Financial overview

Operating results

Unless otherwise specified, all figures in this report are in $000 and GST exclusive.

The Ministry has spent $84.7 million in the 2005/2006 financial year against an annual budget appropriation of $90.8 million, an under spend of $6.1 million.

Areas of significant under spend included:

Approval has been given "in principle" to carry forward $4.5 million from 2005/2006 to 2006/2007, an effective under spend of $1.6 million.

Departmental expenditure profile

A summary of departmental output expenses for 2005/2006 is set out below:

The following graphs and tables show trends in expenditure and cost recovery/departmental revenue charges for the Ministry over the last four years and planned for 2006/2007:

Departmental output expense profile

¹Transfered to MAF with effect from 1 November 2004.

Effective from 1 July 2005

1. output expenses regulatory management and fisheries access and administration were combined into a new departmental output expense called fisheries operations. In addition biodiversity advice is now accounted for within the departmental output expense fisheries operations, and international utilisation and sustainability is now accounted for within output expense fisheries policy advice. All comparative numbers have been recast accordingly.
   
2. output expenses enforcement of fisheries policies and prosecution of offences were also combined into a new departmental output expense called fisheries compliance.

Research services

Asset management

Departmental property, plant and equipment - net book value at 30 June 2006

The majority of the Ministry's assets relate to

• buildings/leasehold improvements
• computer information systems
• motor vehicles

Capital expenditure programme

By recent historical standards the level of capital expenditure in 2005/2006 has been relatively high as can be seen from the table below.

Notable projects advanced or completed during the year included:

• rationalisation of office accommodation in Wellington and Nelson
• implementation of a new finance system
• partial design and development of a document management system.

Output expense service performance

The following table lists departmental output expenses by output for the year ended 30 June 2006, along with the comparative figures for 30 June 2005.

Criteria for assessing the quality of policy and reports

The following standards will be used to assess the quality of policy advice provided to the Minister.

Purpose
The aim or purpose is clearly stated and it answers the questions set.

Logic
The assumptions behind the advice are explicit, and the argument is logical and supported by facts.

Accuracy
The facts are accurate and all material facts are included.

Options
An adequate range of options has been presented and each has been assessed for benefits, costs and consequences to the Government and the community.

Consultation
There is evidence of adequate consultation with interested parties and possible objections to proposals/ content are identified.

Practicality
The problems of implementation, technical feasibility, timing or consistency with other policies/reports have been considered.

Presentation
The format meets Cabinet Office requirements; the material is effectively, concisely and clearly presented, has short sentences in plain English and is free of grammatical or spelling errors.

Quality management
The product quality will be supported by a process that provides for:

• circulation of drafts for critiquing by other government agencies and other affected stakeholders
• internal peer review and checking procedures
• adherence to the Ministry's policy framework
• consistency with relevant legislative obligations.