Supplementary estimates of appropriations

Vote Energy - Supplementary Estimates 2013/14

APPROPRIATION MINISTER(S): Minister of Energy and Resources (M28)

APPROPRIATION ADMINISTRATOR: Ministry of Business, Innovation and Employment

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

Supplementary Estimates of Appropriations#

Details of Appropriations#

Annual and Permanent Appropriations

  2013/14
Titles and Scopes of Appropriations by Appropriation Type Estimates
Budget
$000
Supplementary
Estimates
Budget
$000
Total
Budget
$000

Departmental Output Expenses

     

Administration of Gas, Electricity and Energy Efficiency Regulations and related Acts (M28)

This appropriation is limited to the purchase of advice on administration and associated policy work, Ministerial servicing and decision support for the Minister in relation to, and the administration of the regimes for: gas and electricity safety; energy efficiency and conservation; the supply, quality and measurement of gas and electricity; and fuel quality monitoring.
5,680 (2,692) 2,988

Energy and Resource Information Services (M28)

Provision of information and technical advice on energy and resources, the management of the response to any international disruption in oil supplies, and the management of New Zealand's energy-related international relations.
1,267 - 1,267

Energy and Resource Information Services RDA (M28)

Provision of information and technical advice on energy and resources, the management of the response to any international disruption in oil supplies, and the management of New Zealand's energy-related international relations.
1,827 - 1,827

Energy and Resources operational policy, ministerial servicing and Crown entity monitoring (M28)

This appropriation is limited to the development of operational policies in relation to the operation of energy and resource markets (electricity, oil, gas, geothermal, coal, minerals and natural related resources) and energy efficiency and conservation issues, services to support the Minister, and monitoring the performance and compliance of Crown Entities.
1,492 - 1,492

Management of the Crown Mineral Estate (M28)

Allocation and management of Crown-owned petroleum, coal and mineral resources under the Crown Minerals Act 1991 and minerals programmes issued under the Act.
18,103 - 18,103

Policy Advice - Energy and Resource Issues (M28)

This appropriation is limited to 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.
5,215 (1,400) 3,815

Total Departmental Output Expenses

33,584 (4,092) 29,492

Non-Departmental Output Expenses

     

Electricity Industry Governance and Market Operations (M28)

This appropriation is limited to formulating, monitoring and enforcing compliance with the regulations and rules governing the electricity industry and other outputs in accordance with the statutory functions under the Electricity Industry Act; and delivery of core electricity system and market operation functions, carried out under service provider contracts.
68,145 - 68,145

Energy Efficiency and Conservation MCOA (M28)

30,904 - 30,904
Energy Efficiency and Conservation
This output class is limited to operational and policy outputs in accordance with statutory functions under the Energy Efficiency and Conservation Act 2000 and the government's energy strategies.
17,904 - 17,904
Electricity Efficiency
This output class is limited to:
- conducting electricity efficiency research, and
- development and administration of programmes that provide incentives for cost-effective energy efficiency and conservation, aimed at changing market behaviours.
13,000 - 13,000

Implementation of the Home Insulation Programme (M28)

This appropriation is limited to the implementation of the Home Insulation programme.
2,000 - 2,000

Management of IEA Oil Stocks (M28)

For the cost of managing and funding of oil stocks to meet International Energy Agency obligations.
5,185 1,148 6,333

Total Non-Departmental Output Expenses

106,234 1,148 107,382

Non-Departmental Other Expenses

     

Crown Contribution to Pike River Recovery and Related Matters (M28)

This appropriation is limited to providing a Crown contribution towards the potential recovery of bodies in the Pike River Coal Mine and related matters.
3,000 4,500 7,500

Electricity Litigation Fund (M28)

This appropriation is limited to ensuring that the regulatory body for the electricity industry is able to participate in litigation effectively and without delay.
444 - 444

Energy Efficiency and Renewable Energy Grants and Assistance (M28)

This appropriation is limited to the Crown's contribution to fund improvements to the energy efficiency of New Zealand businesses and homes and increased use of renewable energy.
680 - 680

International Energy Agency Contribution (M28)

Payment of contributions towards the cost of energy-related research undertaken by the International Energy Agency.
150 - 150

International Energy Agency Subscription (M28)

Payment of annual subscription for membership of the International Energy Agency.
170 - 170

Ministry of Energy Residual Liabilities (M28)

Payment of residual liabilities of the former Ministry of Energy and to meet urgent mine restoration and rehabilitation relating to the operations of the state coal mines prior to 1987.
199 - 199

Total Non-Departmental Other Expenses

4,643 4,500 9,143

Non-Departmental Capital Expenditure

     

Crown Energy Efficiency (M28)

This capital expenditure appropriation is limited to provision of funding for the Crown loans scheme to assist public sector agencies in implementing energy efficiency projects.
2,000 - 2,000

Total Non-Departmental Capital Expenditure

2,000 - 2,000

Total Annual and Permanent Appropriations

146,461 1,556 148,017

Multi-Year Appropriations

Type, Title, Scope and Period of Appropriations Appropriation, Adjustments and Use $000

Non-Departmental Output Expenses

   

Acquisition of Petroleum Exploration Data (M28)

This appropriation is limited to the acquisition of seismic information relating to New Zealand’s offshore petroleum basins.

