for the year ended 30 June 2016
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The appropriations reported in this annual report are:
Policy advice and related outputs multi category appropriation
Fuel excise duty refund administration departmental output expense
Milford Sound/Piopiotahi Aerodrome operation and administration departmental output expense
Search and rescue activity co-ordination PLA departmental output expense
Each output class contains a breakdown of performance, including as relevant:
financial performance
performance against measures in the Estimates
performance progression of Ministry intermediate outcomes that fall into this class
related Ministry activities and projects, and the impacts to which they contribute.
Output class: Policy advice and related outputs multi category
appropriation
The overarching purpose of this appropriation is to provide policy advice and other support to Ministers in discharging their policy decision-making and other portfolio responsibilities.
It is intended to achieve a transport system that maximises economic and social benefits for New Zealand, and minimises harm.
The outputs are directed at the Government’s long term outcome of an effective, efficient, safe, secure, accessible and resilient transport system that supports the growth of our economy, in order to deliver greater prosperity, security and opportunities for all New Zealanders.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
29,597
Revenue Crown
30,477
30,843
31,062
106
Other revenue
275
-
263
29,703
Total revenue
30,752
30,843
31,325
29,703
Expenses
30,374
30,843
31,325
-
Net surplus
378
-
-
The Ministry has spent $1 million more on Policy advice than it did in 2014/15. The main reason for this is that the appropriation for Policy advice was almost $1 million lower in 2014/15 due to a reprioritisation of $600,000 to other Vote Transport outputs and lower revenue from third parties.
The Ministry spends what it requires to deliver the agreed programme and costs will vary from year to year as the programme changes. More detail is provided in the following pages.
Three categories make up this output class. These are (by size):
Policy advice
Ministerial servicing
Governance and performance advice on Crown agencies
Elements of the output class have spent more than was budgeted as is shown in the following pages. This is not an issue, as overall the expenditure on the output class was less than the appropriation, as shown in the table above.
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Output: Policy advice
This category is for the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on Government policy matters relating to transport.
It is intended to ensure that the government has policy advice available to it on how to maximise the transport sector economic and social benefits, and minimise harm; or for any other policy initiatives it seeks to pursue.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
26,197
Revenue Crown
26,677
27,343
27,262
106
Other revenue
275
-
263
26,303
Total revenue
26,952
27,343
27,525
25,952
Expenses
26,412
27,343
27,525
351
Net surplus
540
-
-
Total expenditure on this output class was lower than forecast, due to lower staff costs as a result of turnover and timing delays in some projects.
The performance measures and cost in this output have been further split by transport mode:
multi-modal
road
maritime
aviation
rail
More financial and non-financial performance detail is provided in the following pages.
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MULTI-MODAL
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
12,548
Cost
This output is produced within the overall class appropriation (GST exclusive)
12,369
11,995
13,053
The cost of multi-modal activity is similar to that of 2014/15. The budget was amended during the year to reflect actual cost more closely.
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
88%
Key initiatives contained in the annual work programme are completed or progressed as agreed, or as subsequently amended by the agreement between the Minister and the Chief Executive
89%
95%
100%
Percentage of policy advice papers that meet the Advice Quality Characteristics (refer conditions on use of Appropriation)
100%
100%
Achieved (7.6)
The average assessment of the quality of Ministry policy advice is within the range of 7.2-7.5 for papers assessed through an annual external review of policy advice by NZIER
Achieved 7.41
Achieved
Not achieved
The agreed rules programme, including variations, is delivered
Achieved
(see below)
Achieved
Achieved
The agreed Funding Review programme, including variations, is delivered
Not achieved
Achieved
60%
Satisfaction of the Minister of Transport with the policy advice service, as per the satisfaction survey
58%
(see below)
75%
$151
The total cost per hour of producing outputs (excluding outsourced costs)
$155
$175
On track
There is a reduction in the rate of growth of CO 2 emissions from domestic transport per capita in the medium term (see graph on page 24)
On track 6.3% decrease since 2006
On track
New measure
Ministry-led second year actions in the Intelligent Transport Systems Action Plan delivered
Achieved
Achieved
On track
Fewer deaths and serious injuries within the New Zealand transport system over the medium term
Not on track
(see below)
On track
The agreed rules programme, including variations, is delivered
8 out of 18 rules were signed and the remainder were moved to 2016/17. The rules programme is a two-year rolling programme, so it is not uncommon for rules to not be signed within the 2015/16.
