and industrial development, appropriate housing and social and community infrastructure needs to be provided in townships to attract and retain families, provide quality of life experiences and improve liveability in the region as a whole. While this need is becoming well recognised by Local Government and other planning agencies, the development and implementation the infrastructure is difficult for a number of reasons including a lack of evidence based data about what is actually happening in regions undergoing significant change, and the lack of a lead authority to properly assess competing needs and coordinate infrastructure and services provision at a regional, sub-regional and local level. (KPMG, Social Infrastructure Planning to Support Resources Growth, The Infrastructure Short Report, March 2012). The integrated regional infrastructure master planning approach proposed for the collective USG may well provide an answer for coordinated infrastructure planning and implementation. 11.6 SUMMARY – INFRASTRUCTURE DEMAND PROJECTS

PROJECT DESCRIPTION SUMMARY Upper Spencer Gulf Summit Work with RDA Far North, RDA Yorke and Mid North, the

Upper Spencer Gulf Common Purpose Group, the South Australian Government, Regional Development Australia and Local Government to facilitate the Upper Spencer Gulf Summit to maximise benefits from the mining and renewable energy booms for the Upper Spencer Gulf region.

Infrastructure Master Plans Facilitate and support the preparation of integrated Infrastructure Master Plans for RDA Whyalla and Eyre Peninsula, RDA Far North and RDA Yorke and Mid North ensuring that they embrace strategies for comprehensive infrastructure development, business development, workforce development, community amenity and renewable energy generation.

Workforce Development In liaison with the Department of Education, Employment and Workplace Relations and SA Works prepare a regional workforce development initiative that includes strategies providing career pathways and encouragement of school students, the retention of the existing workforce, a workforce attraction program and a regional migration program.

Workforce Development Employment Preferences

Maintain liaison with developing mining companies and industry to give employment preference to people who either reside in or are willing to relocate to the region.

Impact of Mining on Community Infrastructure General Investigate opportunities and impacts from mining activity on

community sustainability. Liaise with mining companies to support local services and employment opportunities. Encourage the planning and building of new homes in specific growth areas.

Table 39: Summary – Infrastructure Demand Projects.

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PART THREE:

EDUCATION, TRAINING

AND EMPLOYMENT

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12. EDUCATION, TRAINING AND EMPLOYMENT PROGRAMS 12.1 OVERVIEW The regional education, training and employment sector is comprised of a complex network of private, State Government, Australian Government and community agencies which have the collective mission of improving educational attainment, improving access to personal and employment related training, and creating opportunities for long-term and meaningful employment. The stakeholders frequently work in partnerships, linking programs and sometimes sharing the costs in order to maximise outcomes in the region. Cross agency strategies significantly focus on the most disadvantaged – i.e. early school leavers, Aboriginal people, the long term unemployed and people without work ready skills. The section of the Regional Plan provides a comprehensive description of the agencies and programs that comprise this sector. Please note that due to a mismatch in State and Australian Government program boundaries, much of the information provided in this section is extracted from a variety of cross regional data. Every effort has been made however, to only use data which is relevant to the RDAWEP region. 12.2 EARLY CHILDHOOD EDUCATION Facilities and Enrolments The South Australian Government Department for Education and Child Development (DECD) has 22 preschools/kindergartens and 5 school-based preschools in the region. These centres cater for enrolments of 920 children (Term 3, 2011). Other early childhood services include:

1 Child and Family Centre, 6 Play Centres, 2 Inclusive Preschool Programs, 3 Rural Care Programs, 7 Occasional Care Programs, 3 “Learning Together” Programs, 5 Out of School Hours Care Centres, 6 Vacation Care Centres, and 3 Family Day Care Offices (DECD, Eyre & Western Region Annual Report, 2011).

Although some access issues have been reported in the Ceduna and Far West Coast district, the region’s early childhood centres are generally well utilised, which is indicative of the high proportions of young children in the region. The Australian Government is committed to achieve universal access to early childhood education for all children by 2013, with a focus on services for Indigenous children in remote communities. The program will be delivered by university-qualified early childhood teachers, in accordance with the Early Years Learning Framework. Work recently commenced on the construction of new Aboriginal child and family centres in Ceduna and Whyalla. These Australian Government funded facilities will target the education, health and social development needs of Aboriginal families and children, but Aboriginal and non-Aboriginal families will be able to use the service.

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Six child care services in this region are receiving support from the Australian Government’s Budget Based Funded Quality Measure to upgrade their infrastructure, increase the qualifications of their workforce (to Certificate III or better level) and improve their governance and administrative capacity. The need for a larger, more qualified workforce in accordance with the National Quality Framework for Early Childhood Education and Care is a major issue facing this sector. Australian Early Development Index The Australian Early Development Index (AEDI) is a national collection of information on young children’s development taken in their first year of full-time schooling. Data is collected every three years. Analysis of 2009 AEDI data indicates that children in the Eyre and Western region recorded lower ‘on track’ percentages in all five domains compared to national averages. Although the results fluctuated considerably across the region, significant numbers of developmentally vulnerable children were identified in several communities, specifically the Yalata–Maralinga Tjarutja Lands, Ceduna and surrounds, the Coffin Bay area and the western half of the City of Whyalla. (Australian Government, Australian Early Development Index, 2009) 12.3 SCHOOL EDUCATION Facilities and Enrolments DECD currently administers 39 government school sites in the region, managed by the Eyre and Western Regional Offices in Port Lincoln and Whyalla. These facilities cater for 7,732 FTE students (as at Term 3, 2011), with 8.3% identifying as Aboriginal or Torres Strait Islander and 27% being School Card students - see Table 40. The schools have 805 active teaching employees, including leadership personnel (as at June 2011). (Eyre & Western Region Annual Report, 2011)

SCHOOL AND ENROLMENT 2006 2007 2008 2009 2010 2011 JUNIOR PRIMARY SCHOOLS (2) Nicolson Avenue Junior Primary School 252 271 239 247 260 231 Port Lincoln Junior Primary School 343 318.2 335 322.5 294 322 PRIMARY SCHOOLS (16) Fisk Street Primary School 181 185 169 166 145 106 Hincks Avenue Primary School 177 181 181 200 177 187 Karkoo Primary School* 18 21 20 15 14 0 Kirton Point Primary School 435 424 403 356 336 305 Lake Wangary Primary School 98 111 100 97 98 94 Lincoln Gardens Primary School 90 100 96 89 87 75 Long Street Primary School 268 264 298 298 302 315 Memorial Oval Primary School 245 238 219 214 224 214 Nicolson Avenue Primary School 365 383 400 383 378 388 Penong Primary School 23 26 28 33 31 25 Poonindie Community Learning Centre 67 67 56 57.8 61 58 Port Kenny Primary School 15.4 15 14 16 18 22 Port Lincoln Primary School 598 580 544 496 463 490 Port Neill Primary School 23 20.8 14 6 10 11 Ungarra Primary School 35 29 25 30 31 31 Wharminda Primary School* 20 16 15 0 0 0 Whyalla Stuart R-7 Campus 112 110 101 94 100 125 Whyalla Town Primary School 267 276 271 263 262 288

Table 40: DECD Schools and Enrolments, Eyre and Western Region.

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SCHOOL AND ENROLMENT 2006 2007 2008 2009 2010 2011 AREA SCHOOLS (12) Ceduna Area School 452.2 476.4 481.9 521.7 533 558.9 Cleve Area School 352.3 347.4 324.2 326.7 326 284 Cowell Area School 184.2 180.6 179.9 171.4 177 178 Cummins Area School 398.8 375.9 385.4 378.4 383 394.9 Elliston Area School 75 69.3 77.4 68.8 74 62.5 Karcultaby Area School 89.6 84.1 72.7 61.2 68 68.4 Kimba Area School 184.4 182.5 170.1 169.4 172 168.7 Lock Area School 107.1 95 97 90.8 88 77.3 Miltaburra Area School 79.8 77 77.5 68.9 71 58.6 Streaky Bay Area School 275.6 270.6 266.5 258.3 263 256.1 Tumby Bay Area School 243.8 264.2 280.3 278.1 298 288.9 Wudinna Area School 174.5 173 170.3 173.4 185 168 SECONDARY SCHOOLS (4) Edward John Eyre High School 369.2 334 348 380.6 335 334 Port Lincoln High School 697.7 717.6 741.3 749.1 722 741.9 Stuart High School 285 292 298 297 313 299 Whyalla High School 370.9 366.2 347 343 312 346 SPECIAL SCHOOLS - PRIMARY/SECONDARY (2) Port Lincoln Special School 21.8 22 26.2 24.6 26 27 Whyalla Special School 39 39 44 43 43 38.6 ABORIGINAL/ANANGU SCHOOLS (3) Koonibba Aboriginal School 30 36 35 32 30 28 Oak Valley Aboriginal School 33.5 24.5 26 14 27 19 Yalata Anangu School 57 64 60 70 62 48 TOTAL ENROLMENTS 8153.8 8127.3 8036.7 7903.7 7799 7732.8

Table 40: DECD Schools and Enrolments, Eyre and Western Region (Cont’d). * School now closed

Non-Government Schools The region has five non-government schools. The Crossways Lutheran School in Ceduna caters for 64 students (R-10). In Port Lincoln, St. Joseph’s School is a Catholic (R-12) boarding school with 747 students, whilst Navigator College is a Lutheran school for 360 (R-11) students, but will be R-12 from 2013. In Whyalla, the Sunrise Christian School has 172 (K-7) students (who participate in the Stephanie Alexander Kitchen Garden Program), whilst Samaritan College is a Catholic (R-12) school catering for 1,061 students across 3 campuses. Specialised School Centres Cleve Area School - Sims Farm Operated by the Cleve Area School, Sims Farm is a 400-hectare property specialising in dry land agricultural education for aspiring young farmers. It is the largest school farm in regional South Australia and is managed commercially with a merino flock, prime lamb production and wheat, barley and oats enterprises. The school offers agriculture as a subject from Years 9 to 12, with Certificate III in Agriculture (Years 10-12) enabling senior students to complete their SACE qualification. The school offers boarding facilities and attracts students from all parts of the Eyre Peninsula and other rural areas of South Australia. A recently established Agriculture Skills and Trade Training Centre, including a state-of-the-art shearing facility, conference centre and fully equipped farm workshop, has enhanced course delivery.

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Cowell Area School - Aquaculture Initiated by a group of oyster growers in 1991, the Aquaculture course at the Cowell Area School equips students for direct entry into the industry via a two-year structured course utilising a 2-hectare research and development oyster lease. Since the first course was offered in 1993, the program has thrived, boasting a 90% student success rate. In 2009, a business plan was developed and implemented to purchase spat and sell on-growns to market. The farm aimed to increase their oyster numbers to one million in 2011. Eyre and Western Multi Trade Training Centre The Trade Training Centre (TTC) program provides secondary schools with major capital upgrades of facilities and provision of industry standard equipment to enable Year 9-12 students to access vocational education and training. The scheme aims to improve Year 12 retention rates, enhance pathways into vocational careers and address national skills shortages in traditional trades and emerging industries. The Australian Government through DEEWR is providing $2.5 billion over 10 years (from 2008) for secondary schools to apply for TTC funding. Eleven secondary and area schools in the region have formed a Trades Training Consortium to provide opportunities for students in primary industry (fishing, aquaculture and farming), metal fabrication, building/construction and commercial cookery. The consortium has been funded through DEEWR and partnerships with industry to afford better training and employment pathways.

EYRE AND WESTERN MULTI TRADE TRAINING CENTRE SCHOOL SITE TRADE TRAINING FACILITIES Ceduna Area School Aquaculture* Cleve Area School Agriculture Cowell Area School Aquaculture / Engineering* Cummins Area School Agriculture Edward John Eyre High School Engineering Kimba Area School Cookery Port Lincoln High School Cookery / Aquaculture Streaky Bay Area School Cookery* / Construction & Engineering* Stuart High School Aquaculture Whyalla High School Cookery Wudinna Area School Engineering

Table 41: Eyre and Western Trade Training Centres Consortium. * Facility still under construction

DECD Priorities and Programs Informed by strategic planning at both the State and Australian level, the 2011 Eyre and Western strategic priorities were:

Access, Aboriginal Learners, Early Years, High Expectations and Instructional Leadership, Focus on Reading, and Future Opportunity (Eyre & Western Strategic Directions, 2011).

DECD administers a series of complementary programs in the region for senior secondary students that include:

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Vocational Education and Training Vocational Education and Training (VET) is offered both within and beyond secondary school in conjunction with registered training organisations (RTO’s). The system encompasses public, TAFE and private providers in a national training framework. Assessment standards are defined for apprenticeships in traditional trades and traineeships in service-oriented occupations. A contract is formed between the employer and the apprentice/trainee, providing a combination of school-based and workplace training. Apprenticeships typically take three to four years, whilst traineeships take only one to two. VET in schools allows students in Years 10-12 to undertake industry specific skills training and gain credit towards a nationally recognised qualification whilst undertaking their South Australian Certificate of Education (SACE). National Centre for Vocational Education Research indicates that VET participation in the region maintains levels on par with the rest of the nation, with higher apprentice and trainee commencements and completions by Indigenous students. (DEEWR adaption off NCVER Data). Industry Skills Program Industry Skills Managers provide Industry Pathways Programs (IPP’s) for secondary students. IPP’s enable students to combine their studies with vocational education and achieve their SACE and a nationally accredited qualification and at the same time. Schools offering these programs conduct high levels of community and industry engagement in order to provide training that meets industry needs and addresses skills shortages. Resources and Energy Program The Resources and Energy Program provides training in skills relevant to the resources and energy sector in the Upper Spencer Gulf and outback regions of the state. The program operates in a similar fashion to the Industry Skills Program. Trade Schools for the Future Trade Schools for the Future is an educational initiative that enables secondary school students to combine their SACE studies with vocational education and training in a school-based apprenticeship or traineeship. The aim is to ensure that students have genuine career pathways and that employers gain motivated, trained and work-ready employees. An Apprenticeship Broker operates in the region linking students and employers. eLearning DECD facilitates distance education in the region through the use of three major “elearning” technologies - Moodle (learning management system), Centra (online conferencing tool), and Video Conferencing. This has ultimately enabled educators to:

Effectively deliver curriculum in regional and remote locations, Communicate with students who are absent from school whilst undertaking vocational training, Share teaching resources across local school networks, particularly in hard to staff senior

subjects, and Upskill teachers in the appropriate use of available online technologies and establish centres of

expertise at a local level.

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National Assessment Program – Literacy and Numeracy National Assessment Program – Literacy and Numeracy (NAPLAN) first run in 2008, annually assesses all Australian students in Years 3, 5, 7 and 9 simultaneously, using national tests in reading, writing, language conventions (i.e. spelling, grammar and punctuation) and numeracy. NAPLAN results for the region showed improvement in 2011, with all year levels (except for Year 7) recording increases against national benchmarks. Interestingly, the Year 7s were the students from the region with the highest percentage (90.3%) at or above the national minimum standard in reading. Aboriginal learners showed an increase in Year 3 and Year 9 results, but a decrease in Years 5 and 7. Overall, the results indicate that the regional focus on early childhood education and reading has been successful. (Eyre & Western Region Annual Report, 2011). Innovative Community Action Networks and Flexible Learning Options Innovative Community Action Networks (ICAN) is one of the major initiatives of the State Government’s Youth Engagement Strategy and School Retention Action Plan. ICAN’s bring together young people, families, schools, community groups, businesses and different levels of government in partnerships to find local solutions to issues that prevent young people from completing their education. ICAN’s target young people (12 to 19 years of age) who are enrolled in school but at risk of leaving early or becoming disengaged, with pathways to further education, employment, and community participation. These young people face barriers to education including social, family, health and learning challenges. Without appropriate, inclusive and timely responses disengaged young people are destined to become the future long-term unemployed because they are less likely to have the basic numeracy and literacy skills that are essential for most elementary employment positions. Research indicates that approximately 15% of young people generally are not engaged in education, training and employment. (Jill Coates, Port Lincoln Community Learning Space, Power Point Presentation to the City of Port Lincoln, June 2012). The ICAN’s operate strategically to provide innovative programs, support and resourcing through locally driven community management committees. The ICAN framework also supports access to flexible learning options (FLO) in schools to enable young people to engage in a range of programs while supporting reengagement in meaningful learning or earning pathways. In 2011, the collection of baseline data for students enrolled in FLO was an important priority, as this was the first year that FLO was available across the entire region. When comparing Term 1 to Term 3 data it was noted that there had been a substantial drop in Year 10 FLO enrolment numbers and an increase in Yr 12 FLO enrolments. The on-going collection and analysis of destination data of FLO students will be a critical factor in measuring the overall effectiveness of the program. (Eyre & Western Region Annual Report, 2011). ICAN’s have been established with personnel based in Whyalla, Port Lincoln, Ceduna and supporting schools and communities throughout the entire region. ICAN’s provide much needed niche educational and support services that address social inclusion and disadvantage for both Indigenous and non-Indigenous young people. ICAN’s consequently play an important role in youth retention and employment training strategies by providing alternative learning options for achieving work readiness. (Jill Coates, Port Lincoln Community Learning Space – Innovative Community Action Networks, Research Report, May 2012).

The Whyalla ICAN has a total of 173 students enrolled and partners with Mission Australia, Plaza Youth Centre and Centacare to support the learning and case management of these young people.

In Port Lincoln, 102 young people are enrolled, 36 of which are Indigenous, and the community partnership includes Port Lincoln High School, numerous Primary schools, along with Baptist Care, West Coast Youth and Community Services and Eyre Futures.

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In Ceduna there are 24 FLO students, 21 of whom are Aboriginal. A further 28 students are enrolled in smaller communities in the inland parts of the region.

The ICAN’s presently operate from rented facilities but more permanent facilities are required to provide long-term program continuity. Ideally, the ICAN’s should be one-stop shops providing a safe learning environment with facilities and equipment including but not limited to:

Kitchen and coffee shop for learning basic cooking, life and social skills, Shed for learning handy person skills, Musical instruments and playing area, Wet studio and art materials, Exercise equipment, and Training and IT facilities.

RDAWEP can provide an important support role by facilitating the provision of appropriate educational infrastructure to help reconnect disengaged young people and give them a future. Attendance On-going monitoring of school attendance data in the region indicates improved attendance for all school sectors including Aboriginal students. Whilst the attendance rate is still lower than the desired 90% standard for the region, the general attendance trends are improving across all age groups. (Eyre & Western Region Annual Report, 2011). Attainment South Australian Certificate of Education In 2011, 203 students from the region’s government high schools successfully completed their SACE. Of these, nine were Aboriginal students (4.4%). (Eyre & Western Region Annual Report, 2011). 2006 Census figures indicate that students in the Eyre and Western region attained lower population percentages at Year 12 (or equivalent) and higher proportions at Year 11, than the Australian population. (Please note that educational attainment data from the 2011 Census will not be available until October 2012 and therefore could not be included in this Regional Plan).

HIGHEST SCHOOL ATTAINMENT LEVEL (15-64 YEARS) YEAR LEVEL NUMBER % REGIONAL POP. % AUSTRALIAN POP. Year 12 (or equivalent) 11,024 31.3% 46.5% Year 11 9,278 26.3% 11.0% Year 10 7,811 22.2% 23.3% Year 9 2,508 7.1% 6.3% Year 8 or below 1,789 5.1% 4.1% Population of 15-64 years 35,262

Table 42: Highest School Attainment Level, Eyre and Western Region. Year 12 or equivalent includes all persons with higher qualifications (ABS Census 2006).

