Vote Business, Science and Innovation - Economic Development and Infrastructure Sector - Estimates of Appropriations 2015/16

Vote Business, Science and Innovation

APPROPRIATION MINISTER(S): Minister of Commerce and Consumer Affairs (M13), Minister for Tertiary Education, Skills and Employment (M14), Minister for Economic Development (M25), Minister of Energy and Resources (M28), Minister for Maori Development (M46), Minister of Tourism (M69), Minister of Science and Innovation (M84), Minister for Communications (M88)

APPROPRIATION ADMINISTRATOR: Ministry of Business, Innovation and Employment

RESPONSIBLE MINISTER FOR MINISTRY OF BUSINESS, INNOVATION AND EMPLOYMENT: Minister for Economic Development

Overview of the Vote

Vote Business, Science, and Innovation is a merger of the following former votes: Vote Economic Development and Employment (minus the Employment appropriations, which are transferring to Vote Labour Market), Vote Commerce and Consumer Affairs, Vote Communications, Vote Energy, Vote Science and Innovation and Vote Tourism.

The Minister of Economic Development is responsible for Policy Advice and Related Services funding for 2015/16 that comprises:

• just over $19 million to support the Minister for Economic Development
• just over $11 million to support the Minister of Commerce and Consumer Affairs
• just over $6 million to support the Minister for Communications
• just over $6 million to support the Minister of Energy and Resources
• just under $8 million to support the Minister of Science and Innovation
• just over $1 million to support the Minister for Small Business, and
• just over $4 million to support the Minister of Tourism.

The Minister for Economic Development is responsible for Sector Analysis and Facilitation funding for 2015/16 that comprises:

• just under $2 million to support data analysis relating to the Economic Development portfolio, and
• just over $3 million to support research, analysis and dissemination of data relating to the Tourism portfolio.

The Minister of Commerce and Consumer Affairs is responsible for appropriations in the Vote for 2015/16 covering the following:

• a total of just under $68 million for matters relating to the development and delivery of consumer information, protection of intellectual property rights, administration of bankruptcies and liquidations, the registration and provision of statutory information from business registers, compliance and enforcement of trading standards and proceeds of crime provisions

• a total of just over $62 million provided to various Crown entities (including $33 million to the Commerce Commission and $28 million to the Financial Markets Authority) that are responsible for registration, monitoring, economic regulation, education and advice, compliance and enforcement activities to ensure businesses can compete, innovate, invest and trade, and consumers can purchase with confidence from competitive markets and have access to redress when transactions go wrong, and
• a total of just under $12 million for improving New Zealanders' financial capability and the effectiveness of retirement income policies; the funding of financial reporting and auditing and assurance standards setting; and promoting better-performing businesses and investor confidence by setting rules and incentives for how firms are structured and managed.

The Minister for Communications is responsible for appropriations in the Vote for 2015/16 covering the following:

• a total of just over $12 million for the management of New Zealand's radio spectrum and Management of Emergency Telecommunications Services

• a total of $6 million for Commerce Commission costs to enforce regulated telecommunications services and undertake specific telecommunications regulatory functions
• a total of just over $31 million for the purchase of deaf relay services and the payment for infrastructure associated with Rural Broadband initiatives
• a total of just over $1 million to achieve upgraded telecommunications capabilities for the public to communicate with Government in emergencies
• a total of $1.500 million to achieve fibre connections between end-users, and Ultra-Fast Broadband and Rural Broadband Initiative providers' cable
• a total of just over $2 million for international membership fees, support and administration costs related to enabling access to the telecommunications relay service, and
• a total of just over $190 million capital investment in ultrafast broadband infrastructure, and in subsidised equipment for hearing and speech impaired people.

The Minister of Communications is responsible for just under $92 million of Non-Tax revenue in 2015/16:

• $50 million from Telecommunications Development Levy
• $6 million from Telecommunications Levy
• just under $36 million from Radio Spectrum, and
• $14,000 from Contributions to the Chatham Islands Rural Broadband Investment project.

