OUTPUT 26 OBSERVER SERVICES PROVIDED

DESCRIPTION

Observers deployed and data collected in response to requests by clients.

EXPLANATION

Observers provide an independent source for the collection of high quality information from fishing operations. This is a valuable input into the management of New Zealand's fisheries resources, particularly the setting of sustainability levels and management controls.

Observer services are also used by external agencies (eg the fishing industry and the Department of Conservation (DoC)) to gather specific information for those agencies and as an input into their management requirements. Provision of observer services is based on the Ministry's capacity to supply the requisite number of observers with the required skill levels to cover requests from internal and external sources.

The planned expenditure figures for 2004/05 are based on the Ministry's baseline budget for observer services and its share of Ministry overheads. This baseline budget has been fixed for several years and is insufficient to sustain current levels of coverage. Traditionally, the Ministry has sought an increase in the Supplementary Estimates for the Observer Programme when the extent of industry demand, (in particular CCAMLR requests) for observer days, has become clear.

The current plan for 2004/05, subject to consultation with industry, is likely to deliver about 7,000 observer sea days at an estimated cost of $3.4 million. Subject to capacity constraints and additional industry demand, the Ministry will likely seek about $1.4 million through Supplementary Estimates. The estimated total costs of $3.4 million for observer services will be offset by charges on DoC and industry. Final cost recovery levies cannot be deduced from this figure.

The "Observer Project" has been established to review and recommend developments in the Observer Programme's planning, funding and purchasing processes, procedures and systems. It is anticipated the Project will facilitate detailed planning and cost estimation for 2004/05. Consultation with industry on observer levies has commenced, and will be ongoing to determine the number of, and specifications for, observer requests. This may lead to trip sharing and cost reductions.

PERFORMANCE EXPECTATIONS

Output 26-performance expectations.
Dimension Description
Quality All agreed results are achieved to specified quality standards.
Cost Actual expenditure is within the range of 90% - 110% of the budgeted amount.
Time All agreed results are achieved within the specified timeframes.

RESULTS

Output 26-results table.
Milestone Quality & timeliness Commentary
Consultation completed on the level of observer service by fish stock to enable cost recovery levies to be set for the 2004/05 fishing year Achieved

Consultation was completed and the Observer Plan for the year was prepared.

No negative feedback was received from any stakeholders on the consultation process including Ministry responses to stakeholder submissions.

Information and/or data collected by observer, throughout the year, in accordance with the agreed observer annual plan and agreed client specifications Quality achieved, timeliness not achieved The 2004/05 Observer Service Delivery Plan details observer coverage by species. The observer coverage was required to obtain data as specified by clients.

The observer coverage results for the year are:

  • Planned days 7,250
  • Achieved days 5,625.

The total variance from plan for 2004/05 is a shortfall of 1,625 days.
Material negative variances in actual versus plan are:

Ling Inshore (87 days)
Coverage was initially delayed pending the client finalising their data specification. Once the specification was finalised, the challenge was in establishing contacts and securing placement in a fishery relatively new to observer services.

Tuna Charter (95 days)
Observer coverage achieved was 100% of fishing activity. However, fishing activity was less than expected, possibly due to the economic challenges of profitably operating in the fishery.

Inshore Set Net (100 days)
These days were coverage planned for DoC. DoC cancelled this requirement in April 2005.

Hoki VSCF (258 days)
Hoki VSCF (Vessel Specific Conversion Factors) are days requested, and paid for, by the industry directly. They are contracted when the industry wants an observer to certify a conversion factor (the yield of greenweight fish to processed fish) specific to a vessel.
The observer days contracted are determined solely by industry requirements. The shortfall of 258 days therefore reflects the industry not requiring the planned days.

Tuna Domestic (355 days)
This is a very difficult and complex fishery within which to achieve observer coverage. Most domestic tuna fishing operations are small, family owned entities who have, prior to 2004/05, rarely had experience of, or contact with, the Observer Programme. The recent introduction of some tuna species into the QMS and the need to resolve bycatch species issues, relating to the QMS introduction, have added to the challenge of achieving coverage in this fishery. However, good progress has been made in establishing contacts with domestic tuna fishers, and observer placements, in the latter part of 2004/05, have been secured.

CCAMLR (583 days)
CCAMLR observer coverage is a mandatory requirement of a CCAMLR fishing permit. Observer coverage days are therefore solely determined by fishing activity. Actual fishing activity in 2004/05 was below expected levels, which resulted in a corresponding reduction in observer coverage days.

These variances account for 91% of the total shortfall in actual observer coverage days.

A process was completed in the second half of 2004/05, applicable to the 2005/06 plan, to identify client observer coverage requirements by species by fishery by month. This process also included detailing the flexibility, from a scientific data perspective, of observer coverage timing. The result was an understanding of coverage fallback options in the event that a lack of fishing activity, or other factors, prevented coverage being delivered as per plan.

Detailed data specifications are in the process of being developed with clients that will formalise existing data collection requirements.

Monthly operational review meetings with clients are also being held to review coverage versus plan and data quality.

Clear and transparent processes are operated to identify variations to the observer annual plan (resulting from changing priorities) and effective mechanisms are in place to implement any changes to the plan.

Achieved

An Observer Planning Forum, held in February, received an update on the actual and forecasted delivery of the Observer Programme in 2004/05. Actual coverage days versus planned coverage days are also published, and updated monthly, on the Ministry website. Stakeholders are advised of the update's availability. If there are exceptional (>10%) variations identified in projected coverage, at a species level, these are subject to specific industry consultation.

Updated : 16 November 2007