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Issues The Eyre and Western Region DECD Context Statement describes the following influences on the region’s public education system:

Distance mode delivery (elearning) is widely used in remote and isolated communities, especially for secondary students and staff training and development,

There is a strong collegiate approach towards district leadership; networking is essential and well developed,

The region has many multi-year level classes, The region has a high cost of service delivery, High levels of community support are enjoyed by most schools, There is a relatively high turnover of staff/leaders leaving a core of experienced personnel

blending with high proportions of less experienced staff, and Whilst majority of staff enjoy the country community spirit, some have raised issues relating to

isolation from support services, privacy and workload (resulting from the expectation to maintain high levels of community involvement).

12.4 TERTIARY EDUCATION Facilities Several tertiary education and research facilities are located in the region. Industry-based study is conducted through innovative research, extension programs and demonstration projects at the University of South Australia’s Whyalla Campus, the Minnipa Agriculture Centre and the Lincoln Marine Science Centre. These facilities continue to play a vital role in extending the region’s capacity to deal with environmental and community sustainability challenges. Further, they increase the region’s capacity to create new knowledge and find new ways of doing business, which is pivotal to building a sustainable economy. University of South Australia - Whyalla Campus The University of South Australia’s Whyalla campus is situated on a 22-hectare site in the heart of Whyalla’s education and cultural precinct. It is a major centre of tertiary education in regional South Australia and the home of UniSA’s Centre for Regional Engagement. Whilst the vast majority of students come from the western and northern regions of the State, some study from interstate via online learning tools. The Whyalla campus has developed programs and expertise that reflect rural and regional Australia. The Centre for Regional Engagement provides expertise in the fields of business and accounting, nursing, rural health, applied statistics, social work, community wellbeing and foundation studies, a free, one-year program for students with no previous qualifications. As a response to the burgeoning mining and resources sector, a full degree in Engineering (Metallurgy and Mechanical Engineering) and an Associate Degree in Engineering are now available at the Whyalla campus. From the commencement of 2013, a Bachelor of Education (Primary) will also be offered. The campus also boasts UniSA’s only supported research centre outside Adelaide - the Centre for Rural Health and Community Development. This facility conducts research about regional development, health and community-based studies via an Applied Statistics Unit and a Project Evaluation Unit. The campus also hosts the Regional Sustainability Centre which is researching and proposing innovative options to encourage regional sustainability.

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Minnipa Agriculture Centre First established in 1915, the Minnipa Agricultural Centre (MAC) and farm occupies a 1,200 hectare site in central Eyre Peninsula. Approximately 800ha or 75% of the Centre’s arable land is cropped each year. MAC is operated by the South Australian Research and Development Institute (SARDI). An important function of the MAC farm is to conduct, monitor and analyse broad-scale research, development and extension (RD&E) programs to value add to low rainfall cereal growing programs. The MAC farm conducts these activities whilst demonstrating innovative and best practice farm management strategies for low rainfall environments. SARDI conducts low rainfall farming system RD&E activities across the upper Eyre Peninsula, from Nundroo in the west to Cowell in the east and Murdinga/Wharminda in the south, often in collaboration with grower groups. The Eyre Peninsula Agricultural Research Foundation (EPARF) is an independent advisory group providing strategic support and planning for the MAC. EPARF is composed of elected members from the region’s farming community and representatives from SARDI and the University of Adelaide. EPARF has a membership base of approximately 200 (mostly EP growers) and is an independent advisory body for MAC programs and activities. Lincoln Marine Science Centre The Lincoln Marine Science Centre (LMSC) was built in 1995 by Flinders University to support research and tertiary education in marine science. Establishment of the facility in Port Lincoln was supported financially and in-kind by the State and Australian Governments, the Port Lincoln and regional community and the fishing and aquaculture industries. The LMSC provides tertiary level education through TAFESA and Flinders University in marine biology, marine ecology, oceanography and aquaculture. Post-graduate studies are also available at Honours, MSc and PhD levels. The LMSC is also a research centre for Flinders University, SARDI Aquatic Sciences and Biosecurity SA (Shellfish Quality Assurance Program). The research activities cover two main fields and are carried out by resident and visiting researchers including international collaboration. Marine Living Resources research covers stock assessment, quality assurance, value adding, bio-prospecting and health and genetics. The Marine Ecology research deals with biological oceanography, population biology, marine invasive species, cetaceans, sharks, biodiversity, conservation genetics and biogeography. In 2008, the Centre underwent a major $6.59m expansion under the Marine Innovation South Australia initiative, nearly doubling the Centre’s size. This provided state-of-the-art laboratories and facilities for more than 35 permanent and visiting scientists and educational staff, and increased student numbers. The facility created a national centre for excellence in southern temperate marine science. Australian Maritime and Fisheries Academy Founded in 1997, the Australian Fisheries Academy was established as an industry-managed education centre for the maritime, fishing and seafood industries. In 2011, the organisation became the Australian Maritime and Fisheries Academy (AMFA) and is currently the only industry owned and operated maritime, seafood and fishing industry development and training organisation in the Southern Hemisphere. With campuses in both Port Adelaide and Port Lincoln, courses run by AMFA cover all aspects of the maritime skills required for the operation of coastal vessels, from elementary sea safety to skippering a

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large commercial vessel. AMFA also facilitates industry-based training for senior secondary school students that are specifically focussed on providing opportunities to young people wanting a career in commercial fishing, aquaculture and maritime industries. AMFA students now have wider career options than ever before, with the oil and gas sectors of the resources industry becoming a large utiliser of skilled maritime workers. Planning is being undertaken to extend AMFA courses to include fire fighting skills and HUET which is necessary for employment on oil rigs – see section 4.7 Industry Skills and Workforce Development on page 76. TAFE SA Regional TAFE SA Regional maintains a significant presence throughout the Whyalla and Eyre Peninsula region with three major campuses based in Whyalla, Port Lincoln and Ceduna, and smaller facilities located at Wudinna, Cleve, and Kimba. These sites form part of a wider network which enables TAFE SA to offer a wide range of courses and services designed to meet the needs of regional industries and communities. In order to meet an ever-increasing demand to provide training, TAFE SA Regional is continually expanding the use of flexible methodologies to enable training to be undertaken both on and off the job. TAFE SA currently delivers 57% of training via flexible methodologies; these are supported by extensive IT and communication networks throughout the region and include video conferencing, online and external learning. To further assist training delivery across the Eyre Peninsula, TAFE SA has a range of mobile equipment and facilities that can be transported to accommodate localised requirements. Recent federal and state government investment has enabled the facilities at the Whyalla Campus to be upgraded. Further investment is currently being made in renewable energy trade training in collaboration with solar and other renewable energy industry partners. Increased activity of the resources sector has generated an escalating demand for mining, trades and related service-industry training. TAFE SA is tailoring training to service this need and the anticipated demand for renewable energy installation skills in electro-technology graduates. TAFE SA has one of the highest student satisfaction rates with 92% of graduates being satisfied with the overall quality of training (NCVER 2011). TAFE SA Regional was recently awarded the National Large Training Provider of the Year Award at the 2011 Australian Training Awards. Attainment Despite the presence of these high quality tertiary institutions, the 2006 Census revealed that the region recorded lower attainment rates of diploma, degree and higher qualifications in comparison to both state and national averages. Further, the region recorded above average proportions of people with Certificate Level III and IV qualifications. This is consistent with the high proportions of local residents who are employed in the manufacturing, agriculture and fishing and aquaculture industries.

HIGHEST NON-SCHOOL ATTAINMENT LEVEL (15-64 YEARS) QUALIFICATION NUMBER % of REGIONAL POP. % of AUSTRALIAN POP. Postgraduate Degree 230 0.7% 2.9% Graduate Diploma 323 0.9% 1.6% Bachelor 2,283 6.5% 12.9% Advanced Diploma 1,645 4.7% 7.5% Certificate 7,331 20.8% 17.7% Population of 15-64 years 35,262

Table 43: Highest Non-School Attainment Level, Eyre and Western Region. (ABS Census 2006).

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12.5 PARTNERSHIPS Regional Development Australia – Whyalla and Eyre Peninsula (RDAWEP) RDAWEP plays an important role in providing the education sector with pertinent economic and industrial information and data, in a localised context. Specifically, RDAWEP provides:

Relevant business and industry contacts and networks, Funding, resources and in-kind support, Career development (e.g. expos), and Projections to inform potential education, training and employment pathways.

Department of Education, Employment and Workplace Relations (DEEWR) The Australian Government, through the Department of Education, Employment and Workplace Relations (DEEWR), provides a range labour market information and data, and administers a range of programs and in the education and training sector. These programs include:

Jobs Services Australia, Disability Employment Services, Indigenous Employment Program, Country Areas Program, Indigenous Ranger Cadetship (IRC) Program (In late June 2012, the Port Lincoln High School

was announced as one of ten IRC pilot schools nationwide), Job Guide, MyChild and MySchool websites, Parental and Community Engagement Program (Indigenous), School Business Community Partnership Brokers (Partnership Brokers), Trade Training Centres, and Youth Connections Program.

Eyre Futures Incorporated Established in 2005, Eyre Futures is a not-for-profit organisation that supports young people to maximise their employment and education opportunities. This is achieved through active engagement with young people, families and communities, and collaborative programs with schools, training providers and other support services. With offices in Ceduna, Port Lincoln, Whyalla and Roxby Downs, Eyre Futures provides support to around 300 young people across and beyond the region. Eyre Futures employs a variety of case workers, project officers and training managers to administer the following programs and services:

Career Development Services, ICAN – case management and Flexible Learning Options for young people, Jobs West – supported work exposure and entry level training for Indigenous people aged 15-24, Mentoring – coordination of community partnerships to assist young people with education,

career pathways and transition from school to study and employment, Parental and Community Engagement – support for Indigenous families with school partnerships

to enhance their children’s educational outcomes, Partnership Brokerage – development of sustainable partnerships between education, business,

community and parents, Vocational Taster Program – providing Indigenous youths with access to short term certificate

training, career planning, work placements and mentoring support, and Youth Connections – case management for young people facing multiple and complex barriers to

education and training.

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12.6 DEPARTMENT OF FURTHER EDUCATION, EMPLOYMENT, SCIENCE AND TECHNOLOGY Overview The Department of Further Education, Employment, Science and Technology (DFEEST) is a State Government agency that contributes to a strong and sustainable economic future for South Australia by providing services to:

Coordinate high quality public vocational education and training, Build skills through workforce planning and skills development programs, Increase the workforce development and planning culture in South Australian workplaces, Foster innovation through science and research, and Promote and support digital and technology developments within business, industry and

community sectors. The South Australian government is committed to increasing the skill level of all South Australians in order to improve employment opportunities and build the state’s social and economic prosperity. To support these goals the government has committed to an employment growth target of 100,000 jobs over the next six years and an additional 100,000 training places and apprenticeships. Employment participation programs and services delivered by DFEEST make an important contribution to increasing training, qualifications and labour supply. Through participation and equity programs delivered by South Australia Works in the region, assistance is provided to people who face barriers to participation, learning, training and employment to ensure they receive the support they need to enter pathways to training and work. DFEEST employs a number of Regional Coordinators across the State, most of who service multiple jurisdictions. For RDAWEP the Regional Coordinator is based in Port Lincoln but services Whyalla and the Eyre Peninsula. The DFEEST vision is for South Australia to have the best workforce in Australia. To achieve this vision, the DFEEST Strategic Plan 2010-14 maps out seven clear goals that will be pursued over the next five years.

Exemplary workforce planning and development, Strong Industry partnerships, High levels of participation and achievement in learning and work, Excellence in tertiary education and training, World competitive research, technology and innovation, Skills and technology for the State’s environmental sustainability, and DFEEST is a high performance organisation.

Skills for All Skills for All is a State Government initiative that changes the way vocational education and training is funded in South Australia. The program gives South Australians the opportunity to gain more qualifications, many at low or no cost, through the training provider of their choice. Individuals need to meet course entry requirements and verify their eligibility with an approved training provider before enrolling. Qualifications at Certificate level I and II are fully subsidised which means there are no course fees. Qualifications at Certificate III level and above are partially subsidised and students pay a course fee as well as any relevant incidental fees. Students can enrol in more than one course with more than one provider at the same time.

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Skills for All training providers are only allowed to charge a course fee (Cert III and above) within the set minimum and maximum range, for any given course. This means that different training providers may charge a different course fee for the same course. Skills for All training providers are required to publish their course fees. Skills in the Workplace Skills in the Workplace is an initiative of Skills For All. The program aims to lift the skill level of the South Australian workforce and raise the productivity of business by increasing the number of employees with qualifications and skills. Skills in the Workplace provides government funding for skills urgently needed by South Australia industries and enterprises. The program will fund between 50 - 90% of the training costs of eligible employers for industry critical skills and specialist occupations, with employers contributing the remainder. Training is available for full qualifications at Certificate IV to Advanced Diploma level. Additionally, some qualifications at a Certificate III can be funded through providing a strong business case. Adult Community Education Adult Community Education (ACE) is a community learning opportunity for people who want to take part in learning and further training but face social and economic barriers to participation. ACE provides learning programs in a supportive community setting, making it easier for people who may have ‘turned off’ learning in traditional environments. ACE programs are locally developed, locally delivered and locally owned. ACE involves hundreds of organisations, volunteers and trainers across South Australia based in community centres, local council organisations, neighbourhood houses, libraries and other community service centres. South Australia Works South Australia Works in regions is supported on the ground via a Regional Coordinator. The coordinator’s role is to facilitate participation, training and employment activities that assist in building economic development. There are ten coordinators across the state with one situated in Port Lincoln as the point of contact for Whyalla and Eyre. The South Australia Works program seeks to reach, engage and support people who face barriers to learning, training and work through flexible and responsive initiatives tailored to the specific needs of individuals, communities, regions, industries and employers. South Australia Works delivers three streams of initiatives:

Locally tailored participation projects: providing pathways into learning, training and work for people who have significant barriers to participation, by integrating a range of supports to prepare this client group with access to training and employment.

Career development services: assisting people who have barriers to employment through local and customised responses.

Skills for Sustainability projects: supporting young people aged 17-24 (predominantly) who face barriers to participation in learning and work with skills development for employment in environmentally sustainable industries.

The coordinator is responsible for forming relationships with stakeholders, providing information regarding the suite of DFEEST initiatives and leveraging additional support funding. The coordinator works closely with RDAWEP which acts as the conduit for the implementation of programs in regional centres. South Australia Works Networks is a working group consisting of local business and services. The network

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provides a base for consultation on regional issues and develops strategic action plans to ensure the regions needs are appropriately managed. Aboriginal Workforce Participation Program The programs seek to build the capacity of Aboriginal people to gain employment and to build the capacity of employers to employ Aboriginal people. Aboriginal Participation Brokers work in regions to facilitate strategic and operational solutions to local learning, training and employment needs, and prepare Aboriginal people for local jobs. The programs include:

Aboriginal Apprenticeship and Mentoring Program: assisting Aboriginal people into trade-based apprenticeships and traineeships in the private sector.

Aboriginal Job Ready Program: building the capacity of Aboriginal job seekers, particularly those who face barriers to workforce participation, to access learning, skills development and employment opportunities.

Aboriginal Leadership Program: promoting opportunities for Aboriginal people to participate on State Government boards and committees, providing information and assistance for leadership development training and opportunities for Aboriginal public sector employees to apply for senior positions.

Aboriginal Pathways to Excellence Traineeship Program: providing career development, mentoring, training pathways and employment placement for young people through the South Australian Aboriginal Sports Training Academy.

Aboriginal Public Sector Program: assists South Australian Public Sector agencies to source Aboriginal applicants to fill their employment vacancies. Concurrently, Aboriginal jobseekers are recruited to join the Aboriginal Employment Register where they are referred to short term public sector vacancies (up to 12 months).

Connecting Aboriginal People to Mining Project: increasing Aboriginal specific training and employment outcomes in mining and related sectors.

Programs for employers include:

Aboriginal Apprenticeship and Mentoring Program: assisting private sector employers to support Aboriginal people in trade-based apprenticeships and traineeships.

Aboriginal Employment Industry Clusters Initiative: building the capacity of South Australian employers across a number of targeted industries to provide long term, meaningful and sustainable employment opportunities for Aboriginal people.

Building Family Opportunity Building Family Opportunities (BFO) is a program that aims to break the cycle of long-term family joblessness through the provision of intensive case management addressing all areas of a family’s barriers to employment. The program brings together long-term jobless families, local community organisations, government and employers to find solutions to complex issues that prevent families from participating in employment. Using the strength of the family unit, BFO case managers work proactively with families to address barriers until a sustainable job is achieved. Industry and Indigenous Skill Centre Program This is an Australian Government program funded through DEEWR to provide capital infrastructure funding for training and skills centre development through two funding streams:

Industry Skills Centres (ISC), and VET Infrastructure for Indigenous People (VIIP).

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DEEWR funds the national program on a financial year basis to the value of $11 million with matching industry contribution for ISC applications. The program is administered in South Australia by DFEEST. The primary purpose is to fund minor capital costs in building, refurbishing or expanding facilities to deliver accredited vocational education and training. The program also leverages support and funding from industry to deliver employment related training. Funding is approved on a nationally competitive basis to expand training into areas of innovation and skills shortages. Proposals may focus on industry and community demand areas, including but not limited to:

Delivery of a broader scope of training, e.g. the use of simulation technology, Focus on emerging technologies within specific industries, Green economy issues, Impacts of climate change within specific industry sectors.

The program supports the State Government’s goals of increasing employment and VET participation, labour productivity and developing a skilled workforce to meet changing market needs. Applicants are expected to be not-for-profit incorporated industry or community organisations. Applications are evaluated and prioritised at state level against national and state identified needs for skills through independent State Evaluation and Prioritisation Panels. (References: http://www.dfeest.sa.gov.au; http://www.skills.sa.gov.au; http://www.dfeest.sa.gov.au/Portals/1/Documents/strategic%20plans/dfeeststratplan10-14.pdf). 12.7 REGIONAL EDUCATION, SKILLS AND JOBS PROGRAM In July 2011, the Australian Government Department of Education, Employment & Workplace Relations (DEEWR) commenced a new phase of working with Australia’s regional communities. A key thrust of this initiative was the establishment of Regional Education, Skills & Jobs (RESJ) Plans. Accordingly, the 2011/12 Australian Government Budget provided funding to engage 34 Regional Education, Skills & Jobs Coordinators across the nation. RESJ Coordinators, employed by DEEWR, work in and with regional communities to plan and implement strategies that enhance outcomes from government programs and major projects. RESJ Coordinators are responsible for engagement with the local community on matters relating to early childhood education, school education, skills development, tertiary education and employment. In order to develop strategies for increased participation in education, training and employment, RESJ Coordinators foster partnerships between local business/industry, education and training institutions, service providers and the three levels of government. They work collaboratively with communities to link new and existing programs and projects for maximum benefit, strive to formulate locally responsive strategies and provide input on policy development based on their local experience. The RESJ Plans are informed significantly by the local Regional Development Australia committees, in recognition of the important role of the RDA’s in facilitating effective regional planning and development. One RESJ is based in the RDAWEP region in the Port Lincoln office. 12.8 PRIORITY EMPLOYMENT AREAS PROGRAM In 2009 the Australian Government announced it would assist 20 Priority Employment Areas (PEA) across Australia through targeted strategies to support jobs at a regional and local level in response to the global recession. As part of the Building Australia’s Future Workforce package in the 2011-12 Budget, the Australian Government extended the Priority Employment Area initiative for another 2 years until June 30, 2013. (http://www.deewr.gov.au/Skills/Programs/SkillTraining/nwdf/Pages/BuildAustFutureWork.aspx).

