Output 9.1 Loose Fill Asbestos Insulation Eradication Scheme

Overview

The directorate was responsible, through the Asbestos Response Taskforce, for implementing the Loose Fill Asbestos Insulation Eradication Scheme which is designed to eradicate, through the acquisition and demolition of the 1,022 affected houses, loose fill asbestos insulation from houses in the ACT. Loose fill asbestos (commonly known as ‘Mr Fluffy’) insulation was pumped into the ceilings of houses as insulation throughout Canberra in the period 1968 to 1979.

The scheme provided a comprehensive, coordinated and compassionate response to the health, social, financial and practical consequences of the continuing contamination of affected houses and encompassed:

  • the provision of emergency support and financial assistance to affected homeowners and residents;
  • development of advice on an enduring solution to problems created by this pre-self government legacy issue;
  • provision of information and advice to the wider Canberra community;
  • the voluntary acquisition and demolition of affected houses; and
  • the sale of remediated blocks to their former owners under first right of refusal arrangements, or to the general public through a public sales process.

The total cost of the Scheme is estimated to be $1 billion (with a net cost of around $400 million). It comprises four distinct but overlapping phases: assistance, buyback, demolition, and sales.

Within each of these phases a range of key milestones have been developed that represent critical performance and reporting indicators. In addition to these key milestones, there are performance requirements that span the entire Scheme. The three key streams of activity for the Taskforce are:

  • provision of assistance, community engagement and advice;
  • administration of the voluntary buyback, demolition and sales programs; and
  • a governance, technical and regulatory policy advice stream.

The Taskforce is made up of staff from across the ACTPS. Due to the degree of coordination required, the unprecedented scale of the Scheme, and the speed with which it has been designed and implemented, the Taskforce has developed a clear governance structure designed to ensure the efficient delivery of the scheme and ensure risks are appropriately identified and managed. The governance structure supports the safe and effective delivery of the intended outcomes of the Scheme while minimising duplication of functions across the ACTPS by drawing on the expertise and systems established elsewhere (including other areas of the directorate).

The Taskforce has continued to implement the scheme balancing an urgent and responsive approach with proper probity and accountability requirements, underpinned by the governance framework which fosters sensible and considered engagement with risk and ensures controls and incident management processes provide effective and timely responses.

During the reporting period, the Auditor-General conducted the first of three planned performance audits of the Taskforce, focussing on financial management and governance frameworks. The overall conclusion was that the planning for and management of the financial arrangements for the implementation of the Scheme has been effective, and that the Taskforce’s approach to governance and risk management reflects better practice. The Report, released in May 2016, also highlighted that the risk management arrangements were detailed and targeted with responsibilities clearly defined.

In 2015-16 there were three complaints investigated by the Ombudsman, two in relation to freedom of information and one seeking a review of a Taskforce decision. In all cases the Ombudsman deemed that no further investigation was warranted.

As at 30 June 2016:

  • a total of 976 offers had been accepted under the voluntary buyback program, with 882 properties acquired by the Government;
  • 234 houses had been demolished;
  • 150 remediated blocks had been removed from the Register of Affected Residential Premises established under the Dangerous Substances Act 2004;
  • 98 offers to sell remediated blocks had been made under the First Right of Refusal arrangements;
  • two blocks had been sold under First Right Of Refusal and 34 remediated blocks sold through the public sales process; and
  • 24 affected owners had elected not to participate in the scheme.

Highlights

Against this output in 2015-16 the directorate:

  • continued and expanded engagement with affected homeowners, tenants and their families, as well as keeping the community informed through a series of community forums, seniors morning teas, attending community council meetings and through a monthly newsletter, quarterly reporting to the Legislative Assembly, website and social media channels;
  • implemented legislative and regulatory changes to facilitate implementation of the scheme, and support management of ongoing asbestos exposure risks in occupied affected houses including significant collaboration with industry and regulatory bodies;
  • published for the first time an authorised and complete list of affected properties;
  • conducted a formally reviewed pilot demolition program comprising five affected houses;
  • completed a tender process for a panel of head contractors to undertake the demolition program;
  • exceeded the annual target of 50 demolitions for 2015 – demolishing 57 houses;
  • continued to engage licensed asbestos removalists, licensed asbestos assessors and licensed demolition contractors to safely demolish affected houses – works that are independently regulated and monitored by WorkSafe ACT and ACT Environment Protection Authority;
  • developed a suite of engagement materials and approaches that, with the support of ACT Property Group and demolition head contractors, keeps neighbours informed about progress and activity from acquisition of the affected property, through the demolition works to deregistration and sale, including:
    • the delivery of more than 4,000 letters to former residents and neighbours of affected properties;
    • doorknocking of more than 700 neighbouring properties especially around clusters of affected properties; and
    • hosting a ‘Neighbour Day’ community event in Kambah and a drop-in information session at local shops;
  • released the Indicative Demolition Schedule for the scheme in August 2015 and an update in February 2016;
  • collocated personal support staff with community service organisations across Canberra to provide ease of access for affected (especially elderly) homeowners, and to foster closer linkages with community and service providers;
  • continued to support the Community and Expert Reference Group which works with the directorate to provide advice relating to engagement with the community, including exploring concerns raised by individuals or community groups;
  • supported the conduct by the Australian National University’s National Centre for Epidemiology and Population Health of the ACT Asbestos Health Study that will continue over the next two years, with data collection scheduled to be completed in July 2016 with analysis and findings expected to be released in 2017;
  • supported consultation on and approval of Variation 343 to the Territory Plan creating special planning permissions on remediated blocks sold through the scheme;
  • developed effective processes and procedures for managing and re‐assessing the implementation of the scheme, including expenditure and an ongoing commitment to actively manage risks that provides a robust and responsive program and supports the delivery of the scheme in a safe, effective and efficient manner;
  • supported the Eradication Scheme Steering Committee, a key component of the governance structure, which met 12 times to monitor the Scheme’s progress and performance, and provide oversight and expert advice in relation to key decisions made in relation to the successful delivery of the scheme; and
  • received endorsement from the Auditor-General of the Scheme’s governance framework, in the first of three planned performance audits, with the Auditor‑General concluding that the planning for and management of the financial arrangements for the implementation of the scheme has been effective, and the Taskforce’s approach to governance and risk management reflects better practice.

The directorate met seven out of nine targets against this output and exceeded two other targets. The targets that were exceeded are:

  • (c) Conduct and/or attend Community Forums/Meetings on Loose Fill Asbestos Insulation (health, management, demolition), where an additional 16 events were held during the year due to community demand; and
  • (i) Develop laws and amending legislation to facilitate the efficient implementation of the Loose Fill Asbestos Insulation Eradication Scheme, where an additional legislative amendment was facilitated during the reporting period.

Future Direction

In 2016-17, the directorate will focus on:

  • continuing to provide clear advice and personalised support to affected homeowners, especially in relation to the first right of refusal process;
  • continuing engagement with neighbours to ensure they remain aware of planned and actual demolition and sales  program activities;
  • concluding the Voluntary Buyback Program;
  • continuing to demolish affected houses as quickly as is safely possible, while maximising efficiency and ensuring work, health and safety principles are adhered to;
  • continuing the resale of remediated blocks; and
  • continuing to support the ANU National Centre for Epidemiology and Population Health conduct the study into asbestos exposure in affected homes.

For further information contact:

Andrew Kefford
Head
Asbestos Response Taskforce
+61 2 6205 4717
Andrew.Kefford@act.gov.au

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