Annual Report 2006-2007

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Your location: Performance > Outcome 4 > Output 4.2 > Reporting against effectiveness indicators

OUTPUT 4.2: Contract management

Reporting against effectiveness indicators

On this page: Overview :: Construction projects :: Contract with United Group Services (UGS) :: Outlook


The department made extensive use of contracted services in managing the overseas property estate. These services related to project design, management and construction, property purchase and disposal, audit and legal services. Service providers were selected in accordance with the Government’s competitive tendering and contracting procedures.

A range of outsourced property services were provided to the overseas owned estate under the department’s long-term contract with United Group Services (UGS).

Construction projects

Photo - See caption below for description
A new modern building to house our Consulate-General in Bali was among the significant construction works completed in 2006–07. The new offices commenced operations on 27 May 2007. Photo: Dan Brooks
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We managed a substantial construction program in the overseas owned estate throughout 2006–07. Construction of a new chancery in Harare and consulate building in Bali were completed. Work continued on the major new chancery building in New Delhi and on a new chancery in Amman. We completed the refurbishment of the high commission in Wellington and works continued at our high commissions in London, Singapore and Kuala Lumpur. We obtained Parliamentary approval for extensions to the chancery in Beijing. We reached agreement on the long-term lease of land for our proposed new chancery in Bangkok.

In addition to projects in the owned estate, OPO completed a number of leased estate projects, including relocation of the consulate offices in Guangzhou and Los Angeles and construction of new offices in Port Vila. We assisted with the fit-out of new offices in Taipei.

Details of projects undertaken in 2006–07 are provided under output 4.2 quality and quantity information.

Contract with United Group Services (UGS)

The department’s outsourcing contract with UGS delivers property services across the overseas owned estate. Under the contract, UGS provides facilities management including servicing of plant and equipment and preventive maintenance programs at posts. At some posts UGS provides on-site facilities managers who oversee locally employed UGS staff. Posts report faults or problems to the company’s 24-hour call service in Australia.

The department maintained a continuous dialogue with UGS to ensure effective provision of services under the contract. Posts’ satisfaction with services provided by UGS is surveyed by OPO throughout the year. Survey results demonstrated a good level of performance by UGS in 2006–07 (see output 4.1 quality and quantity information and output 4.2 quality and quantity information).

The current contract with UGS expires in March 2008. In June 2007, the department publicly released tender documents seeking bids for the provision of outsourced property services across the overseas estate on the expiration of the existing contract.

The new consulate-general in Bali

Our new consulate in Bali was among the more significant construction works completed in 2006–07. Works commenced on 8 May 2006 and the offices were opened on 27 May 2007, on time and within budget.

Australia has maintained a consular presence in Bali since 1981. The consulate plays an important representational role in Indonesia, as well as providing a substantial consular service to Australian visitors and residents.

In the aftermath of the Bali bombings on 12 October 2002, which resulted in the deaths of 202 people including 88 Australians, security was reviewed at all Australian embassies and consulates worldwide. As a result, a decision was taken by the Government to relocate the Bali consulate from a converted villa to a new purpose-built structure.

The new consulate was constructed on vacant land purchased by the Australian Government. It is a modern, secure and fully functional single storey building designed to meet maximum security standards. The offices provide an efficient work space for the department’s staff in Bali, and for staff of the Department of Immigration and Citizenship and the Australian Federal Police.

The new premises also serve as a permanent site for the Bali bombing commemorative garden and anniversary pond, a tranquil place for family members, friends and the public to pay their respects in a peaceful and private environment.


The department will continue to manage the Government's substantial construction and refurbishment program in the overseas property estate through 2006–07 in accordance In 2007–08, the department will continue to manage the Government’s substantial construction and refurbishment program across the overseas property estate in accordance with legislative and governance requirements. We will also give priority to completing the tendering processes for a new outsourced property services contract.

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