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RBA Glossary definition for depreciation

depreciation – A fall in the value of an asset. In foreign-exchange terms, it is a relative decrease in the value of one currency compared to another.

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Calibration

31 Dec 2006 RDP 2006-06
Mariano Kulish, Kathryn Smith and Christopher Kent
We choose 0.052, the average depreciation rate of the aggregate capital stock over 1995–2005. ... We average over this recent period because the depreciation rate has trended upwards since the early 1990s.
https://www.rba.gov.au/publications/rdp/2006/2006-06/calibration.html

Appendix B: Data Sources for Calibration

31 Dec 2006 RDP 2006-06
Mariano Kulish, Kathryn Smith and Christopher Kent
Real rate of capital depreciation (δ): average over 1995–2005 calculated from depreciation rates inferred from ABS Cat No 5204.0, Table 69.
https://www.rba.gov.au/publications/rdp/2006/2006-06/appendix-b.html

The Model

31 Dec 2006 RDP 2006-06
Mariano Kulish, Kathryn Smith and Christopher Kent
t. = 1 r. t. δ is the rate of return to capital between t and t 1, where δ (0,1) is the depreciation rate of the capital stock between t
https://www.rba.gov.au/publications/rdp/2006/2006-06/model.html

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31 Dec 2006 RDP 2006-06
Mariano Kulish, Kathryn Smith and Christopher Kent
For example, the rate of depreciation, and the magnitude of total factor productivity will be unchanged.
https://www.rba.gov.au/publications/rdp/2006/2006-06/results.html