- Command Centre and Canine Facility at West Sydney International (Nancy-Bird Walton) Airport
Department of Infrastructure, Transport, Regional Development, Communications and the Arts
2.1The Department of Infrastructure, Transport, Regional Development, Communications and the Arts (DITRDCA) seeks approval from the Committee to proceed with the proposed Command Centre and Canine Facility at West Sydney International (Nancy-Bird Walton) Airport (WSIA).
2.2This project would construct two standalone buildings at the Western Sydney International (Nancy-Bird Walton) Airport, Badgerys Creek, NSW:
- The Command Centre will accommodate operational and support staff of the Australian Border Force, Department of Agriculture, Fisheries and Forestry, and the Australian Federal Police, (‘the Border Agencies’). This building will also house the administrative headquarters of Western Sydney Co Limited (WSA)—the Government Business Enterprise established to construct and operate the airport—as well as providing areas for third party tenancies in line with the building’s location in the airport terminal plaza.
- The Canine Facility will enable training of sufficient dogs and specialist handlers to support Border Agencies at WSI and potentially other freight operations in Greater Western Sydney such as Air Cargo Terminal Operators facilities and the Clyde International Mail Centre.
- The estimated cost of delivery of the project is not to exceed $265.02 million (excluding GST).
- The project was referred to the Committee on 11 September 2024.
Conduct of the inquiry
2.5Following referral, the inquiry was published on the Committee’s website.
2.6The Committee received one submission and one confidential submission. A list of submissions is in Appendix A.
2.7On 15 November 2024, the Committee received a private briefing, and then conducted a public and in-camera hearing at Australian Parliament House, Canberra. A transcript of the public hearing is available on the Committee’s website.
Need for the works
2.8The opening of the WSIA in late 2026 will generate a large volume of passengers and cargo in the international freight and passenger hub in Greater Western Sydney. This will create a substantial enforcement task for Australian Border Force (ABF), the Department of Agriculture, Fisheries and Forestry (DAFF) and the Australian Federal Police (AFP) who are tasked with managing Australia’s aviation security, biosecurity and international border arrangements.
2.9The establishment of the Command Centre and Canine Facility at WSIA will enable the Border Agencies undertake their functions near to the passenger terminal and cargo area, as well as provide efficient and enhanced cross-agency cooperation by co-locating the ABF, DAFF and the AFP.
2.10The establishment of a co-located Command Centre would be the first time that these agencies would be in the same building. At the public hearing, the ABF expanded on what that would mean:
… we're certainly co-located with our partner agencies in other airports and ports, but not in the way that we would come together in one building as proposed under this submission. At the moment we make it work, but, as Mr Savage has said, it provides us an opportunity to train, to share information and to share conversations—all those things that happen naturally in one place in a much better way—and to deliver.
2.11The current detector dog facility at Sydney (Kingsford Smith) Airport (KSA) cannot be expanded, and the construction of the Canine Facility will allow for the effective delivery of detector dog operations without reducing the capabilities at KSA. The construction of a Canine Facility in the WSIA complex will also improve the wellbeing and safety of dogs and their handlers by reducing shift travel times.
2.12Other negative outcomes outlined by DITRDCA if the works did not occur include:
- the imposition of additional costs to effectively distribute and manage equipment, training, and staff
- a strain on ABF, DAFF and AFP culture and cohesion
- requiring additional efforts to ensure operational consistency and outcomes achievement across all locations
- inhibiting collaboration between ABF, DAFF and AFP.
Options considered
2.13The following options were considered:
- Base Case: 50% use of Command Centre Site without expansion capacity: This option involved construction of a ten-storey Command Centre covering half the available site, with no expansion capacity. While this option would provide modest capital savings, it would create difficulties if the Border Agencies needed to expand their operational footprint in response to future airport expansion.
- Option 1: 50% use of Command Centre Site with expansion capacity: This option involved construction of a ten-storey Command Centre covering half the available site, with in-built expansion capacity. This option was determined to provide the best balance between achieving cost effectiveness and meeting the ABF, DAFF and AFP’s requirements, offering potential future expansion options plus enhanced opportunities to generate future commercial returns for WSIA.
- Option 2: Canine Facility + 100% Command Centre: This option involved construction of the Canine Facility and a ten-storey Command Centre covering the entire available site. While this option would create commercial leasing and revenue opportunities, an uncertain demand for commercial office space on the airport site together with a higher upfront capital investment made this option not viable at this time.
- Do Nothing: The option of not constructing the Command Centre and Canine Facility was considered as a counter argument, however, this option would result in negative outcomes, including additional staffing and vehicle costs due to the need to transport officials from off the airport site, increased delays for passengers and cargo processing, reduced effectiveness of biosecurity and customs enforcement, and potentially diminished safety and security outcomes for airport users. From this analysis, it was concluded that this option provided suboptimal outcomes for airport users and the wider Australian community through not effectively delivering legislated functions.
- Based on the design options considered, DITRDCA concluded that Option 1 was the preferred option.
Scope of the works
2.15Subject to parliamentary approval, the construction work of both facilities is scheduled to commence by Quarter 1 2025. The Canine Facility is scheduled for completion by Quarter 2 2026, and the Command Centre by Quarter 1 2027.