The Minister for Economic Development is responsible for appropriations in the Vote for 2015/16 covering the following:

• a total of just over $17 million for implementation of improvement in public sector procurement
• a total of just over $113 million for capital expenditure for all of the Ministry of Business, Innovation and Employment (MBIE)

• a total of just over $193 million for New Zealand Trade and Enterprise (NZTE) operating expenses and cash grant schemes
• a total of just under $78 million to provide grant assistance to screen productions that are internationally focused and produced in New Zealand
• a total of just over $1 million for operation of an independent structure for Film New Zealand
• a total of just under $15 million to support major events that provide economic, social, cultural and international profiling benefits to New Zealand
• a total of $2 million for depreciation on Auckland's Queens Wharf
• a total of just over $750,000 funding for management development, and
• a total of just under $13 million for capital investments in the early stage equity finance markets and offshore market development assistance to business.

The Minister of Energy and Resources is responsible for appropriations in the Vote for 2015/16 covering the following:

• a total of just over $20 million for modelling and analysis to support energy and resources sector policy advice, the management of the Crown mineral estate, and the administration of fuel quality monitoring programme, which is an industry levy funded activity
• a total of just over $77 million for the Electricity Authority's work in regulating the electricity system, securing reserve energy supplies for New Zealand now and into the future, and ensuring that the regulatory body for the electricity industry is able to participate in litigation effectively
• a total of just over $56 million for the Energy Efficiency and Conservation Authority's work in promoting energy efficiency, including by providing grants and assistance of just under $24 million for the Home Insulation programme targeting low income households
• a total of $2 million to support the acquisition and analysis of seismic information relating to New Zealand's minerals, petroleum and geothermal resources
• a total of just under $9 million to manage and fund New Zealand's oil stocks obligations with the International Energy Agency
• a total of just under $2 million for management and monitoring of responsibilities in the event of an emerging security situation, and planning and running an emergency conservation campaign and for international membership fees and to meet Ministry of Energy residual liabilities.
• a total of $2 million of capital expenditure for the provision of funding for the Crown loans scheme to assist public sector agencies to implement energy efficiency projects.

The Minister of Energy and Resources is responsible for just over $365 million of Tax and Non-Tax revenue in 2015/16:

• just under $229 million from petroleum and other Crown mineral royalties
• just over $96 million in levies from the Electricity Industry
• just over $38 million from coal and gas energy resource levies, and
• $2 million from repayment of energy efficiency loans.

The Minister of Science and Innovation is responsible for appropriations in the Vote for 2015/16 covering the following:

• a total of just over $20 million for contract management
• a total of just under $202 million for Crown Research Institutes (CRI's) to provide greater financial certainty to deliver outcomes for the benefit of New Zealand and to assist the CRI's to contribute to the outcomes in their statement of core purpose
• a total of just over $300 million for research and research applications in the areas of high value manufacturing and services, biological industries, health and society, environmental, hazards and infrastructure and energy and minerals
• a total of just over $218 million forecast for 2015/16 for Research and Development Growth Grants multi-year appropriation (MYA), Targeted Business Research and Development Funding MYA, and Repayable Grants for Start-Ups to co-fund private businesses for investment, research, development projects, and funding for students to work in research and development active businesses
• a total of just under $70 million forecast for 2015/16 for National Science Challenges MYA to fund specific research projects in seeking answers to the most pressing issues of national significance facing New Zealand
• a total of just under $20 million for services by Callaghan Innovation for development and maintenance of strategic capabilities required to meet immediate and future needs of business and industry
• a total of just under $54 million for the Marsden Fund for excellent fundamental research
• a total of just under $12 million for fellowships and grants to support the development of future research leaders
• a total of just over $32 million for activities that build business innovation
• a total of just under $8 million for contract management services with regard to research, science and technology contract with organisations or individuals
• a total of just over $11 million for engaging New Zealanders with science and technology
• a total of just under $7 million for Research Contract Management
• a total of just under $6 million to meet the needs for traceable physical measurements in New Zealand and membership to the Convention du Metre
• a total of just under $10 million for Maori capability in undertaking research and innovation through Vision Matauranga Capability Fund and Maori Innovation Fund
• a total of just over $40 million for grants to organisations in New Zealand and overseas which ensures infrastructures and projects that have system-wide benefits or are too large for any one institution to fund, but are of benefit to New Zealand, can take place
• a total of just over $10 million for international research relationships, and
• a total of just under $64 million capital expenditure to support the development of Callaghan Innovation's strategic infrastructure.

The Minister of Tourism is responsible for appropriations in the Vote for 2015/16 covering the following:

• a total of just over $132 million for the promotion of New Zealand to key overseas markets as a visitor and business destination, the Tourism Growth Partnership initiative, seed and operational funding for national Cycleways, and funding for Tourism Facilities.

Details of these appropriations are set out in Parts 2-4.