Portfolio Budget Statements Budget Related Paper No. 1.1

Transcription

1 Portfolio Budget Statements Budget Related Paper No. 1.1 AGRICULTURE AND WATER RESOURCES PORTFOLIO Budget Initiatives and Explanations of Appropriations Specified by Outcomes and Programmes by Entity

2 Commonwealth of Australia 2016 ISBN: This publication is available for your use under a Creative Commons BY Attribution 3.0 Australia licence, with the exception of the Commonwealth Coat of Arms, with the exception of the Commonwealth Coat of Arms, the Department of Agriculture and Water Resources logo, photographs, images, signatures and where otherwise stated. The full licence terms are available from /licenses/by/3.0/au/legalcode. Use of Department of Agriculture and Water Resources material under a Creative Commons BY Attribution 3.0 Australia licence requires you to attribute the work (but not in any way that suggests that the Department of Agriculture and Water Resources endorses you or your use of the work). Department of Agriculture and Water Resources material used 'as supplied' Provided you have not modified or transformed Department of Agriculture and Water Resources material in any way including, for example, by changing the Department of Agriculture and Water Resources s text; calculating percentage changes; graphing or charting data; or deriving new statistics from published Department of Agriculture and Water Resources statistics then Department of Agriculture and Water Resources prefers the following attribution: Source: Australian Government Department of Agriculture and Water Resources Derivative material If you have modified or transformed Department of Agriculture and Water Resources material, or derived new material from those of the Department of Agriculture and Water Resources in any way, then Department of Agriculture and Water Resources prefers the following attribution: Based on Australian Government Department of Agriculture and Water Resources data Use of the Coat of Arms The terms under which the Coat of Arms can be used are set out on the It s an Honour website (see

3 Other Uses Enquiries regarding this licence and any other use of this document are welcome at: External Budget Section Finance and Business Support Division Department of Agriculture and Water Resources 18 Marcus Clarke Street CANBERRA CITY ACT

4

5

6 Abbreviations and conventions The following notation may be used: NEC/nec not elsewhere classified - nil.. not zero, but rounded to zero na not applicable (unless otherwise specified) nfp not for publication $m $ million $b $ billion Figures in tables and in the text may be rounded. Figures in text are generally rounded to one decimal place, whereas figures in tables are generally rounded to the nearest thousand. Discrepancies in tables between totals and sums of components are due to rounding. Enquiries Should you have any enquiries regarding this publication please contact Emily Canning, Chief Finance Officer, Department of Agriculture and Water Resources, on (02) Links to Portfolio Budget Statements (including Portfolio Additional Estimates Statements and Portfolio Supplementary Additional Statements) can be located on the Australian Government Budget website at: vi

7 USER GUIDE TO THE PORTFOLIO BUDGET STATEMENTS vii

8 USER GUIDE The purpose of the Portfolio Budget Statements (PBS) is to inform Senators and Members of Parliament of the proposed allocation of resources to Government outcomes by entities within the portfolio. Entities receive resources from the annual appropriations acts, special appropriations (including standing appropriations and special accounts), and revenue from other sources. A key role of the PBS is to facilitate the understanding of proposed annual appropriations in Appropriation Bills (No. 1 and No. 2) (or Appropriation (Parliamentary Departments) Bill (No. 1) for the parliamentary departments). In this sense the PBS are Budget related papers and are declared by the Appropriation Acts to be relevant documents to the interpretation of the Acts according to section 15AB of the Acts Interpretation Act The PBS provide information, explanation and justification to enable Parliament to understand the purpose of each outcome proposed in the Bills. As required under section 12 of the Charter of Budget Honesty Act 1998, only entities within the general government sector are included as part of the Commonwealth general government sector fiscal s and produce PBS where they receive funding (either directly or via portfolio departments) through the annual appropriation acts. viii

9 CONTENTS Portfolio overview... 1 Agriculture and Water Resources Portfolio Overview... 3 Entity resources and planned performance... 7 Department of Agriculture and Water Resources Australian Grape and Wine Authority Australian Pesticides and Veterinary Medicines Authority Cotton Research and Development Corporation Fisheries Research and Development Corporation Grains Research and Development Corporation Murray-Darling Basin Authority Rural Industries Research and Development Corporation Australian Fisheries Management Authority Portfolio glossary ix

10

11 PORTFOLIO OVERVIEW

12

13 AGRICULTURE AND WATER RESOURCES PORTFOLIO OVERVIEW Minister and portfolio responsibilities The Agriculture and Water Resources portfolio supports the sustainability, profitability and competitiveness of Australia s agriculture, fisheries and forestry industries. The Deputy Prime Minister and Minister for Agriculture and Water Resources, Assistant Minister to the Deputy Prime Minister and Assistant Minister for Agriculture and Water Resources oversee the portfolio. From 1 July 2016 the portfolio will consist of: The Australian Government Department of Agriculture and Water Resources; Three statutory authorities that undertake regulatory roles: Australian Fisheries Management Authority (AFMA) 1 ; Australian Pesticides and Veterinary Medicines Authority (APVMA) 2 ; and Murray-Darling Basin Authority (MDBA) 3 ; Four research and development corporations: Cotton Research and Development Corporation (CRDC) 4 ; Fisheries Research and Development Corporation (FRDC) 5 ; Grains Research and Development Corporation (GRDC) 6 ; and Rural Industries Research and Development Corporation (RIRDC) 7 ; and One entity that undertakes both a regulatory role and acts as a research and development corporation: Australian Grape and Wine Authority (AGWA) 8. Each entity within the portfolio has at least one outcome and programme. Details are provided in each entity s section of this document. 3