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In each PEA a Local Employment Coordinator (LEC) is appointed to help drive local responses to local labour market issues. One LEC services the Port Augusta–Whyalla–Port Pirie PEA covering the local government areas of Port Augusta, Whyalla, Port Pirie and Peterborough. This PEA therefore overlays three Regional Development Australia Regions, Whyalla and Eyre Peninsula, Far North and Yorke and Mid-North. (http://www.deewr.gov.au/Employment/Programs/PEA/Pages/LEC_PortAugusta_Whyalla_PortPirie.aspx). The LEC is responsible for the development and implementation of a regional employment plan that sets out key goals and strategies to address employment, skills and labour issues for the priority employment area. The goals include:

Support employment, workforce participation and skills development through maximising Government investments,

Help retrenched workers transition into new employment and/or training, and Facilitate employment and training opportunities for jobseekers, including disadvantaged groups,

with a focus on industries experiencing skills shortages. A focus on Indigenous people and the Australian Government Closing the Gap strategy is included as part of the plan.

Figure 41: Port Augusta, Whyalla, Port Pirie Priority Employment Area.

The LEC works closely with employers, employment services providers, local communities and all levels of government to help drive local solutions to labour market issues and maximise Government investment. This networking with regional stakeholders (along with analysis of key data) has led to a number of project developments supported by the LEC Flexible Funding Pool. Whyalla Pre-Employment Training (PET) In partnership with industry, TAFESA, RDAWEP, the Resources Engineering Skills Alliance and DFEEST, DEEWR part funded a pre-employment training program through the flexible funding pool. The program included accredited training over 20 weeks and support for 50 participants through industry and non-industry mentors. Connecting Families In response to the high proportion of jobless families in the PEA, and in partnership with Uniting Care Wesley, DFEEST, RDAWEP and RDA Yorke and Mid North, DEEWR part funded a Connecting Families

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project. This project provided integrated case management aimed at increasing the social and economic participation of long-term and intergenerational jobless families. Youth Exploring Potential Project This project seeks to engage Indigenous and non-Indigenous youth and coordinate work placements, work experience placements, identify tertiary pathways and offer components of accredited training in a variety of vocational fields. The project has a flexible approach to support individuals that seek, identify and follow a vocational pathway in Port Augusta, Port Pirie and Peterborough. The project has been developed and supported by DFEEST, RDA Far North, RDA Yorke and Mid North, ICAN and DEEWR. SACOME Study Expansion With advice from the Upper Spencer Gulf Common Purpose Group, funding has supported an expansion of a South Australian Chamber of Mines and Energy (SACOME) study investigating the impact of the mining industry in SA. Infrastructure, the utilisation of educational institutions and resources and the flow on or multiplier to other industries will be provided in addition to the study’s original scope. 12.9 EMPLOYMENT AND SKILLS DEVELOPMENT South Australia Works established by the DFEEST is the principal funding agency responsible for the design of regional programs. Its task is to specifically engage disadvantaged job seekers facing barriers to participation in learning and work. DFEEST fund the RDAWEP to implement programs identified by the South Australia Works Network and to engage an Executive Officer to implement and manage the contracts for employment and skills development programs. An extension of the Network is the Employment and Enterprise Strategic Planning Group (EESP) that meets in Ceduna and has a focus on Aboriginal participation. DFEEST’s objective is to contribute to workforce participation and meet the strategic objectives of the South Australian government. However, to meet the objective of workforce participation, barriers to employment needed to be addressed. These include low levels of language, literacy and numeracy, personal barriers including low self-confidence and low self-esteem, cultural and family issues and other related issues. Another factor that presents barriers to employment is early school leaving and hence low educational attainment. DEEWR is also a significant contributor to employment and skills development in the region through its employment services programs. Key programs that impact the Whyalla and Eyre region include: Job Services Australia Job Services Australia (JSA) is the Australian Government’s national employment services program. JSA was introduced on 1 July 2009 after an open tender with the aim of increasing employment participation, building skills in demand and helping individual job seekers, particularly disadvantaged job seekers, find sustainable employment. JSA also focuses on the needs of employers, with emphasis placed on helping employers find work-ready job seekers. There are 24 JSAs providing employment services in South Australia across 14 Employment Service Areas. In the Whyalla Eyre Peninsula region delivery sites are located at Port Lincoln, Ceduna, and Whyalla. In most cases job seekers will connect with JSA providers following a referral by the Department of Human Services (Centrelink). The job seeker’s relative level of disadvantage in the labour market is assessed, and job seekers are placed into one of four streams, based on their level of disadvantage. Providers work with job seekers to negotiate an individualised pathway to employment (an Employment Pathway Plan, or EPP). The EPP is tailored to the needs of each job seeker outlining agreed activities to be undertaken to assist the job seeker become work ready and gain sustainable employment.

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The EPP must contain activities which will satisfy the job seeker’s participation requirements under Social Security Law and that are specifically tailored to address the job seekers’ level of disadvantage, individual needs and known barriers to employment. JSA providers have access to an Employment Pathway Fund (EPF) - a flexible pool of funding that will be available for use by providers to purchase assistance to address vocational and non-vocational barriers. Providers are also expected to actively engage with employers in order to understand their needs and ensure that job seekers receive the assistance that enables them to meet employer demand. Disability Employment Services The Australian Government is making a significant investment in Disability Employment Services to increase workforce participation of people with disability in the open labour market. Disability Employment Services providers work within a broader framework of services designed to support people with disability. Disability Employment Services providers have a specialist role in assisting people with disability, injury or health condition to secure and maintain sustainable employment in the open labour market. Disability Employment Services providers must tailor services to the individual needs of job seekers. Disability Employment Services is made up of two service streams: Disability Management Service is aimed at job seekers with disability who require assistance to find

sustainable employment, but who are not expected to need long-term support in the workplace. Employment Support Service is targeted at job seekers with permanent disability who require long-

term ongoing support in the workplace to maintain sustainable employment. Disability Employment Services are delivered by providers in the Whyalla Eyre Peninsula region from sites in Whyalla, Port Lincoln and Ceduna. Indigenous Employment Program The Indigenous Employment Program (IEP) was first introduced in July 2009. On 1 July 2012, the Department of Education, Employment and Workplace Relations (DEEWR) increased the membership of the Indigenous Employment Program Employment Panel and Economic Development and Business Support Panel (EDBSP), and offered an extension to existing Panel Members until 30 June 2015. Nationally, there are currently 473 Employment Panel Members and 327 Economic Development and Business Support Panel Members, including panel members that are able to deliver services in the Whyalla Eyre Peninsula region. Under the IEP, support is available for activities that increase sustainable employment opportunities and help Indigenous Australians to develop businesses and economic opportunities. DEEWR South Australia has set its future IEP funding priorities. Funding proposals for employment projects must have the demonstrated support of employers and DEEWR’S employment services providers and Economic Development and Business Support projects must have community support, job opportunities and a commercial benefit to the community.

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12.10 CROSS AGENCY ACTIVITIES Focusing on the Most Disadvantaged To assist the more disadvantaged South Australia Works with the assistance of leveraged funding through strategic partnerships with other agencies to assist the following target groups:

Early school leavers, Those without a post-school qualification, Those who are unemployed, especially the longer term unemployed (equivalent to Stream 3 and

4 Job Services Australia - JSA clients), and Those without foundation or generic work skills.

DEEWR has documented that people who complete year 12 or its vocational equivalent have a greater likelihood of long term success in the labour market and this is what ultimately overcomes disadvantage. Unemployed Demographic Overall, for all residents of the region where the share of South Australia’s population is 3.65% (as the benchmark measure), the rate of unemployment is slightly above the population share at 4.05% and employment as a percent of the working age population is slightly lower at 62.8% (South Australia 64.4%). However, there are opportunities for employment (now and in the future) because of skill gaps/shortages, an older workforce approaching retirement and the strong demand for labour with a buoyant economy. In the Eyre and Western region employment growth is evident in construction, land management and community services. This is especially so in the resources sector. The Resources and Energy Skills Alliance (RESA) report, Workforce Study for the Resources Sector in the Eyre Peninsula, October 2011 claimed that more than 6,700 new jobs might be created in the region over the next 10 years by mining projects alone. This estimate comprises 4,500 jobs by 2016 (with 1,700 of these required in 2014) and another 2,200 jobs by 2021. Aboriginal Participation In 2006, only 35.8% of Aboriginal people aged 15 years and over had completed year 11 or 12. By contrast, the majority of non-Aboriginal people had completed year 11 or 12 (60.1%). The Aboriginal population is also more likely to have no post-school qualification relative to the non-Aboriginal population (85% compared with 64%). This general pattern is true for Whyalla and Eyre Peninsula and within the North and Far West of South Australia. The overall labour force participation rate for Aboriginal people in South Australia was 48.0% in 2006. This was significantly lower than the participation rate of 61.6% for non-Aboriginal people and this is true for all age groups (see - Figure 43). When the relatively younger age structure of the Aboriginal population is taken into account, the difference between the two is even greater. For people aged 15 to 64 years, the Aboriginal participation rate was 50.4%, compared to 74.1% for non-Aboriginal people.

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Figure 42: Highest level of schooling, 2006 (Persons aged 15 years and older)

Figure 43: Labour Force Participation Rates, South Australia, 2006 Aboriginal Disadvantage The focus on Aboriginal disadvantage is an important objective in order to make a contribution to meeting the COAG Closing the Gap target of halving the difference in employment outcomes between Aboriginal and non-Aboriginal Australians within a decade. In South Australia this means an approximate increase of 520 Aboriginal people employed each year out 2018. Approximately, one-in-four Aboriginal people living in the region left school at year 8 level or below compared to one-in-ten non-Aboriginal people. For Ceduna and the Far West the year 12 or equivalent is 11.7% for Aboriginal and 30.4% for non-Aboriginal; in Whyalla the year 12 equivalent rate is 20.9% and 31.8% respectively (ABS, Census 2006). Implications for Training Programs Employment contributes to improved living standards, family income, health and overall wellbeing. Being employed leads to higher income for the individual, families and communities, which in turn has a positive influence on the health and education of children (i.e. there is an intergenerational benefit).

0.0%

20.0%

40.0%

60.0%

80.0%

Year 10 or below Year 11 to 12 Never attendedschool

Aboriginal Non Aboriginal

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

15-24 years 25-44 years 45-64 years 65 years and over

Aboriginal Non-Aboriginal

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Employment also enhances self-esteem, increases opportunities for self-development, influences interaction at the family and community level, and promotes social inclusion. Hence, given the relationship between employment, health and education it is imperative that programs are designed to address each of these ‘potential barriers to employment’ and this is best done by developing generic, foundation or employability skills through intensive education and training assistance programs. Programs may need to be combined with wage assistance measures in a way that gradually comes to mimic the realities of the workforce (start times, obligations of attendance, drug free, etc). Programs need to lead to employment and therefore they need to focus on firstly, the individual to overcome barriers and to develop personal skills and then to target those industry sectors with jobs growth potential and engage employers (e.g. health, child care, aged care, mining, education, construction and government services). Whyalla and Eyre Labour Force Snapshot Whyalla Labour market is relatively subdued with higher and rising unemployment rate and lower participation. Considerable opportunities are available due to unmet demand across all skill levels, major mining and infrastructure projects, targeted growth industries and a major shortfall of technical and trades workers. Job seekers need to be job ready with importance placed on work experience, training, apprenticeships, employability skills and literacy and numeracy skills. This can be achieved through further engagement with employers regarding needs, expectations and recruitment methods. Eyre labour market is relatively strong with low unemployment and high participation. Challenges for the region are Indigenous unemployment, Year 12 completion and literacy and numeracy. Opportunity exists as many employers have recruitment difficulties with large and growing industries such as agriculture, forestry, fishing, health care and social assistance emerging. Eyre experiences low competition for vacancies, though job seekers need to be job ready. 12.11 EMPLOYMENT DEMAND On the employment demand side, are the conditions prevailing in the labour market including employer recruitment activity and satisfaction with job seeker applicants, vacancies and positions that are ‘difficult to fill’. The demand side is important as it can help to inform:

The types of skills in demand for which training could play a role, and The potential for employer support in terms of work experience, contributing to course work

regarding skills required and an indication that course graduates could take-up existing vacancies.

Occupations difficult to fill in the region are: BACHELOR DEGREE OR HIGHER VET QUALIFICATIONS

OTHER VET QUALIFICATIONS AND LOWER SKILLED OCCUPATIONS

Cooks Sales Assistants (general) Primary School Teachers General Clerks Motor Mechanics Education Aides Hairdressers Commercial cleaners Structural steel and welding trades workers Motor vehicle and vehicle parts salespersons Butchers and smallgoods makers Truck drivers

Table 44: Occupations Difficult to Fill in the Region. Ian Neville, Overview of the Eyre Peninsula Labour Market, Presentation at Port Lincoln Hotel, 25 May 2012.

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Moreover, employers are reporting labour demand on the expectation of economic growth. The table above illustrates that there is continual demand for apprenticeships (mining and transport infrastructure requirements will add to this demand) so new ways of encouraging the take-up of apprenticeships, supporting the employers and case managing the individual through initial years of training need to be explored. The table identifies opportunities for lower skilled occupations and entry level jobs but it is critical that improvements in generic work skills and workforce experience contribute to improving the suitability of applicants. 12.12 RDAWEP APPROACH TO ADDRESS ISSUES DFEEST South Australia Works programs are focused on all disadvantaged job seekers. This allows considerable flexibility to enable partnering in programs with other government agencies with RDA managing contracts, finances, KPI’s and reporting obligations. One example of this has been the JOBS (Job Opportunities and Basic Skills) project which was undertaken from September 2009 to January 2012. The JOBS project was a partnership primarily funded by DEEWR IEP, targeting 200 Aboriginal people and adding value to the South Australia Works in the Regions program for the Eyre Peninsula. The model identified 200 Aboriginal job seekers, especially those with barriers to employment, to undergo assessments and establish a Personal Development Plan. This involved Recognition of Prior Learning where appropriate, and an intensive engagement and mentoring process which concentrated on developing literacy and numeracy skills, self-confidence and work readiness, prior to sustained industry training with support and work experience. The project built on industry needs and skill shortages identified by South Australia Works Implementation Plan for the region. It delivered tailored approaches to training and personal development for job seekers to match industry needs. Where a participant’s capacity did not match their aspiration, then a tailored program of engagement, training and mentoring was delivered to give each participant every opportunity to engage in the workforce in their preferred vocation. The JOBS program was successful in attracting the target group as required by IEP funding through DEEWR and the South Australian Works program;

For 62% of participants the highest level of schooling was year 10 or lower, All participants had a low level of literacy and numeracy, The program provided work experience to improve the quality of job seeking skills and job

applications, Approximately one-third of all participants obtained various types of employment outcomes, 108 participants commenced a Certificate II or Certificate I qualification, and Up to 25 JOBS graduates returned to school or enrolled in further vocational training.

12.13 RDAWEP PROGRAMS FOR 2012-2013 SkillsOnEyre This initiative will identify services and training providers across the region through the provision of a skills portal. Providers, participants and industry will be encouraged to navigate various supports, resources and agencies that can assist in recruiting a skilled workforce. SkillsOnEyre is a web based training directory which is updated and supported by providers utilising the system. The initiative assists in identifying services and training providers and coordinates a mechanism for information sharing to ensure knowledge links to activity are maximised and duplication minimised. SkillsOnEyre provides pathway

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information to participants at a local level whilst linking DFEEST programs and products such as Adult Community Education, Skills for All and Career Choices in South Australia. Employment Access Fund The Employment Access Fund will provide individuals with one off grants to assist in accessing skills, training and prerequisites to employment. Grants will generally fund up to 50% of the costs associated in securing employment, capped at a maximum of $1,000. This project addresses an identified gap in supporting disadvantaged individuals to increase their level of skills through accredited and non-accredited vocational training. It is important to note that this funding is targeted at individuals who are not connected, unable or have insufficient funds allocated through their Jobs Services Australia Provider. This fund can be accessed by those currently employed or unemployed or at risk of losing employment. It is utilised to up skill, increase hours or change career pathways into a skill shortage industry. Career Development Service CDS focus is to provide quality, flexible and responsive career planning support services. The program targets people who have limited education, training experience and are looking to expand their career options. The CDS assists in resume building, career planning and provides information on industry demands and trends. Links to volunteering opportunities are explored to develop good work practices, ethics, confidence and skills as prerequisites for employment. Referral and links to appropriate support agencies (health, housing, welfare, drug and alcohol services) are utilised when appropriate. The CDS provides confidential and targeted career information, support and counselling to all participants. It actively refers participants to South Australia Works, ACE and other training opportunities within the region and assists participants to access the “Skills for All” info line and training entitlements. Industry Driven Development This project builds upon previous projects by merging the positive aspects of evaluations, network feedback and knowledge of industry demands to create an initiative to engage participants to improve their employability skills. Employability skills as recorded by employers and industry pertain to enthusiasm, motivation, communication, confidence and teamwork. Whilst applying industry driven demand for training we need to ensure that participants are prepared to meet employer expectations to achieve sustainability. It is important that we empower individuals to determine their personal education, training and career pathways. This project is designed to assist those disengaged in the region to seek assistance in creating a career pathway plan. While some participants may access Career Development Centres for pathway information there are many who are not ready to make plans until they have experienced industry expectations from trying different vocations. Participants will have an opportunity to obtain skills sets. These skill sets will help assist those that struggle to commit to employment due to a lack of knowledge regarding working requirements. Accessing Workforce Experience ABS 2006 Census data shows there is a strong relationship between educational attainment and employment outcomes. For those aged 25 to 34 years a minimum educational achievement of certificate III significantly increases employment opportunity and sustainability. With this in mind we need to ensure we are providing participant access to certificate I and II fundamentals through Skills for All, with a focus on obtaining certificate III as a minimum. Achievement of certificate III is ideally undertaken as a

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Traineeship or Apprenticeship with on the job learning. Industry feedback has provided the reasoning behind supporting an initiative that enables a participant to gain valuable hands on practical experience to bolster qualification and skills. This initiative will assist in overcoming barriers to employment by providing tangible experience required by industry.

Participants will have access to work experience, simulators, machinery and log book hours to build industry confidence. Industry quest speakers and site visits will assist in breaking down barriers between industry and participants. Activities will rely heavily on industry engagement and support to ensure employment outcomes are achieved. Residential Industry Modelling According to DEEWR, Survey of Employers’ Recruitment Experiences February 2011, approximately 45% of employers experienced difficultly in recruiting across Eyre Peninsula with only approximately 1.7 suitable applicants applying per vacancy. These figures show there is a need to ensure participants are work hardened to meet the recruitment expectations of employers. The program will provide participants with residential experience outside of their hometown that models employment conditions. An example of possible locations are Emu Farm (Kaylaya Tjina) located in Ceduna, Errapa located in Iron Knob, Nyroca located in Wangary or Baxter Detention Centre located in Port Augusta. Participants will have the opportunity to experience real life work conditions that are expected by industry. This includes extending hours of work, shift work, wearing protective clothing, preparing meals, time and financial management and the effects on family and lifestyle. Participants will be encouraged to utilise the services of ACE to obtain desired levels of language and literacy they require for success. Connecting Families (Whyalla) In 2006, over one in four (27%) of families with children in Whyalla were without an employed parent, compared with one in five (20%) of families across South Australia. Statistically this shows a demand for a program such as Connecting Families to be delivered in Whyalla. The program works with 10 families in Whyalla regarding barriers to participation and employment. The connection to the family unit originates with an individual referral and expands to deliver service to the immediate family. The program aims to break the cycle of long term family joblessness through the provision of intensive case management. The program will bring together long term jobless families, local community organisations, government, and employers to find solutions to complex issues that prevent families from participating in employment. Summary These are just some of the approaches RDAWEP uses to engage disadvantaged job seekers facing barriers to participation in learning and work. With guidance from the South Australia Works Network and the Employment and Enterprise Strategic Planning Group RDAWEP will continue to seek innovative solutions to match the challenges of these job seekers and meet industry needs and skill shortages.

