Australasia Outlook Issue 5 by TNT Multimedia Limited

australasia

issue 05 | MARCH 2012 | www.AUSTRALASIAoutlook.coM

Lend Lease ????

builds on success with Darling Quarter

Jaguar

also this issue

Baratech

Builtform

XF 2.2D - Jag’s new ‘bargain’

Broad APM

CONTENTS

03 10 14 18

News A s s o c i at i o n f o r e w o r d : The Water Services Association of Australia A s s o c i at i o n f o r e w o r d : Biological Farmers of Australia Ltd (BFA) J a g ’s n e w ‘b a r g a i n ’ The new price-leader of Jaguar’s XF range the 2.2D

Cream of the crop Agrichem is Australia’s leading liquid fertiliser company

A b r e at h o f f r e s h a i r Colt International is a unique supplier of environmentally friendly climate solutions to the Australian market

Lend Lease Lend Lease has breathed life back into the southern end of Darling Harbour

B u i lt f o r m C o n s t r u c t i o n With Builtform you get the senior people involved in your project, no matter how big or small it is

S o u t h e r n Wa t e r Ta s The sole provider of water services to the south of the island state of Tasmania

B r o a d A PM Australasia Outlook looks at Broad APM’s inaugural project – Monash University’s Clayton campus

Ba r a t e c h Air conditioning contractor Baratech Air Conditioning Pty Ltd is winning increasing business across Australia

HAULMAX Haulmax is unique in its field as the only provider of off-road long distance haulage equipment to the global mining industry

MO N O PUMPS Australasia Outlook profiles Mono Pumps (Australia) Pty Ltd (NOV Mono)

70 76

BoC BOC puts energy into a greener Australia Fredon Reducing operational costs is crucial in the commercial building sector

18 24 28 60 76 3

Editorial

Editor – Ian Armitage Writers – Colin Chinery Jane Bordenave Robert Michaels

Business

Advertising Sales Manager Sean Brett Research & Editorial Manager Nicholas Davies Editorial Researchers Luke Murray Maxime Dupois Brandon Bloch Sales administrators Katherine Ellis Daniel George

Accounts

Financial controller Suzanne Welsh

Production & Design Design & Production manager Lisa Ferron Images: Getty News: NZPA, AAP, SAPA

digital & IT

Head of digital marketing & development – Syed Ahmad

TNT Publishing

CEO - Kevin Ellis Chairman - Ken Hurst Publisher TNT Multimedia Limited TNT Multimedia Limited, Unit 209, 16 Brune Street, London E1 7NJ

Welcome Labor leadership ballot: Gillard wins, Rudd pledges full support So, Australian Prime Minister Julia Gillard convincingly won the leadership vote against rival Kevin Rudd. Even better for Gillard, opinion polls are now showing her unpopular minority government is clawing back voter support despite the bitter fight to head the party. In a victory news conference, Gillard said the battle in the Labor party had been “ugly” and that Australians were fed up with the political brawl, but promised her government would now unite and put voters first, adding she was convinced Labor could win the next election due by mid-2013. Rudd meanwhile vowed to fully support Gillard after losing a leadership ballot, adding that he bore no grudges. “To Julia, I accept fully the verdict of the caucus and I dedicate myself to working fully for her re-election as prime minister of Australia,” said Rudd, who will now retire to the backbench. He added that it was now time for the Labor party to move forward. “Our purpose is to serve the nation, not ourselves,” he said. We can all move forward! This month we have a number of exciting profiles for you, including a look at Australia’s construction industry and the likes of Lend Lease, Builtform and Baratech. Enjoy the magazine

Enquiries

Telephone: 00 61 (0) 2 8518 1223 Email: sean.brett@tntmagazine.com

SUBSCRIPTIONS

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australasianoutlook.com

Ian Armitage Editor

News b u s i n e s s

b u s i n e s s

Lend Lease’s first half profit drops 3.8%

Qantas profit dips Qantas has announced that it will close some international routes and cut almost 500 jobs after its profits were hit by an industrial dispute and rising fuel costs. The airline made a net profit of A$42 million for the six months to the end of December. Figures from Qantas’s first half results showed average fares per passenger were four percent up compared to the prior corresponding period and the Qantas’s domestic operations continued to be an earnings powerhouse. The firm said that strikes last year cost it A$194 million, while its fuel costs surged 26 percent to A$2.2 billion during the period. Qantas chief executive Alan Joyce said the result was a good performance given the challenging circumstances the firm faced. “While the impact of the dispute was severe, our portfolio of businesses once again demonstrated its resilience in difficult conditions,” Mr Joyce said. “I do think in the first half

we have given Virgin a free kick because of the grounding,” he added. “There was a A$100 million in revenue lost to Qantas for the domestic market, of which we believe that A$5 million went to Jetstar and we believe that at least A$30 million went to our competitor.” “So there is a free kick in that period, but that has been quickly reversed because the corporate market has come back to Qantas and is back with Qantas.” Qantas’ international operations remain a problem, amid slowing demand and increased competition. Joyce said that “even the strengths of the rest of our business will not be able to compensate for this issue over the long-term”. Qantas has been trying to restructure its international operations in a bid to make them more profitable. The firm announced that it will close the Singapore-Mumbai and Auckland-Los Angeles routes from 6 May this year.

b u s i n e s s

OneSteel considers name change Australia’s second-biggest steelmaker, OneSteel, has said that it is thinking of changing its name because it now considers itself a mining, mining consumables and steel business. The company, which has posted a A$74 million first half net loss, said it was a very different business from when it decided to enter the export iron ore market

through Project Magnet in 2005. “OneSteel is now a mining, mining consumables and steel business with an increasingly global orientation,” chief executive Geoff Plummer said. “The board has decided it is appropriate to assess the benefits of changing the company name. This work is currently under way.”

Lend Lease, Australia’s biggest property developer, said its net profit fell 3.8 percent to A$217.8 million in the six months to December 31, from A$226.5 million in the previous corresponding period. The group blamed the fall partly on negative property investment revaluations of A$3.0 million after tax. Chief executive Steve McCann said market conditions remained challenging across the country due in large part to weak consumer confidence. “Despite our strong financial position, Lend Lease does remain cautious about the medium-term outlook given the uncertainty in global markets (and) continuing eurozone issues and their potential impact on the availability of funding and project timings,” he said. McCann added that it was now taking buyers more than 12 weeks to commit to purchasing a residential property, from the time of their initial enquiry twice as long as it did during better economic times. “In terms of outlook for the rest of the financial year, we expect continued tightening in the time period from enquiry to conversion on residential land.” Market conditions in Queensland and South Australia were particularly soft, while Victoria was also starting to slow, he explained, adding that the outlook was more positive in Asia for Lend Lease’s project management and construction businesses and there were signs of a recovery in the US economy. 5

News b u s i n e ss

b u s i n e ss

Australian MBAs among world’s best

Manufacturing continues to expand

MBAs run by two Australian business schools have been ranked among the world’s top 100. Melbourne Business School and the Australian School of Business (AGSM) were named in the 2012 Financial Times’ global ranking of the world’s top 100 MBAs. AGSM was ranked 41st and Melbourne Business School broke through into the top 50, sitting in 46th place. The US held the top three spots - with Stanford Graduate School of Business coming first, Harvard Business School second and the University of Pennsylvania’s Wharton School third.

Australian manufacturing activity expanded in January for a second consecutive month. The Australian Industry Group/PriceWaterhouse Coopers Australian Performance of Manufacturing Index (PMI) rose 1.4 points in January to 51.6. Australian Industry Group (Ai Group) chief executive Heather Ridout said the result was encouraging but the rate of increase was still very small. “Respondents cited ongoing global economic uncertainty and strong overseas competition as factors inhibiting growth in January,” she said in a statement accompanying the survey’s release. The largest gains were in the food and beverages sub-sector. A readings above 50 indicates an expansion in activity.

S P O R T

Stynes resigns from AFL’s Demons

Jim Stynes has resigned as Melbourne Demons president. The 45-year-old was absent from the club’s annual general meeting, where his resignation was made official. The AFL great is currently battling cancer. “As Melbourne enters what promises to be an exciting new season and hopefully an exciting new era, I see this as an opportune time to step down as Melbourne president,” Stynes said in a statement read on his behalf by vice-president Don McLardy, who will take over as president, at the MCG. The packed room gave the 1991 Brownlow Medallist and four-time Demons best and fairest a standing ovation. Stynes became club president in 2008 and was diagnosed with cancer the following year. He has now endured more than 20 operations to remove tumours.

“It will give the football club the best chance to be 100 percent prepared for round one and it will give me the time to fully focus on my health and my family,” Stynes’ statement continued. “I’m extremely proud of what the board has managed to achieve since I took on the presidency in June, 2008 - particularly in bringing a greater sense of unity and purpose to our football club. “I feel confident that Don McLardy and the board will continue that work.” Stynes gave McLardy his full backing and promised that he would attend Melbourne’s round-one match this season. The ruckman played 264 games for Melbourne, including an AFL record of 244 in succession.

b u s i n e s s

S P O R T

Business confidence up in December

Australian Open: Djokovic wins epic final

Australian business confidence increased in December, despite a worsening global economic outlook, National Australia Bank’s (NAB) monthly business survey has found. The survey showed business confidence increased even as the fallout from Europe’s debt crisis continued to spook investors across the globe. According to the survey, business confidence rose by one point in the month to reach +3

points. Meanwhile, business conditions remained unchanged, indicating an economy growing at around trend. Conditions remained at +1, on the NAB’s business conditions index, following an increase in November. Conditions were strongest in transport and utilities with index readings of +17 and +10, respectively..

b u s i n e s s

Honda profit plummets on Thai floods

Honda has reported a 41 percent drop in net profit for its fiscal third quarter. Japan’s third-largest carmaker also said its full fiscal year profit would fall, as a strong yen continues to cut into its overseas profit, while flooding in Thailand dragged on its production recovery after the earthquake in Japan. The car and motorcycle giant said it would earn 215 billion yen for the fiscal year to the end of March, down nearly 60 percent from the 534 billion yen it earned

the previous fiscal year. Honda had scrapped its earnings forecast in October, when it reported its previous quarterly results, because flooding in Thailand - a key Asian production hub - made the outlook too uncertain. Honda stopped making cars at its assembly plant in Ayutthaya, north of Bangkok, after it was damaged in the worst floods to hit Thailand in 50 years. The company said in a statement that it was making progress on draining the plant of floodwater and cleaning up equipment, and that production was expected to resume by the end of March. The flooding also disrupted the output at many Honda suppliers in Thailand, forcing it to reduce production as far away as the US and Canada. Honda said production in neighbouring Asian countries was expected to return to normal by April.

World No.1 Novak Djokovic has again won the Australian Open men’s singles title. The Serb beat Spain’s Rafael Nadal 5-7 6-4 6-2 6-7 (7-5) 7-5 in five hours and 53 minutes in an epic final at Rod Laver Arena. It is Djokovic’s fifth grand slam title, and his third Australian Open - adding to his 2008 and 2011 victories. The match was the longest grand slam final ever, breaking the previous record of four hours and 54 minutes for the 1988 US Open final between Pat Cash and Mats Wilander. It was also the longest match in Australian Open history longer than Nadal’s five hour, 14 minute semi-final against Fernando Verdasco in 2009. 7

News E u r o z o n e c r i s i s

b u s i n e s s

EU states agree to sign ‘fiscal pact’

Air NZ CEO to step down

Germany’s plan for stricter budget discipline was given backing by 25 fellow EU states at the European Union summit in Brussels. The EU member states will join a ‘fiscal treaty’ to enforce budget discipline. However, two states – the UK and Czech Republic – refused to sign up. British Prime Minister David Cameron said his government would act if the treaty threatened UK interests. The goal is much closer co-ordination of budget policy across the EU to prevent excessive debts accumulating. Germany – which is the eurozone’s biggest lender and most powerful economy - was particularly keen to get a binding treaty adopted to enforce budget rules. The treaty will empower the European Court of Justice to monitor compliance and impose fines on rule-breakers.

