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Setting Cairns up for long-term water security

Cairns Regional Council is progressing the Cairns Water Security Strategy – Stage 1 project to support long-term water security for the region. Council is investing in new infrastructure to support a growing community and strengthen long-term water security.

This project introduces a new water source and enhances treatment and distribution. It includes a new intake at the Mulgrave River, a water treatment plant and reservoirs at Gordonvale, and a network of pipelines to deliver treated water. Upgrades to the existing Behana Creek supply are also part of the program.

We have been engaged to provide cost estimating, scheduling and Independent Estimator services across the project’s procurement, evaluation and delivery stages, helping Council to make informed decisions at key stages.

Our work helped to establish a robust market-based budget and construction schedule, created a consistent structure for Total Out-Turn Cost (TOC) submissions, and provided independent review and assurance during the Dual Early Contractor Involvement phase.

The challenge

The project required clear, comparable cost and schedule information across procurement and delivery. During the Expression of Interest and Dual Early Contractor Involvement phases, our team supported Council through informed advice on proposed programs, construction durations, risk, contingency and Total Out-Turn Cost submissions.

A key challenge was creating consistency between proponents so Council could assess submissions on a like-for-like basis, understand key areas of difference, and maintain confidence in the evolving budget and construction schedule.

Our solution

Our team provided practical, evidence-based support across procurement, evaluation and delivery.

During the Expression of Interest (EOI) stage, our subject matter experts reviewed respondents’ proposed Early Contractor Involvement (ECI) phase programs and overall construction program durations, providing informed comments and recommendations on expected durations.

We then prepared a Pre Early Contractor Involvement Submission Phase Cost Estimate based on the reference design drawings and project requirements. This included developing a Monte Carlo-based probabilistic risk model to establish P50 and P90 confidence limits and advise on contingency allowances.

To support consistency and transparency, we created a project-wide Work Breakdown Structure (WBS) for proponents to use in their Total Out-Turn Cost submissions. This helped align reporting, forecasting, as well as cost and schedule reconciliation.

During the Dual Early Contractor Involvement phase, we acted as Independent Estimator, reviewing each proponent’s Total Out-Turn Cost submissions, preparing risk-adjusted estimates, and providing an Independent Review report comparing costs, risks and key areas of difference.

Following contract award, we are continuing to support Council through contractual and construction schedule reviews, contractor claim assessments, and monthly program reviews.

“This project is about supporting Cairns Regional Council to plan confidently for long-term water security. By providing independent cost, risk and schedule advice, we helped Council make informed decisions through procurement and delivery while maintaining a clear view of cost and program outcomes.”

— Tony Mackenzie

Find out more: Contact our team Tony Mackenzie