14 1. AFMA is established under the Fisheries Administration Act 1991 and is a non-corporate Commonwealth entity under the Public Governance, Performance and Accountability Act 2013 (PGPA Act). 2. APVMA is established under the Agricultural and Veterinary Chemicals (Administration) Act 1992 and is a corporate Commonwealth entity under the PGPA Act. 3. MDBA is established under the Water Act 2007 and is a corporate Commonwealth entity under the PGPA Act. 4. CRDC is established under the Primary Industries Research and Development Act 1989 (PIRD Act) and the Cotton Research and Development Regulations 1990 and is a corporate Commonwealth entity under the PGPA Act. 5. FRDC is established under the PIRD Act and the Fisheries Research and Development Regulations 1991 and is a corporate Commonwealth entity under the PGPA Act. 6. GRDC is established under the PIRD Act and the Grains Research and Development Regulations 1990 and is a corporate Commonwealth entity under the PGPA Act. 7. RIRDC is established under the PIRD Act and the Rural Industries Research and Development Regulations 2000 and is a corporate Commonwealth entity under the PGPA Act. 8. AGWA is established under the Australian Grape and Wine Authority Act 2013 and is a corporate Commonwealth entity under the PGPA Act. 4

15 Portfolio Overview Figure 1: Agriculture and Water Resources portfolio structure and outcomes Deputy Prime Minister Minister for Agriculture and Water Resources The Hon. Barnaby Joyce MP Assistant Minister to the Deputy Prime Minister The Hon. Keith Pitt MP Assistant Minister for Agriculture and Water Resources Senator the Hon. Anne Ruston Australian Government Department of Agriculture and Water Resources Secretary: Mr Daryl Quinlivan Outcome 1: More sustainable, productive, internationally competitive and profitable Australian agricultural, food and fibre industries through policies and initiatives that promote better resource management practices, innovation, self-reliance and improved access to international markets. Outcome 2: Safeguard Australia s animal and plant health status to maintain overseas markets and protect the economy and environment from the impact of exotic pests and diseases, through risk assessment, inspection and certification, and the implementation of emergency response arrangements for Australian agricultural, food and fibre industries. Outcome 3: Improve the health of rivers and freshwater ecosystems and water use efficiency through implementing water reforms, and ensuring enhanced sustainability, efficiency and productivity in the management and use of water resources. Australian Fisheries Management Authority Chief Executive Officer: Dr James Findlay Outcome: Ecologically sustainable and economically efficient Commonwealth fisheries, through understanding and monitoring Australia s marine living resources and regulating and monitoring commercial fishing, including domestic licensing and deterrence of illegal foreign fishing. Australian Grape and Wine Authority Chief Executive Officer: Mr Andreas Clark Outcome: Foster and enable a competitive Australian wine industry by investing in research and development, building markets, disseminating knowledge and ensuring compliance. Australian Pesticides and Veterinary Medicines Authority Chief Executive Officer: Ms Kareena Arthy Outcome: Protection of the health and safety of people, animals, the environment, and agricultural and livestock industries through regulation of pesticides and veterinary medicines. Cotton Research and Development Corporation Executive Director: Mr Bruce Finney Outcome: Adoption of innovation that leads to increased productivity, competitiveness and environmental sustainability through investment in research and development that benefits the Australian cotton industry and the wider community. Fisheries Research and Development Corporation Executive Director: Dr Patrick Hone Outcome: Increased economic, social and environmental benefits for Australian fishing and aquaculture, and the wider community, by investing in knowledge, innovation, and marketing. Grains Research and Development Corporation A/g Managing Director (until 3 July 2016): Dr Stephen Thomas Managing Director (starts 4 July 2016): Dr Steve Jefferies Outcome: New information and products that enhance the productivity, competitiveness and environmental sustainability of Australian grain growers and benefit the industry and wider community, through planning, managing and implementing investments in grains research and development. Rural Industries Research and Development Corporation Managing Director: Mr John Harvey Outcome: Increased knowledge that fosters sustainable, productive and profitable new and existing rural industries and furthers understanding of national rural issues through research and development in government-industry partnership. Murray-Darling Basin Authority Chief Executive Officer: Mr Phillip Glyde Outcome: Equitable and sustainable use of the Murray- Darling Basin by governments and the community including through development and implementation of a Basin Plan, operation of the River Murray system, shared natural resource management programs, research, information and advice. 5

16

17 ENTITIES RESOURCES AND PLANNED PERFORMANCE Department of Agriculture and Water Resources Australian Grape and Wine Authority Australian Pesticides and Veterinary Medicines Authority Cotton Research and Development Corporation Fisheries Research and Development Corporation Grains Research and Development Corporation Murray-Darling Basin Authority Rural Industries Research and Development Corporation Australian Fisheries Management Authority

18

19 Department of Agriculture and Water Resources Entity resources and planned performance

20

21 DEPARTMENT OF AGRICULTURE AND WATER RESOURCES Section 1: Entity overview and resources Strategic direction statement Entity resource statement Budget measures Section 2: Outcomes and planned performance Budgeted expenses and performance for Outcome Budgeted expenses and performance for Outcome Budgeted expenses and performance for Outcome Section 3: Budgeted financial statements Budgeted financial statements Budgeted financial statements tables