Rob Fyfe, the CEO of Air New Zealand, has resigned, the Auckland-based airline said. The company’s chairman, John Palmer, noted that there is no fixed time for a decision to be made on the appointment of a new CEO, but said a normal period for selection would be roughly six months. “Rob has been - and continues to be - an outstanding Chief Executive Officer with the full support of the Air New Zealand Board. He has ensured that Air New Zealand has remained profitable despite the backdrop of turbulent economic times that have seen airlines lose billions globally. Alongside this Air New Zealand’s innovations, high customer satisfaction ratings and culture have become the envy of airlines around the world. Rob’s leadership skills have also been acknowledged internationally with his current chairmanship of the Star Alliance and his continuing role as a member of the IATA Board,” Mr Palmer said. “When appointed to the role of Chief Executive Officer, Rob gave a commitment to the Board that he would remain until 2012. The Board respects that as a world class Chief Executive Officer Rob wants to continue to challenge himself and explore new opportunities. He has also been clear with the Board that he did not want to become a road block to the career aspirations of the executive management team and the decision to leave at the end of this year will create an opportunity for growth and renewal within that team at Air New Zealand.” Fyfe, who has been in charge at the national flag carrier since 2005, insisted he had no idea what his next job will be after announcing his resignation. He told TV ONE’s Close Up his next move has not yet been decided. “Too often we leave a job to go to something that looks better or different rather than finishing a job, creating some space and asking what would I like to fill that gap with?” he said.

b u s i n e s s

Holden to shed 100 jobs in South Australia Car manufacturer Holden has announced plans to slash 100 jobs in South Australia. Declining sales in the US and Middle East have hurt production volumes, the company said, explaining the decision. Changed shift arrangements at the Elizabeth plant will apply from May 2012, resulting in the loss of about 100 casual and temporary positions, it said. Prime Minister Julia Gillard said cars would continue to be made in Australia as long as Labor was in government. “I am determined and Labor is determined that while ever Labor is here, we will be making cars in Australia,” she told reporters at a Boeing Aerostructures plant in Port Melbourne. Holden made about 90,000 vehicles in 2011. 8

L i f e s t y l e

b u s i n e s s

Sleep disorders cost A$5.1bn a year: study

300 jobs at risk in BHP Tas plant About 300 jobs may be at risk at BHP Billiton’s Tasmanian manganese alloy plant as it undertakes a three-month review of the 50-year-old operation. BHP said it would temporarily suspend production at the TEMCO facility in George Town, north of Launceston, from early to mid-March. The miner said the plant’s competitiveness had been eroded by the strong Australian dollar and higher input costs along with weak manganese alloy markets in Europe and low global prices.

b u s i n e s s

New research suggests that not getting enough sleep at night costs the nation billions - and potentially robs you of that promotion. The research, commissioned by the Sleep Health Foundation and carried out by Deloitte Access Economics, says sleep disorders such as sleep apnoea, and basic lack of sleep, cost the economy A$5.1 billion a year. Even worse, the cost associated with loss of quality of life from not catching enough zeds is A$31.4 billion, the research says. Treating sleep disorders

makes up a relatively small chunk of the A$5.1 billion direct cost to the economy. The research found A$270 million a year is spent on directly caring for those with sleep problems and a further A$540 million on treating knockon effects such as high blood pressure. By far the biggest portion - A$4.3 billion - comes from lost productivity, caused by absenteeism and poor work performance. A further A$650 million is lost through indirect costs such as workplace and car accidents.

Vic workers not facing relocation says Alcoa Alcoa says it is not seeking to relocate staff en masse to a new plant in Saudi Arabia as it reviews the viability of 600 jobs at its Geelong smelter. The Herald Sun reported that Point Henry workers were being offered lucrative pay deals to relocate to the Middle East. But an Alcoa spokeswoman said the Middle East job openings had no connection to the ongoing Point Henry review. “Alcoa is presenting opportunities for employees from all over the world to help build and commission the new ... facilities in Saudi Arabia,” she said. “A very small number are from Australia, with 10 from our Western Australia operations and seven from Victoria. “There is no ‘exodus of senior staff’ from Alcoa’s Point Henry smelter. Only one manager has joined the Saudi JV project from Point Henry.” 9

The

Water Services Association of Australia

WSAA is the industry body that supports the Australian Urban Water Industry. Edited by Ian Armitage

The Water Services Association of Australia

n Australia, water and sewage services, vital not only to people and households but also to industry and commercial enterprises, are provided by Government regulated water utilities. The Water Services Association of Australia (WSAA) is the peak industry body that brings together and supports this Australian urban water industry. Members provide water and sewage services to over 16 million Australians. They also provide services to many of Australia’s largest industries and commercial enterprises. As the peak body representing the nation’s urban water industry, WSAA acts on behalf of all members, providing a strong, national voice for the sector and taking a leading role in influencing urban water policy development. To support members in their engagement with customers, stakeholders and the community, WSAA regularly assesses and reports on the performance of the industry. Through the Association, member groups and interested parties can meet to discuss common issues and express concerns, as well as share information, research findings and developments. This collaboration and unity empowers WSAA to advocate on behalf of members for strong industry positions, and for regulation that is transparent, and based on solid evidence. The Association, formed in 1998, regularly engages with and supports members, fostering and contributing to development of the whole sector, including educating the community on behalf of the industry. WSAA enables collaboration and coordination, conducts research, and provides consultation, maintaining strong contacts with policy makers, legislative bodies, and their influencers, to monitor important issues as they emerge. When developing strategic directions for the water industry, decision makers regularly consult with WSAA, and seek input. Executives represent the industry at seminars and forums, and the Association

regularly organises industry events and seminars to bring together the industry, levels of government, and the community. In consultation with members, the Association analyses policy and develops programs; and is instrumental in developing industry standards and processes. The Vision of WSAA for the urban water industry is to provide: “Valued Water Solutions for a Better Future.” The Association supports this Vision through the WSAA Mission: “WSAA will advocate, collaborate and innovate to deliver value for its members.” Members’ Association at Work The urban water industry aims to provide cost effective delivery of water services and respond to the needs of customers, and is committed to managing sustainable urban water resources with as little impact on the environment as possible. Urban water services are important to our community’s public health; and WSAA is proud of the attitude and willingness of members not only to innovate and always seek smarter ways of doing things, but to demonstrate a remarkable selfless concern for their community, particularly in times of crisis, as members’ response to recent extreme climate events has illustrated. Community Action in Crises Australia’s climate variability has recently delivered extremes that impacted on the urban water industry— with violent floods and cyclones in the east, and unrelenting dry in the west. Destruction caused to the industry’s infrastructure could have interfered with the delivery of clean drinking water and safe sewage treatment and management in the affected areas. However, Australia’s urban water industry spontaneously and voluntarily rallied round. The Association’s Water Services Infrastructure Assurance Advisory Group took on the coordination of offers to help, and WSAA Members provided equipment and expertise including treatment plant operators, sampling staff, and water quality testing, as well as personnel, office space and resources; even supplying sandbags to emergency services. Leadership and Planning Climate variation and population growth must be planned for, and WSAA has provided a forum by organising

The Water Services Association of Australia

conferences such as Ozwater, and lending expertise to projects such as Cities of The Future workshops. Ozwater developed a strong set of principles for water sensitive cities, which were adopted by the International Water Association for the Cities of the Future agenda. The key themes of liveability, resilience, and sustainability provided the focus of case studies at workshops, demonstrating the leadership role of the urban water sector in finding ways to bring governments, municipalities, utilities, communities, science and technology into collaboration. Workshops have presented a vision of achievable future cities – including ways to ‘green’ city suburbs, a working green village and virtually self-sufficient inner city area, and a commercial scheme using biosolids to enable urban farming. Through recycling, conservation, greening and smart, integrated planning the Cities of the Future project aims to improve physical and mental health, reduce pollution, combat climate change, reduce greenhouse emissions, and optimize available drinking water sources. These workshops indicate that with ongoing discussions between the water industry and colleagues in the urban planning and other sectors, ways can be found to deliver healthy, liveable cities and towns in Australia. Historically the industry has focused on securing urban water services for the community, which necessarily led to priority effort on asset building and management. Over the past 10 years, the huge investment in water and sewerage infrastructure, and the establishment of alternative and rainfall independent water sources mean we can now plan to meet future challenges. Sharing information, advising policy One of the Association’s chief strategies to support members is to maximise limited research dollars by 12

collaborating with local and international research organisations with shared priorities. WSAA’s Australian Water Research and Development Coalition aims to pool resources and eliminate duplication, allowing knowledge and adoption to be leveraged across all stakeholders in the funding and delivery of urban water research. Collaboration and sharing of existing research between Association members is maintained, with over 400 member projects compiled. A WSAA web page is dedicated to the sharing of research outcomes between members. Eighteen Association networks including a new Research Managers forum give members the opportunity to transfer knowledge, share skills, and network with colleagues. The wealth of knowledge and information made available to WSAA provides a solid basis for the Association’s submissions to major reports of significant concern to members. Three recent major reports in the year indicate a promise of significant reform programs with a welcome focus on urban water: m The Productivity Commission Inquiry into Urban Water Reform m National Water Commission Future Directions Report m The Infrastructure Australia Regional Water Quality and Security Report WSAA is advocating implementation of many of the recommendations made in these reports.

The Water Services Association of Australia

Benefits of WSAA Membership WSAA has two categories of Membership. Full membership is available for public or private agencies or utilities providing water services and/or wastewater services, and bulk water suppliers and wastewater treatment operators providing services to agencies or utilities. Associate membership is available for corporate bodies or organisations with an interest allied to the water services industry. Full members have board representation, and voting rights at Annual General Meetings, with up to two representatives. Members are invited to three Members’ meetings a year, with up to three attendees. They have access to WSAA committee membership and networks, and have input into the Association’s business planning process. Valuable benefits also include 50 percent discount on bookshop publications, members only section access on the WSAA website, access to the UKWIR database, up to three free copies of WSAA publications and a free copy of WSAA codes. Full members are also involved in the national performance report, benchmarking and other subscription projects, as well as eligible for free input in all WSAA activities and workshops. Associate members may have one representative at Annual General Meetings, and are invited to two Members’ meetings a year, with up to two attendees. Valuable Associate benefits also include 50 percent discount on bookshop publications, members only section access on the WSAA website, access to the UKWIR database, one free WSAA publication and a free copy of WSAA codes, as well as permission to load WSAA codes on the internet. Water Authorities have access to WSAA Networks, and while Associates are encouraged to participate in appropriate WSAA events, fees may apply. Applications for membership and associate membership are submitted to the Board for consideration and approval, AND WSAA can arrange for a proposer and seconder for your application if required.

Above: Adam Lovell (Executive Director) Sue Murphy (Chair)

“WSAA will advocate, collaborate and innovate to deliver value for its members”

To learn more visit www.wsaa.asn.au 13

The voice of the

Australian Organic Industry The Biological Farmers of Australia Ltd (BFA) is the voice of the Australian organic industry and represents more than 3000 certified organic businesses and members. By Holly Vyner, General Manager of the Biological Farmers of Australia

or more than 20 years, the BFA has worked to develop a set of standards enabling access to markets worldwide and to provide farmers with a market advantage and premium for certified organic trade. The BFA provides facilitated networking and events for its members, as well as education, training and resources, including more than 30 publications each year. BFA members include producers, processors, traders, retailers, consumers and others with an interest in the organic industry. The democratic structure of the group allows members to have ownership of, and be involved with, standards development and the future direction of the industry. BFA owns two subsidiary companies which provide organic certification services:

Biological Farmers of Australia Ltd

Australian Certified Organic Pty Ltd and OGA Certified Pty Ltd. Australian Certified Organic (ACO) is Australia’s premier organic certifier. ACO offers certification for market access worldwide. ACO was honoured as the inaugural winner of the Choice Best Food Endorsement Program in 2010 for transparency, recognition and trust. Look for ACO’s Organic “Bud” logo for your guarantee of organic integrity. Organic Growers of Australia Certified (OGA) is Australia’s first certification service to specifically cater for the needs of the smaller organic producer. Growers certified under this program have the benefit of reduced costs and simplified certification process due to fewer requirements for servicing smaller domestic markets. OGA

was a finalist for the CHOICE Award for Best Food Endorsement Program 2010. Look for the OGA Sunflower logo for your guarantee of organic integrity. (www. organicgrowers.org.au). BFA publishes a quarterly agricultural magazine, the Australian Organic Producer, and also previously published the Australian Certified Organic Magazine (which ran its last edition at the end of 2011); in 2012 BFA will launch a magazine for organic consumers. One of BFA’s most crucial publications is the Australian Organic Market Report (AOMR). AOMR provides comprehensive data and figures on the value and production of the Australian domestic organic market every two years, and the next edition of the report is due for release at the end of 2012. It may not come as a surprise that BFA’s 2010 AOMR tells us that organic consumers’ number one barrier to purchasing more organics is price (81 percent of surveyed consumers). When paying a premium, consumers expect 15

