MINERALS COUNCIL OF AUSTRALIA Senate...6 Minerals Council of Australia, MCA Land stewardship policy,...
Transcript of MINERALS COUNCIL OF AUSTRALIA Senate...6 Minerals Council of Australia, MCA Land stewardship policy,...
MINERALS COUNCIL OF AUSTRALIA
SUBMISSION TO THE SENATE ENVIRONMENT AND COMMUNICATIONS COMMITTEE INQUIRY INTO
AUSTRALIA’S FAUNAL EXTINCTION CRISIS
5 OCTOBER 2018
Minerals Council of Australia
TABLE OF CONTENTS
EXECUTIVE SUMMARY ........................................................................................................................ 1
INTRODUCTION ..................................................................................................................................... 2
PRESSURES ON AUSTRALIAN BIODIVERSITY.................................................................................. 2
MINING AND BIODIVERSITY ................................................................................................................ 3
REGULATORY AND POLICY FRAMEWORK FOR MINING ................................................................. 7
ENHANCING BIODIVERSITY OUTCOMES .......................................................................................... 9
FURTHER INFORMATION ................................................................................................................... 11
Minerals Council of Australia | 1
EXECUTIVE SUMMARY
The Minerals Council of Australia (MCA) is the peak industry organisation representing Australia’s
exploration, mining and minerals processing industry, nationally and internationally, in its contribution
to sustainable development and society. The MCA’s strategic objective is to advocate public policy
and operational practice for a world-class industry that is safe, profitable, innovative, environmentally
and socially responsible and attuned to its communities’ needs and expectations.
The minerals industry is committed to upholding high standards of environmental protection based on
the use of sound science and robust risk-based approaches in the assessment and management of
potential environmental impacts.
The minerals industry has a relatively small footprint – representing <0.1 per cent of Australia’s land
mass and less than 3.7 per cent of national water consumption. While not a significant driver of
biodiversity loss, the industry recognises the need to address biodiversity conservation as a key
component of environmental management in the regions in which mining occurs.
The industry has a mature and proactive approach to biodiversity management. Mining companies
invest heavily in the collection of data as part of project approvals. Furthermore, many companies
undertake additional voluntary actions including partnering in research and specific conservation and
recovery initiatives. The MCA and other industry bodies support improved industry performance
through the development of guidance on the assessment and management of environmental impacts
including biodiversity.
The minerals industry has long understood the value of harnessing the knowledge of Indigenous
Australians in managing land. The industry implements plans that promote and harness traditional
ecological knowledge, and implement culturally-appropriate strategies for flora and fauna
management.
Modern mining environmental practice is highly regulated, generally well implemented and widely held
to account. Biodiversity management is already well embedded within the Australian regulation at the
state/territory and national levels. Should it be determined the policy outcomes are not being realised,
it the nature and adequacy of implementation of biodiversity related policies that should be examined.
Opportunities exist to harness the industry’s experience and investment in biodiversity management
through data sharing, knowledge transfer, and leveraging research outcomes. Finally implementation
of strategic approaches to biodiversity offsets may also enhance broader biodiversity outcomes.
Minerals Council of Australia | 2
INTRODUCTION
The Minerals Council of Australia (MCA) welcomes the opportunity to provide a submission to the
Senate Environment and Communications References Committee inquiry into Australia’s faunal
extinction crisis.
The MCA is the peak industry organisation representing Australia’s exploration, mining and minerals
processing industry, nationally and internationally, in its contribution to sustainable development and
society. The MCA’s strategic objective is to advocate public policy and operational practice for a
world-class industry that is safe, profitable, innovative, environmentally and socially responsible and
attuned to its communities’ needs and expectations.
The minerals industry is committed to upholding high standards of environmental protection based on
the use of sound science and robust risk-based approaches in the assessment and management of
potential environmental impacts.
This submission outlines the industry’s approach to biodiversity assessment and management and
identifying opportunities to enhance biodiversity conservation outcomes, including the industry’s
contribution to research initiatives and species recovery. The submission also provides information
on the comprehensive regulatory framework under which the industry operates.
