Safe Work Australia RIS on Engineered stone August 2023 | Page 100

Ref # Impact Measure Formula Input / Assumption
Requires a simplifying assumption that workers are displaced at the start of the financial year so they can go directly into training courses .
# 9
Drafting of national licensing framework / regulation
Total drafting costs =
Number of staff ( by level )
×
Hours of work
x Average wage / hour
Number of staff ( by level ): � Option 1 and 2 : 1 APS6 , 1 EL1 and 1 EL2 66
� Option 3 : Multiplied by 2 schemes
Hours of work : Half a year 67
Average wage / hour ($): $ 57.96 , $ 72.47 and $ 91.31 respectively ( see Table 28 )
Time period : FY2024
# 10
Development , implementation , administration and maintenance of a system for administration of licensing framework
Total cost of implementing licence system =
CAPEX costs to implement system ( per jurisdiction ) + OPEX costs to operate system
CAPEX costs : $ 750,000 x 7 jurisdictions 68 ( e . g . procurement costs , ICT costs , cost of project management to implement licence system , system integration , implementation costs )
OPEX costs : $ 80,000 x 7 jurisdictions 69 per annum ( e . g . cost of change management to implement licence system such as training of staff and cost of annual operation of licensing platform such as IT staff to manage it and costs of any annual licence fees )
Time period : year before prohibition takes effect
# 11 Processing of licences
Total cost to process licence applications per annum = Number of engineered stone and other industry PCBUs applying for licence
Number of engineered stone and other industry PCBUs applying for licence : See Ref # 3 and 4 [ Assumption that all license applicants are successful , to be conservative in estimation of costs ]
66
Model assumption , increased from Silica Decision RIS model assumption
67
Model assumption , increased from Silica Decision RIS model assumption of a quarter of a year
68
Silica Decision RIS model assumption
69
About 10 % of total cost of capex – Model assumption
DECISION REGULATION IMPACT STATEMENT Prohibition on the use of engineered stone Page 99 of 107