The Australian Antarctic Division (AAD) must find $25m in savings this year as the government flags possible cuts to crucial scientific research and a dramatic reduction in outsourcing to expensive consultants to meet the target.
The new savings target – which represents about 16% of the division’s operating budget – is largely due to an overspend by the division. The federal greens have warned the cuts “couldn’t possibly come at a worse time” given Antarctic sea ice reached the lowest level on record earlier this year.
An email from the division’s new leader, Emma Campbell, sent on Friday, has flagged staff on fixed-term contracts may not be renewed due to budget pressure. No final decisions have been made on scientific research and journeys south, although internal emails confirm that is under review.
“I have asked the Antarctic operations committee to revisit the season plan with a view to finding savings,” Campbell wrote. “The season represents a large proportion of our budget so looking here makes sense.”
“We need to trim our planned activities to meet our budget. We will need to carefully consider our current staffing levels and the current focus of roles.”
Campbell, who replaced the former AAD director Kim Ellis earlier this year, told staff the $25m cut was due to two factors.
“The first is the end of a temporary budget supplement we received for the commissioning of the [icebreaking vessel] Nuyina,” Campbell wrote. “The cessation of this temporary funding has been published in our portfolio budget statement for more than a year and so it is not a surprise.”
The second factor is an internal efficiency dividend imposed by the department to ensure it does not spend unreasonable amounts of money on external labour and travel.
“The dividend is to fund the Department of Climate Change, Energy, the Environment and Water’s share of whole-of-government savings associated with reduced consultants, travel and communication, and to ensure the department’s corporate functions are adequately funded to deliver the services that we need. AAD fuel and shipping was excluded from the efficiency dividend.”
Campbell has revealed the division spent $2m on external legal advice across 50 matters last year and that hiring two in-house lawyers could help “save money and get more timely advice”.
“Part of the government’s saving target comes from its expectations that we reduce expenditure on consultants and consultancies,” Campbell wrote in an email to staff earlier this month. “While there will still be a place for us to procure advice, we can look to deliver some of this work in house – building capabilities and opportunities for our staff.”
“This won’t be easy and it is my expectation that we will work as a team through this process and focus on supporting our people. We will consult with you as we make decisions about any changes and will consider your views and feedback.”
A department spokesperson said there would be “no job losses” and that the division would continue to develop a positive culture and ensure a safe work environment. “As the division goes through the standard process of prioritising spending within allocated budgets, we will review any fixed-term employment contracts,” the spokesperson said. “The focus will be on finding areas where work performed by those on fixed-term contracts can be incorporated into the work of ongoing staff.”
Greens senator Peter Whish-Wilson called on the government not to reduce the division’s spending, citing the importance of climate change research.
“I’m hearing a number of concerns being expressed about science programs in the Antarctic being cancelled because of these budget cuts,” Whish-Wilson told Guardian Australia.
“There’s never been a more important time to increase Antarctic science funding. Scientists are currently warning of a reduction in Antarctic sea ice equivalent to a once-every-7.5-million-year event.
“Unprecedented low ice coverage has scientists stunned, and is of significant global concern. There couldn’t possibly be a worse time to be cutting the operating budget of the AAD with critical ice sheet scientific programs scheduled for this summer.”