PRESSURES ON AUSTRALIAN BIODIVERSITY
The Australian minerals industry acknowledges the pressures that exert themselves on the Australian
environment. These pressures are detailed in the 2016 State of the Environment (SoE) Report:
The poor state and declining trend of Australia’s biodiversity are an issue of particular concern. For
instance, the number of species listed as threatened under the EPBC Act continues to rise. Since 2011, the
number of species listed in the critically endangered category has increased by 31, and 2 species have been
reported as likely extinct. Overall pressures on biodiversity have mostly increased since 2011, and the
status of biodiversity has mostly decreased, but our information base remains inadequate to robustly assess
state and trends.1
The main pressures facing the Australian environment today are the same as in 2011: climate change, land-
use change, habitat fragmentation and degradation, and invasive species. In addition, the interactions
between these and other pressures are resulting in cumulative impacts, amplifying the threats faced by the
Australian environment.2
With respect to the mining industry, the 2016 SoE report finds:
Direct effects of mining are a weak pressure at the national scale, since the areas affected are relatively
small. However, cumulative impacts can be significant for states or territories with large mining industries.3
As acknowledged in the SoE report, the mining industry has a relatively small footprint – representing
<0.1 per cent of Australia’s land mass and less than 3.7 per cent of national water consumption.4
While not a significant driver of biodiversity loss, the industry recognises the need to address
biodiversity conservation as a key component of environmental management in the regions in which
mining occurs.
1 Department of Environment and Energy, State of the Environment 2016, Overview of state and trends of biodiversity.
2 Department of Environment and Energy, State of the Environment 2016, Executive summary - Overview.
3 Department of Environment and Energy, State of the Environment 2016, Energy and Resource Extraction and Processing.
4 Department of Environment and Energy, State of the Environment 2016, Land Use and Management, Canberra, 2016 and
Australian Bureau of Statistics, Water Account, Australia, 2015-16, water use tables, ABS catalogue no. 4610.0, released 23 November 2017
Minerals Council of Australia | 3
MINING AND BIODIVERSITY
Industry commitment to managing biodiversity
The minerals industry is committed to responsible environmental management, including biodiversity.
MCA member companies are signatories to Enduring Value – the Australian Minerals Industry
Framework for Sustainable Development.5 Key framework principles relevant to biodiversity include:
Principle 6 – Seek continual improvement of our environmental performance
Principle 7 – Contribute to the conversation of biodiversity and integrated approaches to land
use planning
The minerals industry approach is reflected in the MCA Land Stewardship Policy. Minerals
operations apply the ‘avoid-minimise-mitigate’ management hierarchy to address potential impacts on
biodiversity and broader environmental values.6
Noting the location of a geological resource constrains mining operation locations, there may be
instances when it is necessary to mitigate impact on significant residual loss of
conservation/biodiversity values through offsets, the use of which is regulated by state/territory and
where relevant, federal regulation. The MCA has developed principles to guide the development and
application of biodiversity offset measures.7 Biodiversity offsets enable a company to deliver an
overall conservation outcome that improves or maintains the viability of the aspect of the environment
protected by the Commonwealth and/or States/Northern Territory.
Research, development and application of leading practice
In addition to compliance with legislation and regulations, the industry is continually looking to develop
and adopt new and improved approaches to monitoring, assessing and managing biodiversity.
Nature-based initiatives commonly supported by the industry include flora and fauna research,
community education programs and initiatives to capture and apply traditional ecological knowledge.
While individual companies undertake their own research, cross-sectoral research programs, like the
industry funded Australian coal research program (ACARP), has completed a range of
environmental/biodiversity research projects.
Industry associations, including the MCA, also contribute to improved practice through a program of
knowledge sharing and promote improved industry practice. This has included the development of
guidance to assist companies to manage potential environmental impacts, including on biodiversity
values:
Cumulative environmental impact assessment, Industry Guide - Developed by the MCA to
assist members in conducting well-designed, leading practice cumulative environmental
impact assessments8
Good Practice Guidance for mining and biodiversity, developed by the International Council
on Mining and Metals with input from the International Union for Conservation of Nature9
Biodiversity Management handbook – Developed with industry and MCA input for the
Department of Industry, Innovation and Science’ Sustainable Mining program. The booklet
has been translated into eight different languages for overseas use.10
5 Minerals Council of Australia, Enduring Value Framework, 2015 Edition, MCA, Canberra, 2015
6 Minerals Council of Australia, MCA Land stewardship policy, October 2012
7 Minerals Council of Australia, MCA Biodiversity offsets policy, October 2014
8 Minerals Council of Australia, Cumulative Environmental Impact Assessment Industry Guide, viewed August 2 2018
9 International Council on Mining and Metals, Good practice guidance for mining and biodiversity, ICMM, London, 2006
10 Department of Industry, Innovation and Science, Leading Practice Sustainable Development Program (LPSDP) for the
Mining Industry, viewed 2 August 2018
Minerals Council of Australia | 4
New knowledge
The acquisition of new scientific knowledge is one of the biggest contributions the minerals industry
makes to biodiversity in Australia. For example, in remote parts of Western Australia, much of the
information available about the region’s unique biodiversity is understood only because mining
companies have surveyed these areas. The industry has played a central role in the discovery of new
species either as part of an operational survey or through voluntary initiatives.
For example, BHP is the major corporate partner of Bush Blitz, a ‘nature discovery’ initiative that
brings together the Australian Government, the Australian Biological Resources Study and
Earthwatch Institute Australia. Since 2010, the initiative has discovered more than 1,553 new faunal
species.11
Management of non-operational land
The minerals industry can be a significant manager of land. Most land managed by industry is non-
operational and/or ‘buffer’ land where mining activities are not undertaken. While this land may be
used for economic benefit in line with its pre-mining purpose (e.g. grazing), it is frequently managed to
secure and/or improve its conservation values. For example, land controlled by mineral companies
may be managed for fire risk and invasive species (weeds and feral animals) to a standard above that
of the surrounding area.
Voluntary conservation initiatives
Companies may undertake voluntary conservation initiatives to augment their social licence to
operate though partnership with government, conservation organisations or local communities. These
include species conservation and recovery projects, habitat restoration and the establishment of
conservation reserves. These initiatives can have a significant positive effect on environmental and
community values.
To illustrate industry achievements, examples of successful/leading practice in biodiversity and
conservation management are provided below:
Case study: Conserving threatened species in the Western Australia desert12
The Great Victoria Desert Biodiversity Trust (Western Australia) was established as a condition of
approval for the Tropicana Joint Venture gold mine under the Commonwealth Environment Protection
and Biodiversity Conservation Act 1999. While focusing on benefits to threatened species and
communities within the desert region, including marsupial moles, the Trust will also:
Support development of a bioregional management plan;
Facilitate priority research at the landscape level;
Fund on-ground conservation management; and
Enhance Traditional Owner involvement in land management activities.
Tropicana will contribute approximately $4.4 million to the Trust over the life of the mine. A unique
aspect of the Trust is its establishment under a Trust Deed with the Public Trustee of Western
Australia. A Technical Advisory Panel compromised of representatives from environmental
organisations, community representatives and specialists guide decisions of the Trust.
11
Bush Blitz, Overview, viewed 17 August 2018 12
Tropicana JV, GVD Biodiversity Trust Fact Sheet, 2014, Australia, p.1.
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Case study: Biodiversity management at MMG13
At its zinc mine in Dugald River, Queensland, MMG currently monitors two threatened species known
to inhabit the surrounding Knapdale Ranges; the purple-necked rock-wallaby and the Carpentarian
pseudantechinus (a small carnivorous mouse-like marsupial). Sightings of the two species have been
increasing and populations are strong. In 2018 new research will commence in conjunction with
Ecosmart Ecology, the Sunshine Coast University and Queensland University of Technology. The
study is the first broad-area dedicated study on the Carpentarian pseudantechinus.
Biomonitoring results of the Stitt River in Tasmania have shown a marked improvement in ecological
condition since the upgrade project carried out at Rosebery Mine’s 2/5 Dam tailings storage facility in
Tasmania was completed. Fish and other macroinvertebrates have been found and their diversity
and distribution continues to grow. This initiative to improve historical seepage issues and correctly
manage the local waterways is helping to promote the biodiversity of the western Tasmanian
environment.
Case study: BHP management of ghost bats in the Pilbara14
Roosts for the ghost bat, Australia’s largest carnivorous bat, were recorded in an area proposed for
future mining disturbance in the Pilbara. Little was known about the bat’s distribution and ecology,
making it hard to assess potential impacts or management strategies.