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12.14 SUMMARY – EDUCATION, TRAINING AND EMPLOYMENT PROJECTS

PROJECT DESCRIPTION SUMMARY Workforce Planning and Development Strengthen Program Partnerships between Service Providers – DFEEST, DEEWR and FaHCSIA

Coordinate local Adult Community Education providers to maximise service delivery. Coordinate local Career Development Services to maximise service delivery. Maximise the impact of the Skills for All program.

Workforce Planning Assist business and industry to identify employment shortages. Develop workforce planning packages for business and industry across the region. Facilitate the engagement of industry sectors in the development of workforce plans. Lobby Government to fund the employment of a dedicated Workforce Development Officer. Secure additional funding to support specific skill development needs.

Workforce Development Implementation Source funding to expand the services provided by Career Development Services. Facilitate the marketing of available employment opportunities.

Workforce Planning and Development (Cont’d) Workforce Development Implementation Support Indigenous participation in Indigenous Employment

Programs. Facilitate and maintain an active SA Works regional network in

the Eyre Peninsula. Facilitate and maintain an active SA Works regional network in Whyalla. Facilitate the development of the SA Works annual action plan in the Eyre Peninsula. Facilitate the development of the SA Works annual action plan in Whyalla.

Encourage education providers to meet local industry and community needs General Broker the transfer of information between industry and

educational institutions. Whyalla Actively participate in the Education Works program in

Whyalla. Actively support the appropriate refurbishment and development of key educational facilities in Whyalla. Facilitate the establishment of a Mine Operator Training Centre. Maximise the effectiveness of UniSA at Whyalla via access through campus extension programs throughout the region.

Barriers to education, training and employment General Identify barriers to accessing education, training and

employment. Develop programs to overcome the barriers to accessing education, training and employment.

Table 45: Summary – Education training and Employment Projects.

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12.14 SUMMARY – EDUCATION, TRAINING AND EMPLOYMENT PROJECTS

PROJECT DESCRIPTION SUMMARY Youth Retention Initiatives to retain youth in the region Develop a scholarship program supported by industry to retain

youth in the region (i.e. mining, agriculture, fishing and manufacturing). Lobby for dedicated University placements for regional youth. Support key youth groups, linking industry and new youth in the region with youth organisations. Facilitate the provision of appropriate ICAN infrastructure to support the education and training needs of disengaged young people.

Table 45: Summary – Education training and Employment Projects (Cont’d).

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13. ECONOMIC DEVELOPMENT AND JOB CREATION STRATEGY 13.1 ECONOMIC DEVELOPMENT STRATEGY This Regional Plan describes a diverse range of initiatives that are being undertaken to strengthen the region’s economic base and enhance economic growth. Collectively the various initiatives aim to facilitate and plan economic development by:

Supporting existing business and industry, Creating a strategic environment that is conducive to business and industry development, Attracting and fostering new business enterprises, Building on the region’s attributes and competitive advantages, Encouraging innovative but sustainable practices, Ensuring that regional infrastructure is appropriate to meet industry and community needs, Fostering a collective whole of community effort by encouraging partnerships, business networks

and strategic alliances, and Coordinating the promotion and marketing activities of the region.

The anticipated key outcomes are:

The development and diversification of all industry sectors, Growing and captured investment, Enhanced global competitiveness, and The retention and generation of employment.

The driving force that underpins this economic development strategy is the fostering of proactive partnerships and cooperation between the community, business, industry, local Councils, and the State and Australian Governments. In implementing economic development initiatives, the RDAWEP Board will focus on actions that will have the greatest impact on the regional economy and deliver real transformational change. The Board’s identified project priorities are detailed in section 14 of this Regional Plan. Through sustained investment in the region’s people and businesses, and with responsibility increasingly focused on providing strategic leadership, the RDAWEP Board will continue to create real economic benefits for the entire region. It should be noted, however, that the retention of the region’s natural assets and the liveability of regional towns and communities remain sacrosanct and will be primary considerations when making economic development decisions. 13.2 JOB CREATION STRATEGY RDAWEP involvement and collaboration with training and employment agencies is fully detailed in section 12 of this Regional Plan. The strategies and initiatives being undertaken by the Regional Education and Jobs Skills Program, the Priority Employment Areas Program and the South Australia Works in the Regions Program to facilitate workforce employment are also fully described. These organisations have different priorities, approaches and strategies to address training and employment issues. In essence, the collective initiatives include, but are not limited to:

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Providing career pathways and encouragement of school students as part of a strategy to retain youth in the region.

Increasing workforce participation by focusing on the most disadvantaged groups, providing them with essential work ready skills, removing barriers to their workforce engagement and providing entry level employment opportunities to build work history and a sustainable work ethic.

Providing sound case management support for the longer term unemployed and targeted disadvantaged groups.

Increasing industry engagement and cooperative partnerships to ensure that employment training programs and work experience meet industry workforce needs.

Workforce Demand These various initiatives will go some way toward meeting the region’s workforce needs. But, while there is no conclusive data available, the experience of employment and training providers in this region indicates that:

Many of those who are unemployed will never become employed because they either do not want to work or they have attitudinal and social issues that prevent them from workforce participation.

Some – because of disengagement with education - do not have the numeracy and literacy skills to undertake anything but basic labour skills training.

Some have the qualifications for their chosen career, but due to either a lack of experience or the highly competitive nature of the workforce sector, have been unable to win the jobs they desire. (For example, some people may have their skid steer ticket but cannot get employment because they lack workplace experience operating this equipment).

The bottom line is that very few of the region’s 1,405 unemployed people have any chance of gaining permanent employment, especially in the specialised skills areas of the mining sector. The October 2011 RESA report, Workforce Study for the Resources Sector in the Eyre Peninsula, estimated that 6,700 new jobs could be created on the Eyre Peninsula over the next ten years by mining projects alone, comprising 4,500 jobs by 2016 (with 1,700 of these required in 2014) and another 2,200 jobs by 2021. The required positions cover a range of occupations including labourers, maintenance crews, plant operators, truck drivers, trades people, health and safety officers, managers, engineers and geologists – see section 11.3 for further detail. Some of these positions (such as plant operators, maintenance crews and truck drivers) will be able to be filled locally. But the more specialised positions that require substantial workplace experience will need to be filled by people relocated from other regions and states (and in some cases, countries). The preferred regional strategy to meet this future workforce demand is to implement an intra and interstate workforce attraction program and a regional migration program, rather than rely on a FIFO and DIDO workforce for reasons that have already been explained in section 11.5. A number of mining companies are supporting this approach and have opted to give employment preference to local people, and families who are willing to relocate to the region. The development of more housing estates and proactive marketing of the region’s lifestyle advantages will be undertaken as part of this initiative. It should be noted, however, that there is growing concern across Australia about the investment intentions of mining companies given recent developments in the global economy, weakness in commodity prices and the danger of Australia’s economic reliance on China. If these impacts prevent or defer mining investment, workforce demand from the mining and resources processing will diminish. This is acknowledged in the RESA study which advised that its job estimates were very much subject to identified mining projects proceeding through to operation.

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PART FOUR:

STRATEGIC FRAMEWORK

AND PLANNING CONTEXT

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14. STRATEGIC FRAMEWORK 14.1 PURPOSE AND TIMEFRAME OF THE REGIONAL PLAN The purpose of this Regional Plan is to identify the best possible options for the RDAWEP Board to maximise the social and economic development of the region. This requires the identification of actions that will enable the Board to have the greatest possible impact for the betterment of the region. At times this might also require finding the optimum balance between economic and employment development on the one hand and environmental and community development on the other. This Regional Plan sets the strategic path to find this balance and achieve identified priorities. In so doing, the document provides an overview of the issues and challenges facing the region and identifies projects and initiatives that ought to be activated within the next 12 months to address regional needs. This Regional Plan is therefore effective for the period of August 2012 to August 2013, although the implementation schedule for some initiatives will extend well beyond this timeframe. 14.2 RDAWEP VISION, MISSION AND GOALS - REVIEW As part of the Regional Planning process, the RDAWEP Board held a one-day strategic planning workshop in Tumby Bay on 21st June 2012 to review the Board Vision, Mission and Goals; undertake a SWOT analysis and determine project priorities for the region. The Vision, Mission and Goals were refined and reworded as: VISION:

An innovative internationally competitive regional economy that is ecologically sustainable and a great place to live.

MISSION:

To develop a globally competitive economy and liveable communities through fostering environmentally and socially sustainable business development.

GOAL DESCRIPTION

1 Attract investment for strategic infrastructure such as transport, ports, airports, rail, water and energy to support the long-term growth of the region.

2 Build the capacity of the region’s communities to foster a cohesive and diverse culture, strong civic leadership and high quality of life, underpinned by a prosperous growing economy.

3 Facilitate and support growing and diverse enterprises to increase economic activity.

4 Optimise international trade.

5 Promote flexible access to education and skills training programs and facilities to strengthen the regional workforce.

6 Increase our regional population.

7 Promote business investment in the region.

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GOAL DESCRIPTION 8 Foster innovative, globally competitive businesses in the region.

9 Attract a highly skilled workforce to meet existing and future needs of the

region.

10 Develop a focused organisation that is effectively led and well managed.

11 Facilitate the recognition and preservation of community amenity assets for present and future generations.

Table 46: RDAWEP Goals 2012-2013. 14.3 REGIONAL SWOT ANALYSIS The SWOT analysis confirmed the regional attributes, opportunities, issues and challenges that are detailed throughout this Regional Plan.

STRENGTHS WEAKNESSES Well established agriculture sector Good lifestyle Recreational fishing Well established fishing and aquaculture

sector Defined region Vibrant communities Climate Affordability and lifestyle People Natural resources Community spirit Industry Diverse industries Education facilities Transport links Ports Strong retail sector Industry’s adaption to innovation Resilience Tourism Airports Clean green seafood image Diverse landscape (marine and land) Safe communities Strong regional brand Unique wildlife Proximity to major projects Accessibility Security against natural disasters e.g. floods Global competitiveness Knowledge

Tyranny of distance to markets Lack of infrastructure Lack of marketing High cost of infrastructure Security of electricity Political complacency (non-marginal seat) Limited water supply Lack of gas and power supply Internet speed and NBN roll out plans Low population base Lack of offerings through tertiary education

facilities Lack of connection to national rail grid Inadequate competitive port facilities Communication Not enough industry participation in regional

development Lack of media access - divided television

access Inadequate seating for school buses Retention of youth Retention of retirees Lack of aged care facilities Health Services offered (mental health under

resourced) Reliance on volunteers for key services (CFS) Inability to retain professional people – reliance

on FIFO skills Congested road networks Lack of affordable housing Unloading and fuel access for fishing industry

Table 47: Regional Strengths and Weaknesses.

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OPPORTUNITIES THREATS Development of the mining Industry – including

oil and gas (off shore exploration) Employment opportunities Expand tourism industry (realise growth

potential) Develop and promote nature based tourism Improvement in education offer Development of renewable energy Promoting clean green image and products Further expansion of aquaculture Define and promote gateways better New resident programs based on lifestyle and

safety Improved marketing initiatives Promote location competitive advantages Import and export port facilities and

opportunities to value add to commodity products

Retirement locations Diversification of agriculture e.g. horticulture

ventures (utilising waste heat from industry)

Lack of state government resources Impact of mining on workforce Viability of local hospitals (reduction of services

offered) Reduction in volunteer participation State Government taking land for defence Increasing government levies impacting on

private enterprise and local government (e.g. power, registration etc.) making the state an expensive place to live

Exposure to increasing freight costs Vulnerability to fluctuating $A for export focused

industries Reactive government - not strategic Reliance on heavy vehicle transport Impact of carbon tax Impact of the mining resources tax Lack of public political awareness - apathy Cost of waste Aging workforce Marine parks Perceptions of regional towns Retention of youth Health workforce Reduction in state government funding for

regional development and infrastructure Competition for resources with other regions Lack of affordable housing

Table 48: Regional Opportunities and Threats.

The region’s strengths are its diversity and vibrancy, affordability and lifestyle, and the natural resources which enable promotion of clean and green food product in particular. Opportunities abound through new industrial, employment and tourism initiatives, and the development of mining operations which will further diversify the region’s economic base. The region’s weaknesses include the tyranny of distance, the constraints of failing and inadequate infrastructure, and a lack of critical mass from a low population base which makes it difficult to lobby for and undertake major projects and provide appropriate social and community services in some sectors. While the region is very clearly ageing and has a number of transport issues resulting from its vast size, the greatest threats are believed to be city-centric State Government policy (which arguably demonstrates a lack of understanding of the economic, infrastructure, social and other needs of regional communities), and significantly increasing government charges which are impacting the region as a whole.

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14.4 RDAWEP PROJECTS AND PRIORITIES The RDAWEP region is vast and there are consequently a large number of projects and initiatives being undertaken at any one time by the Board, Local Government and State and Australian Government partners. The summary tables in the profile chapters of this Regional Plan identify 248 project initiatives.

REGIONAL PLAN SECTION

PROJECT INITIATIVES

PRIORITY ONE

PRIORITY TWO

Manufacturing and Mining 33 7 9 Agriculture 22 5 4 Fishing, Aquaculture and Food Product 20 5 1 Tourism 17 2 2 Business Development 43 10 5 Utility Infrastructure 29 6 4 Transport Infrastructure 26 4 4 Social and Community Infrastructure 20 4 3 Housing and Health Infrastructure 5 2 0 Infrastructure Demand 7 1 1 Education, Training and Employment 26 3 1 TOTAL 248 49 34

Table 49: Identified Project Initiatives and Priorities, RDAWEP Region. The initiatives are much more than a wish list. They are actions which the Board believes are absolutely essential to achieve its vision, mission and goals. Some initiatives will be much more time consuming to implement than others. Some will require a significant investment of RDAWEP staff time and resources, whereas others will only require occasional liaison on a casual basis with one or several stakeholders. Some initiatives are clearly the province and responsibility of the Board and can effectively be driven and implemented by RDAWEP, but others will be out of RDAWEP control because they are the financial and/or project management responsibility of different stakeholders and will consequently be subject to their resource and timeframe priorities. For example, the need for passing lanes to be installed on regional highways has been identified as a priority by the RDAWEP Board, The City of Whyalla and the EPLGA, but the project planning and financial responsibility for this initiative rests with the South Australian Government through DPTI. However, DPTI has indicated that the passing lanes are not a departmental priority so the initiative is unlikely to be progressed or funded. In this instance, it is also difficult to provide an evidence based argument to support the project need (based on the growing number of RV vehicles and caravans and competing increased use of the highways by road trains) because DPTI is also the agency responsible for collecting road traffic data and it does not collect the information that would enable this analysis. Similarly, the need for a fishing industry unloading facility on the far west coast of the region has been identified as a high priority by the Board, the fishing industry and the District Council of Ceduna but the project cannot proceed until the capital works funding is sourced. In this instance, RDAWEP identified the project need through the strategic planning process and assisted the District Council of Ceduna to prepare two RDAF and RDIF applications - but the RDAF applications were unsuccessful. The high priority need for this project nevertheless remains, as the relocation of the fishing industry is critical to the redevelopment and expansion of the Thevenard Port.

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Project Prioritisation The project summary tables were presented to the Board for priority consideration. The need for priority projects to align with SMART objectives was discussed – i.e. a project ideally needs to be:

S Specific

Is it clear and well defined?

M Measurable

Know if the goal is obtainable and how far away completion is. Know when it has been achieved.

A Achievable

Agreement with all the stakeholders what the goals should be. Is there a realistic path to achievement?

R Realistic

Within the availability of resources, knowledge and time.

T Timely

Enough time to achieve the goal, is there a time limit? Not too much time - this can affect work performance.

Table 50: SMART Planning Principles.

Figure 44: SMART Planning Principles.

State Government Planning Priorities The seven State Government Planning Priorities were also presented to the Board for potential alignment consideration – i.e. (1) Supporting a clean, green food industry; (2) Ensuring the mining boom stays on track and its benefits flow to the public; (3) Encouraging advanced manufacturing; (4) Nurturing a vibrant city; (5) Ensuring safe and active neighbourhoods; (6) Work on affordable living, and (7) Focusing on early childhood development.

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Following rigorous discussion of the State Government priorities and planning principles, the Board determined that the highest priority would be given to projects that were considered critical for regional growth and sustainability and would have the greatest possible impact on improving the region. Other projects were prioritised in accordance with the following criteria:

PRIORITY CRITERIA 1 Critical for regional growth and sustainability 2 Very important for regional growth and sustainability 3 Important for regional growth and sustainability 4 Desirable for regional growth and sustainability 5 Low importance for regional growth and sustainability

Table 51: Criteria for Project Prioritisation. The Board subsequently identified 49 Priority One and 34 Priority Two projects, as follows: Manufacturing Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Manufacturing Infrastructure

1 General Support the establishment of strategic infrastructure to enhance industrial and manufacturing operations in the City of Whyalla.

2 Port Bonython Fuels

Liaise with Port Bonython fuels/Mitsubishi Energy to identify key infrastructure priorities for the Diesel Storage facility project.

Position Whyalla as a Mining Services and Education Hub 1 Mining Services Sector Position Whyalla as the vocational training and tertiary

education hub for the mining and resource processing sector in regional SA.

2 Vocational Training Position Whyalla as a vocational training centre for the renewable energy industry.

Promote the Region as a Preferred Location for Industry Investment 1 Target Mining related

Companies Actively target companies providing goods and services to the mining industry to establish operations and/or administration in Whyalla.

2 Desalination Plant Identify and attract the suppliers of goods and services to the BHP Billiton desalination plant to base their operations in Whyalla.

Establish Strategically Located Industrial Estates 1 Whyalla Facilitate development opportunities for the Cultana Industrial

Estate and the Whyalla Industrial Estate. Support the development and implementation of a fully serviced environmentally sustainable industrial estate at Whyalla.

2 General Encourage the State Government to engage Local Government in the planning and establishment of designated industrial estates. Provide strategic support to the District Council of Ceduna to develop purpose built industrial estates.

Change Perceptions of Whyalla 1 The Appearance of Whyalla Support the City of Whyalla to undertake initiatives to beautify

the City of Whyalla, particularly at industrial estates and sites and city gateways.

2 Promote the initiative of establishing a biennial Whyalla Industrial Photographic prize.

Table 52: Manufacturing Priority Projects.

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Mining Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Mining Infrastructure

1 General Develop a strategic regional mining and infrastructure plan identifying the specific strategic infrastructure and investment needs for the region. Support the establishment of strategic infrastructure to enhance mining development and processing operations.

2 Centrex Metals Liaise with Centrex Metals to identify iron ore supply chain infrastructure and handling system requirements for the establishment of mining operations.

2 IronClad Liaise with IronClad to identify iron ore supply chain infrastructure and handling system requirements for the Wilcherry Hill project.

2 Iron Road Liaise with Iron Road to identify iron ore supply chain infrastructure and handling system requirements for the establishment of the Warramboo project.

2 Lincoln Minerals Liaise with Lincoln Minerals to identify iron ore supply chain infrastructure and handling system requirements for the establishment of the Gum Flat project.

Mining Development Economic Impact 1 General Support the establishment of sustainable and commercially

viable exploration and mining projects in the Eucla basin, Gawler Craton and the Great Australian Bight.

Table 53: Mining Priority Projects. Agriculture Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Industry Consultation and Support

1 Target Team Maintain an effective Agriculture Target Team.

Support the Upgrade and Maintenance of Transport, Storage and Handling Infrastructure 1 Thevenard Port Upgrade Work with Port of Thevenard infrastructure owners and port

stakeholders to finalise an investment framework to enable the deepening of Yalata channel and upgrade of key infrastructure.

