The NSW Government is committed to meaningful and genuine engagement with First Nations communities in implementing the Electricity Infrastructure Roadmap. The Roadmap is the NSW Government’s plan to transition our electricity system into one that is cheap, clean and reliable.
The Minister for Energy has issued guidelines on consultation and negotiation with local Aboriginal communities for energy infrastructure delivered under the Roadmap. These guidelines – required under section 4(1) of the Electricity Infrastructure Investment Act 2020 – will provide a foundation for increasing employment and income opportunities for local Aboriginal communities under the Electricity Infrastructure Roadmap.
The guidelines, developed with input from First Nations people and communities, consist of 2 parts:
- a general guideline which applies generally across NSW and provides information about best practice engagement and negotiation with local Aboriginal communities; and
- a region-specific guideline relating to each Renewable Energy Zone identified in the Act. These are being developed separately and will be published as each is finalised. These region-specific guidelines will provide context by providing socio-demographic information about the area. They may also provide a useful resource for the preparation of an Industry and Aboriginal Participation Plan as they may include information about preferred approaches to engagement, and the specific goals and long-term aspirations identified by the local Aboriginal communities.
Purpose of the guidelines
The guidelines outline factors decision makers, such as the Consumer Trustee, should take into account in exercising their functions under the Act. They also set out expectations about best practice consultation and negotiation for increasing employment and income opportunities with local Aboriginal communities for projects delivered under the Roadmap.
Importantly, the guidelines recommend that project proponents be required to prepare an Industry and Aboriginal Participation Plan which documents the engagement approach and the agreed commitments with local Aboriginal stakeholders.
Users of the guidelines should note that the guidelines build on, but do not replace or supersede any other requirements for consultation or to address cultural, environmental or planning impacts. Roadmap proponents will still need to consider all other relevant legislation pertaining to their development.
Region-specific guidelines
The general guidelines will be supported by region-specific guidelines, one for each of the 5 Renewable Energy Zones. These guidelines work together to support engagement and negotiation with Aboriginal communities within the Renewable Energy Zone, provide information on matters to be taken into account in decision making and outline the Aboriginal community’s goals and aspirations as well as their preferred method of engagement under the Roadmap.
The Central-West Orana guideline is the first region-specific guideline to have been finalised.
The guideline was developed in close consultation with a working group representing local Aboriginal communities in and around the Central-West Orana Renewable Energy Zone, and was first published in August 2022.
Following a review of the guideline undertaken with the Central-West Orana Working Group, an updated version was published in October 2023. The updated version contains a new contact point for energy proponents wanting to engage with the working group, revised guidance for how proponents should engage with the working group and updated demographic and economic data from the 2021 Census.
The Central-West Orana Renewable Energy Zone is located in and around the towns of Dubbo, Wellington, Mendooran, Dunedoo, Coolah, Gulgong and Mudgee.
Following on from the Central-West Orana guidelines, the NSW Government is facilitating the co-development of region-specific guidelines for the remaining 4 Renewable Energy Zones – New England, South West, Hunter-Central Coast and Illawarra.
Each region-specific guideline will be co-developed with representatives from the local Aboriginal communities, with assistance from Aboriginal consultants to ensure engagement and consultation is culturally appropriate and that content is community driven and relevant to the needs and opportunities of the Aboriginal people and businesses of that region.
Review
The guidelines will be reviewed at least every 2 years to ensure their objectives and requirements are in line with community expectations and state priorities.
Further information
Further information can be found in these resources and supporting documents:
- Case studies of best practice
- Engaging with Aboriginal Communities: Social Impact Assessment Practice Notes
Frequently asked questions
The guidelines provide best practice guidance to project proponents and decision makers around meaningful and genuine consultation and negotiation with First Nations communities.
They support the objectives in sections 3(1)(f) and 3(2) of the Act to increase opportunities and benefits, to local Aboriginal people and businesses, deriving from Roadmap activities.
The guidelines are to be taken into account by decision makers when carrying out their functions under the Act.
