Chapter 2 Construction of a new Australian Embassy, Jakarta, Indonesia
2.1
The construction of a new Australian embassy complex in Jakarta,
Indonesia proposes to provide embassy facilities including chancery, head of
mission residence, staff housing and recreational facilities. The project will be
delivered by the Department of Foreign Affairs and Trade (DFAT) at an estimated
cost of $415.10 million (excluding Indonesian Government import duties and
taxes).
2.2
The project was referred to the Committee on 18 June 2009.
Conduct of the inquiry
2.3
The inquiry was advertised in national newspapers and submissions sought
from those with a direct interest in the project. The Committee received two submissions
and one confidential supplementary submission detailing the project costs. A
list of submissions can be found at
Appendix A.
2.4
The Committee received a briefing on the scope of works, and undertook a
public hearing and an in-camera hearing on the project costs on
4 August 2009 in Canberra. A list of witnesses can be found at
Appendix B.
2.5
The transcript of the public hearing as well as the submissions to the
inquiry are available on the Committee’s website.[1]
Plans for the proposed works are detailed in Submission 1: Department of Foreign
Affairs and Trade (DFAT).
Need for works
2.6
The DFAT submission states that the works are needed to provide a
purpose built embassy complex ‘to enable appropriate security provisions to be
incorporated into the design of the proposed facilities.’ The necessary
security provisions were identified after the 9 September 2004 terrorist attack
on the existing embassy which resulted in 11 deaths and multiple injuries. [2]
The need for secure facilities was further reiterated following the July 2009
hotel bombings in Jakarta.
2.7
DFAT confirmed that the current embassy is of concern due to the:
vulnerability to the very main road. We cannot achieve the
setback requirements that we need in our current location, whereas by moving to
a new, purpose-built, larger site we can achieve much better security
arrangements. I suppose the answer is, yes, we are on a major, very busy road
which we cannot control, so that is a more dangerous area by its nature than
our site.[3]
2.8
In addition to security needs, DFAT states that current facilities are
overcrowded and therefore dysfunctional, resulting in the use of inappropriate
leased accommodation in insecure locations.
2.9
The following agencies require facilities in the embassy complex:
n Department of
Immigration and Citizenship;
n Australian Agency for
International Development (AusAID);
n Department of
Defence;
n Australian Federal
Police;
n Australian Trade
Commission (Austrade);
n Australian Customs
Service;
n Attorney General’s
Department;
n Department of
Agriculture, Fisheries and Forestry;
n Department of
Education, Employment and Workplace Relations;
n Department of
Infrastructure, Transport, Regional Development and Local Government;
n National Library of
Australia;
n Treasury; and the
n Australian Centre for
International Agricultural Research.
2.10
Given the importance of the Australian representation in Indonesia
through its embassy and the need to recognise the particular security
requirements of the Australian embassy, the Committee finds that there is a
need for the proposed works.
Scope of works
2.11
The proposed scope of the works, including associated drawings, is
detailed in Submission 1: DFAT. In short the project proposes the following:
n A chancery consisting
19 000 sq/m to house office facilities for represented agencies including
meeting space, car parking and storage;
n the head of mission
(HOM) residence consisting a five bedroom executive residence with guest suite
and staff accommodation and including functional space for official activities;
n residential
accommodation consisting of:
- eight
four-bedroom senior executive service (SES) residences between 220-240m2;
and
- 24
four-bedroom non-SES residences between 180-220m2;
n recreational
facilities, including:
- indoor/outdoor
covered bar and covered area;
- major
function clubroom and facilities;
- medical
clinic;
- community
liaison officer and travel agent offices;
- commissary;
- three
emergency accommodation units;
- swimming
pool facilities;
- multi-purpose
sports court;
- two
tennis courts; and
- paved and
lawn areas for functions.