2 Port Spencer Provide strategic advice and support for the establishment of a mineral and grain export hub at Port Spencer.

Support Sustainable and Viable On Land Agribusiness Opportunities 1 Work with farmers to facilitate market research and investigate

opportunities for the development of value added grain products.

2 Work with prime lamb growers to facilitate market research and investigate opportunities for the development of value added lamb products.

Industry Skills and Workforce Development 1 Workforce Development

Planning Develop workforce planning packages for business and industry across the region.

2 Minnipa Research Centre Support the development of the Minnipa Research Centre as the key centre for agricultural research and extension initiatives on the Eyre Peninsula.

Table 54: Agriculture Priority Projects.

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Agriculture Priority Projects (Cont’d) PRIORITY PROJECT DESCRIPTION SUMMARY Natural Resource Management

1 Water Resources Work with the regional Water Taskforce to ensure the rapid expedition of identified key priorities in the revised Eyre Peninsula Water Master Plan

2 Clean Energy Future

Develop initiatives to take advantage of the Clean Energy Future program to increase the reliance of the Agriculture Industry.

Table 54: Agriculture Priority Projects (Cont’d). Fishing, Aquaculture and Food Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Management of the Impact of Marine Parks

1 Marine Parks Communicate to Government the issues pertaining to the development of marine parks around the Eyre Peninsula.

Fishing Industry Representation and Support 2 General Maintain an effective Fishing and Aquaculture Target Team.

Develop a Distinctive Regional Food Brand 1 Branding Assist the region’s food industry to raise the profile of Eyre

Peninsula’s Food brand “Eyre Peninsula – Australia’s Seafood Frontier” to industry peers, buyers and consumers.

Sustain and Develop Market Initiatives for Domestic and International Markets 1 Market Initiatives Continue to facilitate and implement the “Australia’s Seafood

Mission” with food businesses, wholesalers, leading chefs, restaurateurs, and the food industry media. Establish two new value chains for seafood within Australia. Facilitate missions for food industry businesses to other states, regions and countries. Work with industry to facilitate trade displays at strategic food marketing events.

Industry Skills and Workforce Development 1 Workforce Development

Planning Develop workforce planning packages for business and industry across the region.

1 Eyre Peninsula Sea Safety and Fire Fighting Training Centre

Support the expansion and development of the Australian Maritime and Fishing Academy (AMFA) as the leader in the provision of the maritime, fishing, and seafood industry-based education and development programs

Table 55: Fishing, Aquaculture and Food Priority Projects.

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Tourism Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Tourism Infrastructure

1 General Assist Councils and developers to secure approvals and funding to establish or upgrade high priority signature tourism projects at key locations. Maintain an effective Tourism Target Team Support and implement the upgrade of visitor information centres. Support the development of strategic interpretive centres.

2 Accommodation Facilitate accommodation upgrades and new developments.

Tourism Marketing and Branding 1 Regional Tourism Brand Assist the tourism industry to raise the profile of the region’s

tourism brand to industry peers, buyers and consumers.

2 New Marketing Initiatives Develop a fishing and coastal camping guide. Develop and implement a corporate and conference tourism marketing plan. Develop and implement an intra-regional famil program. Develop market appeal for the niche and VIP cruise sector. Develop the annual Nullarbor Guide. Develop the region as a culinary tourism destination. Manage the collection of tourism statistics. Support the development of international markets.

Table 56: Tourism Priority Projects. Business Development Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Develop a Globally Competitive Business Sector in the Region

1 Business Development Support and Advice

Establish and maintain an effective Eyre Peninsula Business Target Team. Establish and maintain an effective Whyalla Target Team. Provide professional business advisory services. Initiate business assistance and innovative development programs.

2 Business Innovation Assist businesses to secure funding to develop and commercialise innovative technologies, systems, processes and products.

Facilitate investment growth in the retail and services sector. 1 General Actively support new and expanding retail developments.

2 Whyalla Identify retail and services gaps in Whyalla and actively promote business gap opportunities.

Assist venture capital opportunities for business and industry 1 General Develop a prestigious investment award recognising

outstanding business investment in the region. Develop a regional prospectus to attract external investors. Facilitate connections between business, industry and venture capitalists and provide strategic direction. Host a regional investment conference.

Table 57: Business Development Priority Projects.

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Business Development Priority Projects (Cont’d) PRIORITY PROJECT DESCRIPTION SUMMARY

1 General Work with business and industry to develop investments offers that are commercially attractive to venture Maximise investment attraction through leverage of the enterprise zone fund. Develop and update the regional industry investment profiles and regional prospectus.

Workforce Development 1 Workforce Gaps and Needs Assist business and industry to identify employment shortages.

Identify workforce skills and training needs. Develop workforce planning packages for business and industry across the region. Facilitate the engagement of industry sectors in the development of workforce plans. Facilitate the marketing of available employment opportunities.

Support export awareness and development initiatives 1 General Facilitate export marketing opportunities and procedure

workshops. Support export awareness initiatives and grant access programs.

Facilitate Business Investment in Community Sustainability 1 Community Banking Facilitate the establishment of community banking facilities

across the region. Indigenous Business Opportunities in the Mining Sector

1 Indigenous Participation in Mining

Liaise with mining companies to identify specific business opportunities for Indigenous participation. Support the Indigenous community with the development of tender bids for mining projects.

2 Joint Ventures Assist key Indigenous organisations to establish joint venture partnerships with mining related contractors.

Indigenous Commercial Mixed Farming Enterprises 1 Herb and Vegetable Ventures Provide mentoring and logistical support for existing ventures

and assistance for new ventures.

2 Koonibba Farm Facilitate the development of a cereal cropping and livestock operation on the Koonibba Farm.

Indigenous Arts and Cultural Businesses 1 Ceduna and Kuju Arts Centres Work with the Ceduna and Kuju Arts Centres to implement the

recommendations of the Art Centre business and marketing plans.

Indigenous Commercial Opportunities in the Tourism Sector 1 Head of the Bight Continue to support the development and expansion of the

Head of the Bight and Nullarbor Plain region.

2 Indigenous Tourism Trail Implement an Indigenous tourism trail across the Eyre Peninsula.

Table 57: Business Development Priority Projects (Cont’d).

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Utility Infrastructure Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Water Supply

1 Water Supply and Quality Work with the Regional Water Taskforce to ensure the rapid expedition of identified key priorities in the revised Eyre Peninsula Water Master Plan.

2 Water Re-use Schemes Encourage and assist Councils with the development of water re-use initiatives in communities. Work with key stakeholders to secure funding for the expansion of the Port Lincoln CleanSeas water re-use scheme.

Natural Gas Supply 1 Increased Gas Supply to

Whyalla Support the expansion of gas supply to the City of Whyalla.

Power Supply 1 Power Transmission Upgrade Facilitate improvement in high voltage transmission

infrastructure.

2 Port Neill Power Supply Pursue the upgrade of the mains power supply to Port Neill inclusive of a three-phase supply.

Renewable Energy 1 Green Grid Promote the benefits of Government investment into

transmission infrastructure for large scale renewable energy projects to maximise the nation’s best natural resources.

2 General Support the development and commercialisation of solar power technology in the region. Encourage the utilisation of local renewable energy source for desalination plant energy requirements.

Nuclear Energy 1 Nuclear Power Collect information and research about nuclear power for

possible cost benefit consideration in the longer term. Communications Infrastructure

1 NBN Rollout Review the fibre connectivity status of towns across the region and lobby for NBN Co to connect additional towns to optical fibre where practicable. Encourage further investment by government and telecommunications providers into the development of a more cost effective, efficient and expanded communications network. Pursue funding opportunities that will enable the installation of a high speed, quality broadband network across the region.

2 Digital Economy

Foster business use of the Internet to develop the region’s digital economy.

Table 58: Utility Infrastructure Priority Projects.

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Transport Infrastructure Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Road Network

1 Highway Passing Lanes Identify strategic locations for passing lanes on national and state highways.

2 ELPGA Road Priority Projects Assist the EPLGA and DPTI with the prioritisation and implementation of the Whyalla and Eyre Peninsula Road Strategy. Assist the EPLGA and DPTI with the strategic assessment of road upgrades that are necessary for increased road train usage.

Rail Network 1 Ungarra to Port Spencer

Extension Support the establishment of a new, strategically located rail haulage route that provides a key link from central Eyre peninsula mining operations to Port Spencer.

2 Standard Rail Link to a Cape Class Port

The construction of a standard gauge railway line to a Cape Class port at either Port Spencer or Port Bonython to link the Eyre Peninsula with the national standard gauge rail network.

Port Infrastructure 1 Thevenard Port Upgrade Work with Port of Thevenard infrastructure owners and port

stakeholders to finalise an investment framework to enable the deepening of Yalata channel and upgrade of key infrastructure.

2 Port Spencer Provide strategic advice and support for the establishment of a mineral and grain export hub at Port Spencer.

Airports 1 Whyalla Airport Work with the City of Whyalla to develop a maser plan for the

redevelopment of and upgrade of Whyalla Airport. Work with the City of Whyalla to identify and develop opportunities for the utilisation of the airport as a strategic base for defence operations.

2 Ceduna Airport Assist the District Council of Ceduna to secure funding for the redevelopment and upgrade of Ceduna Airport.

Table 59: Transport Infrastructure Priority Projects. Housing and Health Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Promote the region as an attractive lifestyle location

1 Marketing initiative Develop a marketing plan targeted at attracting new residents to the region.

Encourage and support strategic coastal development initiatives 1 New developments Assist developers with the establishment of marina facilities in

the region. Work with developers to establish strategic coastal property developments and tourism precincts. Play a facilitation role between developers, environmental groups, coastal protection and zoning departments.

Table 60: Housing and Health Priority Projects.

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Social and Community Infrastructure Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY

1 General Support the development of strategic social infrastructure including education, health, arts and cultural, sports and recreation facilities.

Sporting and Recreation Facilities 1 Cummins Recreation Centre Support the staged development of the Cummins recreation

Centre.

2 Mallee Park Football Club, Port Lincoln

Support an upgrade of the Mallee Park Football Club oval to make the operation of the facility more sustainable.

Community and Cultural Facilities 1 Port Lincoln Civic Hall

Development Support the City of Port Lincoln to secure funding for the upgrade of the Port Lincoln Civic Hall complex.

2 Middleback Theatre Upgrade Support Country Arts SA and the City of Whyalla to secure funding for the upgrade and refurbishment of the Middleback Theatre complex.

2 Elliston Coastal Trail Support the District Council of Elliston to secure funding for the development of the Elliston Coastal Trail.

Social and Community Development Initiatives 1 Eyre Peninsula Community

Foundation Support the EPCF Board to attract donations and raise community and industry awareness about the Foundation. Investigate the merit of conducting a governance workshop for Board Members and Directors of not-for-profit organisations.

Table 61: Social and Community Infrastructure Priority Projects. Infrastructure Demand Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY

1 Upper Spencer Gulf Summit Work with RDA Far North, RDA Yorke and Mid North, the Upper Spencer Gulf Common Purpose Group, the South Australian Government, Regional Development Australia and Local Government to facilitate the Upper Spencer Gulf Summit to maximise benefits from the mining and renewable energy booms for the Upper Spencer Gulf region.

2 Infrastructure Master Plans Facilitate and support the preparation of integrated Infrastructure Master Plans for RDA Whyalla and Eyre Peninsula, RDA Far North and RDA Yorke and Mid North ensuring that they embrace strategies for comprehensive infrastructure development, business development, workforce development, community amenity and renewable energy generation.

Table 62: Infrastructure Demand Priority Projects.

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Education, Training and Employment Priority Projects PRIORITY PROJECT DESCRIPTION SUMMARY Workforce Planning and Development

1 Workforce Planning Assist business and industry to identify employment shortages. Develop workforce planning packages for business and industry across the region. Facilitate the engagement of industry sectors in the development of workforce plans. Lobby Government to fund the employment of a dedicated Workforce Development Officer. Secure additional funding to support specific skill development needs.

2 Workforce Development Implementation

Source funding to expand the services provided by Career Development Services. Facilitate the marketing of available employment opportunities. Support Indigenous participation in Indigenous Employment Programs. Facilitate and maintain an active SA Works regional network in the Eyre Peninsula. Facilitate and maintain an active SA Works regional network in Whyalla. Facilitate the development of the SA Works annual action plan in the Eyre Peninsula. Facilitate the development of the SA Works annual action plan in Whyalla.

Encourage education providers to meet local industry and community needs 1 Whyalla Actively participate in the Education Works program in Whyalla.

Actively support the appropriate refurbishment and development of key educational facilities in Whyalla. Facilitate the establishment of a Mine Operator Training Centre. Maximise the effectiveness of UniSA at Whyalla via access through campus extension programs throughout the region.

Youth Retention 1 Initiatives to retain youth in

the region Develop a scholarship program supported by industry to retain youth in the region (i.e. mining, agriculture, fishing and manufacturing). Lobby for dedicated University placements for regional youth. Support key youth groups, linking industry and new youth in the region with youth organisations. Facilitate the provision of appropriate ICAN infrastructure to support the education and training needs of disengaged young people.

Table 63: Education, Training and Employment Priority Projects.

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14.5 OTHER HIGH PRIORITY PROJECTS In determining this priority listing the Board recognised the regional significance of two other projects – i.e. the Port Lincoln Airport upgrade and the redevelopment of Lucky Bay Harbour. Even though the Port Lincoln Airport upgrade is regarded as one of the most important projects in the region it was not included in the priority listing because the project financial arrangements have been resolved and the construction phase has commenced. In other words, the Board has successfully achieved its role with this project and is awaiting project completion. The Lucky Bay Harbour redevelopment was also excluded from the priority listing because the project has development approval along with funding from the Australian Government. Government funding however, is conditional on private sector funding from IronClad and Sea Transport. 14.6 PRIORITY PROJECT IMPLEMENTATION RDAWEP has a stratified planning regime comprising the following suite of integrated planning documents:

PLANNING DOCUMENT DESCRIPTION RDAWEP Regional Plan This is the overarching lead document or master plan that profiles the region

and provides a detailed description of the need for and rationale underpinning project initiatives.

RDAWEP Strategic Direction Plan

This plan is structured in Focus Areas (Infrastructure, Community Sustainability, Business Capability, Exports, Employment, Population, Investment, Innovation, Skills and Governance). Each Focus Area has Key Result Areas, Targets (which align with targets in the South Australian Government Strategic Plan), and Strategic Directions.

RDAWEP Corporate Business Plan

This plan includes the Focus Areas and Strategic Directions above, and includes Key Projects (initiatives) for each strategic direction.

RDAWEP 3-Year Quick Progress Report 12/13-14/15

This plan is structured as above but includes a progress reporting framework that identifies the RDAWEP staff member responsible for the implementation of each initiative, and has space for providing project progress reports inclusive of estimated completion dates. All RDAWEP projects are allocated to the most appropriate Development Manager for implementation.

Table 64: RDAWEP Strategic Planning Regime.

Legend: The highlighted documents are produced using Interplan software and are linked electronically.

In essence, the 3-Year Quick Progress Report is the implementation plan or action plan that identifies how the priority projects will be actioned and who is responsible for doing so. The document is primarily an internal management tool for presenting progress reports to the RDAWEP Board. The 12/13-14/15 3-Year Progress Report is a document of approximately 40 pages and is therefore too large to include as an appendix to this Regional Plan. Interested agencies and stakeholders requiring more detail about the implementation of priority projects should therefore contact RDAWEP for a copy of the Quick Progress Report.

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14.7 THE IDENTIFICATION OF NEW PROJECTS One of the problems with a Regional Plan (Regional Profile, or Regional Road Map) is that the documents are extremely time consuming to prepare and are consequently reviewed and updated on an annual basis only. The RDAWEP review process commences in March each year and the document preparation usually takes about four months (April to July), depending on the number of project initiatives being undertaken by the Board. This makes it impossible to add new projects to a Regional Plan between August in one year and July the next. The advantage of the RDAWEP planning regime is that the Interplan documents can be easily amended and new projects can consequently be identified and added at any time. For example, if a new project is negotiated with RDAWEP in September, it can be added to the Interplan documents. Even though the project will not be described in the Regional Plan it has formal recognition and is part of the RDAWEP planning regime. In essence, the Interplan documents become the point of entry for new projects. This arrangement makes it possible for RDAWEP to be more responsive to regional needs and pursue development and funding for projects that are not described in the Regional Plan.

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15. DEVELOPING THE REGIONAL PROFILE 15.1 ANNUAL REVIEW The RDAWEP Regional Plan is reviewed annually and the document preparation usually takes about four months (April to July). The timeframe for the 2012-13 Regional Plan was extended to the end of August for various reasons. This enabled the inclusion of the first round of data from the 2011 ABS Census which was not released until 21 June 2012. The review was conducted by the RDAWEP Special Projects Manager in liaison with the Chief Executive Officer. The review considered the RDA evaluation of previous Regional Profiles and determined that a major restructure was necessary to overcome the repetition contained in previous plans. A new whole-of-organisation approach was determined to prepare the plan with all Project Managers responsible for writing their sections of the document. This approach was adopted to enhance RDAWEP staff ownership of the Regional Plan and ensure that the best, most up-to-date and expert knowledge about the region was encapsulated in the document. This strategy had a secondary benefit by ensuring the maximum input from key stakeholders – notably the RDAWEP Target Teams. 15.2 RDAWEP STAKEHOLDER CONSULTATIVE STRUCTURES RDAWEP has established stakeholder consultative structures and networks to ensure that it is fully informed about regional issues and needs and can respond appropriately. Figures 41 and 42 identify the Target Team structure and the regional consultation network. RDAWEP Target Teams The Target Team initiative is the primary mechanism for consulting with industry across the region. RDAWEP has established 5 industry-based Target Teams for: Tourism, Agriculture, Fishing and Aquaculture, Eyre Peninsula Business, and Whyalla. The specific role of each Target Team has been described earlier in this plan. The Tourism Target Team was established in 2009 and supported the development of the former Eyre Regional Development Board (ERDB) Tourism Plan that same year. The Agriculture Target Team was formed in 2011 to replace the ERDB Drought Target Team which had fulfilled its role during the regional drought crisis. The Fishing and Aquaculture Target Team was formalised during 2012, largely comprising the industry membership of the Marine Parks Advisory Committee that was formed in 2010 to provide advice about the South Australian Government plan to establish Marine Parks around the coast of Eyre Peninsula. The Eyre Peninsula Business Target Team was established in 2011, and the Whyalla Target Team (the most recently formed body), was established in July 2012 to provide business and other advice concerning the future economic development of the City of Whyalla. The Target Teams play a vital role in providing industry specific advice to RDAWEP. The Target Teams are comprised of members representing a breadth of interests within their industrial sectors. The Target Teams are therefore able to provide the best possible information about the issues and needs of their industry – especially on matters concerning training, employment and workforce development. The Target Teams are also able to provide the best advice about the infrastructure needs of their sector and assist in the determination of development initiatives and delivery strategies.

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With the exception of the Whyalla Target Team (which has a City of Whyalla focus), the Target Teams have a whole-of-region focus with membership drawn from most townships across the region. The Target Team membership details are provided in Appendix 3: RDAWEP Target Team Membership. The Target Teams are a vital conduit between industry and RDAWEP, so Target Team reports are presented at RDAWEP Board meetings. The Target Teams are consequently a primary source of information for the preparation of RDAWEP strategic initiatives, including this Regional Plan. The descriptions of issues, needs and strategies in the agriculture, fishing, aquaculture, food, tourism and business development sections of this plan reflect the concerns of the respective Target Teams. Regional Consultation Network RDAWEP has an extensive consultation network across the region. Key network groups, of which RDAWEP is a member, include:

Regional Employment Network – two identical South Australia Works in the Regions networks for the Eyre Peninsula and Whyalla supported by DFEEST, comprising a large number of government and private sector agencies involved with education, training and employment as described in section 12 of this Regional Plan.