The guidelines comprise two parts:
- the general guidelines (which have been published):
- set out expectations about best practice consultation and negotiation for increasing employment and income opportunities with local Aboriginal communities under the Roadmap
- outline factors decision makers should take into account in exercising functions under the Electricity Infrastructure Investment Act related to network infrastructure projects and to long term service agreements for generation and storage
- provide details about best practice approaches to consultation and negotiation with local Aboriginal communities
- recommend proponents are required to prepare an Industry and Aboriginal Participation Plan which documents the engagement approach and the agreed commitments with local Aboriginal stakeholders
- region-specific guidelines (which will be developed and published for each renewable energy zone) will:
- provide socio-demographic information about the regions and local Aboriginal communities
- outline the local First Nations communities’ preferences to engaging with the communities and
- outline communities’ long-term aspirations and suggestions for activities and outcomes regarding employment and income opportunities with the local Aboriginal community
- The guidelines do not replace or change any other requirements for planning, environmental or cultural considerations. Project proponents will still need to consider all other relevant legislation pertaining to their development.
- These guidelines do not address cultural heritage or environmental impacts or native title/land rights: parties affected by cultural heritage, environment and land rights should seek their own independent legal advice.
- The general guidelines set out overall requirements and information for consultation and negotiations that apply to Roadmap infrastructure projects throughout NSW as necessary.
- When proposing to undertake work in a declared renewable energy zone, the region-specific guidelines will provide more detailed information relevant to that area. They are intended to provide proponents with more detailed guidance for undertaking consultation and negotiation with local Aboriginal communities.
- The region-specific guidelines set out the immediate economic priorities and goals of the local communities, as well as their long term economic aspirations. These guidelines will also include detailed socio-economic information about the region generally.
- The socio-economic information in the regions-specific guidelines is taken from the most recent census data available – in the case of the October 2023 Central-West Orana guidelines, this was the 2021 census data. The guidelines will continue to be updated with new census, and other, data as part of periodic review.
The guidelines recommend proponents be required to prepare an Aboriginal participation plan that would detail how one, or a combination, of the following minimum requirements, would be delivered:
- at least 1.5% of the contract value to be subcontracted to Aboriginal-owned businesses
- at least 1.5% of the contract’s Australian-based workforce (FTE) that directly contributes to the contract to be Aboriginal or Torres Strait Islander peoples
- at least 1.5% of the contract value to be applied to the cost of education, training or capacity building for Aboriginal staff or businesses directly contributing to the contract
These targets have been taken from the NSW Aboriginal Procurement Policy, published in 2021.This policy aims to contribute to the NSW Government’s strategic economic policy of Growing NSW’s First Economy.
A Project Steering Committee was established to oversee the development of the guidelines.
Members include representatives from:
- NSW Aboriginal Land Council
- Aboriginal Employment Strategy
- Native Title Service Corporation
- NSW Coalition of Aboriginal Regional Alliances
- National Indigenous Australians Agency
- Department of Regional NSW
- Aboriginal Affairs
- Department of Planning and Environment.
Separate working groups made up of representatives of the local Aboriginal communities in Central-West Orana and New England have been established to co-design the region-specific guidelines for those zones.
The local Aboriginal community representatives who co-developed the Central West Orana guidelines include:
- NSW Western Zone Aboriginal Land Council (Chair of the working group)
- NSW Aboriginal Land Council Central Region
- Dubbo Aboriginal Community Working Party
- NSW Indigenous Chamber of Commerce
- Allira Gathering Association
- Aboriginal Education Consultive Group
- National Indigenous Australians Agency
- Three Rivers Regional Assembly
- Dubbo Local Aboriginal Land Council
- NSW Department of Communities and Justice
- Aboriginal Affairs
- NSW Training Services
- Department of Regional NSW
The current members of the New England First Nations working group include:
- NSW Aboriginal Land Council
- Armidale community members
- Armidale Dumaresq Council
- Training Services NSW
- National Indigenous Australians Agency
- Aboriginal Education Consultive Group
- Aboriginal Employment Strategy
- Department of Regional NSW
- Aboriginal Affairs
The NSW Government engaged the following consultants to assist in the development of the guidelines:
- Mr Justin Brooker of Wamarragu Transport Services led stakeholder engagements with key Aboriginal stakeholders and community groups in Central-West Orana and New England.