Commences: 01 July 2009

Expires: 30 June 2014

Original Appropriation 20,000
Adjustments for 2012/13 -
Adjustments to 2013/14 -
Adjusted Appropriation 20,000
Actual to 2012/13 Year End 16,687
Estimated Actual for 2013/14 3,313
Estimated Actual for 2014/15 -
Estimated Appropriation Remaining -

Security Management (M28)

This appropriation is limited to the management of emergency events by the System Operator, if required, including increased monitoring and management responsibilities in the event of an emerging security situation, and planning and running an emergency conservation campaign.

Commences: 01 July 2012

Expires: 30 June 2017

Original Appropriation 6,000
Adjustments for 2012/13 -
Adjustments to 2013/14 -
Adjusted Appropriation 6,000
Actual to 2012/13 Year End -
Estimated Actual for 2013/14 2,400
Estimated Actual for 2014/15 1,200
Estimated Appropriation Remaining 2,400

Non-Departmental Other Expenses

   

Contestable Fund for Deployment of Marine Energy Devices (M28)

This appropriation is limited to a contestable fund for marine energy generation and associated administration.

Commences: 01 July 2011

Expires: 30 June 2016

Original Appropriation 4,949
Adjustments for 2012/13 (2,852)
Adjustments to 2013/14 (1,148)
Adjusted Appropriation 949
Actual to 2012/13 Year End -
Estimated Actual for 2013/14 -
Estimated Actual for 2014/15 -
Estimated Appropriation Remaining 949

Home Insulation (M28)

This appropriation is limited to grants towards insulation targeting low income households.

Commences: 01 July 2013

Expires: 30 June 2016

Original Appropriation 93,000
Adjustments for 2012/13 -
Adjustments to 2013/14 -
Adjusted Appropriation 93,000
Actual to 2012/13 Year End -
Estimated Actual for 2013/14 33,000
Estimated Actual for 2014/15 32,500
Estimated Appropriation Remaining 27,500

Promoting and Facilitating Customer Switching (M28)

This appropriation is limited to facilitating, and promoting increased switching of electricity suppliers to consumers.

Commences: 01 November 2010

Expires: 30 April 2014

Original Appropriation 10,500
Adjustments for 2012/13 -
Adjustments to 2013/14 -
Adjusted Appropriation 10,500
Actual to 2012/13 Year End 8,269
Estimated Actual for 2013/14 2,231
Estimated Actual for 2014/15 -
Estimated Appropriation Remaining -

Warm Up New Zealand (M28)

This appropriation is limited to grants towards insulation and clean heating devices to make New Zealand homes healthier and more energy efficient.

Commences: 01 January 2010

Expires: 30 June 2014

Original Appropriation 244,950
Adjustments for 2012/13 30,118
Adjustments to 2013/14 -
Adjusted Appropriation 275,068
Actual to 2012/13 Year End 259,200
Estimated Actual for 2013/14 15,868
Estimated Actual for 2014/15 -
Estimated Appropriation Remaining -

Supporting Information#

Part 1 - Vote as a Whole#

1.2 - Trends in the Vote

Summary of Financial Activity

  2013/14
    Supplementary Estimates  
  Estimates
$000
Departmental
Transactions
$000
Non-Departmental
Transactions
$000
Total
Transactions
$000
Total
$000

Appropriations

         
Output Expenses 143,018 (4,092) 3,661 (431) 142,587
Benefits and Other Unrequited Expenses - N/A - - -
Borrowing Expenses - - - - -
Other Expenses 51,201 - 9,041 9,041 60,242
Capital Expenditure 2,000 - - - 2,000
Intelligence and Security Department Expenses and Capital Expenditure - - N/A - -
Multi-Category Expenses and Capital Expenditure (MCA)          
Output Expenses
- - - - -
Other Expenses
- - - - -
Capital Expenditure
- N/A - - -

Total Appropriations

196,219 (4,092) 12,702 8,610 204,829

Crown Revenue and Capital Receipts

         
Tax Revenue 35,874 N/A - - 35,874
Non-Tax Revenue 436,182 N/A (15,700) (15,700) 420,482
Capital Receipts 2,000 N/A - - 2,000