Ministerial satisfaction survey
In our Ministerial satisfaction survey, the Ministry asked the Minister 6 questions with a score out of 10. Our average score was 5.8 which has been translated to 58%
Fewer deaths and serious injuries within the New Zealand transport system over the medium term
While the overall long-term trend has been positive, there has been a recent upswing in the number of fatalities on New Zealand roads. The Government is working to reduce the number of fatalities through a variety of measures. For example, the third and final Safer Journeys Action Plan was released, which introduces new measures to combat driver error, improve motorcycle safety, and reduce road fatalities. See graph on page 24.
Serious injuries data for the 2011 – 2015 years is shown in the table below:
2011
2012
2013
2014
2015
Number of serious injuries
2,060
2,073
1,981
2,054
2,148
Police reported serious injuries from road crashes dropped from 2007 – 2013. However since 2013 the number of serious injuries has increased.
Performance progression of Ministry
intermediate
intermdiate
results
Improved management of the transport asset base
The Ministry will know that it has been successful over the next two to four years if:
The application of ITS technology across the transport modes is delivering more efficient use of the existing transport infrastructure
The Ministry continued to make progress on the ITS Action Plan which is focussed on ensuring that the necessary building blocks are in place to enable technologies, such as connected and automated vehicles, to be deployed on New Zealand’s road network. This included a scan of transport legislation for unnecessary barriers to the deployment of ITS technologies, working with stakeholders on positioning systems requirements and promoting New Zealand as a test bed for ITS technologies.
The Ministry understands the relative priority and timing for government investment options across all of the transport modes (regardless of funding sources) to maximise efficient network performance and meet future needs
The Ministry’s work on the Auckland Transport Alignment Project and the Auckland City Rail Link has provided an opportunity to consider road and rail solutions alongside each other to assess how best to invest to achieve a preferred network outcome.
The Ministry also conducted an investigation into the merits of managing heavy vehicle demand through variable charging, which has also revealed similar opportunities to better understand the relative merits of investing in different modes elsewhere in the country, albeit on a smaller scale.
The Ministry has enhanced its transport modelling capability and is providing more sophisticated advice on the impacts of different intervention options
Performance: The Ministry has increased its capability in this by combining current expertise with new staff resource with specific transport/ economic modelling skills. We have also added to the capability base by working across the sector, for example we have recently seconded in a Regional Council staff member to work on a sector wide transport modelling initiative (Next Generation Transport Models) – which seeks to use data from the NZ Household Travel Survey to develop a common modelling framework for all New Zealand local authorities.
The main focus of the modelling work done within the Ministry to date, has been the development of a suite of system level models for the NZ Transport Outlook (a set of written and online products which provide data, information and analysis of current and activity and use on the transport network along with forecasts associated with possible future activity and use). The majority of the system level modelling work has almost been completed, with the Transport Outlook due to be published in March 2017.
Higher returns from new transport investments
The Ministry will know that it has achieved its stated result if, by 2025, there is
Higher average returns from new transport investment decisions taken by Government transport agencies (including local government)
Performance: Data on this measure will not be available until October 2016 as part of the first GPS 2015 Monitoring Report from the NZTA. The Ministry will publish performance information on its website when this becomes available and include it in the Ministry’s 2016/17 Annual Report.
The Ministry will know that it has been successful over the next two to four years if:
There is greater transparency and reporting on the trends in the level of benefit cost ratio being achieved from new government investments across the transport system
Performance: The Ministry has worked with the NZ Transport Agency to develop a new, annual GPS 2015 Monitoring Report. Data on this measure will not be available until October 2016 as part of the first GPS 2015 Monitoring Report from the NZTA. The Ministry will publish performance information on its website when this becomes available and include it in the Ministry’s 2016/17 Annual Report.
The Ministry has a deeper understanding of the potential for different modal investments to enhance the efficiency of the Auckland transport network
Performance: The Ministry’s work with Auckland Council and a range of other agencies on the Auckland Transport Alignment Project in 2015/16 has had a strong focus on testing the potential for different combinations of modal investments to enhance the efficiency of the Auckland transport network over the 30-year horizon of this project.
More open and efficient transport markets
The Ministry will know that it has been successful over the next two to four years if:
The Ministry has implemented a prioritised programme to remove regulation that unnecessarily imposes costs or acts as a barrier to market efficiency
Performance: The Ministry assessed the state of its regulatory frameworks through a March 2015 NZIER report ‘Identifying Opportunities for Improving the Regulatory Environment’. The Ministry’s 2015/16 legislative and rules programmes included a focus on reducing unnecessary costs and market barriers. Key initiatives in 2015/16 include the Driver Licensing Review, Vehicle Dimensions & Mass Review, and the Small Passenger Services Review.
The Ministry knows how the transport regulatory system should change in order to support new business models and a rapidly changing technology environment, and has commenced work programmes to give effect to that
Performance: The Ministry completed an assessment of its regulatory regimes to determine if they were fit for purpose. We are using that assessment to inform the development of our future work programmes (including our future Rules programme).
The Ministry has implemented a prioritised programme to strengthen its understanding of the key factors that may be constraining productivity growth in transport sub sectors – focusing on construction and freight first
Performance: The
Perfromance: The
Ministry undertook a study to investigate why productivity in the road freight sector was low. The objective of the study was to see if there are opportunities for the sector and government to improve performance. Overall, the freight system is efficient and productive, however, efficiency in Auckland is being compromised by congestion. The Ministry continues to look at ways to address this,
including
incuding
undertaking research on what technological solutions may
assist.
assist.
The Ministry understands how well the new Public Transport Operating Model (PTOM) has been implemented and whether any changes are required for its benefits to be fully realised
Performance: In late 2015, the Ministry reported to the Minister of Transport on stakeholder views on the PTOM implementation to date. The Ministry is to provide a final report back in September/October 2019 on the PTOM implementation and operation, and a competition assessment.
Fewer incidents and other harms
The Ministry will know that it has achieved its stated result if, by 2025, there is
The number of deaths and serious injuries across the transport system is reduced by 20 percent or more
Performance: Road deaths in New Zealand, since 2002, are still trending downwards. However, since 2013 there have been an increasing number of fatalities on our roads. As we continue with our Safer Journeys, alcohol interlock and safer speeds work we expect to see the number of deaths on our roads to decrease by 2025. (Refer to page 24).
There is a continued reduction in the rate of growth of tonnes of carbon dioxide equivalent emitted emissions from domestic transport per capita over the medium term
Performance: Between 1990 and 2006, road transport carbon emissions increased by over 60 percent. Since 2006, the rate of increase has stabilised and emissions on a per capita basis have decreased. We believe that we are still on track to achieve the result over the long term. (Refer to the graph on page 24).
The Ministry will know that it has been successful over the next two to four years if:
The transport sector and public understand the changes that will be required within the transport system over the next 20 plus years for New Zealand to meet any new greenhouse gas emissions reduction target
Performance: The Ministry has initiated a project to better understand the choices New Zealand has to reduce transport emissions over the long term. The project will form the evidence base for our future policy advice to Ministers. It will also feed into cross-government work on a long-term plan of action to reduce emissions across the economy.
Cost effective technologies that reduce harm in the transport system are increasingly being adopted/mandated
Performance: New technologies are being applied in the transport system. In 2015/16 the Ministry developed advice on the use of alcohol interlocks and the Government’s decisions on alcohol interlocks will be implemented in 2016/17. The Ministry also supported the work of the NZ Transport Agency and Go Rentals as they implemented a trial of new in-vehicle technology to deliver safety messages to drivers.
There is an appropriate regime in place to reduce the risks of alcohol and drug related impairment across transport’s commercial and recreational sectors.
Performance: The Ministry is reducing the risks of alcohol and drug related impairment across the aviation and maritime sectors by introducing drug and alcohol management plans for commercial operators in these sectors. The drug and alcohol management plans will include mandatory random drug and alcohol testing. The changes will be introduced with the Maritime Transport Amendment Bill and the Civil Aviation Reform Bill.
Related Ministry projects or activities in 2015/16
Ministry project or activity
Refer page
Government Policy Statement on land transport
8
Keeping the SuperGold Card sustainable
8
Improving alignment on Auckland's transport strategy
8
Intelligent Transport Systems
9
Clear Heads
10
Regulatory Reform Programme
11
Funding Review Programme
13
Transport Domain Plan & Research Strategy
14
ROAD
Financial performance
Actual
Acutal
2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
7,678
Cost
This output is produced within the overall class appropriation (GST exclusive)
8,195
8,502
8,538
The cost of road activity has increased from 2014/15, due to the mix of work the Ministry undertook.