Biological Farmers of Australia

quality, which brings us to two other major barriers to purchase of organic: quality of produce (46 percent) and freshness of produce (24 percent). A major goal of BFA is to support industry to grow and meet consumer demand for quality certified organic products, but also to address the impact of product presentation in growing the overall market share of organics. Andrew Crebert, store manager of The Natural Foodstore, based in Forest Glen, Qld, says he sources organic produce from a diverse mix of growers mainly in the Sunshine Coast area. “We buy as local as possible – in excess of 80 percent comes from 200km radius which assists to keep produce fresh. It also helps that in our new store we have installed refrigerated display shelving and have new, larger, highly efficient cold rooms.” However Andrew says that while these are advantages, the way to keeping produce fresh is simply good buying and good selling. “Too many retailers buy organic produce and insist on putting a margin on it, even if it kills them. They need to realise there is a price point above which produce won’t turn over at the rate needed to keep it fresh. “Once produce loses its freshness it needs to be separated, and if it is still good to eat or cook, then it can be sold in a different basket at a discount. “Suppliers also need to understand that a margin for error is not acceptable just because it’s organic. Produce needs to be equivalent in quality or better than nonorganic. If produce isn’t up to standard, send it back! It’s the only way to ensure a standard is maintained”. Wray Organic is a certified organic retailer with Australian Certified Organic, which is now an established franchise business in Queensland with five stores and plans for further growth. Deborah Wray, owner alongside Gary Davis, says that working with suppliers is an

BFA head office p: 07 3350 5716 e: info@bfa.com.au w: www.bfa.com.au

important part of the process for ensuring quality. She says, “regardless of the type of supplier – fresh or dry produce or grocery line - if produce is not up to standard, then it needs to be returned and a credit requested immediately.” Deborah says that wherever you stand in the supply chain, it doesn’t pay to insist on applying a margin which may lead to overpricing of produce because it discourages consumers who end up with overpriced fruit and vegetables past its use-by date. “Overpriced produce moves slowly and this hurts everyone. If suppliers and retailers were willing to be more flexible, consumers would be encouraged to buy more organics and this would help grow the pie for everyone.” Deborah says that many basic every-day items are still priced well above non-organic lines and once these become more affordable, more people will “go organic”. “Basics such as bread, milk, eggs, cheese and butter are all priced well above their non organic equivalents. This is currently a large disincentive to purchasing more organic.” When it comes to managing availability of product lines, Deborah says that if produce is out of season, customers appreciate this once educated, however aren’t too forgiving when it comes to grocery lines. “Over time, people understand and appreciate nature’s cycle, as they begin to see a pattern to what is in store when. But it can be frustrating that grocery lines go onto back order because the wholesaler is waiting for a new shipment to come in from overseas. You can’t explain that to a customer. It’s important to order well in advance and be aware of potential time delays which may affect you being able to maintain stock.” Educating consumers on how to maintain quality of produce once it leaves the store is also paramount. “We educate consumers by speaking with them all the time; other education tools include signs on produce shelving and through articles in our newsletters.” For access to the best information on organic markets, networks, trade and advice become a member of the BFA (for under A$100/ year). Further information is available via the BFA website (www.bfa.com.au), where you can also download a free copy of the 2010 Australian Organic Market Report.

ACO head office p 07 3350 5706 e: info@aco.net.au w: www.aco.net.au

OGA office p: 07 3350 5716 e: oga@bfa.com.au w: www.organicgrowers.org.au

Jaguar XF 2.2D

Jag’s new ‘bargain’

Australasia Outlook looks at the new priceleader of Jaguar’s XF range - the 2.2D. By Ian Armitage

Jaguar XF 2.2D

aguar’s most efficient model ever has arrived in Australia. Powered by a 2.2-litre turbo-diesel engine, the first four-cylinder XF headlines an upgraded 12MY range and arrives more than three years after the sleek new XF replaced the S-Type as Jaguar’s large sedan offering. “The 2.2D has it all,” one happy customer told me. Jaguar agrees – good job too, as it hopes to shift a lot of them. And for a driveaway price of A$85,000 it is a bargain. “The XF 2.2D is a fully-fledged XF sedan with a smaller, more fuel-efficient turbodiesel engine,” Jaguar says. The best bit about it? The 2.2D XF’s facelift has radically improved its looks. There’s a curvy new bonnet, lower grilles and Aston-Martin side vents in the wings. It looks hot and has certainly had a bit of a styling touch-up. Easily the cheapest member of the Big Cat family, the XF 2.2 is no disappointment at all. At its giveaway driveaway price, you’d expect the XF 2.2 diesel to be underpowered. Or lesser equipped. But it’s not. Okay, it doesn’t quite have the same power as the three-litre diesel, but, around town, in fact, the smaller engine might even be preferable - it’s responsive and delivers all the power you’d need in day-to-day driving. If you’re prepared to live with its slight lack of punch, it delivers in virtually every other respect - it’s very quiet, delivers power smoothly, and is fuel efficient (Jaguar claims it drove the car from the factory in which it was built in Castle Bromwich, England, to Munich - a distance of 1313km - on the one tank of fuel). Jaguar says it will reach the speed limit in just over eight seconds - while delivering hybrid-like fuel efficiency of 5.4L/100km. That’s a stunning figure for a biggish car matched only by Mercedes-Benz’s C250 and E250 diesel models. The Jag’s transmission has received a makeover, too - it’s now a silky eightspeeder. Inside, there are a couple of tiny hints that this is, indeed, the entry-level model, but they’re hardly deal-breakers. The colour

touch-screen, for instance, which accesses most cabin, navigation and audio functions, is a bit smaller than that of other models but doesn’t look out of place atop the classy Jaguar centre console.

fact box DETAILS: Four-door, fiveseat executive sedan with four-cylinder turbo-diesel engine and eight-speed automatic transmission. TECH STUFF: 2.2-litre turbo-diesel produces 140kW, 440Nm; eightspeed auto features wheelmounted gearshift paddles. FEATURES: Electric seats, windows and mirrors, leather trim, premium 1200 Watt audio, climate control airconditioning, rainsensing wipers and auto headlights; Bluetooth with audio streaming; stop-start technology. THIRST: 5.4L/100km. VERDICT: The cheapest Jag feels anything but cheap - and will also save you money at the petrol pump. BOTTOM LINE: A$85,000 (driveaway pricing).

crop cream of the

Agrichem is Australiaâ&#x20AC;&#x2122;s leading liquid fertiliser company specialising in liquid fertilisers and plant nutrition. By Robert Michaels

Agrichem

grichem manufactures a wide range of fertilisers and has a two-decade long association with liquid fertilisers in Australia. Since it was established in Australia in 1986, the company it has initiated research in a variety of areas including funding the initial trial work of Bob Holloway and his team on the Eyre Peninsula. “We have a history with liquids in Australia,” Teresa Conradie, Agrichem’s marketing manager, told an Australasia Outlook researcher. Agrichem works closely with growers, she said. “For 25 years, Agrichem has been recognised as the pioneering market leader in the field of fluid fertilisers, specialty crop-protection products and nutrition application technologies,” Agrichem says on its corporate website. “Agrichem’s enduring commitment to fundamental research in the area of nutritional plant-physiology has consistently rewarded Agrichem with significant scientific breakthroughs,” it adds. “These technological advances, combined with Agrichem’s dedication to conducting intensive international field trials, allow Agrichem to frequently launch a range of innovative products.” The company is a pioneer and global leader in plant nutrition solutions with an extensive range of liquid nutrient products. The products are compatible with many of the commonly used fungicides, pesticides and herbicides. Agrichem also offers nutritional monitoring services, tailored crop nutrition programmes, compatibility databases and worldwide technical support. “We are committed to quality and innovation,” Agrichem says. It understands that liquid nutrition is a relatively new technology and aims to deliver the right programmes to maximise yield production. “Agrichem believes in the efficient and sustainable application of innovative fertiliser products to enhance plant health and overall crop yields,” Agrichem says.

World of opportunity The world’s population is set to reach 9.1 billion by 2050, 24 percent higher than it is today, according to the United Nations Food and Agriculture Organisation. This will mean global food production will need to increase by approximately 70 percent to meet the huge increase in demand. Australia can play a pivotal role in shaping a solution to the world food crisis and the move by the Australian Government to establish a centre for agriculture and research reflects that fact. Innovative technologies created for Australian farmers can be modified for smaller farmers overseas, experts agree. These technologies include water-saving technologies, alternative energy farm technologies and crop development for dry conditions. Opportunity, no doubt, for Agrichem. closer to home In recent years the Australian farming sector has experienced severe drought, which more than halved domestic grain production. Yet despite recent flooding causing some damage to summer crops in southern Queensland and northern New South Wales, yield prospects remain favourable. The most severe flooding occurred in the central north and northwest regions of New South Wales and the southwest region in Queensland. Flooding however generally affects low-lying areas that comprise a small proportion of crop area, the effects of flooding on summer crop production tend to be localised. Total summer crop production in Australia is forecast to rise by 18 percent in 2011–12 to 5.4 million tonnes. The total summer crop area is estimated to be largely unchanged in 2011–12 as compared with area in 2010–11 at 1.6 million hectares. “The Australian farming sector has experienced severe drought,” an industry expert told Australasia Outlook. “Because farmers in Australia are not or little subsidised and because of environmental pressures, higher yields are likely to be achieved by improving nutrient use,” he added. END

To learn more about Agrichem visit www.agrichem.com.au.

Established for 30 years • Nationwide deliveries • Warehousing • Dangerous goods specialist

frEE CAll 1800 135 500 or 02 6923 3333 Adelaide

Brisbane

Canberra

Melbourne

fax. 02 6921 2006 email. enquiries@crouchtransport.com.au

Sydney

Wagga Wagga

www.crouchtransport.com.au

fresh air A breath of

Waterloo Rd Office Tower, Sydney: Colt Sun Tracking louvers and LS4 natural ventilation and Smoke Vent system. Automatically controlled shading and ventilation to reduce energy consumption whilst providing comfort. 24

colt international

Colt International is a unique supplier of environmentally friendly climate solutions to the Australian market. Managing Director Joe Napoli tells Australasia Outlook how the company’s international reach and dedication to green technology is allowing it to become a leader in its field. By Jane McCallion

olt International is a provider of energy efficient green products and systems in the Australian market. It has been present in Australia for over 50 years and is part of the Colt Group, which was founded 80 years ago in the UK. The company has offices in five of the six mainland states of Australia and its head office is situated in Sydney. “Essentially, what we do as an organisation is provide energy efficient products and solutions to provide healthy, comfortable and safe conditions for people and equipment in large commercial and industrial buildings and other similar applications,” says Joe Napoli, Managing Director of Colt International in Australia. “Our solutions include solar shading systems, which provide a reduction in the heatload in a building; natural ventilation and evaporative products and systems, to provide a comfortable and healthy environment and reduce reliance on high energy consuming air-conditioning; smoke and fire curtain and control systems for life safety; and performance louvre systems, which provide natural ventilation, screening and rain defence for applications such as rooftop equipment.” Providing environmentally sound, green solutions and working in partnership with architects, engineers, builders and developers are the cornerstones of Colt International’s business in Australia. “What differentiates us from the others in our field is that we have a green focus to the way we approach our solutions,” says Napoli. “We are members of the green building council of Australia and we’ve got a national network, so therefore we can talk to an architect who has a national presence and we liaise on the basis that we can support that project in the major states of Australia, and all over the world, because we are global. Similarly, we can take our global knowledge, global experience and global presence to a builder and they can have confidence that we have people on the ground in most parts of the world to be able to do the work. “Colt International is a full-service company, with the ability to work at any and all points of a product or system’s lifecycle. We bring to a solution an overall package:

colt international

Colt LS 3 photovoltaic shading system provides a double benefit – shading reduces heat load gain and generates free electrical energy to be used within the building.