Command Centre
2.16At 30% design, the Command Centre will be a nine-storey building with two basement levels across a land area of approximately 2,422m2 and overall lettable area of approximately 17,000m2.
2.17The preferred design provides for future proofing by incorporating a split floor plate, allowing future expansion into the remainder of the allotted site. The basement configuration also permits future expansion into a new adjacent basement.
2.18The building will be completed with a warm shell fit-out, providing all hydraulic, mechanical, electrical, fire and base building security systems. Specialist equipment and technology will be supplied by each tenant for their respective areas of the buildings.
2.19In terms of finalisation, the DITRDCA advised that the proposed completion of the works would occur after the airport had commenced operations:
In terms of the command centre, that will be available for the final fit-outs and commissioning early in 2027. I think it's important to note that WSI will scale up its operations over time, and when it opens, while the commercial agreements are not yet in place, we'll adjust to that schedule as it is negotiated with the international airlines. But the agencies have expressed that they are confident that there will be arrangements in place to manage what will be a smaller workload of international passengers and freight.
Canine Facility
2.20The Canine Facility will provide specialist spaces including veterinarian treatment rooms, exercise yards, a hydrotherapy pool, all weather kennels and isolation areas for animal recovery and rehabilitation. The Canine Facility will also provide offices and facilities for all administration functions, and house equipment to enable training of dogs and specialist handlers.
2.21The Canine Facility is a single storey building which will occupy a 24,000m2 site in the south-east of the airport site, near the proposed business park. The location will allow for:
- cost-effective provision of utilities to the site
- easy vehicle access via local roads
- operational requirements of the ABF, DAFF and AFP
- sufficient distance to prevent noise from the facility affecting airport users and future developments, and as far as practicable the exposure of dogs and staff to airport noise.
- The Canine Facility is expected to be completed before airport operations commence.
Consultation
2.23The ABF, DAFF and the AFP have engaged with operational staff to determine requirements for the facilities. This included engagement on staff wellbeing, privacy, safety, audio and visual amenity and general comfort.
2.24Significant engagement on security features has also occurred during the design process, and a security consultant organisation was engaged to provide further assurance.
2.25The works are not expected to have a significant impact on the local community.
Cost of the works
2.26The costing of the works has been provided at 30% design. WSA has undertaken an Early Contractor Involvement procurement approach and established a not to exceed figure for each building. These are:
- Canine Facility: $46.35 million
- Command Centre: $218.67 million
- WSA, following a competitive procurement process, has engaged one contractor to design both buildings. Once the 90% designs are completed and approved, and the cost plans accepted, WSA can then elect to proceed to construction. A higher than budgeted cost may require the scope to be value engineered, or a further procurement process to be undertaken. The ECI approach has the benefit of ensuring collaborative development of design to best meet the requirements of the Border Agencies, minimising start-up costs, allowing WSA to leverage its considerable experience on the airport site, and ensuring effective integration between the construction of the facilities and the other major activities on the site.
- At 60% and 90% design stages, prior to executing a construction contract, the cost plans will be reviewed by WSA cost planners and verified by independent cost planners and Quantity Surveyors.
- Any anticipated cost pressures will be negotiated directly between WSA and DITRDCA as the Shareholder Department representative to the Australian Government.
- Additional detail on costs associated with the works was provided to the Committee by DITRDCA in its confidential submission and private briefing/in camera hearing. At the public hearing, DITRDCA explained:
The business case that we undertook considered options to scale facilities as well as who should lead on delivery. The scale and related funding was agreed by government and the delivery mechanism selected was for WSA to deliver the projects as they are across the rest of the airport site. The measures are in relevant budget papers, but the total equity investment in WSA is not for publication to protect WSA's commercial position with its contractors.
Public value
2.31The value of the project is in ensuring high-quality border services to mitigate threats and facilitate the safe and secure movement of people and goods across the international border at WSI. This includes biosecurity protection, policing and preventing interference with aviation. At the public hearing, the benefits of on-site location were explained:
…given that it's a 24/7 facility, being as close as possible to the activity is important both for our officers and also for the canines that we're proposing to use. Any transit time that can be reduced to enable operations is a positive for us.
2.32DITRDCA also identified the generation of temporary employment opportunities for construction and building contractors to support the proposed works.
Committee comment
2.33The Committee did not identify any issues or concerns with the proposal, and it is satisfied that the project has merit in terms of need, scope and cost.
2.34The Committee notes the benefits of co-locating agencies with shared responsibilities to manage aviation, biosecurity and international border arrangements, as well as the efficiencies of ensuring co-location at the design phase, as opposed to retrofitting post-commencement of operations. The Committee also notes that the agencies will be completing the specialist elements of each fit-out individually, which may require further Committee scrutiny.
2.35Having regard to its role and responsibilities contained in the Public Works Committee Act 1969, the Committee is of the view that this project signifies value for money for the Commonwealth and constitutes a project which is fit-for-purpose, having regard to the established need.
2.36The 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 works: Department of Infrastructure, Transport, Regional Development, Communications and the Arts - Command Centre and Canine Facility at West Sydney International (Nancy-Bird Walton) Airport.
2.37Proponent entities must notify the Committee of any changes to the project scope, time, cost, function or design. The Committee also requires that a post implementation report be provided within three months of project completion. A report template can be found on the Committee’s website.