An audit of the Australian Maritime Safety Authority’s management of its Search and Rescue Aircraft contract has found it to be fully effective.
The Australian National Audit Office (ANAO) which conducted the audit said the contract was signed in October 2014 to begin operation in late 2016, and was to run for 12 years with an option to extend for a further three years.
“At time of signature, the contract was budgeted to cost $640 million for the initial 12-year term. Search and rescue units have been established at three bases in Cairns, Perth and Essendon,” the ANAO said.
“The audit’s objective was to assess whether the Australian Maritime Safety Authority (AMSA) is effectively managing the Search and Rescue Aircraft contract.”
Concluding that AMSA’s management of the contract had been fully effective, the audit found the contract was being delivered in accordance with the planned cost, scope and delivery timeframe.
“While there was a delay with the commencement of services being provided in full, the contract end date has not been extended,” the ANAO said.
“Under the well-designed contractual framework, costs tracking below budget initially reflected delays in each base commencing full operations.”
However, following these initial delays, search and rescue assets had been provided and accepted into service.
The ANAO provided its key messages from the audit for all Australian Government entities to note as they covered procurement and contract management.
The Office’s report can be accessed online at this PS News link and as a 42-page printed format at this link.
The Audit Team was Michelle Mant, Sean Neubeck, Josh Carruthers, Kasia Hill and Brian Boyd.