Using new and modified technologies, the first population level study of the ghost bat in Australia
using faecal DNA material was conducted. Roosts were mapped in three dimensions to develop and
trial long-term artificial habitats to see if these could replace natural habitats. Study results will inform
future environmental approvals for activities where impacts to ghost bats may occur. The results will
also be made publicly available, as the techniques can be used for other species and locations.
Extensive collaboration helped the team address significant information gaps needed for biodiversity
conservation and future environmental approvals, both of which could potentially constrain the mine
plan. This collaboration has continued to build on Western Australia Iron Ore’s positive relationship
with environmental regulators, research institutions and peers.
Case study: Northern Hairy Nose Wombat Recovery Project15
The northern hairy-nosed wombat is one of the rarest animals in the world and a critically endangered
species.
Glencore volunteered to partner with the Queensland Department of Environment and Heritage
Protection to airlift northern hairy-nosed wombats from Epping Forest National Park to a new colony
near St George in south-west Queensland.
The St George site was established with predator-proof fencing, starter wombat burrows, water and
food stations, electrical and communication infrastructure, veterinary equipment, and predator, pest
and weed removal. An environmentally sustainable ranger station was also constructed on site.
This dynamic reintroduction program is one of the most unique and important sustainable
development projects in Australia’s natural history.
The first northern hairy-nosed wombat joey was born in October 2011 and the current population is
now around 200, up from 35 at its lowest point. With numbers slowly increasing, the establishment of
further northern hairy-nosed wombat colonies will help to secure the survival of the species.
13
MMG, 2017 Sustainability Report, page 59, viewed August 6 2018 14
BHP, Chasing Ghosts, viewed August 7 2018 15
Department of Environment and Heritage Protection, Northern Hairy nosed Wombat Recovery Project Fact Sheet, Queensland Government, viewed 14 September 2018.
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Harnessing Indigenous knowledge
The Australian minerals industry has long understood the value of harnessing the knowledge of
Indigenous Australians in managing land. The following case studies provide examples where
traditional knowledge has been used to facilitate improved mine rehabilitation outcomes and
enhancing ecological values.
Case study: Engaging traditional owners in mine rehabilitation16
Red Dirt Seeds
Red Dirt Seeds specialises in revegetation and rehabilitation of mine sites in Western Australia. It
employs several casual staff on a seasonal basis and engages regular contractors to locate and
harvest seed stocks predominantly from the Goldfields and Pilbara. Red Dirt Seeds has strong
connections with local indigenous communities who share their invaluable environmental knowledge
and commitment to the conservation of the environment. Red Dirt Seeds is committed to training and
providing on-going opportunities for seed harvesting by local indigenous communities.
Client list includes Barrick, BHP Billiton, FMG, St Barbara, AngloGold Ashanti, Rio Tinto, Goldfields
Rio Tinto – Weipa, FNQ, 2015
Local Aboriginal people are playing a leading role in providing a stable and quality supply of seedlings
to rehabilitate mined land at Rio Tinto Aluminium’s bauxite mine in Weipa, Far North Queensland.
Weipa also engages local Indigenous business Northern Haulage Diesel Services in this initiative.
They facilitate community engagement with Weipa and its surrounding communities, to collect under
storey seed for the rehabilitation process. Under storey vegetation grows beneath the level of the
forest canopy.
Last year (2014) more than 760 kilograms of seed from more than 40 species was collected by about
100 local Aboriginal pickers as a part of the community programme.
16
Rio Tinto, About Red Dirt Seeds, Weipa Indigenous Seed Collection, viewed 8 August 2018
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REGULATORY AND POLICY FRAMEWORK FOR MINING
Within Australia, modern mining environmental practice is highly regulated, generally well
implemented and widely held to account. Existing policy and regulatory frameworks adequately
address conservation and biodiversity needs for regulated activities, as illustrated by the examples
below.
Theme Evidence/Example
National laws and policies:
incentives and penalties
Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act)
Australia’s Biodiversity Conservation Strategy 2010 –203017
Numerous state and territory based Acts and subsidiary legislation. While not
“national”, much of the detail for biodiversity is legislated at the State/Territory
level due to the way the Australian Federation is constituted.
Planning and assessment at
the policy level: spatial
planning and strategic
environmental assessments
Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act)
Australian Government’s Bioregional assessments18
Australian Government’s ‘Managing the Reef’ strategic assessment and 25-
year management plan19
Strategic assessment of BHP Billiton iron ore expansion for the Pilbara20
Planning and assessment at
the project level:
environmental and social
impact assessment
The EPBC Act specifies stringent requirements for conducting Environmental
Impact Assessments as part of the environmental approvals process
Various state/territory legislation (planning, mining, environmental)
The MCA’s Cumulative Environmental Impact Assessment Guide provides
industry guidance on how to successfully undertake these complex
assessments21
Institutions: enforcement,
transparency, accountability,
inclusion, coordination and
consultation
Australian Government – Department of Environment and Energy
Australian Government – Department of Industry, Innovation and Science –
Resources Division
Various State based departments and agencies, including Environment, Mining,
Planning and Environmental Protection Authorities (EPAs)
Various state/territory legislation (planning, mining, environmental)
Funding and environmental
and social safeguards
State based financial assurance (security bonds) provides a monetary
safeguard to protect government from incurring unfunded liabilities should a
company be unable to meet its rehabilitation obligations.
State-based security bonds are regularly reviewed and updated to reflect
changing community and government expectations, industry practice and
modern rehabilitation methods, and variations in service costs. The overall pool
of funds held by government has increased substantially in recent years,
reflecting these changes and significant industry expansion.
17
Department of Environment and Energy, Australia's Biodiversity Conservation Strategy 2010 - 2030 , viewed June 19 2018 18
Australian Government, http://www.bioregionalassessments.gov.au/, viewed June 19 2018 19
Australian Government, Great Barrier Reef Marine Park Authority, http://www.gbrmpa.gov.au/managing-the-reef/strategic-assessment, viewed June 21 2018 20
Department of Environment and Energy, Pilbara Iron Ore Expansion Strategic Assessment, viewed August 21 2018 21
Minerals Council of Australia, Cumulative Environmental Impact Assessment Guide, July 2015
Minerals Council of Australia | 8
Project approvals processes
All mining proposals are subject to state and territory project assessment and approval processes.
These processes are both comprehensive and include consideration of environmental/biodiversity
values.
At a federal level, the Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act)
provides a legal framework to protect and manage nationally and internationally important flora,
fauna, ecological communities and heritage places. The EPBC Act is significantly guided by
Australia’s international environmental obligations, including the Convention on Biological Diversity
(CBD).22
If a mining proposal is deemed likely to impact any one of nine specified national matters of
environmental significance under the EPBC Act, the proposal must also secure federal approval
before it can proceed.
A common feature of environmental approvals for mining projects is the requirement for the proponent
to provide an environmental impact assessment (EIA) report for public consultation and regulator
assessment. The potential for the project to impact different environmental values, including
nationally threatened species and ecological communities and the proposed management of those
potential impacts, is documented in the EIA. The industry invests considerable resources into
completing EIAs which can take several years to complete.
Federal and/or state/territory approvals will include specific conditions which must be met by the
proponent. Their intent is to prevent, control, abate or mitigate potential environmental harm. Where
necessary, requirements for environmental offsets will also be set within these conditions.
22
Department of Environment and Energy, Final Report of the Independent Review of the Environmental Protection and Biodiversity Conservation Act 1999, Chapter 2, page 12, Dr Allan Hawke, October 2009, viewed June 12 2018
Minerals Council of Australia | 9
ENHANCING BIODIVERSITY OUTCOMES
Opportunities exist to capitalise on the Australian minerals industry’s experience and investment in
biodiversity and conservation efforts.
Data collection and accessibility
As noted in the MCA’s submission on the draft Strategy for Nature 2018-2030:
Due to the scale of project baseline environmental assessments and site-based and regional environmental
monitoring programs, the industry hosts extensive data relating to a range of environmental values, including
water and air quality and flora and fauna. There is significant potential for this and other untapped data to be
more broadly captured and shared to enhance knowledge about nature.