22

23 DEPARTMENT OF AGRICULTURE AND WATER RESOURCES Section 1: Entity overview and resources 1.1 STRATEGIC DIRECTION STATEMENT The Department of Agriculture and Water Resources advances the prosperity of Australia s agriculture, fisheries, food and fibre industries; safeguards Australia against animal and plant pests and diseases; and improves water use efficiency and the health of rivers, communities, environmental assets and production systems. The department has broad responsibilities as a policy-maker, regulator, programme manager and adviser. The department has a wide domestic and international presence in more than 300 locations around Australia and 16 countries around the world. Policy advice is informed by well-developed scientific and economic research and an understanding of agricultural and water resources practice. This supports the department s responsibilities in facilitating both the safe movement of people and goods into and out of Australia and the growth of the agriculture, fisheries and forestry sectors. The department balances its role as a transparent and efficient regulator with building client and community understanding and trust in its advice and services. It operates under a compliance approach that recognises good performance with reduced regulatory burden. The department achieves this through its three outcomes: Outcome 1: More sustainable, productive, internationally competitive and profitable Australian agricultural, food and fibre industries through policies and initiatives that promote better resource management practices, innovation, self-reliance and improved access to international markets. Outcome 2: Safeguard Australia s animal and plant health status to maintain overseas markets and protect the economy and environment from the impact of exotic pests and diseases, through risk assessment, inspection and certification, and the implementation of emergency response arrangements for Australian agricultural, food and fibre industries. Outcome 3: Improve the health of rivers and freshwater ecosystems and water use efficiency through implementing water reforms, and ensuring enhanced sustainability, efficiency and productivity in the management and use of water resources. 13

24 Department of Agriculture and Water Resources Budget Statements Our purpose To help drive a stronger Australian economy by building a more profitable, resilient and sustainable agriculture sector; and supporting the sustainable and productive management and use of rivers and water resources. Our objectives The department carries out activities under the following strategic objectives: Building successful primary industries Improve the farm-gate returns for agriculture, fisheries, food and fibre industries. Supporting agricultural communities Provide targeted assistance to help primary producers, their families and communities manage adjustment pressures. Expanding agricultural, fisheries and forestry exports Maximise returns to primary producers from selling into export markets. Provide certification of exports to meet importing country requirements. Sustaining natural resources for longer term productive primary industries Promote stewardship of agricultural land, forests and fisheries to maintain the quality of water and other natural resources, including in times of drought. Managing biosecurity and imported food risk Use evidence-based risk management to ensure the safe movement into and out of Australia of people, animals, plants, food and cargo. Coordinate emergency responses to exotic pest and disease incursions. Improving water use efficiency and the health of rivers, communities, environmental assets, and production systems Improve the environmental health of the Murray-Darling Basin consistent with national and international obligations by recovering water, including by prioritising water-saving infrastructure projects. Help communities, irrigators and businesses to use water resources sustainably and efficiently, consistent with nationally agreed water reforms. 14

25 Department of Agriculture and Water Resources Budget Statements Our priorities The department s priorities for will be: Implementing initiatives in the Agricultural Competitiveness White Paper to grow agriculture in Australia. Delivering a modern, flexible and responsive biosecurity system under the Biosecurity Act Pursuing new market access for Australian exporters, including opportunities arising from completed free trade agreements with north Asia and supporting work on prospective free trade agreements. Implementing programmes for new water infrastructure, including the National Water Infrastructure Loan Facility, the National Water Infrastructure Development Fund and new irrigation schemes in Tasmania. Delivering programmes and infrastructure projects to support the implementation of the Murray-Darling Basin Plan through water recovery and the Sustainable Diversion Limit Adjustment Mechanism. We will also continue our internal reform agenda by: Continuing our Service Delivery Modernisation programme to deliver efficient and effective operations that meet our clients needs. Driving regulatory reform to be a trusted, effective and transparent best practice regulator. Investing in our people to continue to build the department s capability and effectiveness. Contributing to the Government s initiative to manage public data as a national resource for the benefit of the Australian people. 15

26 Department of Agriculture and Water Resources Budget Statements 1.2 ENTITY RESOURCE STATEMENT Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programmes and services on behalf of the Government. The table summarises how resources will be applied by outcome (Government strategic policy objectives) and by administered (on behalf of the Government or the public) and departmental (for the entity s operations) classification. For more detailed information on special accounts and special appropriations, please refer to Budget Paper No. 4 Agency Resourcing. Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the Budgeted expenses by Outcome X tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis. Table 1.1: Department of Agriculture and Water Resources Resource Statement Budget Estimates for as at Budget May d actual Departmental Prior year appropriations available 1 99,224 81,272 Annual appropriations ordinary annual services 2 Outcome 1 127, ,501 Outcome 2 193, ,438 Outcome 3 17,699 27,644 s74 retained revenue receipts 3 31,877 24,572 Departmental capital budget 4 9,969 9,940 Annual appropriations other services non-operating 5 Equity injection 6,055 7,384 Total departmental annual appropriations 485, ,751 Special accounts 6 Appropriation receipts 7 128, ,792 Non-appropriation receipts 391, ,614 Total special account receipts 519, ,406 less departmental appropriations drawn from annual/special appropriations and credited to special accounts (128,792) (128,792) Total departmental resourcing for Department of Agriculture and Water Resources 876,624 Continued on following pages 896,365 16

27 Department of Agriculture and Water Resources Budget Statements Table 1.1: Department of Agriculture and Water Resources Resource Statement Budget Estimates for as at Budget May 2016 (continued) Administered d actual Prior year appropriations available 1 221, ,488 Annual appropriations ordinary annual services 2 Outcome 1 112, ,768 Outcome 2 25,629 31,056 Outcome 3 140, ,347 Administered capital budget 8 61, ,045 Annual appropriations other services non-operating 5 Administered assets and liabilities 250, ,000 Annual appropriations other services specific payments to States, ACT, NT and local government 5 Outcome 3 5,500 2,100 Total administered annual appropriations 818,330 1,081,804 Total administered special appropriations 6 856, ,433 Special accounts 6 Appropriation receipts 7 6, ,124 Non-appropriation receipts 1,594 1,745 Total special account receipts 7, ,869 less administered appropriations drawn from annual/special appropriations and credited to special accounts (6,077) (111,124) less payments to corporate entities from annual/special appropriations (295,618) (309,460) Total administered resourcing for Department of Agriculture and Water Resources 1,380,847 1,757,522 Total resourcing for Department of Agriculture and Water Resources 2,257,471 2,653, Average staffing level (number) 4,250.0 Continued on following page 4,

28 Department of Agriculture and Water Resources Budget Statements 1. Total d unspent appropriation is $320.8 million in and $211.8 million in This also includes opening special account balances (but excluding 'Special Public Money' held in accounts like Other Trust Monies accounts (OTM), Services for Other Government and non-agency bodies accounts (SOG) or Services for Other Entities and Trust Moneys accounts (SOETM)). 2. Appropriation Bill (No. 1) Estimated retained revenue receipts under section 74 of the PGPA Act. 4. Departmental capital budgets are not separately identified in Appropriation Bill (No. 1) and form part of ordinary annual services items. Please refer to Table 3.5 for further details. For accounting purposes, this amount has been designated as a 'contribution by owner'. 5. Appropriation Bill (No. 2) For further information on special appropriations and special accounts, refer to Budget Paper No. 4 Agency Resourcing. Please also see Table 2.1 for further information on outcome and programme expenses broken down by various funding sources, e.g. annual appropriations, special appropriations and special accounts. 7. Amounts credited to the special account(s) from the department s annual appropriations. 8. Administered capital budgets are not separately identified in Appropriation Bill (No. 1) and form part of ordinary annual services items. Please refer to Table 3.10 for further details. For accounting purposes, this amount is designated as a 'contribution by owner'. Prepared on a resourcing (i.e. appropriations available) basis. Please note: All figures shown above are GST exclusive these may not match figures in the cash flow statement. Table 1.1: Department of Agriculture and Water Resources Resource Statement Budget Estimates for as at Budget May 2016 (continued) Third party payments from and on behalf of other entities Payments made by other entities on behalf of Department of Agriculture and Water Resources 79, ,736 Payments made to other entities for the provision of services (disclosed above) 55,907 59,373 Receipts received from other entities for the provision of services (disclosed above in s74 Retained revenue receipts section above) 10,435 6,429 Payments made to corporate entities within the Portfolio: Australian Grape and Wine Authority Special Appropriation 29,939 29,551 Australian Grape and Wine Authority Administered Appropriation Bill No. 1-2,000 Australian Pesticides and Veterinary Medicines Authority Special Appropriation 34,338 32,634 Cotton R&D Corporation Special Appropriation 11,113 10,782 Fisheries R&D Corporation Special Appropriation 20,244 21,431 Grains R&D Corporation Special Appropriation 175, ,861 Murray-Darling Basin Authority 1 Administered Appropriation Bill No. 1 7,492 12,842 Rural Industries R&D Corporation Administered Appropriation Bill No. 1 8,828 9,170 Rural Industries R&D Corporation Special Appropriation 7,935 8, This does not include $84.7 million in Appropriation Bill (No. 1) that will pass through the Department of Agriculture and Water Resources to the Murray-Darling Basin Authority. 18

29 Department of Agriculture and Water Resources Budget Statements 1.3 BUDGET MEASURES Budget measures in Part 1 relating to the department are detailed in Budget Paper No. 2, Budget Measures and are summarised below. Table 1.2: Department of Agriculture and Water Resources Budget measures Part 1: Measures announced since the Mid-Year Economic and Fiscal Outlook (MYEFO) Programme Revenue measures Changes to agricultural production levies & 2.2 Administered revenues - 1,987 1,984 1,984 1,984 Departmental revenues Total - 1,987 1,984 1,984 1,984 National Water Infrastructure Loan Facility 3.1 Administered revenues - 1,085 2,532 7,234 19,532 Departmental revenues Total - 1,085 2,532 7,234 19,532 Premium Border Clearance Services establishment Administered revenues - nfp nfp nfp nfp Departmental revenues - nfp nfp nfp nfp Total - nfp nfp nfp nfp Total revenue measures Administered - 3,072 4,516 9,218 21,516 Departmental Total - 3,072 4,516 9,218 21,516 Expense measures Better Management of Biosecurity Risks advanced analytical capability 3 Administered expenses Departmental expenses - 3,599 4,351 4,178 3,797 Total - 3,599 4,351 4,178 3,797 Biosecurity technology improvements Administered expenses - - nfp nfp nfp Departmental expenses - - nfp nfp nfp Total - - nfp nfp nfp Changes to agricultural production levies & 2.2 Administered expenses - 1,987 1,984 1,984 1,984 Departmental expenses Total - 1,987 1,984 1,984 1,984 Continued on following pages 19

