Ordered to be published

VICTORIAN GOVERNMENT PRINTER March 2018

PP No 379, Session 2014–18

Figure B1
Agency responsibilities, funding sources, and asset and risk management practice expectations

We have consulted with DELWP, PV, MPSC, EGSC, GP, GORCC and VicRoads, and we considered their views when reaching our audit conclusions. As required by section 16(3) of the Audit Act 1994 , we gave a draft copy of this report, or relevant extracts, to those agencies and asked for their submissions and comments. We also provided a copy of this report to the Department of Premier and Cabinet.

Responsibility for the accuracy, fairness and balance of those comments rests solely with the agency head.

Responses were received as follows:

In 2015 and 2016, government called for the review and reform of public land management to address longstanding issues that have hindered the governance and management of public land, including the coast and its assets.

In this part of the report, we examine the progress of proposed reforms and whether they address the issues identified in this audit.

The costs involved in protecting coastal assets include those incurred for designing, constructing, operating, maintaining, repairing and replacing assets. Coastal managers' capacity to protect coastal assets depends on their ability to generate revenue or obtain funding, and to target this to assets of highest value and at highest risk.

Coastal managers manage a large number of ageing and deteriorating assets that are subject to increasing coastal hazards. It is a significant challenge for agencies to best allocate their limited funds to protect their assets.

Climate change will change the nature and potential impact of coastal hazards in the future, with rising sea levels and increased storm intensity expanding and intensifying inundation and erosion.

As early as 1992, the Port of Melbourne Authority recognised the need to start responding to climate change, identifying several coastal regions that were vulnerable to significant climate change impacts.

Asset management aims to optimise the life span of assets and the services that they provide, for minimum cost. Risk management is an integral part of good asset management. It helps asset managers to identify high-value assets and prioritise and manage threats to them.

In this part of the report, we analyse agencies' knowledge of their coastal assets and how they prioritise, manage and protect them.

1.1 Victoria's coastal assets

Most Victorians live, work and play close to the coast. It is home to over one million people—19 per cent of the state's population—and four out of five Victorians visit the coast every year to enjoy a wide variety of recreational pursuits. The coast is also the destination for a growing domestic, national and international tourist market.

Many Victorians live, work and play close to the coast. It is home to over one million people—19 per cent of the state's population—and four out of five Victorians visit the coast every year to enjoy a wide variety of recreational pursuits.