we don’t just do one element of it, we do the entire range of support, from design to manufacture to providing equipment to installation, all the way to the whole-of-life and maintenance support.” In 2011, Colt Group celebrated its 80th birthday – an event that Colt International used to its full potential. “We did market the significance of the 80-year milestone to our customer base, our suppliers and the market in general, simply to signify that we are a large organisation that’s been around a very long time,” explains Napoli. “Colt has been in Australia for over 50 years, but the bulk of that has been via a distribution network and as a result we weren’t that well known in the marketplace. So, in 2006, Colt decided to enter the Australian Marketplace under its own banner through a joint venture with a company called Tollfab. Three years later, Colt bought out its partner and became 100 percent owned by the Colt Group.” The business kept the name Colt Tollfab until July 2011, when it became Colt International. Therefore, it was able to use the occasion of the 80th anniversary of the parent company to drive home the company rebranding as well. “This name change was designed to send a message to the market that we are 100 percent owned by the Colt Group. And so the significance of the anniversary for us here in Australia was to send the message out to our customers, suppliers and potential customers that we are not a small company – we have the financial strength and support

to be around for the long-term,” explains Napoli. “We’re here for the long haul, we’ve been around 80 years. So there’s a lot of confidence that we’re going to do the right thing by anyone in that customer chain.” Colt International has been growing well over the six years, as exemplified by the fact that it recently opened an office in Brisbane to cater to the Queensland market. Having established a geographical presence in most of the states of Australia, the company is now turning its eye to a new market: mining, energy and heavy industry. “We believe that we will be unique in our field in this industry,” says Napoli. “And the uniqueness that we bring is in fact again this whole solution package – we can go to a mine owner like BHP Billiton or Rio Tinto in the early stages of development and we can discuss what we have to offer with their engineers. We can work with them to provide natural ventilation and smoke control systems for a Coal handling processing plant, an iron ore locomotive maintenance facility, a shiploader terminal, a power station or other similar application As you can appreciate, those facilities have large, very expensive equipment that generates heat and needs to be ventilated and cooled. And one of the ‘greenest’ and most energy efficient ways to do it is via natural ventilation and evaporative cooling. What makes us different is not just our diverse product range, but that we offer a complete solution package to our customers.” In the longer term, Colt International plans to consolidate its position as an innovative leader in the field. “We see ourselves as a leader in the bespoke energy efficient green solutions for commercial and industrial buildings providing innovative natural ventilation and evaporative cooling, solar shading and fire and smoke control systems” says Napoli. “Currently, a substantial portion of our business is on performance louvre, which, even though it performs an important function, it doesn’t have a lot of scientific or bespoke requirement. Our heritage, global experience and know how puts us in an ideal position as a leader in custom design green solutions area, to provide comfort and safety in the commercial, industrial and mining sectors.” END

Precision Sheet Metal Proud to be a supplier to colt international and wishing them congratulations on their 80th anniversary.

Supplying repetition precision sheet metal components and metal work to businesses in Australia since 1991 - www.almec.com.au

Providing a comprehensive service from drawing to delivery:

• Cad software • Punch Presses • Laser Cutting • Brake Presses • Welding • Fasteners • Surface Finishes • Parts Assembly

• Precision Sheet Metal • Laser Cutting • CNC Punching • Folding • Perforated Panels • Architectural m/work • Landscape Screens Almec takes great pride in forging lasting relationships with our customers, supplying the best service and finished products. www.almec.com.au 02 9748 4343 253 Rawson Street, Auburn 2144 mail@almec.com.au

Lend Lease builds on success with

Darling Quarter 28

lendlease

Lend Lease has breathed life back into the southern end of Darling Harbour, which has undergone a three and a half year transformation. By Ian Armitage

roperty giant Lend Lease needs little introduction. It is world-famous for urban regeneration. In September, Lend Lease completed renovations at the former Sega World site at Sydney’s Darling Harbour, which had undergone a three and a half year transformation. It is one of its most impressive projects yet. The site is a “vibrant mixed-use destination showcase” for economic, social

and environmental sustainability, Lend Lease says. The urban regeneration project was a collaborative effort between Lend Lease and the Sydney Harbour Foreshore Authority (SHFA). The construction giant is very proud of it. Darling Quarter sets “global benchmarks”. “What we’re particularly proud of is that by successfully completing this development, Sydneysiders and the broader community now have access to valuable public amenity and iconic new spaces on the fringe of the CBD, which will leave a powerful legacy for future generations,” Lend Lease CEO Mark Menhinnitt said in a recent interview. 29

lendlease

veolia

The A$500 million precinct includes an international standard commercial office known as Commonwealth Bank Place; a family/leisure precinct; a world-class family playground and community green; youth theatre; and a public carpark. Lend Lease describes Darling Quarter a “great example” of how it is able to utilise all parts of its business – from funds management through to development and construction – to create an iconic project. “Darling Quarter is another great example showcasing Lend Lease’s integrated business model with the project being conceived, designed, developed and constructed by Lend Lease,” its website says. “Through the power of our integrated model we have been able to deliver a holistic property solution that was attractive from the perspective of the owner, investor and tenant,” Menhinnitt added in a press release. Darling Quarter has been acknowledged for its worldclass sustainability -- its two eight-storey campus-style 30

The key challenge facing decision makers today is balancing human development with sustainable living while dealing with urban growth, dwindling natural resources and climate change. Given the complexity of these issues, creative and resilient solutions are vital. As the world leader in environmental services, Veolia Environnement offers unique sustainable solutions in water, waste and energy management. We can transform cities by providing integrated services in waste and water treatment and recycling, optimised networks for waste collection, water and energy reticulation and local energy schemes. More than 6,000 employees in Australia and New Zealand are dedicated to finding local answers to global problems – contributing to a better future.

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Did you know?

The Darling Quarter Recycled Water Plant, designed, built and operated by Veolia, at the 6 Star Green Star Commonwealth Bank Place, treats sewage to produce high quality recycled water for cooling towers, toilet flushing and garden irrigation. This sustainable initiative helps reduce potable water use of the building by 92%. Check out www.myrecycledwater.com.au to find out how the plant works.

Across water, waste and energy, Veolia offers tailored and integrated services across municipal, commercial and industrial sectors. Veolia is also committed to delivering sustainable solutions for Australia’s ever-changing urban landscape. With over 6,000 employees across Australia and New Zealand, Veolia is dedicated to contributing to a more sustainable future. Contact national@veolia.com.au to see how we can help you.

www.veolia.com.au

lendlease Haulmax

The site is a “vibrant mixed-use destination showcase” for economic, social and environmental sustainability

buildings received a 6 Star Green Star – v2 Office Design certified rating with the Green Building Council of Australia, achieving the highest number of credit points for a building of its size. “The design features of the site will save 2,500 tonnes of carbon emissions per year and reduce main water consumption by 92 percent,” Lend Lease says. Darling Harbour is, of course, one of Australia’s most visited tourist destinations, as it is home to a large number of attractions, such as the Maritime Museum, the Sydney Entertainment Centre, and Sydney’s Chinese Gardens. This fact was not lost on Lend Lease. “The promenade serves as a link between the quarter’s many activities, so the redevelopment of this area was focused on creating a fun and engaging public space for tourists, as well as locals,” it says. The redevelopment included upgrading numerous elements of the existing quarter, such as lighting, landscaping, and public

SINCE

1989

Waterproofing • Jointing • Protective Coatings • Remedial Building • Flooring

Darling Walk – Lend Lease Harbour St Darling Harbour NSW 2000 A $257M project consisting of the construction of 2 buildings with 64,232m2 of office space and 2,592m2 of retail space with 17,370m2 of waterproofing works. This includes a spray applied polyurethane system (Enviro HP 1200) to the Podium, Planters, Roof Areas, Terraces, Tanks, Cooling Towers and Epoxy Coating System (Enviro Epoxy RC) to Plant Rooms.

POLYSEAL - NSW (Head Office) Level 1, 305 Princess Hwy, St Peters, NSW 2044 Tel: (02) 8595 8600 Fax: (02) 8595 8661

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lendlease

sitting areas, but the real centrepiece of the project, says Lend Lease, is the playground. Measuring over 4000m², the playground at Darling Quarter is the largest in Sydney and is free to the public. The design was created by the Australian design firm, ASPECT Studios. The water section of the playground has garnered the most hype, with a lot of press coverage (the central water features of the park were sourced from Germany and are the first of their kind to be installed in Australia), but there is much more to the park than that. “Slide Hill”, for instance, is a collection of soft rubber mounds interspersed with slides, which children can safely climb up and the slide back down. Another exciting feature is the “Flying Fox,” which is Australian English for a zip-line. The playground’s seamless integration into the quarter transforms it into something more than just a playground for children, Lend Lease says. “The precinct has greatly improved public activation by bringing together commercial, retail and leisure all within the one area. A new pedestrian link, referred to as the Civic Connector, creates a gateway to Darling Harbour that connects to Town Hall station, Chinatown and the Darling Harbour waterfront,” Lend Lease adds. END

To learn more visit www.lendlease.com.

innovation quality Service

eeting the strict environmental standards required on the Darling Quarter project meant CVS Equipment Pty Ltd had to think outside the square a little. CVS Equipment manufactured and installed 10,000m plus of aluminium louvres which was crucial to the sustainability aspect of the design. Although its aluminium louvres were already part of the architectural design to help reduce cooling costs in the 6 Star GreenStar rated development, the project managers wanted to take it even further and asked CVS Equipment to find the most environmentally friendly coating it could. That turned out to be a product called interpon 2015 – an environmentally rated powder coating which made the 10,000m plus of aluminium louvres CVS Equipment Pty Ltd manufactured and supplied to the Darling Quarter project even more crucial to the sustainability aspect of the design. CVS Equipment Pty Ltd has been providing an extensive range of louvre systems, addressing the ventilation and sunscreening requirements of commercial and industrial buildings since 1984. The company started operations in Minto and after growing in reputation the business moved its manufacturing facilities to regional NSW in Goulburn around seven years ago. CVS Equipment Pty Ltd has a product range that includes fixed and operable louvre systems, acoustic louvres, privacy screens, ellipsoid louvres, aluminium sunscreens, bar grilles and the unique air’n’lite louvre system. These louvre systems are installed in shopping centres, warehouses, high rise developments, clubs and hundreds of schools throughout NSWs, Queensland and Victoria.On the Darling Quarter

EquipmEnt pty ltd

Project CVS Equipment Pty Ltd was contracted to supply aluminium louvres throughout the building, on the façade as well in the plant room, and equipment rooms, and anywhere where airflow inlets were required to help ventilate and cool the iconic building. It also manufactured and installed a narrow sunscreen on the ground floor west facing awning, which covers an area similar in size to a walk way and provides not only sunshade but also helps in maintaining a constant temperature in the building by providing natural ventilation along the project’s most exposed façade. Although the company has more than 30 employees only four were involved in the Darling Quarter project which meant efficiency was a must to complete on time and in budget. CVS have recently completed renowned projects such Gold Coast Desalination Plant, Liverpool Hospital, Kapooka Army Barracks – Wagga Wagga, Mercedes Benz – Roseberry, Aldi Warehouse – Prestons, Metcash – Eastern Creek, Parkview – Homebush, Sandvik – Heatherbrae, just to name a few. For more information contact CVS Equipment, 9a Pembury Road Minto NSW 2566, phone 02 8796 3000, fax 02 8796 3030, email info@cvsgroup.com.au

innovative approach an

With Builtform you get the senior people involved in your project, no matter how big or small it is. By Jane McCallion

Builtform

stablished in 2008, Builtform Constructions Pty Ltd is a general construction contracting company located in Sydney, the heart of the Australian construction market. While the organisation has worked across all areas of construction, it specialises in Design and Construct contracts. Like most major cities, there is no shortage of construction companies competing in the Sydney market. What differentiates Builtform is the attention to detail shown at all levels with senior personnel directly involved at all stages of project development. As Managing Director David Upton explains: “Our management team has accumulated many years of experience working for big construction companies, on large projects with prominent clients, so we understand their approach to projects. At Builtform we strive to give our clients a hands-on experience and develop shared goals. For instance, we have just finished a project for Hurstville Council worth A$6 million, in relative terms a smaller contract but complex nonetheless and requiring specialist skills. It was important for Hurstville Council to have access to key personnel at Builtform, therefore to ensure our client’s expectations were being met I would personally meet with them a number of times a week. This is no different for any other client. At Builtform, we add genuine value to your

project, the senior people get involved, no matter how big or small it is.” Presently the main challenge facing Builtform is the same as it is for all companies in the sector: Securing sufficient work in the wake of the global financial crisis. The construction market in Sydney is the largest in Australia, and when the crisis hit, it saw the biggest contraction in business and it has also been the slowest to recover. “We have generally confined ourselves to the greater Sydney metropolitan area and since 2009 there has been a steady decline in work in New South Wales and in Sydney in particular,” says Upton. “Current conditions have seen a change in the competitive nature of the market, some might say it is over competitive – we are seeing some companies are even bidding on projects at a loss, merely to meet turnover targets.” Nevertheless, Builtform has succeeded in steadily increasing its turnover year on year, up to A$40 million in 2011. This revenue stream is generated from a large ‘anchor’ project each year, supplemented by a number of smaller projects. “Of course, we would like to do more, but given the current climate, we think we have taken the right course of action and have done well.” “We have taken a longer term, pragmatic approach to the current climate,” explains Upton. “We have invested in our business, held onto our good people and we haven’t gone chasing work just for the sake of chasing work”. The company has invested heavily in training and development, particularly in the areas of Health, Safety, Environment and Quality control. Builtform holds ISO accreditation in all three areas and has a dedicated Safety and Systems Manager to implement a fully integrated HSEQ Management System. “We feel is another area that helps to differentiate us from other similar size construction companies working in Sydney,” says Upton. “We also have a business development team constantly looking for new opportunities. In short, rather than taking a reactive stance in a constrained market, we’re actively investing to grow our business”. 37

