Department of Environment and Primary Industries Ref: SEC010486 File: “*SEC010486*” The Hon Ryan Smith MP Minister for Environment and Climate Change 8 Nicholson Street EAST MELBOURNE VIC 8002 8 Nicholson Street East Melbourne Victoria 3002 Australia PO Box 500 East Melbourne Victoria 8002 Australia Telephone: +61 3 9637 8890 Facsimile: +61 3 9637 8100 www.depi.vic.gov.au DX 210098 Dear Minister MINISTERIAL STATEMENT OF EXPECTATIONS FOR LAND FIRE AND ENVIRONMENT REGULATORS Thank you for your letter of 30 June 2014, containing your Statement of Expectations (SOE) for the regulation of land, fire and environment (LFE) business activities by the Department of Environment and Primary Industries (DEPI). This letter confirms DEPI’s commitment to improving regulatory performance and reducing costs faced by Victorian businesses and other regulated parties. The LFE Regulators cover a number of different regulatory activities, namely: beekeeping on public land; Flora and Fauna Guarantee Act 1988 regulation; native vegetation clearing controls; environmental regulation of timber harvesting on public land; tour operator licensing; and wildlife regulation. With regards to responsibilities for operational and enforcement activities, LFE Regulators includes both DEPI’s Land, Fire and Environment Group and Regional Services Group. Our commitment to regulate efficiently and effectively DEPI recognises the impact that regulation and regulatory practice have on regulated businesses. Since being established one year ago, DEPI has made organisational changes and developed frameworks to transform its regulation of the environment and primary industries. This transformation will, when fully implemented, achieve the Government’s goals for stakeholder-focussed compliance activities and locally responsive decision-making. DEPI will embed many of the improvements recommended by the Victorian Auditor-General’s Office in its 2012 report into the effectiveness of former Department of Sustainability and Environment and Department of Primary Industries compliance activities. Work is continuing, to bring consistent processes and approaches to a wide range of regulation and compliance roles across the merged department. Privacy Statement Any personal information about you or a third party in your correspondence will be protected under the provisions of the Information Privacy Act 2000. It will only be used or disclosed to appropriate Ministerial, Statutory Authority, or departmental staff in regard to the purpose for which it was provided, unless required or authorised by law. Enquiries about access to information about you held by the Department should be directed to the Privacy Coordinator, Department of Environment and Primary Industries, PO Box 500, East Melbourne, Victoria 8002. For instance, some of the LFE Regulators’ recent regulatory achievements include: amendments to the Sustainable Forests (Timber) Act 2004 to create a flexible and tailored approach to matters of non-compliance that are proportionate to the environmental impact and culpability of the offender; reforms to Victoria's native vegetation permitted clearing regulations through amendments to Victoria Planning Provisions to provide greater focus on managing risks to important biodiversity assets and ensure that the assessment and decision making process is guided by risk and impact; the Native Vegetation Credit Market Bill has established an evidence-based approach that balances the economic and environmental considerations involved in the productive use and development of land and protection of Victoria's native vegetation, by creating a robust and transparent offset market. The Bill also provides a complete legal framework for the establishment, trade and allocation of native vegetation credits; and a new apiculture (beekeeping) on public land policy was released to improve and secure access to public land bee sites. Our plans to meet the SOE improvement priorities DEPI will meet your priorities for improvement through the plans outlined below. Regulatory principles In your SOE, you set out six principles to guide DEPI regulatory staff in their interactions with the public. The following elaborates on what stakeholders can expect in these interactions. Principle What stakeholders can expect Helpful I can expect to receive appropriate and timely information, advice and assistance to help me understand and meet my compliance obligations Respectful I can expect to be professionally and respectfully treated by DEPI compliance staff at all times Proportionate I can expect my compliance experience to match the relative risk, impact and intent of my behaviour Predictable I can expect to be able to anticipate my compliance experience based on my behaviour and to be treated the same as any other regulated individual or organisation for equivalent circumstances Clear I can expect to receive a clear explanation of a compliance decision Transparent I can expect to easily understand the way in which DEPI regulates both industry and community members SEC010486 2 As you requested, LFE Regulators will work with other DEPI regulators to jointly develop a standard for measuring DEPI’s performance against these expectations, and then report against the standard in the timeframes listed below. Relevant LFE areas Improvement strategy Targets All LFE regulatory areas To work with other DEPI Regulators to jointly develop a standard for measuring DEPI’s performance in delivering the regulatory principles and report against the standard Participate in preparing the standard, collect and report on baseline data by 1 July 2015 and subsequent year’s data by 1 July 2016 Role clarity DEPI acknowledges your expectations below for clearer roles and responsibilities. Relevant LFE areas Improvement strategies Targets Native Regulatory areas will develop policy