Steps to improve the availability and sharing of data should be developed in consultation with sectors, such
as the mining sector, that collect and analyse environmental data. 23
Strategic approaches
The minerals industry has contributed to the development of regional-level assessments. Recent
examples include the Australian coal industry’s provision of scientific data to support development of
the Commonwealth’s Bioregional Assessment program, and BHP and the Australian government’s
joint strategic assessment of the Pilbara region of Western Australia, assessing the cumulative
impacts of future iron ore mines on matters protected under the EPBC Act.24
In addition, the MCA sees benefit in further integration of the Standing Council on Energy and
Resources (SCER) Multiple Land Use Framework (MLUF) into local, state/territory and
Commonwealth processes to inform strategic resource planning. The MLUF, endorsed in 2013, is
designed to be used by government decision makers, to achieve optimal multiple and sequential land
use outcomes.25
Cross-sectoral knowledge sharing
Adapting leading practice guidance developed for the minerals industry (provided above) to other
sectors may contribute to cross-sectoral knowledge sharing. In addition, sharing outcomes from
industry research provides a platform for enhancing biodiversity outcomes more broadly.
Arid Recovery: Working together to achieve ecological outcomes26,27
Arid Recovery is a not-for-profit conservation initiative that has been restoring Australia’s arid lands
since 1997. The Arid Recovery project aims to ensure that mining activity has a net positive impact
on regional biodiversity assets. The project features a reserve of 123 km2 with predator-exclusion
fencing, supplemented by broader scale control of feral animals and ecosystem regeneration. It is
supported by volunteers, the local community and partners: BHP’s Olympic Dam, the South
Australian Department for Environment and Water, The University of Adelaide and Bush Heritage
Australia.
Established in response to the depletion or extinction of much of the original fauna and flora in the
Roxby Downs region, as well as the extinction since European settlement of 60 per cent of native
mammal species that used to inhabit the region, the initiative combines scientific research and
monitoring with on-ground management to produce significant conservation benefits for threatened
species.
23
Department of Environment and Energy, Draft Revision of Australia’s Biodiversity Conservation Strategy, MCA Submission, March 2018 24
Bioregional Assessments, About the Program, Commonwealth of Australia, viewed 22 March 2018 and Department of Environment and Energy, Pilbara Iron Ore Expansion Strategic Assessment, viewed August 21 2018 25
COAG Energy Council, Multiple Land Use Framework, December 2013 26
Morton, Sheppard and Lonsdale, Biodiversity: Science and Solutions for Australia, CSIRO, 2014, pp 177 27
BHP, Arid Recovery , viewed August 21, 2018
Minerals Council of Australia | 10
The project provides a model for broad-scale restoration and has made important contributions to the
understanding of the ecology of arid Australia. According to BHP:
Native plants have regenerated within the reserve, and local mammals and reptiles have responded to the
removal of introduced species and domestic stock. Numerous locally extinct mammal species have been
successfully reintroduced to the reserve to date, including the Greater Stick Nest Rat, the Burrowing
Bettong, the Greater Bilby and the Western Barred Bandicoot.
Arid Recovery demonstrates how mining, pastoralism, tourism and conservation organisations can
work together to achieve mutually beneficial ecological outcomes, and help increase understanding
and adoption of sustainable land management techniques.
Further supporting and harnessing traditional ecological knowledge
Over many decades the industry has partnered with Traditional Owners to develop and implement
plans that promote and harness traditional ecological knowledge, and implement culturally-
appropriate strategies for flora and fauna management. Substantial opportunities exist for other
sectors to learn from shared experience within the mining sector.
Strategic approaches to biodiversity offsets
Biodiversity offsets are a necessary tool employed by the minerals industry to manage potentially
significant residual impacts. This may include the establishment of protected areas for conservation,
developing new or improved habitat on degraded land and/or the control of key threatening processes
including feral animals, fire and weeds. Offsets could be better harnessed to enhance the
connectivity and resilience of conservation values within the landscape. A mechanism that enables
other biodiversity priorities to be considered in offset contributions (not necessarily ‘like for like’)
should also be considered. This would provide governments with the flexibility to direct resources to
more urgent conservation matters, priority species or biodiversity values.
Minerals Council of Australia | 11
FURTHER INFORMATION
For more information regarding this submission please contact Lorna O’Connell, on (03) 8614 1815
(email: lorna.o’[email protected]) or Chris McCombe on (02) 6233 0600 (email: