Primary Industries Research and Development Act 1989
Fisheries Research and Development Corporation Regulations 1991
DETERMINATION OF THE COMMONWEALTH FISHERIES GROSS VALUE OF PRODUCTION (GVP) FOR 2016–17
Pursuant to subsection 30A(2) of the Primary Industries Research and Development Act 1989 and Regulation 4D of the Fisheries Research and Development Corporation Regulations 1991, I, Ian Thompson, First Assistant Secretary, Sustainable Agriculture, Fisheries and Forestry Division, being an officer authorised for this purpose by the instrument of delegation approved on 22 July 2014 by the then Minister for Agriculture, hereby determine that the Commonwealth Gross Value of Production (GVP) for the financial year 2016–17, being the GVP for that financial year of goods that are the produce of that part of the fishing industry that is managed by, on behalf of, or pays levies directly to the Commonwealth, is $468,941,000.
Dated this 29th day of May 2017
Ian Thompson
EXPLANATORY STATEMENT
Primary Industries Research and Development Act 1989
Fisheries Research and Development Corporation Regulations 1991
DETERMINATION OF THE COMMONWEALTH FISHERIES GROSS VALUE OF PRODUCTION (GVP) FOR 2016–17
Under subsection 30A(2) and (3) of the Primary Industries Research and Development Act 1989, the amount paid to the Fisheries Research and Development Corporation from the Consolidated Revenue Fund shall be based on the Gross Value of Production (GVP) of the Commonwealth fishing industry.
Subsection 30A(5) of the Primary Industries Research and Development Act 1989 and 4D of the Fisheries Research and Development Corporation Regulations 1991 provides for the Commonwealth GVP in a given year to be an average of the GVP for the relevant and the two preceding financial years. The authority to determine the Commonwealth GVP has been delegated to the First Assistant Secretary of the Sustainable Agriculture, Fisheries and Forestry Division of the Department of Agriculture and Water Resources.
The Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) has estimated, to the nearest thousand dollars, the GVP of the Commonwealth managed fisheries in the financial years 2014–15, 2015–16 and
2016-17. These estimates are:
Commonwealth fisheries | 2014–15 ($’000) | 2015–16 ($’000) | 2016–17 ($’000) |
ABARES data | 436,564 | 523,527 | 446,732 |
The rounded average of the above is $468,941,000.
On the basis of the above calculation, the Commonwealth GVP for 2016–17 is determined to be $468,941,000.
Overview
The Primary Industries Research and Development Act 1989 was enacted to provide for research, development and extension in the primary industries of Australia, with a view to improving productivity and efficiency. The Fisheries Research and Development Corporation Regulations 1991 were made under this Act to provide for the administration of the Fisheries Research and Development Levy and the Fisheries Research and Development Fund. The problem or gap addressed by this legislation is the need for adequate funding for research and development in the fisheries industry, which is a critical component of Australia's primary industries. The policy objective of this legislation is to ensure that the Fisheries Research and Development Corporation has sufficient funds to carry out its mandate of promoting sustainable fisheries management and development. The authority to determine the Commonwealth Gross Value of Production (GVP) for the fishing industry, which is used to calculate the amount paid to the Corporation, has been delegated to the First Assistant Secretary of the Sustainable Agriculture, Fisheries and Forestry Division of the Department of Agriculture and Water Resources.
Scope and Application
The Primary Industries Research and Development Act 1989, along with the Fisheries Research and Development Corporation Regulations 1991, pertains to the management and funding of research and development within Australia's primary industries, specifically the fisheries sector. This legislation applies to entities involved in the fishing industry that are managed by, on behalf of, or pay levies directly to the Commonwealth. The Act mandates that funding to the Fisheries Research and Development Corporation be contingent on the Gross Value of Production (GVP) of the Commonwealth fishing industry. The geographic reach of this legislation is national, as it governs the allocation of Commonwealth funds based on the production value across all fisheries under federal management. The determination of the GVP is calculated as an average of the GVP figures from the relevant year and the two preceding years, as stipulated in the Act and Regulations. Any exclusions or exemptions are not explicitly mentioned in the provided text, and the application of this Act may be extended or restricted through subordinate instruments such as the delegation of authority to determine the GVP, which in this instance has been granted to the First Assistant Secretary of the Sustainable Agriculture, Fisheries and Forestry Division.
Key Provisions
The Primary Industries Research and Development Act 1989, specifically section 30A(2), outlines that payments to the Fisheries Research and Development Corporation from the Consolidated Revenue Fund are to be determined by the Gross Value of Production (GVP) of the Commonwealth fishing industry. Regulation 4D of the Fisheries Research and Development Corporation Regulations 1991 further supports this by stating that the Commonwealth GVP for a given financial year is to be calculated as an average of the GVP for that year and the two preceding years. This determination is made by an authorised officer, in this instance, the First Assistant Secretary of the Sustainable Agriculture, Fisheries and Forestry Division of the Department of Agriculture and Water Resources, as per the delegation approved by the Minister for Agriculture on 22 July 2014.
The obligations imposed by the Act and the Regulations include the requirement for the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) to estimate the GVP of Commonwealth managed fisheries for the relevant financial years to the nearest thousand dollars. The First Assistant Secretary must then use these estimates to calculate the Commonwealth GVP, which is to be an average of the GVPs for the current and two preceding years. This calculated average must then be rounded to the nearest thousand dollars and officially determined as the Commonwealth GVP for the financial year in question.
Failing to adhere to the provisions of the Act and the Regulations could result in consequences, though the specific offences, penalties, or consequences for breach are not detailed within the text provided. However, the importance of accurate and timely reporting and calculation, as mandated by the Act, suggests that non-compliance could potentially lead to financial discrepancies or disputes regarding the funding allocation to the Fisheries Research and Development Corporation. The maximum penalties for such breaches are not explicitly stated in the provided text, but they could be inferred from related legislation or regulations pertaining to similar administrative and financial compliance matters.