n engineering services;
and
n an integrated fitout
in response to tenant requirements including integrated security requirements.[4]
2.12
DFAT told the Committee that the provision of 32 on-site residential
units will accommodate staff identified as essential to the operation of the
mission in an emergency situation. Responding to concerns about a lack of
capacity on the proposed site for future growth, DFAT responded:
Notwithstanding an overall increase. [The core staff] would
remain the same because they represent the senior representative of each agency
at the posts. Whereas your senior Defence representative will be living on
compound, he might have five support staff. Now it could be 10 but he will still
be the one person, so it does not necessarily follow that the contingency or
emergency staffing contingent would grow with overall staffing numbers.[5]
2.13
The specific security measures included in the scope of works are:
n ‘defence in depth’
features with ‘utilise layers of passive and active security measures to cocoon
the more secure areas’;
n monitored perimeter
walls with controlled guard access points and restricted landscaping;
n automated perimeter
lighting;
n separation of public
and official building access;
n intruder and distress
alarms as appropriate; and
n construction of building
shells in appropriate secure materials.[6]
2.14
The Committee received confidential evidence regarding the security
measures and is confident that all practical measures are in place to ensure
the safety of the complex.
2.15
The Committee was also provided with detailed pictures of the site and
proposed construction at the public hearing and commends the architectural team
for the design elements incorporated in the complex. These elements not only
recognise security needs but also appropriately represent the Australian
character in a modern building design.
2.16
The Committee finds that the proposed scope of works is suitable to meet
the needs of the proposed works.
Cost of works
2.17
The total estimated out-turn cost for this project is $415.10 million
including construction and project management costs, but excluding land costs.
The Committee examined these costs in detail at an in-camera hearing.
2.18
In regards to project delivery, the Committee was told:
A traditional delivery of methodology comprising full design,
documentation, tendering and awarding of a lump sum headwork’s contract has
been selected for this project on the basis that this will offer the best value
for the Commonwealth. This approach also provides the greatest degree of
control through all project stages, minimising the risk with respect to budget,
program and quality issues. A specialist project management organisation with
requisite international experience will administer the onsite construction
delivery.[7]
2.19
The Committee is satisfied that the costings and delivery methodology for
the project provided to it are appropriate.
Project issues
Environmental measures
2.20
As stated previously,[8] this Committee expects
Commonwealth agencies to be leaders in implementing environmentally sustainable
design. Through this project, DFAT is setting a leading example of design that
is not only sensitive to the Indonesian environment, but recognises the need to
utilise low resource technologies.
2.21
Together with energy efficiency measures such as small windows, building
insulation and modular air-conditioning units, the design also incorporates:
Total site water cycle management including potable water,
rainwater and sewage. We will be collecting rainwater from the roofs of the
buildings and recycling and reusing that in a range of different ways. The use
of green roofs, which is to put grassed roofs on top of a lot of the buildings,
which increases the thermal protection and insulation on the buildings.[9]
2.22
DFAT confirmed that the building would comply with the Energy Efficiency
in Government Operations (EEGO) policy, which requires a
4.5 star minimum efficiency rating, and hopes to exceed the 5 star rating
towards a 6 star rating under the Australian Building Greenhouse Rating (ABGR)
scheme.[10]
2.23
The Committee commends the architectural team for the environmental
design of the complex.
Capacity of the local industry
2.24
The construction capacity of the local industry was raised as an issue
of concern. The Committee was told:
Jakarta has a fairly sophisticated construction industry. We
[Denton Corker Marshall Pty Ltd] would expect that tenderers might well be
Australian companies that would joint venture with local contractors to do it.
It is unclear at this stage who will actually be bidding, but they are the
sorts of things we would expect. Certainly within the industry locally in Jakarta the capacity is there. We have constructed a number of high-rise office buildings
and things in Jakarta over the last few years and there have been no issues in
terms of skills.[11]
2.25
DFAT also confirmed that the site would be fully controlled with a pass
entry system and all workers subject to an Indonesian police check.[12]
Concurrent documentation
2.26
Following the public hearing held on 4 August 2009, the Department of
Foreign Affairs and Trade requested the Committee’s approval to undertake
concurrent documentation[13].
2.27
The Committee was satisfied with the evidence provided to it and agreed
to the Department’s request.
Committee comment
2.28
Overall, the Committee is satisfied that this project has merit in terms
of need, scope and cost.
2.29
Having examined the purpose, need, use, revenue and public value of the
work, the Committee considers that it is expedient that the proposed works
proceed.
Recommendation 1 |
|
|
The Committee recommends that the House of Representatives
resolve, pursuant to Section 18 (7) of the Public Works Committee Act
1969, that it is expedient to carry out the following proposed work:
construction of a new Australian embassy complex in Jakarta, Indonesia. |
Senator the Hon Jan
McLucas
Chair
13 August 2009