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Mernda Rail Project sustainability policy

27 Jun 2016

Sustainable Procurement

John Holland has been engaged to complete the Mernda Rail Extension Project which involves the construction of 8km of double track railway from South Morang to Mernda. The project will include the construction of three new stations, Marymede, Hawkstowe and Mernda.

`Procuring for a sustainable future'

John Holland is committed to achieving excellent economic, community and environmental outcomes during the project. Sustainable procurement drives positive economic and community outcomes, while providing a benefit to the environment through reduced resource usage and greenhouse gas emissions.


To create positive environmental and social impacts associated with the procurement requirements of the project. To set commitments and targets for the project procurement process.


1. Providing opportunities for local businesses to participate in the project delivery

  • Develop and implement a local (Australia and New Zealand) content strategy that establishes the framework for meeting or exceeding local content targets in accordance with Victorian Industry Participation Policy Act 2003, including:
  • Develop a Local Industry Development Plan (LIDP) that establishes a strategy to use local content and specifies proposed percentages for each of the contestable items identified by Industry Capability NetworkVictoria (ICN).
  • Collaborate with the ICN to maximise opportunities for local Small and Medium Enterprises (SMEs) to participate in delivery.
  • Maximise the use of locally milled steel fabricated products where possible.

2. Facilitating economic prosperity and development and engendering a resilient local workforce

  • Identify and implement workforce initiatives that provide for the utilisation of new workplace skills and contribute to relevant sectoral, state and national targets.
  • Utilise Victorian registered apprentices, Victorian registered trainees or engineering cadets for at least 10% of the contract works' total estimated deemed hours hours in accordance with the Major Projects Skills Guarantee.
  • The project will provide the following programs to its direct employees to improve workforce skills:
    • Foundations of HSE.
    • Industry Competency Certificate Training
    • Apprentice and Trainee programs
    • National Graduate program.
    • Work experience.
  • Establish the Mernda Employment Hub to support workforce development and social procurement objectives.
  • Develop and optimise employment and training opportunities for economically and socially disadvantaged individuals during construction.

3. Considering environmental, social and economic aspects in the procurement process

  • Utilisation of the IS rating tool and attainment of procurement credits.
  • Request suppliers provide details of their environmental and sustainability policies and implementation during the tender phase.
  • Evaluate suppliers through consideration of sustainability (including environmental, social and economic) aspects using a multi-criteria analysis.
  • Aim to procure products that have positive environmental and social impacts where possible.
  • Where possible procure products that have recognised environmental labels or are from sustainable supply chains.
  • Where possible energy, materials and water consumption will be minimised improving efficiency.

Endorsed by Joseph Aygur - Project Director
John Holland

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