Out-Law Analysis 2 min. read

Australian transmission projects face strict work safety obligations amidst resourcing challenges


As Australia’s energy transition continues at pace, companies involved in building new transmission infrastructure will need to manage considerable resourcing challenges on projects while also meeting industry-specific obligations to ensure their workers’ health and safety.

The Work Health and Safety Act 2011 (WHS Act) imposes multiple safety duties on companies which are involved in transmission projects. In addition to having a primary duty to ensure the health and safety of workers and others involved on these projects, there is a separate specific obligation for companies installing transmission infrastructure to ensure that the way it is installed, constructed and commissioned does not carry a risk to workers’ health and safety, as far as is reasonably practicable.

The WHS Act also makes it clear that officers need to ensure adequate resources are committed to projects so that health and safety risks are eliminated or minimised. Specifically, the Act requires officers of persons conducting a business or undertaking (PCBU) to ensure that their organisations use appropriate resources and processes in line with their due diligence obligations. An officer can be anyone who makes, or participates in making, decisions that affect the whole or a significant part of the PCBU, such as board members, CEOs and heads of departments.

Resourcing challenges

For organisations involved in large scale transmission projects, resourcing these projects can be a challenge, particularly when considering the geographical remoteness of many energy projects and labour shortfalls.

Risks relating to remoteness

Many transmission sites are in remote areas of Australia, posing both physical and psychosocial safety risks. Remote work with limited supervision can lead to risky ‘cutting corners’ behaviour from workers who may have to perform work that they are untrained or unqualified to do.

From a psychosocial point of view, workers may be working alone for long periods of time with limited or no interaction with other people, leading to feelings of isolation and loneliness that can negatively impact their mental health and wellbeing.

Remote sites can also be tricky to manage from a risk perspective, particularly as oversight of such risks can be extremely restricted due to the geographical location of some projects.

Labour shortfalls

Despite the Australian government’s efforts to focus on renewable energy projects and generate more jobs, finding the right people with the right skills and qualifications to carry out work on these projects has proven to be an issue.

Trade unions are becoming increasingly vocal on the need to ensure transmission projects are delivered safely, with sufficient training and competency requirements for workers.

Officers’ responsibilities

Under the WHS Act, officers can be personally liable for failing to ensure that their organisations have adequate resources and processes in place. Significant penalties can apply, including substantial monetary fines and, in more serious circumstances, jail time.

Overcoming resourcing challenges

The necessary resources for a project will need to be assessed by organisations on a case-by-case basis. The resources and processes used will likely depend on the nature and scale of the energy project, the likelihood of risks arising and the potential consequences.

PCBUs making resourcing decisions for upcoming or active projects in the energy sector, including transmission projects, must consider whether work can be performed safely with the resources currently available. They must also consider what control measures they can implement to deal with the potential risk of having too few or no supervisors at a site, to physically monitor and call out unsafe behaviour by workers.

Ultimately, organisations in Australia’s energy sector are highly likely to experience resourcing challenges, however these challenges will not limit or remove their work health and safety duties. In addition to taking reasonable steps to ensure adequate resources are provided for a project, officers must also ensure the workforce is fully trained, instructed and supervised.

 

 

Co-written by Laura Slocombe of Pinsent Masons.

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