Upper Spencer Gulf Common Purpose Group – a strategic planning and lobby group for the sustainable development of the Upper Spencer Gulf with other members being RDA Yorke and Mid North, RDA Far North and the regional cities of Port Augusta, Port Pirie and Whyalla.

Eyre Peninsula Regional Facilitation Group – for regional based planning with other members being health, housing, SA Police, education, SA Water, PIRSA, the EPNRM Board and EPLGA.

Eyre Peninsula Water Master Plan – a planning group for the future use of water across the region with membership from SA Water, DENR, EPNRM and the 11 Local Government Councils.

Eyre Peninsula Local Government Association – the 11 Local Government Councils in the region. Climate Change Sector Agreement – a planning group for addressing climate change issues with

membership including the EPNRM Board, EPLGA and the South Australian Government Premier’s Department.

Marine Parks Advisory Committee – with fishing and aquaculture industry representation. Whyalla Development Focus Group (WDFG) – with private and public sector representation for

the development of the Whyalla region inclusive of a newly established Whyalla Community Consultation Group to provide community input to the WDFG. See Figure 46: RDAWEP Regional Consultation Network.

Through this network RDAWEP is able to conduct ongoing dialogue and information transfer with key stakeholders and improve the quality of the information being communicated to the Board’s stakeholders and the regional community. Information from these various groups has assisted the preparation of this Regional Plan. The draft Regional Plan was also issued to government and non-government members of these groups for comment as part of the key stakeholder consultation process. The nature and extent of RDAWEP communication with regional stakeholders is fully detailed in a separate RDAWEP, Communication Plan, July 2012.

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Figure 45: RDAWEP Corporate Structure and Target Teams.

BOARD

RDAWEP

Economic Development and Projects

Employment and Skills Business Services Corporate Services

RDSA

7 RDA Members

State Government

EXECUTIVE COMMITTEE

TARGET TEAMS

AGRICULTURE

FISHING AND

AQUACULTURE

WHYALLA

EP BUSINESS

TOURISM

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Figure 46: RDAWEP Regional Consultation Network.

EP SA Works

Network

Whyalla SA Works

Network

Regional

Employment

Network

Upper Spencer Gulf Common

Purpose Group

RDAWEP RTO’S

Health

JSA’S

Indigenous Youth

Services

Government

Agencies ACE

Providers GTO

Industry

Centrelink Disability Support

EPLGA

RDAWEP

RDAWEP

City of Port Augusta

11 Member Councils

RDAYMN

RDAFN

City of Whyalla

City of Port Pirie

EP Regional

Facilitation

Group

Housing

Health SAPOL

Education SA Water

PIRSA EPNRM

EPLGA

RDAWEP

EP Water Master

Plan

RDAWEP

SA Water

DENR

EPNRM

11 Member Councils

Marine Parks

Advisory

Committee

Climate Change

Sector

Agreement

RDAWEP

EPNRM

EPLGA

State Government

(Premier’s Dept)

Tuna Marine

Scale Sardines

Abalone

Recreation

Rock

Lobster

Whyalla

Development

Focus Group

DPTI PIRSA

DMITRE Urban

Renewal

Authority SANTOS

Port

Bonython

Fuels

BHP Billiton

Flinders

Ports Whyalla

Community

Consultation Group

RDAWEP

City of

Whyalla

RDAWEP

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15.3 STAKEHOLDERS CONSULTED FOR THE REGIONAL PLAN In addition to consultation with RDAWEP Board Members, Target Teams and the Regional Consultation Network, RDAWEP Development Managers directly consulted a number of agencies for the preparation of this Regional Plan. Some of this consultation was for the purpose of checking the accuracy of descriptions of agencies discussed in this plan. The agencies include:

Department for Education and Child Development, Eyre and Western Regional Offices. Port Lincoln, Innovative Community Action Network. Lincoln Marine Science Centre. University of South Australia (Whyalla Campus). Minnipa Agriculture Centre. Australian Maritime and Fisheries Academy. TAFE SA Regional. Eyre Futures Incorporated. Australian Government, Department of Education, Employment and Workplace Relations. Crossways Lutheran School, Ceduna. St Joseph’s School, Port Lincoln. Navigator College, Port Lincoln. Sunrise Christian School, Whyalla. Samaritan College, Whyalla. Eyre Peninsula Community Foundation Incorporated. Port Lincoln Civic Hall Management Board Inc. Eyre Peninsula Local Government Association. Barker Wentworth, Project Consultants for the development of Port Bonython Fuels, Fuel

Terminal. Wudinna District Council. District Council of Cleve.

Stakeholder Consultation draft copies of the Regional Plan were distributed for comment to:

The 14 Board Members of RDAWEP. Eyre Peninsula Local Government Association. City of Port Lincoln. City of Whyalla. District Council of Ceduna. District Council of Cleve. District Council of Elliston. District Council of Franklin Harbour. District Council of Kimba. District Council of Lower Eyre Peninsula. District Council of Streaky Bay. District Council of Tumby Bay. Wudinna District Council. Department for Education and Child Development, Eyre and Western Regional Offices. Australian Government, Department of Education, Employment and Workplace Relations. Eyre Peninsula Natural Resources Management Board. SA Water. Primary Industry and Regions, South Australia. Department for Further Education, Employment, Science and Technology. South Australian Housing Trust. Country North SA. Department of Families, Housing, Community Services and Indigenous Affairs.

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Port Lincoln Chamber of Commerce. Ceduna Indigenous Coordination Centre. Whyalla Target Team.

15.4 FEEDBACK FROM STAKEHOLDER CONSULTATION A summary of the feedback received from the stakeholder consultation and the resulting amendments made to the Regional Plan is included in Appendix 4. 15.5 GENERAL COMMUNITY CONSULTATION Broader community input was sought via the RDAWEP Regional Newsletter, June 2012 – see Figure 45. The bi-monthly Regional Newsletter is distributed to over 800 individuals and organisations across the region. However no feedback was received from this source.

Figure 47: Excerpt from RDAWEP Regional News, Newsletter, June 2012.

15.6 RDAWEP BOARD ENDORSEMENT OF REGIONAL PLAN This Regional Plan was formally endorsed by the RDAWEP Board via telephone on Monday 27th August 2012.

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16. PLAN ALIGNMENT 16.1 RDAWEP ALIGNMENT WITH OTHER REGIONAL PLANS The Plan Alignment Tool developed for RDA has been used to analyse the alignment of the RDAWEP Regional Plan with other plans for the region. Various changes were made to the Plan Alignment Tool as provided in order to make the analysis. The changes were:

The newly completed South Australian Government Eyre and Western Region Plan and the DFEEST Eyre and Western Strategic Plan 2011-2013 have been analysed and added to the spreadsheet.

The DPLG Region Plan and LGA Regional Strategy were excluded from the Plan Alignment Tool as these plans were under development and would not be finalised within the RDAWEP time frame (i.e. the plans would not be available before the end of August 2012).

The Wine Industry Sector Agreement was deleted as this has little relevance to the RDAWEP region.

The following plans were reviewed to assess any changes that might have occurred since the Plan Alignment Tool was provided:

o Australian Government Urban Policy Priorities, o South Australian Strategic Plan 2011, o South Australian Strategic Infrastructure Plan for SA, o EPNRM Managing Our Resources, o South Australian Government Eyre Peninsula Regional Sector Agreement, o South Australian Government OneSteel Whyalla Agreement, o South Australian Government, PIRSA Strategic Direction for Growing Sustainable

Regions 2012-15. The spreadsheet Figure 48 indicates that the areas of non-alignment for the standard regional priorities were:

Wine sector development. The wine sector was not mentioned in the RDAWEP Regional Plan, or most of the other plans analysed.

Health priorities. Important health matters such as the need to attract and retain a suitable health workforce, the need to expand specialist services and the need to provide appropriate health infrastructure were discussed in the Regional Plan but were not identified as RDAWEP Board priorities. The reason being that RDAWEP does not have a principal role in health services planning or provision. RDAWEP might lobby for and add its support to campaigns for improved health provision in the region, but health matters are not the core business or responsibility of RDAWEP.

Flood mitigation. This was not mentioned in the RDAWEP Regional Plan, or most of the other plans analysed.

There was strong alignment among the respective plans in four areas:

Capitalising on minerals and resources development, Climate change vulnerability, Sustainable environmental management, and Water security.

The spreadsheet also indicates good alignment in several areas, including:

Access to energy for business expansion, Agricultural adaption, diversity and value-adding,

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The encouragement of business development, The need for cross-regional collaboration, The need for skills development, and Capitalising on the development of renewable energies.

The areas where the government plans do not sufficiently address issues identified in the region include (i.e. shown as a >1 difference in the comparative score):

Airport development. The need for the upgrade and development of regional airports was only identified in three plans – the State Strategic Infrastructure Plan, the Eyre and Western Region Plan and the RDAWEP Regional Plan.

Broadband access. The need for better telecommunications access. Freight infrastructure. Specifically the need for better road and rail infrastructure. Intensive livestock. Port facility development. This was only mentioned in two State Government plans. Tourism promotion and tourism sector development. Town centre development. Specifically the need to enhance and revitalise town centres. Residential and industrial land use conflicts. Aged services and facilities. The expansion of tertiary education in the region. Indigenous disadvantage and opportunity. Recreation activities and services. Targeted population growth. Worker accommodation. The need to provide appropriate accommodation for a growing mineral

resources and industrial workforce. Youth retention strategies.

16.2 ALIGNMENT WITH LOCAL GOVERNMENT PLANS Consultation with the designer of the Plan Alignment Tool – Kristine Peters from KPPM Organisational Strategists – indicated that the tool could be modified to check the Regional Plan alignment with Local Government strategic plans. After a pilot keyword search to test this option, the list of standard regional priorities was modified to better suit Local Government concerns. The changes included:

‘Cross Regional Collaboration’ was changed to Shared Council Services, The three health priorities were amalgamated into one – i.e. health infrastructure and services, The two tourism priorities were amalgamated as ‘tourism promotion and development’, A general infrastructure statement – improve and maintain infrastructure assets – was added to

capture Local Government concern about deteriorating infrastructure, A priority regarding the provision of community infrastructure was added, and Forestry management, wine sector development and intensive livestock were deleted.

The spreadsheet Figure 49 indicates strong alignment in nine priority areas:

Business development, Capitalising on the mining and resources sector, Improving and maintaining infrastructure assets, Providing appropriate community infrastructure, Tourism promotion and development, Road maintenance, Recreation activities, Sustainable environmental management, and Water security.

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KEYWORD Alignment WITH THIS REGION 2 = strong alignment 1 = just aligned 0 = not mentioned/not applicable

Standard Regional Priorities

Cwth

regional

priorities

Cwth

Urban

Policy

priorities

SASP

Targets

Draft

Basin

Plan

Water for

Good SIPSA NRM

Eyre

Peninsula

Regional

Sector

Agreement

One Steel

Whyalla

Agreement

Eyre

Peninsula

Demand

and Supply

Statement

Wine

Industry

Sector

Agreement

DFEEST

Eyre and

Western

Strategic

Plan 2011-

2013

PIRSA

Strategic

Diection

2012-2015

DPLG

Region

Plans/30

Year Plan

LGA

Regional

Strategy

Eyre and

Western

Region

Plan

Average all

Plans (not

Roadmap)

Road Map

priority

energy Access to energy for business expansion 1 1 1 0 2 2 0 2 2 0 2 2 2 1.31 2 0.69

agricultur Agricultural adaptation, diversity, value-add 0 0 2 1 2 2 2 2 0 0 0 2 2 1.15 2 0.85

airport Airport development 0 0 0 0 0 2 0 0 0 0 0 0 2 0.31 2 1.69

broadband / ict Broadband/NBN/Digital economy 0 2 2 0 0 2 0 0 0 0 2 2 1 0.85 2 1.15

business Business development 0 0 2 0 1 2 1 2 2 0 0 2 1 1.00 2 1.00

mineral Capitalising on minerals and resources 0 0 2 0 2 2 2 2 2 2 1 2 2 1.46 2 0.54

collaborat Cross region collaboration 0 2 1 2 2 0 1 1 2 0 1 2 0 1.08 2 0.92

freight Freight infrastructure 0 1 2 0 0 1 0 1 0 0 0 2 2 0.69 2 1.31

livestock Intensive livestock 2 0 1 1 2 0 1 0 0 0 0 0 1 0.62 2 1.38

port Port (seaport/riverport) development 0 0 0 0 0 2 0 0 0 0 0 2 1 0.38 2 1.62

touris Tourism promotion 0 0 2 0 1 2 1 1 0 0 0 0 0 0.54 2 1.46

touris Tourism sector development 0 0 2 0 1 2 1 1 0 0 0 2 1 0.77 2 1.23

town Town centre development 0 1 2 0 1 0 2 0 0 0 0 0 2 0.62 2 1.38

wine Wine sector development 0 0 1 0 0 0 0 0 0 0 0 2 1 0.31 0 -0.31

residential /industrialZoning and land-use conflict 0 2 2 0 1 0 2 0 0 0 0 2 2 0.85 2 1.15

road / rail Road/rail maintenance/improving 0 1 2 0 0 2 0 1 0 0 0 0 1 0.54 2 1.46

aged Aged services and facilities 0 2 1 0 0 2 0 0 0 0 0 0 1 0.46 2 1.54

health Attracting and retaining health workers 0 1 2 0 0 1 0 0 0 0 0 0 0 0.31 0 -0.31

disab Disability facilities and services 0 0 2 0 0 0 0 0 0 0 1 0 1 0.31 1 0.69

health Expand specialist/allied health services 0 0 0 0 0 2 0 0 0 0 0 0 1 0.23 0 -0.23

educat Expand tertiary education 2 1 2 0 0 0 0 0 0 0 2 1 0 0.62 2 1.38

health Health infrastructure 0 1 2 0 0 2 0 0 0 0 0 0 0 0.38 0 -0.38

indigenous / aborig Indigenous disadvantage/opportunity 0 0 2 0 1 1 2 2 0 0 2 2 0 0.92 2 1.08

recreat Recreation activities 0 2 2 0 2 0 1 0 0 0 0 2 2 0.85 2 1.15

skill / educat Skill development 0 2 2 0 2 1 1 1 1 0 1 2 0 1.00 2 1.00

population Targeted population growth 0 1 2 0 2 0 1 0 0 2 1 0 2 0.85 2 1.15

accommodat Worker accommodation 0 1 0 0 0 1 0 0 0 0 0 2 1 0.38 2 1.62

retain / retention Youth retention 0 0 2 0 0 0 0 0 0 0 1 0 2 0.38 2 1.62

renewable Capitalising on renewable energies 0 0 2 0 2 2 1 2 2 0 1 1 2 1.15 2 0.85

climate Climate change vulnerability 2 2 2 2 2 0 2 2 2 2 1 2 2 1.77 2 0.23

flood Flood mitigation 0 0 0 2 1 0 0 0 0 0 0 0 1 0.31 0 -0.31

forest Forestry management 0 0 0 0 0 0 0 0 0 0 0 0 0 0.00 0 0.00

sustain / environm Sustainable environmental management 1 2 2 2 2 0 2 2 2 1 2 2 2 1.69 2 0.31

water Water security 2 1 2 2 2 2 2 2 2 2 0 2 2 1.77 2 0.23

Triple Bottom Line Groupings

Economic

Social

Environmental

COMPARISON (-

ve numbers mean issue

not adequately covered

or Not Applicable in Road

Map. +ve numbers mean

priority in region but not

in other plans)

Figure 48: Government Strategic Plan Alignment with RDAWEP Regional Plan.

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KEYWORD Alignment WITH RDAWEP REGION 2= strong alignment 1 = just aligned 0 = not mentioned/not applicable

Standard Regional Priorities

City of

Whyalla

City of

Port

Lincoln

District

Council of

Ceduna

District

Council of

Cleve

District

Council of

Elliston

District

Council of

Franklin

Harbour

District

Council of

Kimba

District

Council of

Lower Eyre

Peninsula

District

Council of

Streaky Bay

District

Council of

Tumby Bay

Wudinna

District

Council

Average all

Plans (not

Roadmap)

Road Map

priority

energy Access to energy for business expansion 2 2 1 1 1 2 0 0 0 0 0 0.82 2 1.18

agricultur Agricultural adaptation, diversity, value-add 0 0 0 2 0 1 1 1 0 0 2 0.64 2 1.36

airport Airport development 2 0 2 0 0 0 1 2 1 2 0 0.91 2 1.09

broadband / ict Broadband/NBN/Digital economy 2 0 0 1 2 0 1 0 0 0 0 0.55 2 1.45

business Business development 2 2 2 2 2 2 2 2 2 1 2 1.91 2 0.09

mineral Capitalising on minerals and resources 2 2 2 2 2 2 2 2 2 0 1 1.73 2 0.27

collaborat Shared Council Services 0 1 1 1 0 0 2 2 0 2 0 0.82 2 1.18

freight Freight infrastructure 1 0 1 1 0 0 0 1 1 1 1 0.64 2 1.36

infrastructure Improve and maintain infrastructure assets 2 2 2 2 2 2 2 2 2 2 2 2.00 2 0.00

Community Provide appropriate community infrastructure 2 1 1 2 2 1 2 2 2 2 2 1.73 2 0.27

port Port (seaport/riverport) development 1 1 1 1 0 2 0 0 0 1 0 0.64 2 1.36

touris Tourism promotion and development 2 2 2 2 2 2 2 2 2 2 2 2.00 2 0.00

town Town centre development 1 2 0 1 0 1 0 0 2 2 0 0.82 2 1.18

residential /industrialZoning and land-use conflict 2 2 1 1 1 2 0 1 0 1 0 1.00 2 1.00

road / rail Road/rail maintenance/improving 1 1 1 2 2 2 2 2 1 1 2 1.55 2 0.45

aged Aged services and facilities 1 1 1 2 1 2 1 1 1 1 2 1.27 2 0.73

disab Disability facilities and services 1 1 1 0 0 0 0 0 0 1 1 0.45 1 0.55

educat Expand tertiary education 2 0 0 0 0 0 0 0 0 0 0 0.18 2 1.82

health Health infrastructure and services 2 0 2 2 1 2 2 2 2 2 1 1.64 0 -1.64

indigenous / aborig Indigenous disadvantage/opportunity 2 1 1 0 0 2 0 1 0 0 0 0.64 2 1.36

recreat Recreation activities 2 2 2 2 1 2 2 2 2 2 2 1.91 2 0.09

skill / educat Skill development 2 1 0 0 1 0 0 0 0 0 0 0.36 2 1.64

population Targeted population growth 2 1 1 2 2 2 1 2 2 0 0 1.36 2 0.64

accommodat Worker accommodation 1 0 0 0 0 0 2 0 1 0 0 0.36 2 1.64

retain / retention Youth retention 2 1 0 2 1 2 2 1 1 1 1 1.27 2 0.73

renewable Capitalising on renewable energies 2 0 0 2 2 0 0 2 0 1 0 0.82 2 1.18

climate Climate change vulnerability 1 0 0 1 0 1 1 1 0 2 0 0.64 2 1.36

flood Flood mitigation 1 0 0 0 0 0 0 0 0 0 0 0.09 0 -0.09

sustain / environm Sustainable environmental management 2 2 2 2 2 2 2 2 2 2 2 2.00 2 0.00

water Water security 2 2 2 2 2 2 2 2 2 2 2 2.00 2 0.00

Triple Bottom Line Groupings

Economic

Social

Environmental

COMPARISON (-

ve numbers mean issue

not adequately covered

or Not Applicable in Road

Map. +ve numbers mean

priority in region but not

in other plans)

Figure 49: Local Government Strategic Plan Alignment with RDAWEP Regional Plan.