establishing a Updated policy vegetation, clear chain of accountability between all parties documents by 1 July Tour operators, involved in the regulatory regime 2015 Wildlife Beekeeping, Native vegetation, Timber harvesting Regulatory areas to review existing compliance monitoring and assurance regimes to ensure that regulatory objectives are being met Complete reviews by 1 July 2016 To meet this, a number of LFE Regulators will adopt improvement strategies around establishing clear chains of accountability, and/or conduct reviews of compliance monitoring and assurance regimes within a certain time period. Specifically, LFE Regulators will adopt the following strategies. Native vegetation – LFE Regulators will update memorandums of understanding with local government and public land managers to reflect changes in the native vegetation permitted clearing regulations to ensure that they clearly define each party’s roles and responsibilities. LFE Regulators will also review existing approaches to native vegetation permitted clearing controls to establish a monitoring and reporting framework and to enable the effectiveness of the new controls to be determined. SEC010486 3 LFE Tour Operators on Crown Land – Parks Victoria is not only responsible for managing the majority of tour operator licences across Victoria, it also administers tour operating licensing across the DEPI estate. LFE Group will clarify the roles and responsibilities between Parks Victoria and DEPI by 1 July 2015. Wildlife – LFE Regulators will develop both a policy summarising the respective roles and responsibilities as well as a chain of accountability for wildlife regulation across DEPI by 1 July 2015. Beekeeping – LFE Regulators will clarify responsibility for all regulatory functions including management and administration of beekeeping on public land, biosecurity and apiculture practices to ensure that activities across DEPI are appropriately integrated and coordinated, and that regulatory objectives are achieved. Timber harvesting – LFE Group will develop a risk-based compliance policy for timber harvesting on public land and conduct a review of compliance monitoring regimes to ensure regulatory objectives are being met. Stakeholder consultation and engagement In response to your expectations for stronger stakeholder relationships listed below, LFE Regulators will develop a stakeholder consultation and engagement plan by 1 July 2016. Strengthening these ties is one of the central pillars in LFE Regulators’ ability to communicate constructively with its external stakeholders. Relevant LFE areas Improvement strategy Target Beekeeping, Wildlife Strengthen stakeholder relationships with the development of a stakeholder consultation and engagement plan Complete plans by 1 July 2016 To meet these expectations, we will adopt the following strategies. Beekeeping – An LFE Regulator’s stakeholder consultation and engagement plan will guide stakeholder relations during implementation of the new apiculture on public land policy and ongoing beekeeping activities on public land. The plan will be aligned with biosecurity regulation where appropriate. Wildlife – LFE Regulators will prepare a plan detailing how it will engage and consult with its key stakeholders for wildlife regulation, including the RSPCA, Victorian Farmers Federation, landholders and animal welfare groups by 1 July 2016. SEC010486 4 Clear and consistent regulatory activities We note your priorities for improving the clarity and efficiency of regulatory activities and your expectations for LFE Group to strengthen its regulator/stakeholder relationships, as below. Relevant LFE areas Improvement strategy Target Timber harvesting Streamline and align the various regulations that the timber industry is required to comply with to provide a more linear framework that improves clarity and efficiency Publish revised Code of Practice for Timber Production as per improvement strategy, supported by a single consolidated set of operational prescriptions by 30 December 2014 To deliver this, LFE Group will finalise the outcomes of the ongoing stakeholder consultation process (as required under Part 5 of the Conservation, Forests and Lands Act 1987) and publish a revised Code of Practice for Timber Production containing a consolidated set of operational prescriptions by 30 December 2014 (subject to Parliamentary endorsement). The revised Code will improve the alignment of regulations and provide clarity for the timber industry by clearly outlining the rules that must be followed when conducting harvesting operations. Risk-based strategies As you requested, LFE Group will work closely with Regional Services Group and other DEPI regulators in developing risk-based Compliance Strategies, as below. Relevant LFE areas Improvement strategy Targets All LFE regulatory areas LFE Group will develop Compliance Strategies, which should include risk-based approaches Complete Strategies by 1 July 2015 Regional Services Group will develop, use and report against Regional Compliance Plans, reflecting priorities identified in the Compliance Strategies Complete Plans and start reporting against them by 1 July 2015 SEC010486 5 Accountability and transparency Consistent with the accountability and transparency principles underpinning effective public sector regulation, I confirm that DEPI will report on the achievement of these SOE performance targets in its 2014-15 and 2015-16 annual reports. Relevant LFE areas Improvement strategy Target All LFE regulatory areas Publically report on all SOE regulatory activities in DEPI’s annual report Commence annual reporting by 1 July 2015 Thank you again for your direction in the future governance and regulatory performance of Victoria’s environment and climate change portfolio. Yours sincerely Paul Smith Acting Secretary SEC010486 6