builtform

Builtform’s current ‘anchor’ project is the West Ryde Precinct Development for Coles Group Property Developments. It is a two-stage project valued at a little over A$30 million, with an option on a third stage. The first stage carried out under a Design and Construct contract was completed in August 2011. This building comprised four levels, housing community service facilities provided by Ryde Council with a further two levels of basement parking. Stage two consists of a full size supermarket with two basement car parking levels and a number of retail tenancies and is currently under construction. As well as the building works, Builtform is also upgrading infrastructure and roads around the busy retail precinct, along with the upgrading of services including the relocation of Sydney Water infrastructure and relocating of electrical services underground. Builtform has also constructed temporary parking facilities in order to minimise disruptions to the neighbouring businesses during construction. “Managing risk on a project like this is our number one priority. There are many challenges not the least of which 38

is a broad group of stakeholders with differing expectations and objectives,” says Upton. “We are not just constructing the building, we are working within an active community precinct.” Builtform’s dedicated Community Liaison Officer manages communication for the project, providing the various groups with an understanding of the programme and up to date progress reports. “This point of contact is invaluable for informing the community, as our construction activities do impact these groups. I believe that having her on board has further added to our level of service and importantly reduces the anxiety felt by them,” says Upton. Over the next three years, Builtform is planning to grow business by 75 percent, from A$40 million annual turnover to A$70 million. “Financially, it makes sense to increase our size to between A$50 million and A$70 million as at that point our overheads become more sustainable, though thing that makes us who we are, i.e. giving our clients direct, hands-on access to the experience and expertise of our management team,” explains Upton. “Our growth plan is realistic and achievable, and will develop over the course of our next three year business cycle. By then, we hope that the market will have recovered and we will be able to take advantage of any upturn.” END

To learn more visit www.broadapm.com.au

Rock FoRm Pty Ltd

Rock Form is a privately owned construction company that has been operating since 2005. We have built a reputation of providing good service and perform at a high standard of workmanship. Our goal is to provide a professional, high-standard quality of work with a high degree of integrity and honesty. Rock Form is known for providing peace of mind to the builder of the project and safety is our number one priority without compromising any aspect of the job at hand. We ensure that all work is completed as per plans and critical measures are not compromised.

Phone: (02) 9671 5113 Fax: (02) 9920 1731 Email: info@rockform.com.au

www.rockform.com.au

â&#x20AC;&#x153;always build on the rockâ&#x20AC;? 39

Southern Water

big plans & major challenges Southern Water is the sole provider of water services to the south of the island state of Tasmania. However, since it began working in 2009, it has had to rapidly modernise what had been a fragmented system. CEO Mike Paine tells Australasia Outlook about the challenges it has faced and how a new focus on the needs of the customer will be the key to its future success. BY Jane McCallion 40

SOUTHERN WATER TASMANIA

outhern Water was founded through state government reforms of Tasmania’s water and sewerage industry in 2008 and commenced operations on 1 July, 2009. The company provides water and sewerage services to approximately 100,000 customers across 12 Local Government Areas (LGAs) in the state of Tasmania and is also wholly owned by the 12 local government authorities. It employs approximately 380 full time members of staff and its annual revenue is A$125 million. The business came into being after the state government undertook a review of the water and sewerage industry in Tasmania and decided a restructure was required to standardise water and sewerage services for customers . Previously, there had been approximately one service provider in each of the 29 LGAs, however after rationalisation there are now three water corporations each serving a wider area. A fourth subsidiary, Onstream, provides shared services to all three regional water corporations. Southern Water is currently undertaking a number of major upgrade projects to improve the efficiency and reliability of water and sewerage services, as CEO Mike Paine explains. “The state government review found that the service levels provided by our existing infrastructure did not meet the statutory requirements that were laid out in the new legislation. Consequently, we have about half a billion dollars of capital works to implement in order to improve service standards.” A major focus of the upgrade plan is the sewerage treatment and distribution systems. When Southern Water took over as the water services provider for the 12 southern Tasmanian councils, it was immediately faced with a huge compliance challenge. “Not one of the sewage treatment plants that we inherited complied with the license requirements,” says Paine. “So, we have undertaken a substantial systems review, which is still partially ongoing, to see if we can rationalise or reduce the number of plants.

“We are moving our strategy towards more effective customer service and all of the things that brings with it” Mike Paine Southern Water CEO

At the same time, we will be seeking to update the treatment plants that we do keep so that they are compliant with the legislation.” The project is a large undertaking in terms of both capital expenditure and timescale – the budget is A$400 million and is expected to be carried out over the next 10 years. At the other end of the company’s services is its water distribution system. “We are lucky in Tasmania in that we rarely have any real problem with drought here. However, we do have an ageing and very leaky distribution system at the moment, which causes a lot of unnecessary wastage,” explains Paine. In fact, the problems with the historical systems are bad enough that the majority of its business case savings will come from fixing those issues. “Obviously it is not very good for the environment or for our business if we are expending energy 41

Our PurPOse To build excepTional projecTs ThaT make a posiTive difference To our clienTs, our employees and The communiTy. Our Products Our team thrives on the challenges that complex projects present as with the amazing transformation of the derelict Henry Jones Jam Factory on Hobart’s waterfront and the manufacture & installation of the unique acoustic wall & ceiling panels in the Melbourne Recital Centre.

Past projects include: Burnie waste water treatment plant Selfs Point WWTP Rosny Point WWTP Devonport Pardo Treatment Plant Latrobe waste water Treatment plant Kingborough Council sewerage pump stations Bryn Estyn water treatment plant

VOS Construction and Joinery are proud to be a part of Southern Waters supply chain for delivery of their $500M investment into Tasmania’s infrastructure. VOS management systems, including externally certified QA, Safety and Environmental systems along with an extremely experienced team of commercial and industrial project and site managers have allowed us to successfully tender, build and develop many projects for southern water and the previous water authorities throughout the state of Tasmania over many years.

Current Projects Include: Glen Huon Pump Station Upgrade Franklin Pump station Development

vosconstruction.com.au

VOS look forward to continuing our association with Southern Water and to making a positive difference in Tasmania’s capability to grow and expand into the future years.v

multi award winning Henry Jones Art Hotel

SOUTHERN WATER TASMANIA

treating the water to a high level and pumping it around if it is leaking out of the system. So fixing the leaks is a priority for us and will benefit both us as an organisation and our customers.” Another major project is underway to transform the way billing is carried out, by rolling out water metering to all customers. In order to move to twopart pricing for water, which was a key requirement of the state government’s reforms, Southern Water is installing water meters for every property to which it provides water services. While there are the obvious logistical challenges in installing the meters, one of the main issues that the company has had to address is communicating the purpose and importance of the meters to its customers. “There are various areas of customer relations that we have had to focus on with this project and communication has been key. The people of Southern Tasmania have never had meters before, and people like to stick with what they are used to. So we have had to explain to them why we are installing meters and how it can benefit them in terms of things such as reducing bills. We will also be introducing a new volumetric pricing system, so we will undertake a major campaign to familiarise everybody with how that will work before we roll it out,” explains Paine.

FRONTLINE ELECTRICAL Frontline Electrical is proud to be working closely with Southern Water to upgrade and maintain Critical Infrastructure throughout the state, and look forward to helping Southern Water secure safe reliable water supply and sewage services for every Tasmanian. With a wealth of Industrial Electrical experience Frontline has proven its ability to continually provide a high quality complete electrical service suitable for the requirements of customers such as Southern Water Frontline Electrical provides specialised industrial maintenance, project and engineering services, from breakdown service to completion of major projects, instrumentation, control systems and power installation, Frontline Electrical is your Tasmanian Industrial Solution Provider. 44

SOUTHERN WATER TASMANIA

The company is required to have all the meters fitted and the new pricing regime in place by 1 July 2012. “There are more than 50 thousand water meters to be fitted in total and so far we have installed 30 thousand, so we are over half way to our target,” says Paine. The project is worth A$30 millon, of which AU$10 million has been provided as a grant from the federal government as part of its National Water Security Plan for cities and towns. “We took our time to find the right suppliers for the project as we wanted to ensure that we got the best, most cost effective meters that would match our needs,” Paine says. “We went through an extensive consultation period and tender process with contractors and suppliers. In the end we chose Elster to provide the meters and Skilltech to install them.” One of the reasons Elster was chosen to supply the water meters is that its equipment include wireless meter reading technology. This aspect alone is expected to deliver A$10 million in savings to Southern Water. As well as physical improvements of its infrastructure, the organisation also has a strong focus on continuous improvement in terms of business practice, explains Paine. “We are moving our strategy towards more effective

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Industrial Installation I Project Management Instrumentation I Automation

Frontline Electrical has been established to offer a complete electrical service for all Industrial customers in Tasmania. Our aim is to provide specialised and highly skilled services for Industrial Customers. Since its origin in May 2008, Frontline has steadily grown and built on its clientele to become a major supplier of industrial services to Southern Tasmania. Frontline Electrical have specialist skills in the food, beverage, timber, brewing, water reticulation & filtering and high speed manufacturing, and presently provide maintenance and project services within Hobart to several major customers. Our ServiceS • General Industrial Electrical installation and maintenance. • Management of Industrial projects. • Instrumentation specification and Installation. • Design and build electrical control and safety systems. • System integration, Scada and PLC configuration and programming. • Fault finding on your electrical systems. • Project installation and commissioning to your specifications. Frontline prides itself on going above and beyond to ensure our customers receive the best service from design stage to commissioning. ECL 949123

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Industrial Installation I Project Management Instrumentation I Automation

SOUTHERN WATER TASMANIA

customer service and all of the things that brings with it. Therefore, we are ensuring that everybody in the company understands that we are all responsible for customer service. So fundamentally, we are asking ourselves for three things: We must all understand what is it we aim to do for customers. Each of us needs to understand our role in doing it. And finally, we need to all make sure that we come to work with our heads switched on and thinking about what we can do to improve the things we

are already doing. That is the theme we are moving towards now.” This theme is also what governs Paine’s vision of the future for Southern Water. “There is some uncertainty as to what the water industry in Tasmania will look like in the future, in that there may be further unification. However, at Southern Water, we are focused on efficiencies and customer service so that we become a business that is well respected by our customers and our peers.” END To learn more visit www.sawater.com.au

Water Industry Solutions is a Tasmanian-based company established to assist authorities achieve excellence in community health, customer service and environmental sustainability through the delivery of cost effective water and sewerage services. Through our engineering associations we can provide total project solutions, from concept design and detailed engineering design, through construction, commission and final handover. These capabilities enable us to offer the provision of water and sewer network, operational and maintenance support services. Our values reflect our commitment to the industry. The Water Industry Solutions Team is • Professional • Reliable • Technical • Environmentally conscious • Customer and community focussed.

