3 West Gate Tunnel project: value for money
The 2015 interim MLP guideline required VFM assessments for MLPs to include:
1 Audit context
In an MLP, the private sector makes an unsolicited approach to government for support to deliver infrastructure or services through direct negotiation rather than a competitive procurement process. The private sector usually asks the government for financial support but may also ask for regulatory or other forms of assistance.
The government issued a new guideline and established a five-stage process for considering MLPs in early 2015 and declared that MLPs would only succeed if found to be unique, VFM and in the public interest.
Audit overview
Context
What is a market-led proposal?
In a market-led proposal (MLP), the private sector makes an unsolicited approach to government for support to deliver infrastructure or services through direct negotiation rather than a competitive procurement process. The private sector usually asks the government for financial support, but may also ask for regulatory or other forms of assistance.
Acronyms
| AFP | Australian Federal Police |
| BCR | benefit-cost ratio |
| CBA | cost-benefit analysis |
| CBD | central business district |
| DEDJTR | Department of Economic Development, Jobs, Transport and Resources |
| DJPR | Department of Jobs, Precincts and Regions |
| DoT | Department of Transport |
| DPC |
Appendix C. Satisfaction with ICT services and support
Figure C1 shows the annual customer satisfaction survey results for key ICT services and support elements from 2016 to 2018.
Figure C1
Satisfaction with key ICT services and support elements
|
Element |
2016 (%) |
|---|
Appendix B. Key service level measures and targets
Figures B1 shows Cenitex's performance across key service levels measures from 1 January 2016 to 31 December 2018.
Figure B1
Cenitex operational performance
|
Service level measure |
Target |
Region |
|---|
Appendix A. Submissions and comments
We have consulted with Cenitex and DTF, and we considered their views when reaching our audit conclusions. As required by 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.
Responsibility for the accuracy, fairness and balance of those comments rests solely with the agency head.
Responses were received as follows:
- Cenitex
- DTF
RESPONSE provided by the Chief Executive Officer, Cenitex
3 Managing current and future challenges
The public sector ICT landscape is rapidly evolving. Machinery of government changes, the rise of cyber threats, and maturing cloud capabilities' potential to reduce ICT costs and improve service delivery all have implications for Cenitex.
As change occurs, so do the needs and expectations of Cenitex's customers. Having open and timely channels to understand customers' needs and mechanisms to respond to them is critical.
2 Operational performance
Cenitex's performance measurement and reporting framework aims to assure its board and management that it operates effectively and delivers services that meet customer needs.
A well‑designed performance measurement regime includes:
- clearly defined and evidence‑based measures and targets that are tailored to customers' needs
- sufficient, appropriate and reliable data
- regular monitoring of critical aspects of performance by senior management, so that they can address emerging issues promptly.
This Part examines: