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  • P reparedness to R

    espond to Terrorism Incidents: Essential services and critical infrastructure

    20 0

    8 -0

    9:15 January 20

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    Level 24 35 Collins Street Melbourne Vic. 3000

    Telephone 61 3 8601 7000 Facsimile 61 3 8601 7010 www.audit.vic.gov.au

    Victorian Auditor-General’s Report January 2009 2008-09:15

    Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure

  • V I C T O R I A

    Victorian Auditor-General

    Preparedness to Respond to

    Terrorism Incidents: Essential services and critical infrastructure

    Ordered to be printed

    VICTORIAN GOVERNMENT PRINTER

    January 2009

    PP No 168, Session 2006-09

  • ISBN 1 921060 93 X

  • The Hon. Robert Smith MLC The Hon. Jenny Lindell MP President Speaker Legislative Council Legislative Assembly Parliament House Parliament House Melbourne Melbourne

    Dear Presiding Officers

    Under the provisions of section 16AB of the Audit Act 1994, I transmit my performance report on Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure.

    Yours faithfully

    D D R PEARSON Auditor-General

    21 January 2009

  • Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure v

    Foreword The right to live safely in an open, democratic and multicultural society is central to our Australian way of life. The devastating terrorist attacks on the United States in September 2001 struck at the heart of this core value, and galvanised governments across the world into acting to mitigate potential threats to their territories and people, from those determined to unsettle or destroy them.

    In this more dangerous global security environment, which the recent attacks in Mumbai underscore, Victoria works in a cooperative partnership between national, state and territory jurisdictions, to implement the national counter-terrorism plan coordinated by the National Counter-Terrorism Committee.

    Since 2002 Victoria has provided $255 million for state counter-terrorism initiatives, and has been an important and early contributor to developing the current national and state-level arrangements.

    The government sector does not own and operate all of the services and infrastructure deemed to be essential or critical in Victoria. It has a clear interest, though, in preparing essential services and critical infrastructure to respond to many kinds of risk, including terrorist attack.

    It is reasonable for citizens to ask how effective these preparations have been.

    This audit of the arrangements to assist owners and operators of essential services and critical infrastructure has found that the arrangements are not as good as they could be. Some industry sectors are better than others. Some arrangements need to be clarified.

    Stronger leadership is needed from the Department of Premier and Cabinet to administer legislation and supervise the arrangements. The department, to its credit, has commenced re-assessing the current arrangements.

    D D R PEARSON Auditor-General

    21 January 2009

  • Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure vii

    Contents Foreword ..................................................................................................... v

    Acronyms ................................................................................................... ix

    1. Executive summary .................................................................................1 1.1 Introduction...................................................................................................... 1

    1.2 Audit objective and scope ............................................................................... 3

    1.3 Conclusion....................................................................................................... 4

    1.4 Recommendations .......................................................................................... 6

    2. Audit Act 1994 Section16—submissions and comments ........................9 2.1 Introduction...................................................................................................... 9

    2.2 Submissions and comments received............................................................. 9

    2.3 Audit observations......................................................................................... 11

    3. Background ..........................................................................................13 3.1 Counter-terrorism arrangements ................................................................... 13

    3.2 Essential services and critical infrastructure ................................................. 15

    3.3 Audit objective and scope ............................................................................. 18

    3.4 Audit criteria and method .............................................................................. 19

    4. Governance...........................................................................................21 4.1 Introduction.................................................................................................... 23

    4.2 Roles and responsibilities.............................................................................. 23

    4.3 Inter-agency risks .......................................................................................... 34

    4.4 Communication and consultation .................................................................. 35

    4.5 Performance monitoring................................................................................ 38

    4.6 Conclusion..................................................................................................... 39

    5. Compliance...........................................................................................43 5.1 Introduction.................................................................................................... 45

    5.2 Identifying essential services and critical infrastructure ................................ 45

    5.3 Risk management ......................................................................................... 48

    5.4 Conclusion..................................................................................................... 58

    6. Funding.................................................................................................61 6.1 Funding of counter-terrorism initiatives ......................................................... 62

    6.2 Conclusion..................................................................................................... 65

  • viii Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure

    Appendix A. Funding counter-terrorism initiatives .......................................67

    Appendix B. CIP framework roles and responsibilities of lead departments .........................................................................71

    Appendix C. Response from Acting Secretary, Department of Premier Cabinet .................................................................................75

    Appendix D. Glossary ................................................................................83

  • ix 

    Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure ix

    Acronyms Acronym Definition CIP framework Victorian Framework for Critical Infrastructure Protection

    from Terrorism

    CIPU Critical Infrastructure Protection Unit, Victoria Police

    CGRC Central Government Response Committee

    DHS Department of Human Services

    DIIRD Department of Innovation, Industry and Regional Development

    DOJ Department of Justice

    DPC Department of Premier and Cabinet

    DPCD Department of Planning and Community Development

    DPI Department of Primary Industries

    DSE Department of Sustainability and Environment

    DOT Department of Transport

    IAAG Infrastructure Assurance Advisory Group

    SCN Security and Continuity Network

    G-SCN-CG Government Security and Continuity Network Coordination Group

    National CIP framework National Guidelines for Protecting Critical Infrastructure from Terrorism

    NCTC National Counter-Terrorism Committee

    SECC Security and Emergencies Committee of Cabinet

    SEU Security and Emergencies Unit, Department of Premier and Cabinet

    The Act Terrorism (Community Protection) Act 2003

  • Preparedness to Respond to Terrorism Incidents: Essential services and critical infrastructure 1

    1 Executive summary 1.1 Introduction

    The terrorist attacks in the United States in 2001 introduced a new and confronting dimension to the international security environment. Later attacks in Bali, Madrid, Jakarta and London confirmed that the terrorism threat is not limited to the United States. While Australia has not been directly attacked by terrorists, in recent times, its citizens and interests have been attacked offshore.

    Since 2001, Australia’s national counter