Performance
Perfromance
measures
Actual 2014/15
Performance
measures
meauses
Actual 2015/16
Standard/Targets 2015/16
Achieved
At least twice yearly revenue forecasting provided for use in Crown accounts and Budget forecasts
Achieved
Two forecasts done
Achieved
New measure
2016 to 2020 Safer Journeys Action Plan developed by 31 December 2015
Not achieved (see below)
Achieved
On track
Transport network congestion in the five largest metropolitan areas will decrease over the medium term
Not on track (see below)
On track
2016 to 2020 Safer Journeys Action Plan
The development of the next Safer Journeys Action Plan due in December 2015 (this was released in May 2016). Reprioritisation of resources toward visiting drivers and other safety issues led to a delay in commencing work on the new plan. Consequently, the initial end date was not met.
Transport network congestion in the five largest metropolitan areas
The Government has invested to reduce congestion in the metropolitan centres. For example the ATAP, which is expected to improve network efficiency in Auckland. However, investments take a long time to show the benefit and the Ministry expects decreased levels of congestion over the long-term.
Performance progression of Ministry Intermediate results
Improved management of the transport asset base
The Ministry will know that
it has achieved its stated
result if, by 2025, there is
Reduced risk of disruption at the most critical points in the roading network and disruptions are being dealt with efficiently
Performance: Data on this measure will not be available until October 2016 as part of the first GPS 2015 Monitoring Report from the NZTA. The Ministry will publish performance information on its website when this becomes available and include it in the Ministry’s 2016/17 Annual Report.
Increased productivity where there are constraints on main routes within our major metropolitan areas
Performance: Data on this measure will not be available until October 2016 as part of the first GPS 2015 Monitoring Report from the NZTA. The Ministry will publish performance information on its website when this becomes available and include it in the Ministry’s 2016/17 Annual Report.
Increased freight vehicle productivity across the network
Performance: Data on this measure will not be available until October 2016 as part of the first GPS 2015 Monitoring Report from the NZTA. The Ministry will publish performance information on its website when this becomes available and include it in the Ministry’s 2016/17 Annual Report.
The Ministry will know that
it has been successful over
the next two to four years if:
There is greater transparency for the implementation of GPS 2015 and its impact on the performance of the land transport asset base
Performance: The Ministry has worked with the NZ Transport Agency to develop a new, annual GPS 2015 Monitoring Report. The first GPS 2015 Monitoring Report should be available in October 2016.
There is a clearer voice from road users on what they want to pay for and what they would accept as charges or a charging system, and additional demand management tools are being considered for the medium term
Performance: The Ministry commenced a survey of road users to understand their priorities and
preferences with respect to safety, cost, travel time, reliability, environment and maintenance.
These results will feed into the Ministry’s analysis for GPS 2018.
Higher returns from new transport investments
The Ministry will know that
it has been successful over
the next two to four years if:
GPS 2018 provides an enhanced investment strategy for the Government’s investment in land transport
Performance: The development of GPS 2018 is underway, including consideration of how the
investment strategy could be enhanced. This work is being informed by feedback from Regional
Transport Committees and analysis of what the current GPS is delivering. Changes to the
investment strategy will be signalled in late 2016 when we consult on a draft GPS.
More open and efficient transport markets
The Ministry will know that it has achieved its stated result if, by 2025, there is
A 10 percent increase in the productivity of businesses that provide transport services
Performance: Productivity across freight vehicles with 6 – 9 axel combinations increased by 3.2 percent in 2014/15 (2013/14 is the base year). Information for 2015/16 is not yet available.
Fewer incidents and other harms
The Ministry will know that it has been successful over the next two to four years if:
The safety of the roading system has increased through the implementation of the safe system approach – improved roads & roadsides; the availability of safer vehicles; and a reduced number deaths and serious injury crashes from speed, and impaired drivers
Performance: The number of deaths per 100 million kms travelled decreased from 0.93 to 0.74 between 2010 and 2015. (Refer to the graph on page 24).
Key Ministry actions to improve the safety or the roading system included:
finalising the third Safer Journeys Action Plan 2016 – 2020 (the Action Plan maintains the focus on the Safe System approach)
advising Government on the implementation of alcohol interlocks. Legislative change to
implement the Government’s decisions are being advanced through the Land Transport
Amendment Bill.
The Ministry has a
broader understanding
broaderunderstanding
of the
transport
trasnport
and wider benefits that could arise through additional investment in the active modes.
Performance: We have developed this thorough information from the current investment in the Urban Cycleways Programme as it rolls out, and specific recent work on active modes. We are involved in NZTA-led research on four areas identified in recommendations from the Cycling Safety Panel Report in 2014 (E-bikes, footpath sharing, 1.5 metre minimum overtaking gaps, give way rules).
Related Ministry projects of activities in 2015/16
Ministry project or activity
Refer page
Transport and regional development
9
Electric vehicles
9
Drink driving
10
Improving safety for visiting drivers
10
Safer Journeys
11
Small passenger services review
12
Vehicle dimensions and mass review
12
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AVIATION
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
3,362
Cost
This output is produced within the overall class appropriation (GST exclusive)
3,285
3,797
3,455
Performance measures from the
Information
Informaton
Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
New measure
Final Cabinet Paper to Minister on reforms to the Civil Aviation Act (1990) and the Airport Authorities Act (1966) by 28 February 2016
Not achieved
(see below)
Achieved
Final Cabinet Paper to Minister on reforms to the Civil Aviation Act
The Ministry did not submit a Civil Aviation Act Cabinet paper to the Minister of Transport by 28 February 2016.
This is as a result of policy decisions not being finalised. In part, this was due to the need for the Cabinet paper to
accommodate revisions relating to Clear Heads, and the Domestic Aviation Security Review.
Performance
Perfromance
progression of Ministry intermediate results
Higher returns from new transport investments
The Ministry will know that it has been successful over the next two to four years if:
Regulatory changes to support implementation of the new National Airspace & Navigation Plan by
the Civil Aviation Authority are bedded in and understood by the aviation sector
Performance: The Ministry provided an update to Cabinet in August 2016 on the regulatory
changes. The CAA has completed two rounds of targeted consultation with the sector to support
the Ministry’s development of policy for rules regarding navigation and surveillance. Draft rules
will be published for comment by December 2016.
More open and efficient transport markets
The Ministry will know that it has achieved its stated result if, by 2025, there is
A 30% increase in the movement of people and freight by international inbound and outbound flights
Performance: The number of international arrivals and departures has increased by nearly a
quarter in the last 5 years. In 2015 there was an 8 percent increase, the biggest annual increase
since 2004. In the year ended June 2016 the volume of freight increased 2 percent by weight
and 14 percent by value. The trends for freight have been quite variable.
The Ministry will know that it has been successful over the next two to four years if:
The Ministry has successfully concluded international air services agreements with countries that provide key market opportunities
Performance: The Ministry negotiated eight new air services agreements, and amended three existing agreements. We negotiated new agreements that will assist with the objective of making New Zealand a hub between Asia and the Americas including within ASEAN (Laos) and Central America (Panama). Agreements were put in place with countries providing code-share opportunities such as Portugal.
Related Ministry projects or activities in 2015/16
Ministry project or activity
Refer page
Air services liberalisation
10
Review of the Civil Aviation Act 1996
12
APEC
14
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MARITIME
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
2,099
Cost
This output is produced within the overall class appropriation (GST exclusive)
2,074
2,652
1,964
The cost of this activity is similar to that of 2014/15. The budget was amended during the year to reflect actual cost
more closely.
Performance measures
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
Achieved
New Zealand trends in port productivity will increase over the medium term
On track to be achieved in the medium term
On track
Related Ministry projects or activities in 2015/16
Ministry project or activity
Refer page
Review of the Maritime Transport Act 1994
11
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RAIL
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited
Unaudtied
Supplementary Estimates 2015/16
$000
265
Cost
This output is produced within the overall class appropriation (GST exclusive)
489
397
515
The cost of this activity has increased due to the work on the Auckland City Rail Link.
Performance progression of Ministry
intermediate
intermeidate
results
Higher returns from new transport investments
The Ministry will know that it has been successful over the next two to four years if:
There are appropriate arrangements in place to support the government’s investment in rail freight in the context of a multi-modal transport sector
Performance: Work began in 2015/16 on greater road–rail integration. This is providing decision makers with a greater understanding of an integrated approach to planning, where rail is able to complement, as well as compete with other modes.
Related Ministry projects or activities in 2015/16
Ministry project or activity
Refer page
Auckland City Rail Link
8
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Output: Ministerial Servicing
This category is for services to Ministers to enable them to discharge their portfolio (other than policy decisionmaking) responsibilities.