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16.2 ALIGNMENT WITH LOCAL GOVERNMENT PLANS (Cont’d) The areas of non-alignment were:

Health infrastructure and services (for the same reasons outlined in section 16.1), and Flood mitigation. The City of Whyalla Strategic Plan was the only document to mention this need.

Given the low rainfall and lack of surface water run-off across the region generally, it is understandable that flooding is not an issue or priority for other Councils and RDAWEP.

The areas where the Local Government Plans do not sufficiently mention issues raised in the Regional Plan were:

Expand tertiary education – this was only mentioned in the Whyalla plan because Whyalla has the only university campus in the region.

Skills development – was only mentioned in three Council plans (Whyalla, Port Lincoln and Elliston).

Worker accommodation – was only mentioned in three Council plans (Whyalla, Kimba and Streaky Bay).

Broadband – was only mentioned in four Council plans. Agriculture – not mentioned in six plans. Indigenous/Aboriginal and disadvantage – was not mentioned in 6 plans. Climate Change – was not mentioned in 5 plans.

This plan alignment should be regarded as indicative only, as allowance needs to be made for potential inaccuracies with the keyword search, the use of different terminology across Council plans, and the possibility of analyst misinterpretation. On this matter it should be noted that refined keyword searches were used in all instances to overcome the use of different terminology. For example, ‘airport’ was also searched as ‘aerodrome’ because some Councils use the latter. ‘Worker accommodation’ was also searched as ‘workforce housing’, ‘mining housing’ and ‘housing’. ‘Health infrastructure’ was searched as ‘hospital, and ‘aged’ was searched as ‘elderly’. The gaps in some Council reports were quite surprising. The City of Port Lincoln Strategic Directions plan identified the need for “continued support for the development of an alternative port for the fishing industry’ but an upgrade of the Port Lincoln port was not identified. Similarly, the Tumby Bay Strategic Plan 2012-2022 did not mention the Port Spencer development even though the proposed port facility is a major project in this region which is likely to have a significant impact on Tumby Bay and the surrounding district. (Several keyword searches were undertaken for the Port Spencer project to check the omission, including searches for ‘port’, ‘Sheep Hill’, ‘Lipson Cove’, ‘Centrex’ and ‘mining’ but no matches were found). Both the Tumby Bay and Wudinna Council plans did not identify or mention the need for worker accommodation even though both Councils are set to receive the largest influx of workers with the Port Spencer and Iron Road developments. Tumby Bay also did not identify opportunities to capitalise on mining development.

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16.3 PLAN ALIGNMENT SUMMARY The Plan Alignment Tool is useful for making a quick, indicative comparison of planning strategies but many variables can interfere with accuracy and applicability. Timing is a critical factor. For example, the latest SA Strategic Plan (SASP), released in early 2011, does not identify or discuss the development of port infrastructure. However, the State Government has since commissioned the RESIC Infrastructure Demand Study, released in November 2011, which identified the need to establish three corridor supply chains for infrastructure to three strategically located deep sea ports to service the Eyre Peninsula, the Far North and Braemar Province. As it stands, the SASAP and the RDAWEP Regional Plan are not aligned on the matter of port infrastructure, but will be much better aligned when the RESIC recommendations are included in the next version of the SASP. Similarly, it needs to be recognised that there can be alignment between Government and regional plans at a policy or ‘motherhood’ level, but discord at the project or implementation level. For example, there is no doubt that a Cape class port facility is needed in the proximity of Whyalla and the RESIC and RDAWEP plans concur on this point, but there are differing opinions about where the port might be located. The State Government through RESIC is clearly supportive of developing a port facility at Port Bonython, but RDAWEP and the City of Whyalla are taking a more strategic approach and want the option of third party access to the OneSteel port to be seriously considered for this infrastructure provision. The need for highway passing lanes has already been discussed in this Regional Plan. While there may be planning alignment with government about pursuing road safety at a policy level, there is clearly a difference in opinion about what ought to done to achieve this policy at a project level. Apples Aint Apples The Plan Alignment Tool was designed to provide an ‘apples by apples’ comparison of plan alignment by region and by agency. One of the criteria for inclusion in the tool is that the plans should be regionalised – i.e. they should contain priorities that are regionally specific. The exception was with important lead plans that are State wide but important to regional development, such as the SASP. However regionally specific plans can have very distinctive differences. One really needs to question the merit of comparing comprehensive planning documents such as the RDAWEP Regional Plan with what can best be called ‘single interest’ or ‘limited scope regional plans’ – such as the EPNRM Managing Our Resources and the State Government Strategic Infrastructure Plan. Managing Our Resources is natural resources management specific and consequently does not identify or mention the following priorities identified by RDAWEP:

Access to energy for business expansion, Airport development, Broadband, Freight infrastructure, Port facility development, Road and rail maintenance and improvement, Aged services and facilities, Expanding tertiary education,

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The provision of worker accommodation, and Youth retention.

Similarly the State Strategic Infrastructure Plan is infrastructure specific and does not identify or mention:

Cross region collaboration, Intensive livestock, Town centre development, Industrial and residential land use conflict, Disabled facilities and services, Expanding tertiary education, Recreation activities and services, Targeting population growth, Youth retention, Climate change, and Sustainable environmental management.

In short, the inclusion of single interest regional plans in the Plan Alignment Tool will tend to skew the average score across all plans and lead to misalignment. It is consequently understandable that there is greater alignment between the RDAWEP Regional Plan and the Local Government Strategic Plans. The Local Government Plans have a much broader scope and include economic development, social and community development, business development, infrastructure planning and provision, and the provision of open space, recreation and community cultural facilities. Even though several gaps were identified in the Local Government plans the overall alignment was stronger in most areas. This arguably demonstrates that local level priority planning can be more detailed, more comprehensive and more meaningful than strategic planning undertaken by State and Australian Governments.

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APPENDICES APPENDIX 1: MINING ECONOMIC RELIANCE ON CHINA Australia’s mining boom is very much reliant on strong demand from Asia – particularly China and Japan. Nearly half of Australia’s export income is presently derived from these two countries, but China is the main driver. Importantly, this export income is largely from two commodities – coal, and iron ore. According to the well-respected Economic Journalist, Terry McCrann, Australia is now totally hostage to China. “We are totally dependent on sustained strong Chinese economic growth to drive our economy…A China that sustains its strong growth means an Australia with a strong currency, higher interest rates and the jobs and investment concentrated in resources. …A China that stumbles means a dollar that plunges ..and a budget in deficit deeper than we have now.” (Terry McCrann, The Weekend Australian, China the Known Unknown, 26-27 May 2012, p.30). Since the GFC in 2008-09, China’s demand for iron ore helped to drive iron ore prices to a peak of $187 per tonne in late 2011, more than three times higher than the pre-crisis peak. However, the Chinese economy deteriorated in the first and second quarters of 2012, and in May iron ore prices had fallen to $137.50 per tonne – the level last seen in February 2011. (The Weekend Australian, Get Ready for the End of the Boom, 19-20 May 2012, p.14). Growth forecasts for China are being lowered and import levels are stagnant, particularly for iron ore as Chinese steel mills defer deliveries to take advantage of declining prices. The steel market in Tangshan (200kms north of Beijing) has reportedly stockpiled about 500 million tonnes of steel, with sales down about 30% compared with 2011. The low demand for steel has sent the prices tumbling and 26% of Tangshan’s factories are standing idle. (The Weekend Australian, Tangshan’s Steel market Illustrates Slowing Demand, 26-27 May 2012, p.31). Budget forecasts for the Australian economy are very much dependent on Chinese import demand. If Australian exports dip, the economy will not reach its trend rate of growth. There is also substantial risk that some planned mining projects might be deferred. In spite of China’s economic slowdown the Chinese Government is investing in key infrastructure to maintain growth. This reliance on China has produced mixed reactions from Australian observers. While some China watchers are wary and advise caution, the Fortescue Metals Group (FMG) remains optimistic and will continue with planned expansion of its Solomon mine. FMG is on track to triple output and export 155 million tonnes of iron ore from 2013, as part of a $US8.4 billion infrastructure expansion of iron ore production. (The Weekend Australia, Twiggy Keeps Faith with Rising China, May 26-27, 2012 p.4). Rio Tinto is also positive and has confirmed that China will need 1.1 billion tonnes of steel each year to 2020, which is well up on the 2011 official estimate of 680 million tonnes. (The Weekend Australian, Tangshan’s Steel market Illustrates Slowing Demand, 26-27 May 2012, p.31). Nevertheless, the current fickleness of the iron ore market during the previous year should serve as a timely warning to the Whyalla and Eyre Peninsula region and the emerging junior miners about the economic dangers of relying too much on a single commodity or single industry.

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APPENDIX 2: THE COST OF ELECTRICITY The ElectraNet Project Specification Consultation Report did not discuss how the capital development costs for proposed new transmission will be met. But based on existing cost recovery strategies in Australia it is likely that the cost will be passed onto consumers through higher electricity charges. This prospect is of considerable concern to the community, business and industry across the Whyalla and Eyre Peninsula region because South Australians are already paying among the highest electricity prices in the developed world. A report released by the Energy Users Association of Australia (EUAA) shows that household electricity prices in Australia have risen by more than 40% since 2007 and are projected to rise by another 30% by 2013-14. (Electricity Prices in Australia: An International Comparison, A report to the Energy Users Association of Australia, CME March 2012, p.4). Whereas electricity prices in other developed economies have been stable or have risen gradually over the last decade, Australian electricity prices have risen sharply. These price increases, in combination with exchange rates, have meant that the average electricity prices to Australian households are now higher than those in Japan, the EU, US and Canada. An international comparison of 91 countries and states shows that four Australian states are in the top six of the highest electricity prices in the developed world – i.e. South Australia (3rd highest), with New South Wales, Victoria and Western Australia being 4th, 5th and 6th highest respectively. The other Australian states and territories were Tasmania (11th highest), Queensland (16th), the ACT (21st) and the Northern Territory being the cheapest in Australia in the 29th highest position – see Figure 48: 2011 Comparative Household Electricity Prices by Country, State and Province. Only households in Denmark and Germany paid more than South Australians for their electricity. The EUAA has argued that the four main factors increasing the price of electricity are: transmission infrastructure costs, subsidies to support renewable energy and, from 1st July 2012, the introduction of the carbon tax. The average electricity cost for households in South Australia is expected to rise after 1st July 2012 to cover the cost of the State Government solar tariff scheme and the cost to energy retailers resulting from the introduction of the carbon tax. (Green Policies Supercharge Power Prices, The Advertiser,2 May 2012, pp.1 & 6). This expectation was confirmed in June 2012 when the Essential Services Commission of South Australia (ESCOSA) announced an 18% increase in the cost of electricity and a 17.7% increase for gas. Only 4.6% of the electricity cost increase results from the carbon tax. This was significantly smaller for South Australian households than in other states because SA is more dependent on carbon-energy efficient gas and wind generation. But the overall 18% increase is nevertheless on par with electricity cost increases announced for NSW and the ACT. The smaller increase from the carbon tax was offset by the higher cost of the roof-top solar panel scheme, because ESCOSA is required to pass on the cost of the solar panel scheme in retail prices. In short, the biggest increase was caused by the compensation paid to people who generate their own electricity using solar rooftop panels – amounting to an average of $114 per annum. (The Advertiser, Power Jolt Bill, 15 June 2012, pp.1 and 6. Also see The Weekend Australian, Renewables Blowout – Wind, Solar Hit harder than tax, 16-17 June 2012, pp.1 and 6).

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But investment and maintenance of the electrical network infrastructure is nevertheless regarded as the main influencing factor on the cost of electricity with an estimated investment of $240 billion required in the period to 2030. (ABC News, Australians Pay Highest Power Prices: Study, posted 21 March 2012, 15:25). Communities and businesses in regional areas already experience higher living and operational costs than metropolitan areas. There is fear that higher electricity costs may have a negative impact on employment, investment and regional competitiveness.

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Figure 50: 2011 Comparative Household Electricity Prices by Country, State and Province.

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APPENDIX 3: RDAWEP TARGET TEAM MEMBERSHIP The RDAWEP Target Teams are comprised of members from right across the region, with most townships represented in one Target Team or another. Target Team membership is as follows:

TOURISM TARGET TEAM

MEMBER NAME ORGANISATION REPRESENTING

TOWN CENTRE

Deidre Turvey RDAWEP Board/Turvey Group Port Lincoln Diana Williams Port Lincoln Hotel/Tourism Eyre

Peninsula Port Lincoln

Chief Executive Officer* District Council of Ceduna Ceduna Kathy Meier District Council of Ceduna Ceduna Graham Redding Streaky Bay Promotions Streaky Bay Jenny Barnes Whyalla City Council/Whyalla Visitor

Information Centre Whyalla

Damian Modra Modra’s Apartments Tumby Bay Adrian Griffen Sarin Group Port Lincoln Julie Low Mayor, District Council of Lower Eyre

Peninsula Cummins

Pam Chesson District Council of Cleve Cleve Andrew Buckham Wudinna District Council Wudinna Malcolm Catt City of Port Lincoln/RDAWEP

Board/Port Lincoln Air Charters Port Lincoln

Craig Haslam Australian Wildlife Adventures Port Kenny Matt Waller Adventure Bay Charters Port Lincoln Sonya Coleman Ceduna Business and Tourism

Association Ceduna

Tim Hall DENR Regional Geoff Scholz Gawler Ranges Wilderness Safaris

Wudinna

Michael Holien Ceduna Community Foreshore Hotel

Ceduna

Brad Riddle RDAWEP Tourism Development Manager

Regional

Amanda Bridge RDAWEP Economic Development Manager, Port Lincoln

Regional

Charmaine Triffitt RDAWEP, Business Development Adviser, Port Lincoln

Regional

Mark Cant RDAWEP Chief Executive Officer Regional

Table 65: RDAWEP Tourism Target Team Membership. * Note: A new CEO for the District Council of Ceduna is the process of being appointed.

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AGRICULTURE TARGET TEAM

MEMBER NAME ORGANISATION REPRESENTING TOWN CENTRE

Jeff Pearson JW, LM and MR Pearson Cummins Heather Baldock GJ and HL Baldock Kimba David Jericho DG and LC Jericho Kimba Jodie Jones JM and JK Jones Wharminda Mark Rodda Free Eyre Stepney Naomi Scholz Minnipa Agriculture Centre Minnipa Warren Dickie Lincoln Rural Supplies Port Lincoln Ben Ranford Bermondsey Nominees PL Cleve Geoff Ryan Ryandra and Co Streaky Bay Tracey Lehmann Eyre Peninsula Integrated Commodities Kimba Dion LeBrun Wullara Farming Trust Tumby Bay Rick DuBois Pringles Ag Plus Wudinna Sean O’Brien Garryowen Pastoral Co Kyancutta Paul Brown Uworra Pastoral Co Charra Brian Smith B & D Smith Nundroo Matthew Cook Condada Country PL Minnipa

Table 66: RDAWEP Agriculture Target Team Membership.

WHYALLA TARGET TEAM

MEMBER NAME ORGANISATION REPRESENTING TOWN CENTRE Mr Peter Peppin CEO, City of Whyalla Whyalla Ms Liz Attard City Plaza Espresso Café and City Plaza

Trader’s Association. Whyalla

Ms Ryan Sutherland Middleback Theatre and Whyalla Cinema Whyalla Mr Tariq Mushtaq OneSteel Whyalla Steelworks Whyalla Mr Allan Kane Arafura Resources Whyalla Mrs Juanita Walker Whyalla Aged Care Whyalla Mr John Scott Mount Laura Homestead Museum Whyalla Ms Clare McLaughlin Savills Pty Ltd and Westland Shopping

Centre Trader’s Association. Whyalla

Ms Annette Kirby Board Member RDAWEP Whyalla Ms Joanne Marshall Bluebush Boutique and City of Whyalla Whyalla Mr Tim Breuer City of Whyalla Whyalla

Table 67: RDAWEP Whyalla Target Team Membership.

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EYRE PENINSULA BUSINESS TARGET TEAM

MEMBER NAME ORGANISATION

REPRESENTING TOWN CENTRE

Darren Allard 5cc/TeamEP Port Lincoln Tenille Zwar Zwar Beauty Port Lincoln Mark Comas MGA Insurance Ceduna Ceduna Renae Edmunds Streaky Bay Marine Products Streaky Bay Karen Matthews Bridgestone Wudinna Dean Johnson IGA Kimba Shaun Hornhardt IGA Cowell Cummins* Cleve* Michael Bridge Eyre Consulting Port Lincoln Chris Coote Rural Press Eyre Peninsula Media Darren Allard 5cc/Magic FM and Team EP Eyre Peninsula Media Gloria Berni Southern Cross Television Eyre Peninsula Media Jane Lowe Port Lincoln Chamber of

Commerce Port Lincoln

Tony Baj McDonalds Port Lincoln and Team EP

Port Lincoln

Shaun Thomas RDAWEP Education, Skills and Jobs Coordinator

Whyalla and Eyre Peninsula

Charmaine Triffitt RDAWEP Business Advisory Services

Eyre Peninsula

Table 68: RDAWEP Eyre Peninsula Business Target Team Membership. * Note: Members from Cummins and Cleve recently resigned and new members are in the process of being recruited.

FISHING AND AQUACULTURE TARGET TEAM

MEMBER NAME

ORGANISATION REPRESENTING TOWN CENTRE

Andy Dyer South Australian Mussel Association Port Lincoln Simon Clark Spencer Gulf and West Coast Prawn Fishermen’s Association Port Lincoln Paul Watson South Australian Sardine Association Port Lincoln Trent Gregory Northern Zone Southern Rock Lobster Association Port Lincoln Jonas Woolford Western Zone Wildcatch Abalone Association Streaky Bay Samara Miller Western Zone Wildcatch Abalone Association Port Lincoln Brain Jeffriess Australian Southern Bluefin Tuna Industry Association Adelaide David Ellis Australian Southern Bluefin Tuna Industry Association Port Lincoln Craig McCathie Port Lincoln Fresh Fish Co – Marinescale Representative Port Lincoln Damon Edmunds Streaky Bay Marine Products - Marinescale Representative Streaky Bay Gail Spriggs CleanSeas Tuna – Kingfish Representative Port Lincoln Trudy McGowan South Australian Oyster Growers Association Adelaide

Table 69: RDAWEP Fishing and Aquaculture Target Team Membership.

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APPENDIX 4: SUMMARY – FEEDBACK FROM STAKEHOLDER CONSULTATION Stakeholder feedback responses about the Draft Consultation Plan are discussed in the order received. Feedback suggestions were discussed with appropriate RDAWEP staff where applicable.

ORGANISATION ISSUE ACTION UNDERTAKEN RDAWEP Board Member Approximately 40 typo’s and

grammatical errors identified. Concern that the Tourism Target Team was omitted from the Tourism section. Concern about the ongoing use of ‘OneSteel’ given that the company had changed its name to Arrium Limited. It was suggested that a key statement about retaining the region’s natural assets and liveability be put in bold.

The typo’s and grammaticals were noted and amended. A description of the Tourism Target Team was inserted into the plan. A statement about the change of name from OneSteel to Arrium Limited is included in section 2. Given that (1) the name change occurred during the writing of the Regional Plan – i.e. on 2 July 2012; (2) that the name OneSteel is being retained for the steel manufacturing arm of the company, and (3) that people are generally more familiar with the name OneSteel than Arrium, the decision was made to maintain the use of OneSteel throughout this report. This will be changed in the next Regional Plan. The suggestion about bolding the natural assets and liveability statement was supported and actioned – see 13.1: Economic Development Strategy.