30 Department of Agriculture and Water Resources Budget Statements Part 1: Measures announced since the MYEFO (continued) Table 1.2: Department of Agriculture and Water Resources Budget measures (continued) Programme Expense measures (continued) Farm Co-operatives and Collaboration Pilot 1.10 Administered expenses Departmental expenses Total Farm Household Allowance transitional debt waiver 1.12 Administered expenses 2, Departmental expenses Total 2, Managing Farm Risk Programme efficiencies 1.12 Administered expenses (3,638) (1,850) (1,850) (1,825) - Departmental expenses Total (3,638) (1,850) (1,850) (1,825) - National Carp Control Plan Administered expenses - 2,548 1, Departmental expenses - 1,743 2,057 1,231 - Total - 4,291 3,905 2,015 - National Disability Insurance Scheme Savings Fund Administered expenses - (97) (402) (713) (934) Departmental expenses Total - (97) (402) (713) (934) National Water Infrastructure Development Fund additional funding 7 Administered expenses - (9,500) Departmental expenses Total - (9,500) National Water Infrastructure Loan Facility 3.1 Administered expenses ,230 3,074 Departmental expenses Total ,923 3,831 Premium Border Clearance Services establishment Administered expenses - nfp nfp nfp nfp Departmental expenses - nfp nfp nfp nfp Total - nfp nfp nfp nfp Continued on following page 20

31 Department of Agriculture and Water Resources Budget Statements Part 1: Measures announced since the MYEFO (continued) Table 1.2: Department of Agriculture and Water Resources Budget measures (continued) Expense measures (continued) Rural Financial Counselling Service additional counsellors 1.12 Administered expenses - 1,725 1,753 1,781 1,813 Departmental expenses Total - 1,725 1,753 1,781 1,813 Streamlining Agricultural and Veterinary Chemicals Regulation Administered expenses Departmental expenses - 1,304 2,086 2,503 2,928 Total - 1,304 2,086 2,503 2,928 Total expense measures Administered (907) (4,880) 3,640 3,241 5,937 Departmental - 7,216 9,068 8,605 7,482 Total (907) 2,336 12,708 11,846 13, Programme Capital measures Biosecurity technology improvements Administered capital - - nfp nfp nfp Departmental capital - - nfp nfp nfp Total - - nfp nfp nfp Total capital measures Administered - - nfp nfp nfp Departmental - - nfp nfp nfp Total - - nfp nfp nfp Continued on following page Programme 21

32 Department of Agriculture and Water Resources Budget Statements Part 1: Measures announced since the MYEFO (continued) Table 1.2: Department of Agriculture and Water Resources Budget measures (continued) 1. The measure Changes to agricultural production levies at the request of industry are reflected under both the revenue and expense measure headings. The full measure description appears in Budget Paper No. 2 under the Agriculture and Water Resources portfolio. Changes to agricultural production levies are as follows: Title Treatment Citrus 1. Increase the rate of the research and development (R&D) and export charge component of the citrus levy from $1.97 per tonne to $3.20 per tonne Increase the Plant Health Australia (PHA) subscription levy and charge from $0.03 per tonne to $0.30 per tonne Deer Velvet Fodder 3 Forest Total revenue impact Total expense impact Decrease the rate of R&D component from 1 per cent charge on the declared value of deer velvet exported to zero per cent. - (13) (16) (16) (16) Total revenue impact - (13) (16) (16) (16) Total expense impact - (13) (16) (16) (16) 1. Replace the voluntary levy of $0.50 cents per tonne of export hay and $0.25 cents per tonne of export straw to a mandatory levy of $0.50 cents per tonne of exported hay and straw Total revenue impact Total expense impact Increase the rate of the Emergency Plant Pest Response (EPPR) component of the forest growers levy for private plantations logs Pinus sp. from nil to $0.05 per cubic metre. Changing the overall levy rate from $0.055 per cubic metre to $0.105 per cubic metre Total revenue impact Total changes to agricultural levies Revenue Total expense impact ,987 1,984 1,984 1,984 Total changes to agricultural levies Expense - 1,987 1,984 1,984 1, The lead entity for measure titled Premium Border Clearance Services establishment is the Department of Immigration and Border Protection. The full measure description and package details appear in Budget Paper No. 2 under the Immigration and Border Protection portfolio. 3. Provision for these measures was included in the contingency reserve as part of the MYEFO. 4. This measure is not for publication (nfp) due to commercial-in confidence considerations. Provision for this measure was included in the contingency reserve as part of the MYEFO. 5. The lead entity for measure titled National Carp Control Plan is the Department of Industry, Innovation and Science. The full measure description and package details appear in Budget Paper No. 2 under the Industry, Innovation and Science portfolio. 6. The lead entity for measure titled National Disability Insurance Scheme Savings Fund is the Department of Social Services. The full measure description and package details appear in Budget Paper No. 2 under the Social Services portfolio. 7. The measure National Water Infrastructure Development Fund additional funding has been allocated to the Department of the Treasury. Prepared on a Government Finance Statistics (fiscal) basis. 22

