The Programs unit works across the whole organisation to drive
corporate co-ordination, performance and accountability. The unit leads
the evaluation, development and delivery of Water Plan and Corporate
Plan, major business programs and change initiatives. It monitors and
reports on organisational performance against targets, provides policy,
governance and legal services and oversees government relations.
Cost Reduction
In 2010/11 G-MW set itself a target of achieving a minimum of 3.5%
per annum cost reduction across all recurrent expenditure proposed
under its Water Plan over the remaining three years of the Plan, As
well, it set itself a target of having the lowest proportional corporate
overhead of Australian rural water providers by the end of 2012/13.
To achieve these objectives a Cost and Performance Improvement
Committee was established to review all recurrent expenditure across the
business, develop productivity plans, review corporate overheads,
benchmark business performance and establish corporate targets.
The outcome of the expenditure review has been a cost reduction of
3.5% over the three years from 2010/11 to 2012/13. This was achieved by
various means across the different business segments and included
productivity savings, reduced staffing under modernisation,
consolidation of work units, centralisation of support functions,
development of internal service agreements, improved processes, work
practices and technology, reduced contingency provisions and elimination
of non-core/non-essential tasks.
As part of the Cost and Performance Improvement review, a range of
strategic change projects were initiated totalling nearly $7 million
over three years and these are being funded by investing some of the
cost savings back into the business, These strategic change projects
include a range of reviews into costs, billing, pricing and tariffs,
borrowings and finances, Information Communications and Technology,
strategy and security, whole of life costs and additional resources for
billing, customer data cleansing, financial management, regulatory and
pricing, government relations and strategic planning.
The outcome to date of the review of corporate overheads has been a
7% reduction in overheads for 2011/12 and the work of the Cost and
Performance Improvement Committee is continuing.
Notes and reasons for non-achievement:
1. Lower than expected deliveries in the second part of the
irrigation season. Diversion data based on hydrographic and operational
data. Not all hydrographic data available at the time of assessment,
once all hydrographic data is available, the system efficiency may
change. The calculation of system operating requirements in the
Torrumbarry system has been effected by the overbank flows that occurred
during periods of flood in 2010/11. The overbank flows have compromised
the ability to accurately assess the amount of water entering and
exiting the system. The system operating requirements have been based on
the total estimated flow into and
out of the system. Shepparton Gravity Irrigation Area, which is fully
modernised achieved an efficiency rate of around 90%.
3. Unplanned service failures greater than
12 hours related to failure of assets; mainly 2 pipeline breaks in the
Torrumbarry pumped districts, 2 channel bank failures and flooding
impact in the Torrumbarry area. Service was reinstated as quickly as
possible, full consultation was undertaken with affected customers.
6. This figure represents all complaints to EWOV including 4
Stage 1 complaints, 14 Stage 2 compliants and 1 Stage 3 complaint.
8. Intra and Interstate transactions rely on timely responses from other water corporations to meet KPI.
9. The large number of Water Share applications involved in the
4% Ballot results in the majority of Ballot application processing times
exceeding the 15 days KPI.
23. Due to low deliveries there have been low numbers of orders and these are being optimised to minimise losses.
28. Start of season system fill and low deliveries have
contributed to low efficiency and higher than expected unaccounted for
water losses. All operational areas were below water loss targets at the
end of the irrigation season.
31. Due to evaporation from the 2 open storages that supply the
system; delivery loss in channels that supply the open storages;
flushing of the system; and failure of pipeline due to extended drought
and floods.
33. Due to low deliveries there have been low numbers of orders and these are being optimised to minimise losses.
34. Start of season system fill and low deliveries have
contributed to low efficiency and higher than expected unaccounted for
water losses. All operational areas were below water loss targets at the
end of the irrigation season.
37. Due to low deliveries there have been low numbers of orders and these are being optimised to minimise losses.