568 Main Road, Rosetta Tasmania 7010 Tel: 03 6272 4719 Fax: 03 6272 4737 Email: admin.wis@bigpond.com

future accomModating the

Australasia Outlook looks at Broad APM’s inaugural project – Monash University’s Clayton campus. By Jane Bordenave 48

Broad APM

roadAPM is a joint venture between Perth based Broad Construction Services and Victoria based APM Group. The company was founded in 2009 to handle projects valued between A$30 million and A$200 million in Victoria and South Australia. The company’s first project was to build new accommodation for 600 students at Monash University’s Clayton campus in Melbourne. It consists of two buildings holding 300 single occupancy studio apartments each with a total floor area of approximately 23,000m2. The total value of the project was A$65 million and was completed in November 2011. What makes the Monash project special, other than being the inaugural project for BroadAPM, is its technical specifications and environmental credentials: The Monash NRAS Residences is the first residential project to be awarded a five star Green Star design rating under the GBCA Green Star Multi Unit Residential v1 tool and will also be seeking the first As-Built rating under this tool. Achieving a Green Star design rating involves presenting final drawings for independent accreditation and it is assessed according to how it is projected that the building will perform. This is the way that most Green Star rated buildings are certified, rather than on how they perform on completion. However, as part of Monash University’s commitment to green building it was a requirement that this project be assessed for an As Built rating once it was finished. Director of the Monash project for BroadAPM, Marcus Worn, explains: “Monash see themselves as environmental leaders in the University space in Australia, so it was important for them to get both the design and as built certification. Following the successful completion of our project, and the awarding of five stars at the design stage, Monash now require all their major projects to achieve five star Green Star Design and more importantly, As built ratings.” Green Star rating is flexible and addresses the environmental needs of the

Broad APM

local area where the building is located. Therefore, different localities give different weightings to different environmental concerns. In Victoria, due to the drought that lasted from the mid-90s to two years ago, water conservation has been given a high priority. “When we were at the tender stage, the University issued us with a Green Star matrix, which indicated the points required on the design brief to get the five stars,” says Worn. “We did a lot of work during the tender phase and we introduced 153kw of photovoltaic panels, a greywater recycling system, electrical and water metering and a number of other initiatives that we added to their design to ensure the required 5 star rating would be achieved.” Nikki Paton, Design Manager on the Monash project, explains the challenges being the first project of its kind to attain a five star Green Star rating: “It meant that the whole thing was untested and made our project a bit of a guinea pig, which had its advantages and disadvantages. Quite a 50

number of the credit criteria required clarification and interpretation which meant we had to work closely with the Consultants, the Green Building Council of Australia and Monash University to ensure the objectives required by Monash University and by the Green Star rating tool were met.” “The other thing you have to do on a project like this is make sure that your sub-contractors are onboard and really understand what it is you are trying to achieve. You need to make sure they know what the clients’ requirements are, what their obligations are and if there are any specific materials they have to use because, on this kind of project, if you get it wrong once, it means you get it wrong 600 times and that can be quite difficult to fix!” Another aspect of the Green Star rating system is points awarded for innovation. “We were awarded innovation points for a couple of our solutions,” says Paton. “One example is that we installed an energy display system in the entry of each building that shows how much energy is being produced by the photovoltaic system, how much energy is being used by each building and also compares the buildings. It also shows how much gas and water is being used, so that the people staying in the residences get a bit more

Larnec Doors & Systems Catalogue Manufacturers of quality timber & metal doors, pressed metal door frames for the commercial, industrial, garage, transportable & container building industries

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Larnec Doors anD systems Larnec Doors and systems pride itself on being able to manufacture quality doors that are made out of the best materials available. the australian company is a family owned business and its expertise in manufacturing quality specialty doors has made it one of australia’s premier company’s in the industry. It has more than 30 years experience so we know what its clients want and need. specialising in timber and metal doors means Larnec’s quality is second to none and its reputation in commercial, industrial, container, garage and transportable building sectors speaks for itself. all Larnec Doors products are backed by a 24-month factory guarantee and are manufactured to government safety and building standards in accordance with the Building code of australia and australian standards. Using the latest construction technology, all steel products are fully welded for strength and safety, using the best australian made materials. the maintenance free doors are designed and customized to specific needs by Larnec’s research and develop team and each door is comprehensively tested and evaluated before leaving the factory premises. It’s not just a world class manufacturing on which Larnec Doors prides its self. the company also understands how important on-time delivery is to the building industry and has instigated an exacting delivery system which is also guaranteed. Whether doors are needed in australia, new Zealand, asia or the United Kingdom, Larnec Doors makes sure their top-quality products get to where they need to be on time and in perfect working order. one of the company’s most recent projects was the Broad aPm’s, monash University, clayton campus 600-bed student accommodation facility; it was the first university residential project in australia to target a Green star rating. the latest

in a long line of higher education buildings on which Larnec Doors and systems has worked the new build at monash University required Larnec Doors and systems to supply hundreds of pressed metal frames and timber doors throughout the two building making up the project. the company was called to manufacture within the strict Green star rating guidelines while still manufacturing to the highest of quality. Larnec Doors and systems are committed to operating our business in an environmentally sustainable manner by applying environmentally responsible practices to all facets of our business. our goal is to be regarded as an environmentally responsible business while continuing to supply our valued customers with quality product at a competitive price. at Larnec Doors we apply lean manufacturing and sustainable management techniques to help minimize our environmental footprint. the company manufacture a range of specialized doors including acoustic, vandalproof doors, bulletproof doors, sliding panel doors, fire doors, metal clad doors, timber doors as well as shutters and vents. Larnec Doors & systems prides itself on being able to manufacture quality doors that are made out of the best materials available to us. We are a 100% family owned and operated australian company.

FreecaLL 1800 657 536 1-3 shepherd road swan Hill Victoria 3585 Phone +613 5033 2344 Fax +613 5033 2030 sales@larnecdoors.com www.larnecdoors.com

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Broad APM

ownership over how the buildings are performing.” The metering isn’t just helpful for the residents, but for Monash University too, she adds. “You can get quite a large amount of detail. Each Unit has metering for power and water consumption, so it is a pretty complex system across the buildings, which gives masses of data that they can use and analyse in whatever way they want to.” BroadAPM would be the first to admit that building a project like this, with environmental concerns at the top of the list, does add cost compared to a similar conventional build, and that it is not for everyone currently. But that is not to say that this will always be the way, or that it should be an automatic barrier, Worn says. “Yes, going green currently increases costs, for example, the photovoltaic system cost between A$800,000 and A$1 million. You probably wouldn’t do that on a conventional accommodation build, but we did a cost analysis on it and given that Monash University can get tax credits back on renewable energy and that the cost of utilities will only continue to rise, it will certainly pay for itself within 10 to 12 years. The greywater system and low irrigation landscaping we put in would also have paid for

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if we could bottle it, we would. As leading consulting engineers, we continue to turn our clients’ visions into award winning projects.

www.ndy.com 54

itself in a very short space of time, but thankfully the drought broke 18 months ago, which has relieved some of the pressure on our water resources. Nevertheless, it is a good thing to have there and for Monash it was chiefly an environmental concern, rather than a monetary one. “Monash being a longterm owner allowed us to offset these costs and take a look at ROI over a period of years and decades. It meant that we could realise a lot of these more ambitious elements, including getting the ‘as built’ certification, which again increased costs by about one percent in the short-term.” BroadAPM believes that the Monash project can act as a template for future green residential builds. “I wouldn’t expect to see anyone building another project like this for the next couple of years,” says Worn, “and at the moment, developers would probably find it to be a bit of a bridge too far in terms of cost. But for Universities and other long-term owners of accommodation projects, it is definitely a model.” END To learn more visit www. broadapm.com.au

Broad APM

An internal perspective of main stair located within the residences.

keeping on keep on

â&#x20AC;&#x153;Some of our competitors see difficulties in this market, but we have been able to expand both our client base and turnover in the current market,â&#x20AC;? says Matthew Eaton, General Manager

Baratech Air Conditioning

Air conditioning contractor Baratech Air Conditioning Pty Ltd is winning increasing business across Australia, despite tough trading conditions. By Ian Armitage

ustralia’s construction industry contracted at a faster pace in January as activity in both the commercial and engineering subsectors declined for the month, according to the Australian Industry Group and the Housing Industry Association’s Performance of Construction Index. This coincided with the collapse of Kell & Rigby, one of Australia’s oldest building firms, which went into voluntary administration. The company has been in business for more than 100 years and was responsible for building some of Australia’s best known landmarks, including the Anzac War Memorial and the Apple building in Sydney’s CBD. These are indeed ominous signs for an industry worth billions to the economy. “Levels of activity are a way off preglobal financial crisis,” says Matthew Eaton, General Manager of Baratech Air

Conditioning Pty Ltd. He believes that recovery is still taking place and says that, while investment in the industry is increasing, the rate remains slow as investor caution continues and competition to secure work remains fierce. However, there is opportunity. “Over the past few years we have seen a number of contractors and builders go into liquidation with a number of others struggling to maintain healthy balance sheets,” Eaton explains. “This has not been limited to just those companies that are privately owned as we have also seen publicly owned companies both struggle and fall. I would not be at all surprised if we were to see more companies struggle to remain viable in the short-term. “Despite the competition within the industry we can see a number of opportunities to continue to grow the business.” Baratech was established in 1976 and specialises in the design and construction of commercial, industrial and domestic air conditioning and mechanical ventilation systems. The firm has established itself as a forerunner in NSW’s mechanical services industry, says Eaton.

Baratech Air Conditioning

“Baratech is an air conditioning and mechanical services contractor that services the commercial, industrial, healthcare, retail and residential markets. We undertake both fully documented projects as well as design and construct projects. “What defines us as a business? I think the thing that best defines us is that we are a business that our clients, suppliers and subcontractors enjoy dealing with.” Despite constraints, the business is performing above the goals set for this financial year, says Eaton, and is on track to exceed the goals set for the next financial year. “2011 was a very good year for Baratech. We started the year with a good level of work in progress from projects that we had been awarded in the latter half of 2010 and we were successful in negotiating several large projects in the first half of the year. Our success in being awarded work continued during the second half of the year to the extent that our design and project management departments are now double the size they were in January 2011. “The growth experienced by the business and the 58

excellent people we have recruited would certainly be two highlights of the last 12 months. I think we have been very fortunate in that we haven’t really had any lows over the last year.” The biggest challenge, he says, as with any business at the moment, has been to realise profits in a market that remains depressed after the effects of the global financial crisis and in the shadow of potential further economic problems in Europe. “We seen that the input costs of materials and labour to the business are increasing however the overall prices of projects remain similar to those we saw in 2007/08. Finding people with the right skill set has been and remains a challenge. “As far as achievements go having being able to expand both our client base and turnover in the current market are certainly the two achievements we are most proud of. “Baratech has been highly successful in obtaining work with new clients. Historically, the majority of our work has come from a core group of clients from whom we tended to receive repeat business. Not to say that the repeat business has diminished in any way; however you have seen that clients are seeking alternate suppliers and subcontractors to those whom they would normally use in order to reduce the input costs to their businesses.” The company is a very strong second-tier contractor, Eaton says. “The top tier of our market tends to be dominated by four or five very large contractors with whom we generally choose not to compete. It would be fair to say that we would be considered at the top end of the second tier of contractors in terms of turnover but with the same skills and abilities to deliver projects as the large contractors. “Our primary goal is to continue to grow by servicing our clients and making Baratech their contractor of choice. We realise that we can only achieve that goal with the support of our suppliers and sub-contractors.

Baratech Air Conditioning

Our relationships with our suppliers and sub-contractors are crucial to us being able to achieving success and are therefore as important to us as our relationships with our clients.” The plan is to expand operations to better service customers. “We only operate in the Sydney region market,” says Eaton. “However that tends to limit our market presence and therefore restrict opportunity. Over the last few years we have had a number of clients ask us to partner with them in projects that they are undertaking in other areas of Australia and to date we have declined to do so. Looking forward our main focus will continue to be works within the Sydney region however we will also be looking at working with some of our clients

on selected regional and interstate projects. “I think 2012 will continue to be very competitive with margins remaining tight. We are aiming to increase our revenues by around 15 percent over current year figures and see that as achievable without sacrificing bottom line returns to the business.” Eaton is quick to praise the role of Baratech’s people in its continuing success. “Our whole business is based on people as we do not manufacture product. Our biggest investment therefore is in employing the best people in their respective fields. That said, we could only continue to invest in people if we continue to grow and be able to offer opportunities. “Given our predictions of growth for the next year I can definitely see us expanding our current workforce.” END

To learn more about Baratech visit www.baratech.com.au

High Volume, fast turn around, good quality ductwork - that’s the Kavanagh difference. Providing innovative and effective air movement solutions

With a capacity to produce 1500sqm of ductwork every day from their 17,500sqm premises in Smihfield, NSW - Kavanagh Industries has become the leading sheet metal duct manufacturer in Australia. Established in 1969, Kavanagh Industries is a family business that consistently strives to deliver the best levels of quality, pricing and service to the industry. Innovation is also parramount at Kavanagh with the integration of Building Information Modeling (BIM) into all ductwork manufacturing and cutting edge technology throughout its facilities that process 3D drawings and sends them direct to the company’s state of the art CNC machinery.

14 Cooper Street, Smithfield NSW 2164 | Postal: PO Box 6147 Wetherill Park NSW 2164 Web: www.kavind.com.au | Email: sales@kavind.com.au | Ph: (02) 9756 5727 | Fax: (02) 9756 5724

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When it comes to duckwork talk to industry leader, Kavanagh Industries first.