33 Department of Agriculture and Water Resources Budget Statements Section 2: Outcomes and planned performance Government outcomes are the intended results, impacts or consequences of actions by the Government on the Australian community. Commonwealth programmes are the primary vehicle by which government entities achieve the intended results of their outcome statements. Entities are required to identify the programmes which contribute to government outcomes over the Budget and forward years. Each outcome is described below together with its related programmes. The following provides detailed information on expenses for each outcome and programme, further broken down by funding source. Note: From 1 July 2015, performance reporting requirements in the Portfolio Budget Statements sit alongside those required under the enhanced Commonwealth performance framework. It is anticipated that the performance criteria described in Portfolio Budget Statements will be read with broader information provided in an entity s corporate plans and annual performance statements included in Annual Reports from October 2016 to provide an entity s complete performance story. 23

34 Department of Agriculture and Water Resources Budget Statements 2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: More sustainable, productive, internationally competitive and profitable Australian agricultural, food and fibre industries through policies and initiatives that promote better resource management practices, innovation, self-reliance and improved access to international markets. Linked programmes Department of Human Services Programme: Programme 1.1: Services to the Community Social Security and Welfare Contribution to Outcome 1 made by linked programme: The Department of Human Services manages payments under the Farm Household Support Act 2014 on behalf of the Department of Agriculture and Water Resources. Department of the Environment Programmes: Programme 1.1: Sustainable Management of Natural Resources and the Environment Programme 1.4: Conservation of Australia s Heritage and the Environment Programme 4.2: Commonwealth Environmental Water Contribution to Outcome 1 made by linked programmes: The departments of Agriculture and Water Resources, and the Environment work together under a memorandum of understanding to deliver the National Landcare Programme. The departments of Agriculture and Water Resources, and the Environment also work together through engagement on wildlife trade and fisheries policy. The departments of Agriculture and Water Resources, Industry, Innovation and Science, and the Environment are working collaboratively in the planning phase of the National Carp Control Plan. Department of Industry, Innovation and Science Programme: Sub-programme 1.1: Science Awareness, Infrastructure and International Engagement Contribution to Outcome 1 made by linked programme: The departments of Agriculture and Water Resources, Industry, Innovation and Science, and the Environment are working collaboratively in the planning phase of the National Carp Control Plan. 24

35 Department of Agriculture and Water Resources Budget Statements Linked programmes (continued) Department of the Prime Minister and Cabinet Programme: Programme 2.1: Indigenous Advancement Jobs, Land and Economy Contribution to Outcome 1 made by linked programme: The departments of Agriculture and Water Resources, the Environment, and the Prime Minister and Cabinet work together to provide opportunities for Indigenous communities and land managers to engage with the National Landcare Programme. Department of the Treasury Programme: Programme 1.9: National Partnership Payments to the States Contribution to Outcome 1 made by linked programme: The Department of the Treasury manages the following national partnership agreements on behalf of the Department of Agriculture and Water Resources: National Partnership on South Australian River Murray Sustainability Programme irrigation industry assistance component; National Partnership on assistance for pest animal and weed management in droughtaffect areas; National Partnership for the mechanical fuel load reduction trials; National Partnership on the management of established pests and weeds; and National Partnership for Tasmanian horticulture market growth. 25

36 Department of Agriculture and Water Resources Budget Statements Budgeted expenses for Outcome 1 This table shows how much the entity intends to spend (on an accrual basis) on achieving the outcome, broken down by programme, as well as by administered and departmental funding sources. Table 2.1.1: Budgeted expenses for Outcome 1 Outcome 1: More sustainable, productive, internationally competitive and profitable Australian agricultural, food and fibre industries through policies and initiatives that promote better resource management practices, innovation, self-reliance and improved access to international markets Estimated actual Budgeted Strategic Objective: Building Successful Primary Industries Administered expenses Ordinary annual services (Appropriation Bill No. 1) Programme 1.10: Agricultural Resources Estimated Estimated expenses Estimated expenses A Competitive Agriculture Sector boosting farm profits through rural research and development 29,295 19,799 19,194 25,000 25,000 A Competitive Agriculture Sector improved access to Agricultural and Veterinary Chemicals 1,718 2,532 1, Agricultural and Veterinary Chemicals Minor Use Programme Rural Industries Research and Development Corporation 8,628 9,170 9,379 9,526 9,284 Stronger Farmers, Stronger Economy a fairer go for farm businesses farm co-operatives and collaboration pilot 700 6,888 6, Australian Grape and Wine Authority - 2,000 16,014 15,924 16,062 Sub total (Appropriation Bill No. 1) 40,484 40,532 52,849 50,590 50,489 Special appropriations Programme 1.5: Horticulture Industry Horticulture Marketing and Research and Development Services Act 2000, s. 16(9) 93,087 95,796 95,796 95,796 95,796 Programme 1.6: Wool Industry Wool Services Privatisation Act 2000, s. 31(4) 68,600 69,100 69,100 69,100 69,100 Programme 1.7: Grains Industry Primary Industries Research and Development Act 1989, s. 30(3) Grains R&D Corporation Other Grains 91,039 84,443 85,339 85,665 85,588 Primary Industries Research and Development Act 1989, s. 30(3) Grains R&D Corporation Wheat 85,271 98,234 95,606 97,299 97,600 Continued on following pages 26

37 Department of Agriculture and Water Resources Budget Statements Table 2.1.1: Budgeted expenses for Outcome 1 (continued) Estimated actual Budgeted Strategic Objective: Building Successful Primary Industries Administered expenses Special appropriations Estimated Estimated expenses Estimated expenses Programme 1.8: Dairy Industry Dairy Produce Act 1986, s. 6(1) 58,122 58,451 59,390 58,573 59,354 Programme 1.9: Meat and Livestock Industry Australian Meat and Live-stock Industry Act 1997, s. 63(2) payments to the industry marketing body 85,631 66,120 65,906 68,217 69,831 Australian Meat and Live-stock Industry Act 1997, s. 64(2) payments to the industry research body 28,332 22,075 22,188 22,981 23,491 Australian Meat and Live-stock Industry Act 1997, s. 64A(2) payments to the livestock export marketing body 4,541 4,095 4,310 4,320 4,331 Australian Meat and Live-stock Industry Act 1997, s. 64B(2) payments to the livestock export research body Australian Meat and Live-stock Industry Act 1997, s. 64C(2) payments to the meat processor marketing body 6,294 5,665 5,665 5,665 5,665 Australian Meat and Live-stock Industry Act 1997, s. 64D(2) payments to the meat processor research body 11,190 10,071 10,071 10,071 10,071 Australian Meat and Live-stock Industry Act 1997, s. 66(1) Commonwealth contribution to industry research body 55,396 53,662 51,713 51,766 51,822 Pig Industry Act 2001, s. 10(1) 19,750 21,888 22,205 22,758 23,316 Continued on following pages 27

38 Department of Agriculture and Water Resources Budget Statements Table 2.1.1: Budgeted expenses for Outcome 1 (continued) Estimated actual Budgeted Strategic Objective: Building Successful Primary Industries Special appropriations Programme 1.10: Agricultural Resources Estimated Estimated expenses Estimated expenses Agricultural and Veterinary Chemicals (Administration) Act 1992 s. 58 (6) amount payable to the APVMA 29,360 30,770 32,549 33,050 33,574 Australian Grape and Wine Authority Act 2013, s. 32 payments to the Authority 29,939 29,551 29,541 29,532 29,529 Egg Industry Service Provision Act 2002, s. 8(1) 9,021 9,160 9,348 9,712 9,914 Primary Industries Research and Development Act 1989, s. 30(3) Cotton R&D Corporation 10,535 10,753 11,921 13,269 13,267 Primary Industries Research and Development Act 1 989, s. 30(3) Rural Industries R&D Corporation 7,935 8,189 8,750 8,786 8,822 Sugar Research and Development Services Act 2013, s. 7 payment to the sugar industry services body 30,236 28,933 28,931 29,629 29,626 Sub total (Special Appropriation) 725, , , , ,565 Departmental expenses Departmental appropriation 2,3 66,338 62,796 65,317 65,321 72,992 Expenses not requiring appropriation in the budget year 1 2,091 2,091 2,091 2,250 2,250 Total for Programmes 1.5, 1.6, , 1.9 and , , , , ,296 Continued on following pages 28

39 Department of Agriculture and Water Resources Budget Statements Table 2.1.1: Budgeted expenses for Outcome 1 (continued) Estimated actual Strategic Objective: Supporting Agricultural Communities Administered expenses Ordinary annual services (Appropriation Bill No. 1) Budgeted Estimated Estimated expenses Estimated expenses Programme 1.11: Drought Programmes Drought concessional loan scheme ongoing arrangements - 6,250 6,250 6,250 6,250 Drought relief package concessional loans administration 3, Drought recovery concessional loans scheme administration 2, Programme 1.12: Rural Programmes Farm Finance concessional loans scheme administration Rural Financial Counselling Service 16,094 16,232 16,507 16,771 17,058 Stronger Farmers, Stronger Economy new drought management framework managing farm risk programme 3,662 5,550 5,550 5,475 - Sub total (Appropriation Bill No. 1) 26,006 28,032 28,307 28,496 23,308 Special appropriations Program 1.11: Drought Programmes Farm Household Support Act 1992 s.57(3) [* Repealed by Act 13 of 2014 *] Programme 1.12: Rural Programmes Farm Household Support Act 2014, s.105 payments for Farm Household Allowance 79, ,736 74,469 83,344 83,538 Sub total (Special Appropriation) 79, ,736 74,469 83,344 83,538 Expenses not requiring appropriation in the budget year 1 Drought concessional loan ongoing arrangements Drought recovery concessional loans discount expense 2, Drought relief package concessional loans administration 1,320 1,320 1,320 1,320 - Farm Finance concessional loans scheme administration 1,550 1,550 1,550 1,550 - Farm Household Allowance transitional debt waiver 2, Departmental expenses Departmental appropriation 2,3 13,960 13,247 13,643 13,224 13,125 Expenses not requiring appropriation in the budget year Total for Programmes 1.11 and , , , , ,563 Continued on following pages 29

