Development of a Framework for the Australian Government’s Infrastructure Investment Risk and Assurance Program

Background

The Australian Government’s Infrastructure Investment Risk and Assurance Program (RAP) aims to strengthen project and program assurance across publicly funded road and rail infrastructure investments made under the 2019-2024 National Partnership Agreement. This initiative aligns with the government’s objective to bolster risk management, accountability, and transparency in infrastructure investments that shape the future of cities, transportation, and development sectors in Australia. The RAP framework was designed to support this overarching goal, establishing a structured approach to risk and assurance activities, ensuring they are both comprehensive and adaptive to changing project dynamics.

Our role

NineSquared was commissioned by the Department of Infrastructure, Transport, Regional Development, Communication and the Arts (DITRDCA) to contribute expertise in developing the RAP Framework, bringing a focused perspective on risk management strategies and program assurance. The development of this framework included clearly defining RAP’s purpose and objectives, outlining methodologies for project selection, risk identification, and theme prioritization. Additionally, NineSquared established guidelines for the roles and responsibilities of participants engaged in risk assurance reviews, fostering a collaborative approach among stakeholders while emphasising accountability and systematic risk assessment.

One core element of the RAP framework is its alignment with DITCRD’s Enterprise Risk Management Framework and Divisional Risk Management Plan. This alignment enhances the department’s ability to integrate RAP-specific risks with broader organisational risk management, providing a cohesive strategy for handling potential issues. By clarifying the links between assurance risks and the department’s enterprise-level risk management processes, NineSquared facilitated a structured approach to risk handling that both anticipates and mitigates risks effectively.

Furthermore, an integral part of NineSquared’s engagement was to refine and enhance the existing risk assessment tables. These tables, which play a pivotal role in determining the likelihood and consequence of potential risks, were re-evaluated to provide more accurate and meaningful criteria. This refinement improves decision-making within the RAP, allowing stakeholders to respond more effectively to both anticipated and emerging challenges. By establishing a high-level structure for evaluating risks, NineSquared’s contributions assisted the department to uphold its legislative and reporting obligations with greater efficacy, ultimately supporting the achievement of RAP’s objectives across the agreement’s duration.

The RAP Framework encapsulates NineSquared’s commitment to enhancing the Department of Infrastructure’s capability to navigate risk in an evolving investment landscape. As infrastructure projects increase in complexity and impact, a well-defined framework such as the RAP not only ensures compliance with regulatory standards but also promotes an adaptable, proactive approach to project management, optimizing outcomes for stakeholders and the broader community.

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