Total Crown Revenue and Capital Receipts

474,056 N/A (15,700) (15,700) 458,356

Mapping the Layout of the 2013/14 Supplementary Estimates to the Layout of the 2013/14 Estimates

Supplementary Estimates Structure 2013/14 Estimates Structure 2013/14
Part # Part Name Part # Part Name
2.1 Departmental Output Expenses 2.1 Departmental Output Expenses
2.2 Departmental Other Expenses 5.1 Departmental Other Expenses
2.3 Departmental Capital Expenditure and Capital Injections 6.1 Departmental Capital Expenditure
3.1 Non-Departmental Output Expenses 2.2 Non-Departmental Output Expenses
3.2 Non-Departmental Benefits and Other Unrequited Expenses 3.2 Non-Departmental Benefits and Other Unrequited Expenses
3.3 Non-Departmental Borrowing Expenses 4.2 Non-Departmental Borrowing Expenses
3.4 Non-Departmental Other Expenses 5.2 Non-Departmental Other Expenses
3.5 Non-Departmental Capital Expenditure 6.2 Non-Departmental Capital Expenditure
4 Multi-Category Expenses and Capital Expenditure N/A Did not exist in the Estimates

Part 2 - Details of Departmental Appropriations#

2.1 - Departmental Output Expenses

Administration of Gas, Electricity and Energy Efficiency Regulations and related Acts (M28)

Scope of Appropriation

This appropriation is limited to the purchase of advice on administration and associated policy work, Ministerial servicing and decision support for the Minister in relation to, and the administration of the regimes for: gas and electricity safety; energy efficiency and conservation; the supply, quality and measurement of gas and electricity; and fuel quality monitoring.

Expenses and Revenue

  2013/14
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 5,680 (2,692) 2,988
Revenue from the Crown 249 (145) 104
Revenue from Others 5,502 (2,653) 2,849

Reasons for Change in Appropriation

This appropriation decreased by $2.692 million to $2.988 million for 2013/14. The decrease relates to a fiscally neutral adjustment to Vote Labour to assist with the establishment of the new Crown entity WorkSafe New Zealand.

Policy Advice - Energy and Resource Issues (M28)

Scope of Appropriation

This appropriation is limited to 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.

Expenses and Revenue

  2013/14
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 5,215 (1,400) 3,815
Revenue from the Crown 5,193 (1,400) 3,793
Revenue from Others 22 - 22

Reasons for Change in Appropriation

This appropriation decreased by $1.400 million to $3.815 million. This decrease is a result of fiscally neutral adjustments across votes and appropriations administered by MBIE to reflect the introduction of one cost allocation methodology following the establishment of MBIE and implementation of the organisation's management structure.

Part 3 - Details of Non-Departmental Appropriations#

3.1 - Non-Departmental Output Expenses

Management of IEA Oil Stocks (M28)

Scope of Appropriation

For the cost of managing and funding of oil stocks to meet International Energy Agency obligations.

Reasons for Change in Appropriation

This appropriation increased by $1.148 million to $6.333 million for 2013/14. The increase relates to a fiscally neutral adjustment from non-departmental output expense: Contestable Fund for the Deployment of Marine Devices multi-year appropriation, to allow New Zealand to meets its treaty obligation as a member of the International Energy Agency.

3.4 - Non-Departmental Other Expenses

Contestable Fund for Deployment of Marine Energy Devices (M28)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Contestable Fund for Deployment of Marine Energy Devices (M28)

This appropriation is limited to a contestable fund for marine energy generation and associated administration.

Commences: 01 July 2011

Expires: 30 June 2016
Original Appropriation 4,949
Adjustments to 2012/13 (2,852)
Adjustments for 2013/14 (1,148)
Adjusted Appropriation 949
Actual to 2012/13 Year End -
Estimated Actual for 2013/14 -
Estimated Actual for 2014/15 -
Estimated Appropriation Remaining 949

Reasons for Change in Appropriation

The $1.148 million adjustment reflects a transfer to non-departmental output expense: Management of IEA Oil Stocks appropriation to assist and allow New Zealand to meets its treaty obligation as a member of the International Energy Agency.

Crown Contribution to Pike River Recovery and Related Matters (M28)

Scope of Appropriation

This appropriation is limited to providing a Crown contribution towards the potential recovery of bodies in the Pike River Coal Mine and related matters.

Reasons for Change in Appropriation

This appropriation increased by $4.500 million to $7.500 million for 2013/14. The increase relates to transfers to meet the Government's commitment to Pike River families.