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Review of CASA Annual Report: 2020-21

1st order of business on matters aviation for Chair Glenn Sterle and the committee was the scrutiny of the CASA 20/21 AR...  

 (Ref: https://www.aph.gov.au/Parliamentary_Bus...98%2f78557 )

Civil Aviation Safety Authority

2.53 The 2020–21 Annual Report of the Civil Aviation Safety Authority (CASA) was tabled in the Senate on 22 November 2021. The report details the activities of the Authority over the previous year.

Chief Executive Officer and Director of Aviation Safety's review

2.54 The Chief Executive Officer and Director of Aviation Safety, Ms Pip Spence PSM, highlighted several of CASA's activities and achievements over the reporting period including:

• progress on regulatory reform including the publication of critical guidance materials for the flight operations regulations;
  
• finalisation of the Regulatory Services and Surveillance Transformation Program to take a nationally managed approach to regulatory oversight;
  
• the publication of three ‘plain English’ guides to simplify compliance with general operating and flight rules and fatigue management; and
  
• introduction of six aircraft maintenance engineer scholarships.49
  

2.55 Ms Spence also detailed some of the planned outcomes that suffered delays during the reporting period:

• planned workshops on regulatory philosophy that had been planned would now be held in a virtual and hybrid format in the new year;
  
• amendments to the CASR Part 61 flight crew licensing scheme which were expected to commence in 2020-21 were not progressed. CASA was focussed on furthering these amendments in 2021-22; and
  
• the delay in development of the regulatory roadmap for remotely piloted aircraft systems. The delay was deliberate to enable alignment with the Australian Government’s National Emerging Aviation Technologies Policy Statement, which was released on 6 May 2021. The draft roadmap was now intended to be completed in 2021-22.50
  

Performance

2.56CASA structured the performance statement in its annual report to reflect the targets set out in the Portfolio Budget Statements (PBS) and the agency’s Corporate Plan. Each target was assessed as either ‘on track’ or ‘impact on deliverable’ (which included possible delays).

Portfolio Budget Statement targets

2.57 CASA reported that its PBS targets are measured against eight performance criteria:

• number of accidents per hours flown by industry sector;
  
• number of incidents per hours flown by industry sector;
  
• maintenance of the Effective Implementation Score determined by ICAO Universal Safety Oversight Audit Program;
  
• regulatory implementation delivered in accordance with planned and reviewed targets;
  
• surveillance determined via a National Oversight Plan consisting of scheduled and response events informed by risk;
  
• delivery of a program of aviation safety education seminars to industry participants;
  
• clear, open and transparent engagement with the industry to support the continuous improvement of an efficient and effective aviation safety regulatory framework; and
  
• regulatory service applications are decided within published service delivery timeframes.51
  

2.58 CASA reported that nine of 11 of its PBS targets were on track. The remaining two targets were impacted by other variables, as discussed below.52

2.59 The first target that fell short was the delivery of 90 per cent of aviation safety seminars, with an overall satisfaction rate for effectiveness of 80 per cent. The agency reported the delivery of 88 per cent of seminars, 2 per cent below the target, with the remainder deferred or cancelled due to COVID-19 restrictions. Following a study commissioned in April 2021, CASA reported that of pilots who had attended a seminar 88 per cent agreed that they had learnt something, 89 per cent felt that attending had been worthwhile, and 78 per cent felt that participation had made them a better pilot. In all, CASA reported that the agency had reached 5256 members of the aviation industry via 175 seminars and 578 onsite visits.53

2.60 The second target that was reportedly impacted related to the application of a service delivery timeframe to all regulatory service activities. CASA reported that during 2020-21 demand for regulatory services remained at pre‑pandemic levels. However, the complexity of applications was higher. CASA transitioned regulatory service applications to a new system – the European Aviation Processing system – as part of a wider change to regulatory oversight. The transition to the new system reportedly resulted in delays to development of service delivery timeframes. CASA reported that updated service delivery timeframes based on the new system will be developed in
late 2021.54

Corporate Plan targets

2.61 CASA reported that its Corporate Plan targets are measured against three goals with nine key performance areas, as follows:

• Develop the regulatory framework;
  
• Strengthen international compliance;
  
• Entry control (airworthiness assurance);
  
• Compliance assurance – Surveillance;
  
• Address non-compliance – Enforcement;
  
• Engagement (with key stakeholders);
  
• Promote safety and education;
  
• Robust structures, systems and processes supporting good governance; and
  
• Continually develop its capability and capacity.
  

2.62 CASA reported that 32 of 34 of its Corporate Plan targets were on track. The remaining two targets were impacted by other variables.55

2.63 The target to promote CASA’s regulatory philosophy through workshops for industry members was delayed due to COVID-19 constraints. The agency reported that this work would proceed in 2021-22 through virtual and hybrid presentations. The workshops set out the principles supporting the way the agency performs its functions, exercises its powers, and engages with the aviation community.56

2.64 CASA aims to notify industry participants of surveillance safety findings within timelines defined in the surveillance manual. The agency also requires industry participants to undertake corrective actions to respond to compliance issues within those timelines. During 2020-21, CASA reported that it provided 899 of 901 safety findings within the required timeframe. Of those 901 safety findings, just 564 were successfully closed within the defined timeframe. CASA found that numerous factors affected the timely closing of safety findings including:

• reduced staff due to COVID-19 restrictions;
  
• inability of the agency to complete onsite validation of findings due to state border closures;
  
• suspension of certificates with open safety findings; and 
  
• implementation of Civil Aviation Safety Regulations Part 139, which required that all open safety findings for aerodromes be reissued under a new regulatory reference.57
  

Staffing and financial information

2.65 CASA reported a total of 857 employees across the agency as at 30 June 2021. Staff are located in all Australian states and territories with the majority residing in QLD and the ACT.58

2.66 CASA reported an operating surplus of $16.2 million during the reporting period, up from a deficit of $12.4 million in 2019–20. The difference of $28.6 million can be attributed to additional funding from government appropriations as part of the Australian Airline Financial Relief Package and a decrease in expenses related to employees and suppliers. The agency also reported that reduced spending on consultancies and service contracts also contributed to the decrease in expenditure.59

Committee comment

2.67 For the purposes of its report to the Senate, the committee considers the CASA annual report to be compliant with reporting requirements and to be ‘apparently satisfactory’.

Senator Glenn Sterle
Chair

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