It is intended to achieve the effective delivery of support to executive government and parliamentary processes.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
2,500
Revenue Crown
2,700
2,600
2,700
2,680
Expenses
2,830
2,600
2,700
(180)
Net (deficit)
(130)
-
-
Expenses for this output were higher than for 2014/15. Elements of this work are demand driven and cannot be rationed.
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance
Perfromance
measures
Actual 2015/16
Standards/Targets 2015/16
99%
Percentage of draft replies to ministerial correspondence completed within 10 working days
91%
80%
86%
Percentage of Official Information Act requests to the Ministry replied to within statutory
time frames
timeframes
95%
100%
100%
Percentage of Ministerial Servicing items that meet quality characteristics (refer conditions on use of Appropriation)
100%
90%
99% within 11 working days
Turnaround time for draft Ministerials, from when they are received by the Ministry to when they are submitted to the Ministers office
96% within 10 working days
10 working days
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Output: Governance and performance advice on Crown agencies
This category is for monitoring of and advice on the governance, performance and capability of transport Crown agencies.
It is intended to achieve high performing transport Crown agencies, the activities of which are transparent and well aligned to Government policy priorities:
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
900
Revenue Crown
1,100
900
1,100
1,071
Expenses
1,132
900
1,100
(171)
Net (deficit)
(32)
-
-
The cost of this activity is similar to that of 2014/15. The Ministry amended the budget during the year to reflect actual cost more closely. The deficit is not an issue as another output has a surplus exceeding the deficit.
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance
Perfromance
measures
Actual 2015/16
Standards/Targets 2015/16
Achieved
Advice on transport Crown entity board appointments provided to agreed
time-frames
timeframes
Achieved
Achieved
Achieved
Twice yearly Ministry strategic discussions with each Crown entity Chair/Board
Achieved
Achieved
Achieved
7.6
The average assessment of the quality of Ministry policy advice is within the range of 7.2-7.5 for papers assessed through an annual external review of policy advice by NZIER
Achieved 7.41
Achieved
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Output class: Fuel excise duty refund administration
Through this output class, the Secretary for Transport (Chief Executive) delegates to, and contracts with, the NZ Transport Agency to provide an administrative and accounting service for the refund of fuel excise duty (FED).
The appropriation is intended to achieve accurate and timely refunds of fuel excise duty to eligible applicants.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
475
Revenue Crown
545
429
545
86
Other revenue
115
90
115
561
Total revenue
660
519
660
561
Expenses
660
519
660
-
Net surplus
-
-
-
Adjustments were made to this appropriation, as additional Crown funding was approved to fund improvement projects and additional workload. The NZ Transport Agency received more third party revenue from the ACC for processing their portion of fuel excise duty refunds.
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance
measures
meaures
Actual 2015/16
Standards/Targets 2015/16
5.3 days
Average number of days taken to audit, process and pay FED refunds
8.2 days
10 days
In the 2014/15 Report, the average number of days taken to audit, process and pay FED refunds was reported as 5.3 days, as noted above.
However, the NZ Transport Agency has advised us that this figure was an error. The actual 2014/15 figure to audit, process and pay FED refunds was 7.3 days. Thus the change in processing time between years is actually 0.9 days.
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Output class: Milford Sound/ Piopiotahi Aerodrome operation and administration
This output class covers the operation of the Milford Sound/ Piopiotahi Aerodrome to provide a safe and efficient aerodrome operation.
It is intended to achieve the safe and efficient operation of the Milford Sound/ Piopiotahi aerodrome.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
237
Other revenue
270
230
284
217
Expenses
274
230
284
20
Net surplus/(deficit)
(4)
-
-
Expenses for this output were higher than 2014/15. This is mainly due to a vegetation clearance exercise and unplanned additional maintenance.
Other revenue increased because the good summer weather led to a high number of landings at the aerodrome.
Performance
Perfromance
measures from the Information Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
100%
The aerodrome operation will conform with appropriate Civil Aviation Authority safety requirements
100%
100%
New measure
Operating costs within third-party revenue
Not achieved, operating costs exceeded revenue by 2 percent. However, within appropriation.
Achieved
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Output class: Search and rescue activity coordination PLA
In this output class, the Ministry houses the Secretariat function of the New Zealand Search and Rescue (NZSAR) Council which administers the search and rescue (SAR) sector in New Zealand (PLA – Permanent Legislative Authority).