- Mr Michael Frangos of Indigenous Energy Australia has researched and put together a collection of case studies showing some best practice examples of First Nations engagement and economic outcomes. This work also outlines links with the Closing the Gap initiative.
- No, the guidelines do not replace or change any other legislative requirements already in effect.
- Developers will still need to consider all other relevant planning, environmental, heritage requirements pertaining to their proposed development.
- For successful proposals, the participation plans submitted as part of an application will then form a part of the contract and will be subject to monitoring and compliance arrangements.
- Proponents are also strongly encouraged to keep local Aboriginal communities updated on the progress of meeting the commitments and the project itself.
The Minister may amend the First Nations guidelines from time to time. The First Nations guidelines will be reviewed at least every 2 years and updated, if required. It is expected that the region-specific guidelines will also be reviewed and updated, if required, to ensure outcomes remain relevant for the local community.
- Feedback on the general guidelines was received from key Aboriginal stakeholders including New South Wales Aboriginal Land Council, Aboriginal Employment Strategy, National Indigenous Australians Agency, NTS Corp and, First Nations Clean Energy Network.
- A targeted consultation process with industry on the guidelines was also conducted, including through existing Roadmap industry consultation forums.
- Stakeholders have generally supported the approach of the First Nations guidelines.
- Specific feedback received during the development of the general guidelines and the first publication of the Central-West Orana guidelines focused on the need to:
- build capacity so that communities are ‘project ready’, including increasing visibility of projects and pipelines and opportunities for training
- ensure a monitoring and compliance framework is in place.
- ensure Aboriginal participation requirements are credible and measurable but also sufficiently flexible to take account of local circumstances
- Key themes of specific feedback received during the development of the Central-West Orana guidelines October 2023 version have highlighted the need to ensure:
- streamlined engagement between local Aboriginal community representatives and energy developers
- support is provided for a working group made up of local Aboriginal community representatives to coordinate engagement and consultation with energy proponents
- the building of workforce capacity so that local Aboriginal communities and Aboriginal businesses can take advantage of employment opportunities under the Roadmap
- appropriate representation of the local Aboriginal community in the Renewable Energy Zone over time.
The Central West Orana guidelines were first published in August 2022. An updated version was published in October 2023, following a review of the guidelines in consultation with a working group made up of local Aboriginal community representatives.
The updated Central West Orana guidelines include a First Nations Outcomes Team to support the working group to coordinate consultation, engagement and implementation of programs and initiatives that deliver outcomes to local Aboriginal communities. The First Nations Outcomes Team is now the first contact point for energy proponents wanting to engage the working group.
The updated Central West Orana guidelines also include guidance on how energy proponents can proactively engage with the working group, such as bringing forward proposals for how Aboriginal people and Aboriginal businesses can obtain skills training, employment opportunities, or experience providing goods and services on renewable energy projects.
Other key updates include:
- updated Australian Bureau of Statistics data from the 2021 Census
- a clearer purpose for the working group
- provisions to enable the working group to ensure representation of the local Aboriginal community remains appropriate over time.
The Energy Corporation of NSW (EnergyCo) has established a First Nations Outcomes team, with dedicated staff to coordinate consultation, engagement and implementation of programs and initiatives that deliver outcomes to local Aboriginal communities under the EII Act. It specifically looks at promoting employment, training and income generating opportunities for Aboriginal communities in the REZs.
As part of this program, EnergyCo’s First Nations Outcomes team will support the Central-West Orana First Nations Working Group in:
- liaising with proponents during the development of their Industry and Aboriginal Participation Plans
- coordinating and supporting the Central-West Orana Working Group to engage and negotiate with proponents from project inception through project delivery and operation.
EnergyCo’s First Nations Outcomes team is the first port of call for proponents seeking to engage, consult and negotiate with the Central-West Orana Working Group. Proponents who contact the Central-West Orana Working Group members will be redirected to the First Nations Outcomes team.
The team can be contacted at [email protected] or 1800 118 894.