The Treasury

Global Navigation

Personal tools

Treasury
Publication

Annual Report of the Treasury for the Year Ended 30 June 2012

Infrastructure Advice and Coordination

Scope of Appropriation

This appropriation is limited to the provision of advice to the Government and to government agencies on infrastructure, ensuring coordination and implementation of the Government's infrastructure activities, the formulation and implementation of the National Infrastructure Plan, monitoring of infrastructure investment and frameworks and operation of the National Infrastructure Advisory Board.

Significant Work Completed During 2011/12

  • Continued to roll out Better Business Cases approach, in particular significant support and guidance to a range of agencies, including local government.
  • Reported on inaugural round of asset management maturity assessments in capital-intensive agencies.
  • Provided significant policy and second opinion advice in the Transport portfolio (including Auckland EMU train deal and NZTA Overdraft Facility) and on urban/infrastructure issues (in particular, the Auckland Spatial Plan and Christchurch CBD Recovery Plan). The Utilities Access Code was approved by the Minister for Infrastructure and took effect from 1 January 2012.
  • Worked with other agencies and private sector stakeholders to develop an implementation plan for the National Infrastructure Plan. Implementation will continue through 2012/13, including reporting via the National State of Infrastructure Report and Business Growth Agenda reports, leading to another National Infrastructure Plan in 2014.
  • Worked with MOE and the Department of Corrections agencies to bring PPPs to market for Hobsonville schools and Wiri prison and assisted with negotiation and closing of the Hobsonville schools contract. We also worked and continue to work with other agencies on prospective PPP opportunities and developed guidance.
Performance Measures: Infrastructure Advice and Coordination
Performance Dimensions for 2011/12 Target Performance for 2011/12
Policy advice complies with the Treasury's Quality Standards for Policy. Achieved Achieved
State of the Nation report by June 2012. Achieved Not achieved.  This will now be published in conjunction with
Business Growth Agenda infrastructure reporting in September 2012.
System Level Assurance and Asset Performance reporting is in place and reported on annually by 30 June 2012. Achieved Partially achieved for 2012 through asset management maturity assessments.  Design of future assessment and reporting cycles still to be determined. Asset performance reporting work continues into 2012/13.
Two PPPs financially concluded by 30 June 2012. Achieved Substantively achieved. One PPP completed and another well-underway and expected to reach financial close in early 2012/13.
Two additional PPPs in market by
30 June 2012.
Achieved Not achieved. A range of other PPP prospects are under consideration at various stages of the procurement process.
Agency business cases that are considered by Cabinet are prepared in accordance with the Better Business Cases standard. 95% Not achieved. 78% of capital proposals in 2011/12 had business cases prepared to the Better Business Cases standard. The variance related to some new initiative proposals in the Budget process, and some portfolio-level decisions.
Infrastructure Advice and Coordination
2011
Actual
$000
Infrastructure Advice and Coordination 2012
Actual
$000
2012
Main Estimates
$000
2012
Supp. Estimates
$000
4,577 Expenses 3,990 4,580 4,325

Funded by:

4,477 Revenue Crown 3,925 4,501 4,246
100 Other revenue 65 79 79

Expenditure is $335,000 under the Supplementary Estimates budget. Approval has been granted to transfer up to $120,000 of this under-spend to 2012/13 for planned CAM and infrastructure plan projects.

Page top