It is intended to achieve the delivery of effective, well coordinated Search and Rescue capability
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
1,201
Revenue Crown
1,201
1,201
1,201
1,201
Expenses
1,201
1,201
1,201
-
Net surplus/(deficit)
-
-
-
The programmed activities were delivered as budgeted.
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
Achieved
95%
Survey results show that the New Zealand Search and Rescue Council is at least 95 percent satisfied with the provision of effective support services and policy advice for the New Zealand search and rescue sector
Achieved
95%
Achieved
Not achieved
93%
Survey results show that the New Zealand search and rescue sector is at least 95 percent satisfied with the delivery of effective leadership and strategic coordination
Achieved
95%
Achieved
The Secretariat provides the NZSAR Council with support services, policy advice and the implementation of agreed measures to give effective leadership and strategic coordination to the New Zealand search and rescue sector.
The Secretariat also implements the national SAR support programme. Approved and monitored by the NZSAR Council, the programme provides an array of high value activities in support of SAR organisations throughout New Zealand, which contribute directly towards NZSAR Council goals of: enhancing the effectiveness and efficiency of New Zealand’s SAR sector; achieving a culture of ‘one SAR Body’; promoting continuous improvement; maximising the potential of SAR people and supporting SAR preventative strategies.
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Departmental capital appropriation: Ministry of Transport – capital expenditure PLA
This appropriation is limited to the purchase or development of assets by and for the use of the Ministry of Transport, as authorised by section 24(1) of the Public Finance Act 1989.
It is intended to achieve the renewal of assets in support of the delivery of the Ministry of Transport’s services.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
133
Ministry of Transport – capital expenditure PLA departmental capital expenditure
139
350
650
Capital expenditure was less than budgeted, because the Supplementary Estimates figures was incorrect, assuming that the Ministry would relocate in 2015/16 and incur capital expenditure. The Ministry also delayed work on its replacement Document Management System.
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
100%
Expenditure is in accordance with the Ministry’s capital expenditure plan and asset management plan
Met
100%
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Non-departmental output expense: Policy advice and related outputs – civil aviation MCA
The overarching purpose of this appropriation is to regulate civil aviation and enhance aviation safety in New Zealand.
It is intended to achieve a safe and secure airspace environment through the implementation and monitoring of rules and regulations and the management of risk for all aviation activities.
The Ministry reports this appropriation in its annual report because it is a multi category appropriation and as such, the Ministry is the administrator of the appropriation. All of the expenses are non-departmental.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
2,219
Policy advice and related outputs – civil aviation MCA non-departmental output expenses
2,687
2,219
2,687
Performance measures from the Information Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
Measures for the appropriation
The 2014/15 survey results indicate an improvement over the June 2011 survey results in relation to the perceptions and confidence of the travelling public and other stakeholders in the safety and security of air transport. The June 2011 results are:
n/a Survey is conducted every two years.
No impact to the perception and confidence
75%
percentage of resident travellers that felt extremely or very safe and secure
72%
92%
percentage of overseas travellers that felt extremely or very safe and secure
86%
40%
percentage of 27 key stakeholders satisfied with the safety and security performance of the New Zealand civil aviation system
44%
Measures for the ‘Health and safety in employment activities – civil aviation’ category within the appropriation
This category is intended to achieve compliance with the provisions of the Health and Safety at Work Act 2015 in the aviation sector, for those who work on board aircraft while the aircraft is operating.
17
Number of health and safety in employment investigations, audits, and inspections
Performance was affected by the reprioritisation of resources to focus on the implementation of the Health and Safety at Work Act 2015 designation of the Civil Aviation Authority.
25
35-55
90%
Percentage of health and safety in employment investigations, audits, and inspections that follow policy and procedural requirements
100%
(see note below)
100%
100%
Percentage of health and safety in employment investigations and audit
reports is sued within agreed timeframes
100%
(see note below)
100%
Measures for the ‘Health and safety in employment activities – civil aviation’ category within the appropriation continued
New measure
Demonstration of continuous improvement of the regulatory function using the assessment of the Regulatory Operating Review (ROR) programme with a focus on strengths/weaknesses and opportunities for improvement 1
This measure is based on a quarterly assessment of progress against the Regulatory Operating Review Policy. Reviews have resulted in improvements to the prioritisation of work and time taken to close out reports; application of procedures; investigation processes and the associated training of staff; records; and business systems. Further information can be found in the Annual Report of the Civil Aviation Authority 2015/16
Met
Met
Measures for the ‘International relations and International Civil Aviation Organisation Obligations’ category within the appropriation
This category is intended to achieve administration of New Zealand’s international civil aviation obligations and interests within the delegations of the Minister of Transport.
100%
Percentage of international engagement is undertaken that meets the objectives of the Civil Aviation Authority International Engagement Strategy
95%
95%
Nil
International Civil Aviation Organization (ICAO) coordinated validation mission carried out as a result of a significant safety concern raised by ICAO
Nil
Nil
Measures for the ‘Ministerial servicing – civil aviation’ category within the appropriation
This category is intended to achieve the effective delivery of support to
executive government and parliamentary processes.
95% of papers acceptable
Reports, correspondence and Parliamentary Questions are acceptable to the Minister (as assessed by annual survey)
95% of papers acceptable
95% of papers acceptable
Measures for the ‘Policy advice – civil aviation’ category within the appropriation
This category is intended to achieve a high level of safety and security standards within the New Zealand civil aviation system.
Development of sound policy advice proactively identifies and addresses
regulatory issues within the Civil Aviation system.
100%
Percentage of policy papers meet the standards set out in the CAA policy development procedures as assessed by an annual independent audit
100% 1 paper assessed – Emergency location of aircraft policy process
95%
These measures were met through the introduction of “Demonstration of continuous improvement of the regulatory function using the assessment of the Regulatory Operating Review (ROR) programme” review.
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Non-departmental output expense: Policy advice and related outputs – maritime MCA
The overarching purpose of this appropriation is to regulate and enhance safety in New Zealand’s maritime environment.
It is intended to achieve robust regulatory advice, risk-focused compliance practices and well-prepared marine pollution response capability.
The Ministry reports this appropriation in its annual report because it is a multi category appropriation and as such, the Ministry is the administrator of the appropriation. All of the expenses are non-departmental.
Financial performance
Actual 2014/15
$000
Actual 2015/16
$000
Unaudited Main Estimates 2015/16
$000
Unaudited Supplementary Estimates 2015/16
$000
7,656
Policy advice and related outputs – maritime MCA
non-departmental
nondepartmental
output expenses
7,855
7,243
7,855
Performance measures from the International Supporting the Estimates
Actual 2014/15
Performance measures
Actual 2015/16
Standards/Targets 2015/16
Measures for the ‘Health and safety in employment activities – maritime’ category within the appropriation
This category is intended to achieve the provision of regulatory services
that are established under Health and Safety in Employment Act as the
responsibility of Maritime New Zealand.
75%
Prosecutions brought under the Health and Safety at Work Act and the Maritime Transport Act that are successful
87.5%
(see below)
75%
Measures for the ‘Maritime incident response’ category within the appropriation
This category is intended to achieve an increase in the efficiency and
effectiveness of Maritime New Zealand’s maritime incident response
capability.
New measure
Develop and implement a maritime incident exercise based on a complex vessel scenario that tests the NZ maritime incident response readiness.
Plan signed off in April 2016
Exercise completed May 2016
Plan signed off by March 2016
Exercise completed May 2016
Measures for the ‘Maritime safety and marine protection services’ category within the appropriation
This category is intended to achieve the provision of reliable maritime navigation aids.
99.8%
Percentage of time lighthouses are available
100%
99.8%
99.9%
Percentage of time a 24-hour Distress and Safety Radio Service is provided
99.8%
100%
Measures for the ‘Policy advice – maritime’ category within the appropriation
This category is intended to achieve the development of fit for purpose policy in relation to maritime safety, security and environmental protection; and the provision of services to Ministers to enable them to discharge their portfolio accountabilities.
100%
All written policy reports/advice to Ministers meet Maritime New Zealand’s quality criteria (content, form and analysis)
100%
100%
100%
All written policy reports/advice to Ministers are completed by the due date
100%
100%
Prosecutions brought under the Health and Safety at Work Act and the Maritime Transport Act
2014/15 – Maritime NZ’s Annual Report for 2014/2015 reported performance of 100% of prosecutions brought under the Health and Safety in Employment and Maritime Transport Act (MTA) as successful (four out of four). This figure has been changed to 75% to include a case that was mistakenly recorded as successful (three out of four successful).
2015/16 – Performance against this measure is based on the number of prosecutions that are concluded during the reporting period and where the prosecution action leads to the desired outcome (e.g. compliance, accountability).
Seven prosecutions were concluded: Six of these were successful. Five involved pleas of guilty and led to conviction. One case involved two defendants in which charges against