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Haulmax

Haulage equipment manufacturer Haulmax is unique in its field as the only provider of ‘fit for purpose’ designed off-road extended distance haulage equipment to the global mining industry. The company’s Global Marketing Manager, Bob Calvert, tells Australasia Outlook why what they provide is so important and his hopes for the future of the company. By Jane McCallion

aulmax® is a manufacturer of specialist haulage equipment for use on mine sites. The trucks the company provides are specifically designed to carry loads over distances of between 4km and 40km off road. The business uses Caterpillar® drive trains in its vehicles and also uses its global distribution network to reach its customers. “Haulmax was founded in 2003, although it has since moved to Wynyard in northwest Tasmania, and is now part of the well-known and established Elphinstone group of companies,” says Global Marketing Manager, Bob Calvert. Haulmax, he adds, saw a gap in the market in terms of the transportation vehicles available to mines. Prior to its founding, mines typically had to use trucks designed for on-highway applications to transport materials around their sites. This was not always safe and was inefficient in terms of the tonnage the vehicles could haul over distance. Having identified this problem, a solution was proposed that a truck should be designed specifically for off-road application that would be safe even in poor weather and that could carry heavy loads efficiently.

Haulmax

Haulmax is therefore a very niche provider, but, as Calvert explains, this has been in the company’s favour, “We don’t have a direct competitor in the off-highway business. Our solution provides a lower cost per tonne for the material it’s hauling over a conventional onhighway truck being used in the same way. We are not in direct competition with the normal off-highway mining trucks either, as we take over where those trucks fail to meet a lower cost per tonne productivity once they start to exceed about 4km. So we fit somewhere between the two. However, we are seeing an increasing market for applications where traditional off highway trucks cannot operate due to inclement weather, whereby the Haulmax due to its design can sustain production. Albeit we are not carrying the same capacity, the mine can keep producing in such wet, soft and slippery conditions.” As well as hauling items such as ore or waste materials, the vehicle bases are also capable of being used as an effective on site service support unit. “This could be from water tankers to carrying fuels and lubricating products for servicing the mining infrastructure equipment, such as large dozers, drills and excavators,” says Calvert. “These machines are not designed to move 62

very far so you have to bring these products to those machines.” The company has always worked closely with its customers when it comes to servicing their needs and regards customer and particularly operator feedback as an invaluable contribution to its R&D and continuous improvement processes. “We’re always working to try and improve the ergonomics of the vehicles and we continue to develop new products to suit new applications; either longer distance or more effective performance, to further reduce the cost per tonne moved,” says Calvert. “That’s ultimately the key driver – to offer a solution that provides the lowest operating cost for that type of product.” Haulmax has a permanent research and development division that looks not only at solutions for hauling, but also solutions for rail maintenance. “One of our products, branded Railmax®, uses the latest technology available to meet the stringent needs of

We understand Tasmania business and Tasmanian issues and are able to tailor specific services to meet the requirements of any operation.

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Haulmax

compliance for ancillary track maintenance equipment operating on rail,” says Calvert. “We are also, of course, looking into new products for the future to enhance a low cost per tonne haulage profile for more capacity over longer distances.” However, he acknowledges that there is only so far the company can offer a solution. “There is a cut-off point on mine sites where you’re going to say ‘well, conveyors are going to be an answer, or rail is going to be an answer’, and so we work within the boundary of what is a typical mining lease. But that mining operation might need longer hauls in the future and current equipment may not fulfil the best solution and that’s where we step in. So it’s a niche market, it’s not all things for all applications, but it’s there to provide a solution to a particular problem, be it weather, distance, easier servicing around the mine, operator comfort, especially in extended hauling where operators are sitting in the one spot driving over extended distances on mine sites, and cost per tonne.” Over its lifetime Haulmax has faced three main challenges: obtaining market and application recognition for what is still a relatively new product; finding and keeping skilled labour; and fluctuations in global exchange rates. 64

“Mining is a conservative industry, so gaining recognition where there has not been a single source answer to a particular problem associated with extended haulage distance on mine sites is a continuing struggle. Once we get a broader scope of recognition, it will make everything else that much easier,” says Calvert. “Then you’ve got the other component, obtaining skilled labour for the manufacturing process, at a competitive price, which is a continuous challenge the world over. The problem is that the market is offering in some cases, especially in the mining industry, high salaries to go to mine sites for maintenance people and manufacturing people. So we have to look at what we can do to maintain a sustainable workforce such as being able to offer other things for your workforce to make them happy. We’re very lucky in Tasmania to have a great lifestyle and attractive working conditions, which encourage people to come and stay on.” While there are actions that the company can take to counteract the first

two challenges, when it comes to exchange rates they are at the mercy of the market. “The mining industry internationally traditionally works on US dollars so if you start with parity between the currencies and suddenly the exchange rate goes up to $1.05, straight away we’ve got a five percent impost that erodes your profit,” he says. “You can move your production overseas, but that will only do so much and you cannot always be certain of quality. So we are looking to grow our market in Australia, because that’s where we get our best return for our dollar, because we’re not seeing our profit eroded because of the exchange rate.” Looking to the future, Calvert is very confident in Haulmax’s ability to continue growing. “Over the next five years, we see Haulmax being a very viable manufacturer and supplier to the mining industry on a global basis, which we will achieve in association with Caterpillar and its dealer network. Secondly we see ourselves working closely with our client base with regard to R&D. We will identify products that we can further develop that fit within our manufacturing profile so that we can continue to offer good solutions while sticking to our core business vision of supplying a haulage solution that will provide the customer with the lowest cost per tonne.” END

We don’t have a direct competitor in the offhighway business. Our solution provides a lower cost per tonne for the material it’s hauling over a conventional on-highway truck being used in the same way

Inside Mono a pumping marvel

mono pumps

ono Pumps (Australia) Pty Ltd (NOV Mono) is a manufacturer of progressing cavity industrial pumps and spares, wastewater products and oilfield equipment. Business activities include metal component manufacture, rubber moulding, pump assembly and storage. “NOV Mono manufactures a full range of progressing cavity pumps, grinders, macerators, screens and packaged pumping systems, ideal for the wide range of applications found within the waste water and environmental industries,” the company’s website -- www.monopumps. com.au -- explains. “Fluids that can be handled include sludges, screenings, abrasive slurries, solids in suspension and shear sensitive products.” Mono’s self-cleaning screens are suitable for water abstraction intakes, storm overflows, pump stations and inlet works, it says.

Australasia Outlook profiles Mono Pumps (Australia) Pty Ltd (NOV Mono), a subsidiary of National Oilwell Varco By Ian Armitage

“For complete extraction of organic solids, Mono can also design, supply and install screening extraction systems. “Mono Munchers are used to reduce solids within a flow to a small homogenous particle size, whilst also providing protection for transfer pumps, eliminating blockages and subsequent downtime. Applications include maceration of raw sewage and biodegradable waste such as bones, offal and vegetable waste. For remote pumping stations, the combination of a Muncher and a low speed progressing cavity pump provides a highly reliable pumping system for the transfer of raw sewage to the local treatment works,” the website adds. The Mono Projects Team can provide a total engineered solution, from the initial 3D design of a pumping, screening or macerating system through to supply, mechanical and electrical installation of all associated equipment and commissioning. “We have a wide product range suitable for the pumping of fluids within the waste water, chemical, food, beverage, paper, mining, mineral processing, marine, agricultural and oil and gas sectors,” a company source told Australasia Outlook. “We also invented the EZstrip family of products.” The EZstrip family provides a “Maintain-In-Place solution for the maintenance of progressing cavity pumps and associated products,” he said. NOV Mono supplies rotary lobe pumps, grinders, screens and packaged pump systems, ideally suited for the efficient maceration, screening and pumping of wastewater flows. Its website says: “A full range of progressing cavity pump parts are available 24 hours a day, 365 days a year and can be ordered online or through NOV Mono’s authorized sales network”, to ensure minimum downtime.

lendlease

Mangawhai PSS Installations

Mono first began manufacturing progressing cavity pumps in 1935. It has a proven history of providing quality products with an unrivalled service 68

“Maintenance, technical assistance and on-site chemical and metallurgical laboratories, to test and confirm the correct pump selection for difficult fluids, are other areas of expertise available from NOV Mono. For turnkey projects, NOV Mono’s dedicated projects and Installation Team can manage all aspects of a project, from initial 3D design of a pumping station through to installation and commissioning, including all necessary control equipment and pipework,” it website adds. Mono first began manufacturing progressing cavity pumps in 1935. It has a proven history of providing quality products with an unrivalled service. “Our commitment to quality is reflected in Mono becoming the first progressing cavity pump manufacturer to be certified to ISO 9001 and once again the first to achieve the upgrade quality management system to ISO 9001:2000. Our most recent award is to the ISO 14001 certification,” the company’s website says. Mono’s global success is further enhanced by National Oilwell Varco (NOV), its parent

mono pumps

Fineweld Fineweld stainless steel p/l has had an ongoing working relationship with nov mono for over 12 years. With nov mono now in their new manufacturing / distrubution wharehouse only 400 metres from our factory has enabled the working relationship to grow even stronger â&#x20AC;&#x201C; we look forward to the furture growth of both our companies as new and inovated products are brought into manufacturing.

company. NOV is a leading provider of oilfield products and services to the oil and gas industry, with more than 140 yearsâ&#x20AC;&#x2122; experience. It has over 36,000 employees around the world with revenues in excess of $9.7 billion. Mono has manufacturing plants, offices and distribution centres in Manchester, UK, Melbourne, Australia, Houston, USA, Auckland, New Zealand, Shanghai, China, Rebeuville, France, Buenos Aires, Argentina and Calgary, Canada. In addition to its own extensive network, Mono enjoys a number of partnerships with leading distributors around the world. The Nov Mono Australian head office has recently expanded and relocated to a new site in Carrum Downs.

For further details on the products and support Mono can offer you, please visit www.monopumps.com.au

Fineweld StainleSS Steel F

ineweld Stainless Steel prides themselves on having the best quality and prices of Stainless steel tanks and equipment in australia.

We are the leaders of innovation design and manufacturer of Stainless Steel tanks and Processing equipment in Victoria. Stainless steel tanks can be manufactured in any size from 50 to 50,000 litre. With over 20 years manufacturing experience and with a skilled manufacturing team we have the ability to produce stainless steel tanks and processing equipment efficiently and to budget. With over 12,000 sqft of manufacturing space no job is too big or too small. We look forward to being of service to you. Please email us info@fineweld.com.au or call us for any advice on our products.

Fineweld Stainless Steel Pty ltd

17 tova Drive, Carrum Downs, ViC 3201 tel: (03) 9775 0339 www.fineweld.com.au

greener Australia BOC puts energy into a

BOC is investing heavily in LNG plants to meet the growing appetite for cleaner, greener energy alternatives in Australasia. Managing Director for BOC South Pacific, Colin Isaac, talks to Australasia Outlook. By Ian Armitage 70

BOC

L_R : Peter Re - Head of Process Operations, South Pacific, Prof Dr Wolfgang Reitzle - CEO of the Linde Group, Colin Isaac - Managing Director, BOC South Pacific, & Ross Hargreaves - Regional Operations Manager

eading gases and engineering company BOC is investing heavily in LNG plants to meet the growing appetite for cleaner, greener energy alternatives in Australasia. Managing Director for BOC South Pacific, Colin Isaac, says the company is at the forefront of new technology in providing an economical low-emissions fuel alternative for heavy transport and the stationary energy sector. “One of the biggest challenges facing society is the need to reduce emissions the world over,” Mr Isaac says. “This calls for intelligent technologies that balance the need for environmental protection with advancing industrialisation and economic development.’’ The recent launch of BOC’s A$65 million LNG project in Dandenong Victoria signifies the leading role BOC is playing in the development of cutting edge solutions focusing on the safe, efficient, simple and eco-friendly application of alternative fuels for trucking, and local gas grids. More than 18 months in construction, the plant upgrade represents a vital link in BOC’s A$200 million LNG highway being built along Australia’s eastern seaboard. With a capacity to produce up to 100 tonnes of LNG per day, the project was a major expansion and refurbishment of BOC’s existing Air Separation Unit (ASU) and LNG facilities at the Dandenong site, to meet Australia’s growing LNG needs. According to Mr Isaac, the expansion of the plant where BOC became the first company to produce LNG in Australia 30 years ago was a significant milestone for the company. “It will form a crucial part in the LNG highway to fuel heavy road transport vehicles, utilising a network of refuelling stations on major routes,” he says. “To fuel the heavy vehicles along the east coast of Australia, BOC will be using the fuel processed from its micro

BOC

LNG plant in Chinchilla in Queensland as well as using LNG from this state-of-the art new facility in Dandenong.’’ Mr Isaac says the Dandenong plant utilises similar cutting edge technology that the company would roll out in other locations in a long-term commitment to supporting the domestic gas industry and reducing greenhouse emissions. “At Dandenong, we have been reliably producing LNG for over 30 years to back up the Victorian gas grid in association with the LNG storage facility owned and operated by APA Group.’’ The expanded plant will produce up to an additional 100 tonnes of LNG per day to be supplied to APA for use in the LNG merchant market. BOC has subsequently contracted with APA for up to 50 tonnes per day of the plant capacity, for use in the heavy vehicle market. “LNG has significant environmental benefits, being the cleanest burning fossil fuel and producing up to 20 percent less greenhouse gas emissions when compared with diesel,” Isaac says. “Unlike the price of diesel, which is linked to the highly volatile

BOC’s Westbury Micro LNG plant

and unpredictable oil market, the price of LNG is more stable allowing for better control of business budgeting.’’ He says BOC’s state-of-the-art energy efficiency technologies would form a key element of Australia’s future energy mix. “Natural gas is an energy source of the future and BOC’s world-leading LNG plant technology will play a key role in the adoption of natural gas as a mainstream fuel source across the South Pacific.” BOC’s Dandenong investment followed the company’s February 2011 launch of Australia’s first Micro-LNG plant in Westbury, Tasmania, and six refuelling stations across the island state, for a combined A$150 million. The project comprises the construction and operation of the MicroLNG plant and supplying the re-fuelling stations to trucking consortium LNG Refuellers Pty Ltd across Tasmania. The Westbury Micro-LNG plant has the capacity to produce 50-tonnes a day of LNG which is the equivalent of 70,000 litres of conventional diesel. “BOC is committed to minimising emissions from the burning of fossil fuels and technologies and infrastructure, such as these plants will contribute to Australia’s CO₂ management,” Isaac says. “BOC is very pleased to be playing its part in helping to develop new industry and boosting regional and state economies through the delivery of safe, reliable and proven technology with our LNG plants.’’ BOC produces LNG from local sources using Linde Engineering MicroLNG Plants to meet the needs of fleet fuelling situations, as well as stationary energy requirements such the asphalt making sector, for which BOC is a significant provider. “Not only does BOC build MicroLNG plants, but we work with our customers to develop integrated solutions to meet their energy needs,’’ Mr Isaac says. “These needs can be a varied as asphalt kilns, hot oil tanks, steam and hot water boilers, process dryers, power generation and cogeneration.’’

BOC

The opening of BOC’s Westbury Micro LNG plant with Colin Isaac – Managing Director, BOC South Pacific, Ken Padgett - Chair, LNG Refuellers and The Hon Martin Ferguson - MP, Minister for Energy and Resources

A prime focus, however, is working with heavy vehicle manufacturers and engine builders to develop the “LNG Highways” to refuel transport fleets throughout Australia. The LNG fleet refuelling network will include transport company depot refuellers located at the transport company yard and public refuellers, located at selected truck focused service stations and roadhouses around Australia. Alongside these heavy vehicle fleetfuelling activities, BOC will also focus on marine, locomotive and mining vehicle refuelling applications. BOC is proud of its involvement in the South Pacific and constantly looking at ways to increase its investment and support in the region. In addition to its major LNG contributions, the company has supported significant industry growth and sustainable manufacturing through diverse projects including a Darwin Helium Plant, Air Separation Unit at Karratha and a Hydrogen Steam Methane Reformer at Altona, Victoria, in

the last two years alone. In February this year, BOC and New Zealand Steel announced they had agreed to a long-term industrial gas supply contract that would be critical to New Zealand Steel’s ongoing iron and steelmaking operations at Glenbrook. BOC will invest around A$70 million in new plant and equipment to supply products to the New Zealand air gases market. This investment is underpinned by a contract with New Zealand Steel to serve the air gas needs of that plant’s production for at least a 20-year period. The air separation plant will replace an existing plant that is approaching the end of its useful life. It will feature increased production and storage capacity enhancing reliability of supply and potential for growth for New Zealand Steel. The plant will also supply increased quantities of liquid oxygen, nitrogen and argon to the broader New Zealand air gases market for uses such as in hospitals, food freezing and metal fabrication. “BOC is very pleased to be playing our part in helping to develop new industry and boosting regional and state economies through the delivery of safe, reliable and proven technologies,’’ Mr Isaac concludes. END F For further information, see www.boc.com.au 73

BOC can help you with the right combination

At BOC, we understand the knowledge, expertise and process needed to successfully work in your industry and we’re proud to play an important role. If we can help your business increase production and keep costs down, then we’re doing our job. As a leading global gases company, BOC can provide innovative solutions for your business whether you’re in Construction, Energy, Food & Beverage, Healthcare, Manufacturing, Mining or Oil & Gas.

BOC is a Member of The Linde Group, which operates in over one hundred countries around the world, serving thousands of customers in almost every market area imaginable. While sharing global expertise and knowledge, BOC still provides the highest quality services our customers have come to expect from their local account representatives. A BOC service expert is never far away, anywhere around the globe. If you're looking for confidence in a supplier who can provide you the complete package

A Member of The Linde Group

â&#x20AC;&#x201D; reliable, fast and quality gases in bulk or compressed supply, a comprehensive range of industrial equipment and trade tools, safety products (PPE), one of the largest global distribution networks, unrivalled technical expertise on industrial processes and specialty gas applications, plus quality customer engineering services, then talk to BOC today.

Australia

131 262 www. boc.com.au contact@boc.com

New Zealand

0800 111 333 www.boc.co.nz customer.servicenz@boc.com BOC Limited Riverside Corporate Park, 10 Julius Avenue, North Ryde, NSW 2113 Australia contact@boc.com BOC is a trading name of BOC Limited, a Member of The Linde Group. ÂŠ BOC Limited 2012.

MP12-0591|MA|ABO|0312

You can count on our reputation and commitment to service and safety because your business is important to both of us.

To find out more, please contact:

Sustainable

solutions

FREDON were engaged across multiple disciplines to assist in the complete refurbishment of 221 London Circuit. The building was upgraded to achieve a 4.5* NABERS rating and provide a modern design to new and existing tenants.

fredon

Increasing operational efficiencies is crucial in the commercial building sector says Richard Drigo, Managing Director of Fredon Air, part of the Fredon Group of companies that specialise in communications, electrical, data and HVAC services to government, large corporations and the industrial and construction sectors. By Ian Armitage

ncreasing efficiencies is “crucial in our business,” says Richard Drigo, Managing Director of Fredon Air, a HVAC services specialist. He sees an Australian commercial construction market that is being driven by demand for “highly efficient, green premises, and owners desires to show the market they have efficiently run, high quality buildings in their portfolios.” The demands, therefore, on quality, safety and performance has never been greater and it puts every facet of a business under the microscope. And to this end no stone should be left unturned in pursuit of absolute excellence in every facet of the business. “Just like the hand is the sum of the fingers our individual departments whether engineering, management or administrative must be operating at their best to ensure we have a high performing business,” Drigo says. A call to arms, if you like, each and every day. “You need to be brutally honest with yourself and make the changes necessary… as difficult as they sometimes may be,” Drigo adds, explaining that, “green” has become an essential weapon in the Australian property owner’s armoury. “Green buildings positively impact everything from operational costs to return on investment, and from reputational equity to productivity,” he says. Support for his claim comes from the Building Better Returns report published in September 2011 by the Australian Property Institute and Property Funds Association in association with the University of Western Sydney. The report found that Green Star-rated buildings are delivering a 12 percent ‘green premium’ in value and a five percent premium in rent. Similarly, the most recent IPD Property Index has found that Four Star Green Star-rated buildings deliver a 10.8 percent higher return on investment than non-Green Star buildings. You can see why demand is strong. “Demand is there,” says Drigo. “For commercial building owners and tenants alike, being environmentally efficient can help their bottom line: a building that uses less water and power costs less to run and yes they are really making a differences to their carbon foot print. “We have in-house Green Star-accredited professionals and have completed a number of large Green Star and Nabers rated projects,” he adds. “This an integral part of our business and an area where we do things a little bit differently. “We have an absolute commitment to excellence in the design, procurement and management of our projects, to ensure the building is delivered on safely, on time and meets Green Star criteria, and, most importantly, we do the fine-tuning and stay with the building through its

FREDON

Lawrence & Hanson Electrical It’s our commitment to continuous Since 1886, L&H Group has remained the leading industrial supplier of a Wholesalers are Australia’s leading improvement, and the pride we take in meeting customer needs, that’s complete range of quality electrical, distributor of electrical materials, helped us achieve our goals. Quality lighting, heating and cooling, and products and services to the contractor ventilation components to Australian and industrial electrical markets. has been the philosophy behind L&H Lawrence & Hanson and Auslec branches are the longest established supplier of electrical product in Australia and that since the company formed in 1886. businesses. means you can be confident you’re dealing with an organisation that knows it’s stuff. We have 180 branches throughout The That knowledge is applied to build our core–range of the most commonly used products in each of our branches nationwide. secreT To our success? metropolitan and regional Australia, A program of innovation and and aim to lead the market by Our range consists of all major Australian as well as international brands to ensure you get the right product for your continuous improvement, coupled achieving outstanding levels of application, when you need it. However we don’t just rely on our experience, we work with you to fine tune our range at the withlocal level to give you the best possible choice of quality products to keep your business powering on! a strong focus on quality. customer satisfaction.

Electrical

ise? Our Prom rvice. Great se

Accessories Cable Accessories Conduit,www.lh.com.au Duct & unit 1 102-110 spencer rd Nerang QLD 4211 07 55273511 Alco Burnbrite Accessories 78

Click Energizer Aust (Eveready)

Ampere Aust Cable Supports Bowthorpe

Adaptaflex Alco

gestation from vacant to fully occupied. “A significant emphasis is placed on planning and commissioning a project and it’s post completion performance. It’s fundamental really. We are responsible for the engineering, construction and delivery of services in a complex building, which has long-term energy mandates and statutory obligations to comply with. We therefore have an unrivalled level of understanding and expertise in how it should operate and be managed for the long term to ensure these obligations are met and the building owners interests protected.” Often buildings get delivered and have a great efficiency rating at commissioning and handover and then it is lost through poor implementation and understanding, Drigo says. “We are, in short, in the best position to protect and preserve the assets of our clients.” Fredon has been in business since 1968, delivering outstanding electrical, data, security, air-conditioning and communications technologies. The firm’s history is steeped in examples of quality workmanship, value for money, outstanding safety performance and, perhaps most importantly, client satisfaction. “We are one of Australia’s foremost suppliers of electrical, data, security, air-conditioning and communications technologies services to the government, large

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FREDON

corporations and the construction sector,” says Drigo. “We are a leading supplier of voice, data and audio visual solutions and are proud to be working with numerous prestigious Australian corporations.” Unsurprisingly the business is performing well, despite constraints in the market, and it is even looking to expand. “I’m more optimistic than I was 12 months ago about the market,” says Drigo. “I think there is an upward trend in construction activity and the general outlook is positive. “We are looking to expand and feel that it is important that we serve our clients and have a national footprint. Areas like Perth and Queensland are obvious candidates for expanding the mechanical business. “The mechanical business has certainly made inroads in the last few years despite difficult market conditions given the economic times. We have delivered some major commercial projects in Canberra and Sydney, across a broad spectrum. We’ve made real positive progress over the last couple of years.” Drigo is currently on a recruitment drive,

but admits finding talented staff is a challenge. “Irrespective of the current jobs market, finding quality staff continues to pose a challenge.” He pinpoints the problem as being due to the lack of training in the industry over the years. “To address this, we are implementing better mentoring programmes and training programmes for graduates. We employ graduates each year and this is viewed as the lifeblood for the business’ future. The reality is that it takes time and commitment from all our staff to ensure that our graduates are mentored and given the best possible chance to succeed.” Drigo says, “Nothing makes me happier to watch a graduate progress into a fully matured high performer. It is one of the real joys of what we do.” In today’s competitive marketplace, employers need to be strategic in how they attract and retain the best and brightest talent. “Are we worried they’ll go to a competitor? There is always that danger, but if you nurture your staff, look after them, and give them career and growth opportunities-which is where our business is going -- why would they leave?” END

To learn more about Fredon visit www.fredon.com.au.

Welcome to the future of

electrical merchandising tle Belconnen

proud associates of Fredon are relocating to exciting new premises at 22 - 36 Oatley crt. Belconnen

www.mmem.com.au 80

ENGINEERING EXCELLENCE

if we could bottle it, we would. As leading consulting engineers, we continue to turn our clientsâ&#x20AC;&#x2122; visions into award winning projects.