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Proposed Australian Animal Welfare Standards and Guidelines – Exhibited Animals Consultation Regulation Impact Statement March 2014


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A4.20 – Incremental cost of enclosure height requirements – S3.8 and S3.9 (Koalas)

Under proposed standard S3.8, the operator would be required to ensure a koala in a fully enclosed enclosure could perch in the highest fork without being restricted by the ceiling of the enclosure. Also under proposed standard S3.9, the operator would be required to ensure holding enclosures provide sufficient height above the resting the fork(s) to:


i. allow the koalas to sit upright; and

ii. provide clearance from enclosure barriers to allow the koalas to rest without contacting the barriers.


The ECF agreed that a 12.5% non-compliance rate was appropriate and that an incremental cost would apply to all jurisdictions except NSW (as height requirements already apply to this jurisdiction under the base case). Incremental fencing costs are assumed to include the cost of raising or modifying fencing and taken to be $13.20187 a metre188.
Furthermore, for the purpose of estimating the perimeter of an average size enclosure each facility has been calculated to have 4 koalas, as many facilities will have between 3 to 5 resident koalas although some facilities house up to 50 to 60 koalas189. This would mean that a basic enclosure housing four adult koala would be about 45 square metres (based on spatial requirements under proposed standard S3.7 or S3.8); or a mixed space enclosure with an adult male would be at least 25 square metres for the male and 36 square metres for the remaining 3 adult females (a total of 61 square metres). It is understood that males typically fight and therefore would not be placed together. Subsequently, for the purpose of estimation, it is assumed that the average size of an enclosure is around 53 square metres.
This would mean an average perimeter of around 29 metres, which is calculated by taking the square root of the area and multiplying by 4. The cost of ensuring adequate height per enclosure is therefore estimated to be $13.20/metre x 120.19 metres = $384.39.
The estimated one-off cost of providing for height requirements under Clauses S3.8, and S3.9 would be $28,155, as shown in Table A4.35.
Table A4.35: Estimated one-off cost of providing for height requirements for koalas190


Jurisdiction

Cost to large facilities

(t5)= (t)191*12.5%*$384.39

Cost to medium facilities

(u5)=

(t)*12.5%*$384.39

Total cost to all facilities

(w5) = (t5)+(u5)+(v5)

NSW

$0

$0

$0

VIC

$365

$7,189

$7,554

QLD

$365

$7,715

$8,080

SA

$365

$877

$1,242

WA

$365

$6,838

$7,203

TAS

$365

$1,929

$2,294

NT

$365

$877

$1,242

ACT

$365

$175

$541

Total one-off cost (Australia)

$2,556

$25,599

$28,155

As shown in Table A4.36, the estimated one-off cost of providing for height requirements for koalas over 10 years would be $26,313 in present value 2012-13 dollars with 90.92% of the cost incurred by medium size facilities - particularly in VIC, QLD and WA.



Table A4.36: Estimated one-off cost of providing for height requirements for koalas by state and territory and size of facility over 10 years – 2012-13 dollars


Jurisdiction

Large Facilities

Medium Facilities

Total Facilities

NSW

$0

$0

$0

VIC

$341

$6,718

$7,060

QLD

$341

$7,210

$7,551

SA

$341

$819

$1,161

WA

$341

$6,391

$6,732

TAS

$341

$1,803

$2,144

NT

$341

$819

$1,161

ACT

$341

$164

$505

Total one-off cost (Australia) PV - 7% discount

$2,389

$23,924

$26,313

% share of one-off cost

9.08%

90.92%

100.00%

One-off cost PV - 3% discount sensitivity

$2,482

$24,853

$27,335

One-off cost PV - 10% discount sensitivity

$2,324

$23,272

$25,596



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