40 Department of Agriculture and Water Resources Budget Statements Table 2.1.1: Budgeted expenses for Outcome 1 (continued) Estimated actual Administered expenses Ordinary annual services (Appropriation Bill No. 1) Budgeted Estimated Strategic Objective: Expanding Agricultural, Fisheries and Forestry Exports Estimated expenses Estimated expenses Programme 1.13: International Market Access Agriculture Advancing Australia International Agricultural Cooperation Stronger Farmers, Stronger Economy improvements to access premium markets cooperation activities 50 1,500 1, Food and Agriculture Organization of the United Nations (FAO) 13,187 12,636 12,599 12,795 13,007 Indonesia Australia Red Meat and Cattle Partnership 1,700 2, International Organisations Contributions 1,827 1,855 1,887 1,917 1,952 Sub total (Appropriation Bill No. 1) 16,893 18,831 16,897 14,979 15,183 Departmental expenses Departmental appropriation 2,3 34,178 34,510 35,590 36,275 28,453 Expenses not requiring appropriation in the budget year Total for Programme ,594 53,864 53,010 51,817 44, Estimated actual Administered expenses Ordinary annual services (Appropriation Bill No. 1) Budgeted Estimated Estimated expenses Strategic Objective: Sustaining Natural Resources for Longer Term Productive Primary Industries Programme 1.1: Agricultural Adaptation Estimated expenses Clean Energy Future Creating Opportunities on the Land extending the benefits of the Carbon Farming Initiative 16,997 10, Programme 1.2: Sustainable Management Natural Resources A more competitive and sustainable fisheries sector Recognise OceanWatch as a Natural Resource Management Group Stronger Farmers, Stronger Economy strengthening research, skills and management of natural resources Pest Animal and Weed Management 900 9,150 9,350 6,305 - Continued on following pages 30

41 Department of Agriculture and Water Resources Budget Statements Table 2.1.1: Budgeted expenses for Outcome 1 (continued) Estimated actual Administered expenses Ordinary annual services (Appropriation Bill No. 1) Budgeted Estimated Estimated expenses Strategic Objective: Sustaining Natural Resources for Longer Term Productive Primary Industries Estimated expenses Programme 1.2: Sustainable Management Natural Resources National Landcare Programme 5, National Landcare Programme transfer to special account (5,862) (909) National Carp Control Plan - 2,548 1, Programme 1.4: Fishing Industry A more competitive and sustainable fisheries sector Support for Recreational and Commercial Fishing Peak Bodies Fisheries Resources Research Fund ,305 2,341 2,381 Sub total (Appropriation Bill No. 1) 19,179 23,464 14,303 9,430 2,381 Special appropriations Programme 1.3: Forestry Industry Forestry Marketing and Research and Development Services Act 2007, s. 9(1) payments and matching payments to an industry services body and Commonwealth administration expenses 9,688 10,561 10,976 11,442 11,906 Programme 1.4: Fishing Industry Primary Industries Research and Development Act 1989, s. 30A(3) & s. 30B(9) Fisheries R&D Corporation 20,244 21,431 21,827 22,228 22,586 Sub total (Special Appropriation) 29,932 31,992 32,803 33,670 34,492 Special account Natural Resources Management Account s. 80, PGPA Act 2013 [s. 11, Natural Resources Management (Financial Assistance) Act 1992 ] 5,428 1,923 1, Departmental expenses Departmental appropriation 2,3 37,257 35,871 28,481 27,775 26,044 Expenses not requiring appropriation in the budget year Total for Programmes 1.1, 1.2, ,503 93,957 77,477 71,368 63,410 Continued on following page 31

42 Department of Agriculture and Water Resources Budget Statements Table 2.1.1: Budgeted expenses for Outcome 1 (continued) Estimated actual Budgeted Estimated Outcome 1 Totals by appropriation type Administered expenses Estimated expenses Estimated expenses Ordinary annual services (Appropriation Bill No. 1) 108, , , ,495 91,361 Special appropriations 834, , , , ,595 Special accounts 5,428 1,923 1, Expenses not requiring appropriation in the budget year 1 8,234 3,257 3,257 3, Less amounts transferred within the department (5,862) (909) Departmental expenses Departmental appropriation 2,3 151, , , , ,614 Expenses not requiring appropriation in the budget year 1 3,511 3,511 3,511 3,511 3,511 Total expenses for Outcome 1 1,105,810 1,123,479 1,079,803 1,086,927 1,075,468 Movement/reclassification of administered funds between years 4 Outcome 1: Programme 1.4: Fishing Industry Fisheries Resources Research Fund 5 - (1,800) Programme 1.10: Agricultural Resources Stronger Farmers, Stronger Economy a fairer go for farm businesses farm co-operatives and collaboration pilot (6,188) - 6, Programme 1.12: Rural Programmes Stronger Farmers, Stronger Economy new drought management framework managing farm risk programme 6 3,662 5,550 5,550 5,475 - Programme 1.13: International Market Access Indonesia Australia Red Meat and Cattle Partnership (1,995) 1, Total movement/reclassification of administered funds (4,521) 5,745 11,738 5, Average staffing level (number) Expenses not requiring appropriation in the Budget year are made up of depreciation and amortisation expenses, resources received free of charge, concessional loan discount and balance sheet adjustments. 2. Expenses funded from both Ordinary annual services (Appropriation Bill No. 1) and Retained Revenue Receipts under section 74 of the PGPA Act. 3. Departmental appropriation allocations are notional and reflect the current structure of the department. 4. Figures displayed as a negative (-) represent a decrease in funds and a positive (+) represent an increase in funds. 5. Reclassification from administered to departmental. 6. Reclassification from the Department of the Treasury to Appropriation Bill No. 1. Note: Departmental appropriation splits and totals are indicative s and may change in the course of the budget year as Government priorities change.