City of Port Lincoln Concern was expressed about the description of the Port Lincoln retail sector, particularly statements about empty shops, commercial leasing and parking constraints. It was felt that the description sold Port Lincoln short.

This section was reviewed in liaison with the Port Lincoln Chamber of Commerce, and the text was modified with additional description about the growing Edinburgh Street retail section. Advice from the Chamber was that parking used to be an issue in Port Lincoln but Council initiatives have largely resolved parking problems. The statement about parking constraints was removed.

Whyalla Target Team The newly formed Whyalla Target Team met in July and identified the provision of more housing for the aged as a priority.

The Target Team prepared a statement for inclusion in the Regional Plan which also identified the urgent need for a comprehensive Aged Care Strategy or Master Plan to address the needs of the aged sector. The statement is included in full in section 10.3 Future Housing Challenges.

Department of Further Education, Employment, Science and Technology (DFEEST)

DFEEST commented that the strategies and priorities in the DFEEST Strategic Plan for the Eyre and Western region are consistent with the intent of Regional Plan. However, it was suggested that greater emphasis should be put on the linking of programs and establishment of stakeholder partnerships to maximise outcomes. It was also suggested that there should be more discussion of broader workforce initiatives particularly the Skills in the Workplace program.

It was felt that the partnership approach was adequately covered in section 12, however the wording of the introductory overview was slightly amended in line with the DFEEST suggestion. A statement about the Skills in the Workplace program was added to follow discussion of the Skills for All program.

Table 70: Summary of Stakeholder Feedback on the Draft Consultation Plan.

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ORGANISATION ISSUE ACTION UNDERTAKEN Department of Education, Employment and Workplace Relations (DEEWR)

DEEWR provided advice about the 12.5 Partnerships section identifying a program that has been shifted to another Department and three key DEEWR programs that were omitted in the draft. DEEWR provided descriptions of the three programs for inclusion in the Regional Plan. DEEWR suggested that the labour market analysis in section 12.10 could have been strengthened using DEEWR Small Area Labour Market data. DEEWR commented that the Workforce Demand section did not acknowledge the potential impact of the global economy on the investment intentions of mining companies. It was suggested it would be prudent to acknowledge this in the Regional Plan.

The transferred program was deleted and Job Services Australia, Disability Employment Services and Indigenous Employment Program were added to the list. The descriptions for the programs above as prepared by DEEWR were added to section 12.9: Employment and Skills Development. This is a good suggestion but other data has been used for this purpose and time constraints prevented the rewrite of this section of the plan. DEEWR Small Area Labour Market data is used elsewhere in the plan. This was good advice from DEEWR so an appropriate comment was added with additional reference to the dangers of mining economic reliance on China as detailed in Appendix 4. Other matters – e.g. citation references – have been addressed.

RDAWEP Board Member and DEWNR

A restructure was suggested splitting the document into two volumes – context profiling and planning. It was suggested that Part 4: Strategic Framework and Planning be brought forward to form an extended Executive Summary that would then be a stand-alone document. It was also suggested that much of the detailed data should be put into appendices as this would make it easier to update this information in the future. Several re-wording suggestions were made to emphasise the importance of natural resources to the region’s prosperity and competitive advantage. The omission of Lincoln National Park and Coffin Bay National Park was noted. It was recommended that statements be included in the tourism section due to a notable increase in visitor numbers to both parks.

The proposal to restructure the plan into two volumes was not adopted as the planning section is already included in the plan as a discrete section. The option of shifting the Part 4 planning section forward and extending the Executive Summary was also not adopted because it would have led to repetition (i.e. the same information would need to be in the body of the report) and lengthened the already long report. However, a statement about the identification of Board priorities was added to the Executive Summary. The suggestion to put detailed data into appendices was not adopted because the Regional Plan is only updated annually, not on a regular basis. Rewording suggestions for NRM in the Executive Summary and Introduction were adopted and actioned. Natural Resource Management was changed to Natural Resources Management throughout the plan. A statement about Lincoln and Coffin Bay National Parks was added to the Introduction in context with the description about parks across the region.

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ORGANISATION ISSUE ACTION UNDERTAKEN District Council of Franklin Harbour

A letter was provided indicating that the Council resolved to accept the Draft Regional Plan at its meeting on Wednesday 15 August 2012.

No action required.

District Council of Lower Eyre Peninsula (DCLEP)

An email was received from the CEO identifying small towns that were not included in the DCLEP Council description; some typo’s were identified; concern was expressed that the Port Lincoln Airport upgrade was not listed as a major tourism initiative in section 5.9 Tourism Development Projects; and further information was provided about security equipment grant funding for the airport.

The townships of Kapinnie, Edillilie, Yeelanna and Karkoo were added to the Council description. The typo’s had already been identified and amended. Section 5.9 has a cross reference to other parts of the plan for the discussion of airports and other tourism infrastructure. The $1 million provided by the Australian Government for airport security equipment was added to the Port Lincoln Airport funding description.

Department of Primary Industries and Regions (PIRSA)

A positive response received from PIRSA acknowledging that the level of project detail will be useful for supporting applications to the RDAF. One correction was identified indicating that PIRSA is now the funder of the RDAWEP Business Advisory Services, not DMITRE.

The name of the Business Advisory Service funder was changed to PIRSA.

SA Water

A very detailed response was received from SA Water noting that the supply of water from the River Murray and groundwater basins is made within sustainable limits as determined by the best available scientific knowledge at the time. Corrections were identified regarding the description of the water supply north of Lock and the change of water restrictions to Water Wise Measures in April 2011. Corrections were identified regarding the SA Water Long Term Plan and potential sites for a desalination plant. Several other amendments were suggested to some paragraphs, including a statement about industry use of water attributed to RESIC which might be misconstrued as an SA Water position.

Appropriate changes were made to wording in the Executive Summary and Water Supply sections to amend the tone of the statements – i.e. the statement ‘This is clearly not sustainable in the longer term’ was changed to ‘This is arguably not sustainable in the longer term, given the issues concerning the River Murray’. The description of the water supply system and water restrictions was amended to correct the detail. The term ‘SA Water master plan’ was changed to ‘SA Water Long Term Plan’ and the details about potential sites for a desalination plant were included. A paragraph was restructured to clarify the RESIC statement. Other statements suggested by SA Water including the adoption of a collaborative approach, ongoing infrastructure planning, compliance constraints and the need to ensure full cost recovery for water services were included in the Water Supply section of the plan.

Table 70: Summary of Stakeholder Feedback on the Draft Consultation Plan (Cont’d).

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REFERENCES HARD COPY SOURCES

ABC News, Australians Pay Highest Power Prices: Study, 21 March 2012. ABC News, NBN disparity threatens to widen the gap, 12 July 2011. Arafura Resources Limited, Arafura Resources Press Releases, January to June 2012. Australian Bureau of Agricultural and Resource Economics (ABARE), Crop Report, June 2012. Australian Government, Australian Early Development Index, 2009. Australian Government, National Urban Policy, Summary of Priorities, July 2011. Australian Maritime and Fisheries Academy, Corporate Plan, 2009-2014. Australia’s Paydirt, June 2012. Ceduna Health Services, Ceduna 10 Year Local Health Service Plan, 2011-2020. Centre for Economic Studies, Review of Job Opportunities and Basic Skills (JOBS) Program, Eyre and Western Region, Final Report, January 2012. City of Port Lincoln, Parnkalla Trail 10-Year Strategy, 2008-2018, 2008. City of Port Lincoln, Strategic Directions 2012 Review, July 2012. City of Whyalla, The Whyalla Community Plan, Whyalla Towards 2022 Vision, June 2009. City of Whyalla, Visitor Guide, 2011. CME, Electricity Prices in Australia: An International Comparison, A report to the Energy Users Association of Australia, March 2012. Commonwealth of Australia, National Strategic Framework for Rural and Remote Health, April 2012. Country SA Health Service Implementation Planning, 10 Year Health Services Plans Implementation Plan Years 1-3, Eyre, Far North and Flinders Ranges, 2011. Department for Education and Child Development, SA, Eyre and Western Region Annual Report, 2011. Department of Education, Employment and Workplace Relations, Small Area Labour Markets, December Quarter 2002 to December Quarter 2011. Department for Further Education, Employment, Science and Technology, Strategic Plan 2011-2013, Eyre and Western Region, February 2012. Department of Health and Ageing, Annual Report, 2010-2011, 2010-2011 Overview.

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HARD COPY SOURCES (Cont’d) Department of Planning, Transport and Infrastructure, Port Lincoln-Adelaide Air Passenger Survey Report, November-December 2011, January 2012. District Council of Ceduna, Strategic Plan 2012, 2012. District Council of Cleve, Strategic Plan, Shaping Our Future 2015. District Council of Elliston, Strategic Plan, Moving Toward 2017, June 2012. District Council of Franklin Harbour, Strategic Plan, 2012-2017, December, 2011. District Council of Kimba, Strategic Management Plan 2012-2016. District Council of Lower Eyre Peninsula, Strategic Plan 2012-2021, April 2012. District Council of Streaky Bay, Strategic Management Plan 2009-2012, December 2008. District Council of Tumby Bay, 2012-2022 Strategic Plan, January 2012. Eastern Eyre Health Services, Eastern Eyre 10 Year Local Health Service Plan, 2011-2020. EconSearch Pty Ltd, Economic Indicators for the South Australian Sardine Fishery 2010/11, June 2012. EconSearch Pty Ltd, Economic Indicators for the South Australian Abalone Fishery 2007/08, May 2009. EconSearch Pty Ltd, The Economic Impact of Aquaculture on the South Australian and Regional Economies, 2010/11, A report prepared for PIRSA Fisheries and Aquaculture, May 2012. ElectraNet, Lower Eyre Peninsula Reinforcement, RIT-T: Project Specification Consultation Report, February 2012. ELPGA, Council Road Priority Assessment, Summary Report, Tonkin Consulting, February 2010. Eyre Peninsula Community Foundation Inc., Strategic Plan, Endorsed May 2009 and updated June 2012. Eyre Peninsula Natural Resources Management Board, Recognising the State of Natural Resources of the Eyre Peninsula, 2009. Eyre Peninsula Natural Resources Management Board, Managing Our Resources, A Strategic Plan for the Management of the natural resources of the Eyre Peninsula, 2009. Eyre Peninsula Natural Resources Management Board, State of Our Resources , Recognising the State of the natural resources of the Eyre Peninsula, 2009. Golder Associates, Centrex Metals – Port Spencer, Eyre Peninsula: Traffic Impact Assessment, September 2011. Government of South Australia, Assessment Report, Environmental Impact Statement, Olympic Dam Expansion. September 2011 Government of South Australia, Country SA Health Service Implementation Planning, 10 Year Health Services Implementation Plan – Years 1-3, Eyre, Far North and Flinders Ranges, May 2012.

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HARD COPY SOURCES (Cont’d) Government of South Australia, Department of Planning, Transport and Infrastructure, Eyre and Western Region Plan, April 2012. Government of South Australia, Eyre Peninsula Demand and Supply Statement Annual Review 2011, April 2012. Government of South Australia, Eyre Peninsula Regional Sector Agreement, July 2010. Government of South Australia, OneSteel Whyalla Sector Agreement, August 2010. Government of South Australia, PIRSA Strategic Direction 2012-2015, 2012. Government of South Australia, South Australian Major Developments Directory 2011/2012, Department for Manufacturing, Innovation, Trade, Resources and Energy (DMITRE) 2011. Government of South Australia, SA Strategic Plan, 2011. Government of South Australia, Strategic Infrastructure Plan for South Australia 2010 Discussion Paper, September 2010. Hames Sharley, Whyalla Foreshore & Town Centre Master Plan, April 2005. IronClad ASX Release, Hong Kong Group’s $6M Investment in Australian Iron Ore Developer, Wednesday 11 January 2012. KPMG, Social Infrastructure Planning to Support Resources Growth, The Infrastructure Short Report, March 2012. Lower Eyre Health Services, Lower Eyre 10 Year Local Health Service Plan, 2011-2020. Lucky Bay CUEF Development Application, Appendix K: Wilcherry Hill Super Triple Route Assessment, Mine to Lucky Bay (Route 2), GHD May 2011. Macquarie, Worley Parsons and Baker & McKenzie, Green Grid, Unlocking Renewable Energy Resources in South Australia, 2012. Mid West Health Services, Mid West 10 Year Local Health Service Plan, 2011-2020. Minister for Climate Change, Energy Efficiency and Water, Delivering improved water security for South Australians, Media Release 10 June 2010. Ochre Consultants, Maralinga Village Feasibility Study, November 2002. Paul Cleary, The Weekend Australian, FIFO Jobs Leave Hole in the Regions, July 23-24, 2011. Parsons Brinckerhoff, Eyre Peninsula Ports Master Plan, January 2009. Pilbara Regional Council, Best of Both Worlds? Seeking a Sustainable Regional Employment Solution to Fly-In-Fly-Out Operations in the Pilbara, July 2012. PIRSA Regional Development, Waterproofing Whyalla's Future, Media release 19 September 2011. Port Lincoln Health Services, Port Lincoln 10 Year Local Health Service Plan, 2010-2019.

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HARD COPY SOURCES (Cont’d) Port Lincoln Times, Airfield Plan for Tumby Mine Camp, August 16, 2012. Port Lincoln Times, Interest in Land for Mine Workers, 17 April 2012. Port Lincoln Times, Fast Internet Takes Time, 2 April 2012. Port Lincoln Times, New Canteen and Changerooms Underway, 31 May 2012. Potential Energy and GPA Engineering, Increased Gas Supply to the Upper Spencer Gulf, April 2011. Potential Energy and GPA Engineering, The Case for Increasing Natural Gas to the Upper Spencer Gulf, 2004. Productivity Commission, Influences on Indigenous Labour Market Outcomes, Productivity Commission Staff Working Paper, December 2011. RDAWEP, Building Eyre Peninsula as a Tourism Destination, A Strategic Regional Tourism Plan for Infrastructure Provision, Business Capability, Workforce Development, Product Development and Marketing, Final Report January 2012. RDAWEP, Communication Plan, July 2012. RDAWEP, Eyre Peninsula Tourism Prospectus, 2012-2013. RDAWEP, Lucky Bay Harbour Development, Business Case for a Major Upgrade of Lucky Bay Harbour, Final Report February 2012. RESIC, 2011 Resources and Energy Infrastructure Demand Study, Parsons Brinckerhoff, November 2011. Senex Energy Limited, ASX Announcement, 9 March 2012. Terry McCrann, The Weekend Australian, China the Known Unknown, 26-27 May 2012. The Weekend Australian, Fly-in Workers ‘Sucking Life from Town’, July 23-24, 2011. The Weekend Australian, Flying into Trouble, Inquirer, 7-8 April 2012. The Weekend Australian, Get Ready for the End of the Boom, 19-20 May 2012. The Weekend Australian, Regions Strike the Mother Lode, Weekend Property, 3-4 December 2011. The Weekend Australian, Renewables Blowout – Wind, Solar Hit harder than tax, 16-17 June 2012. The Weekend Australian, Renters Paying Thousands a Week for House in Pilbara, August 6-7, 2011. The Weekend Australian, Tangshan’s Steel market Illustrates Slowing Demand, 26-27 May 2012. The Weekend Australian, Twiggy Keeps Faith with Rising China, May 26-27, 2012. Tourism Research Australia, Regional Tourism Profile 2007, Eyre Peninsula Region, 2007. Whyalla Health Services, Whyalla 10 Year Local Health Service Plan, 2010-2019.

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HARD COPY SOURCES (Cont’d)

Whyalla City Council, Waterproofing Whyalla, 2010. Wudinna District Council, Corporate Plan 2009-2014, June 2009.

ELECTRONIC SOURCES ABC Television, Four Corners, 28th May 2012. ABC News, Fly-in, fly-out culture stretching air traffic, www.abc.net.au October 27, 2011 Archean Group (2012) Archean website www.archeangroup.com Australian Government, Department of Education, Employment, and Workplace Relations, (http://www.deewr.gov.au/Skills/Programs/SkillTraining/nwdf/Pages/BuildAustFutureWork.aspx). Australian Government www.health.gov.au Australian Government www.ruralhealthaustralia.gov.au Centrex Metals www.centrexmetals.com.au/projects/wilgerup May 2012. City of Port Lincoln website, 6th March 2012, http://www.portlincoln.sa.gov.au/history) Deepak (2012) Deepak website, www.dfpcl.com District Council of Ceduna website, 6th March 2012, http://www.ceduna.net DMITRE (2012) DMITRE Minerals website www.pir.sa.gov.au/minerals/mines DMITRE (2012) website www.southaustralia.biz, Flinders Ports Pty Ltd, Flinders Ports website and Media Release March 2012, www.flindersports.com.au Government of South Australia www.countryhealthsa.sa.gov.au /AboutUs/StrategyforPlanning CountryHealthServices. Government of South Australia, Department of Further Education, Employment, Science and Technology, http://www.dfeest.sa.gov.au; Government of South Australia www.sahealth.sa.gov.au Hospitals and health services in the Eyre and Western region of South Australia. Government of South Australia (2012) SA Memory website, www.samemory.sa.gov.au SA Museum Archives website: http://www.samuseum.sa.gov.au/archives/collections/tribes, 6 March 2012, information reproduced from N. B. Tindale, Aboriginal Tribes of Australia, 1974). SA Professional Historians Association (2012) SA Historians website, www.sahistorians.org.au, Uranium SA Limited, Uranium SA Limited website http://www.uraniumsa.com.au/ and media releases May-June 2012).

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ELECTRONIC SOURCES (Cont’d) Whyalla Industrial Estate website 2012, www.whyallaindustrialestate.com Whyalla City Council (2012) Whyalla City Council website, www.whyalla.com

OTHER SOURCES Alternative Port Working Party, Alternative Port Working Party presentations to SA State Government, March 2012. Ian Neville, Branch Manager, Labour Market research and Analysis Branch, Overview of the Eyre Peninsula Labour Market, Presentation at Port Lincoln Hotel, 25 May 2012. J Dennis, Advisor – Stakeholder Relations, NBN Co, Presentation by to RDAWEP Board, 18 May 2012. John Hobbs General Manager OneSteel, Presentation to RDAWEP Board AGM, 11th October 2011.

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AUTHORSHIP CONTRIBUTORS

SECTION AUTHORSHIP RESPONSIBILITY Regional Plan Concept, Editorial, Executive Summary Introduction Strategic Framework and Planning Context

Mark Cant, Chief Executive Officer Bob Ramsay, Special Projects Manager

Manufacturing and Mining Mark Cant, Chief Executive Officer Alex Todd, Economic Development Manager Whyalla Bob Ramsay, Special Projects Manager

Agriculture Amanda Bridge, Economic Development Manager, Port Lincoln

Fishing, Aquaculture and Regional Food Product Amanda Bridge, Economic Development Manager, Port Lincoln Charmaine Triffitt, Business Development Adviser, Port Lincoln Stacey Fallon, Food Development Officer

Tourism Brad Riddle, Tourism Development Manager

Small Business Charmaine Triffitt, Business Development Adviser, Port Lincoln Heidi Freeman, Business Development Adviser, Whyalla Howard Coote, Indigenous Economic Development Manager

Infrastructure Mark Cant, Chief Executive Officer Bob Ramsay, Special Projects Manager

Education, Training and Employment and Job Creation Strategy

Peter Mitchell, Employment and Skills Development Manager, Andrea Broadfoot, Local Employment Coordinator, Whyalla, Port Augusta and Port Pirie Shaun Thomas, Education Skills and Jobs Coordinator DEEWR Angela Brougham, SA Works Regional Coordinator

Economic Development and Job Creation Strategy Bob Ramsay, Special Projects Manager Mark Cant, Chief Executive Officer

Table 71: Authorship Contributors.