Determination of the State/Territory Fisheries Gross Value of Production (GVP) for 2017-18

Overview

The Primary Industries Research and Development Act 1989 was enacted to facilitate research and development in primary industries, including fisheries, and was designed to address the need for coordinated funding and research efforts in these sectors. The Fisheries Research and Development Corporation Regulations 1991 further detail the administration of funding for fisheries research, aligning with the objectives of the primary Act. This legislation mandates that funding to the Fisheries Research and Development Corporation be based on the Gross Value of Production (GVP) of each state or territory's fishing industry, as determined by the Minister for Agriculture and Water Resources under subsection 30A(2) of the Act. The determination of GVP for 2017-18, as set out in the accompanying Schedule, follows the statutory requirement that it be the average of the GVP for the relevant and the two preceding financial years, with estimates provided by the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES). This systematic approach ensures that funding allocations are both fair and reflective of the economic contribution of each state or territory's fishing industry.

Scope and Application

The Primary Industries Research and Development Act 1989, in conjunction with the Fisheries Research and Development Corporation Regulations 1991, pertains to the determination of the Gross Value of Production (GVP) for each Australian state and territory's fishing industry. This legislation applies to the fishing industry, specifically the produce managed by or on behalf of the particular state or territory. The Act sets the framework for calculating the GVP of each jurisdiction's fishing industry, which in turn determines the amount paid to the Fisheries Research and Development Corporation from the Consolidated Revenue Fund. The geographic reach of this legislation is national, applying to all states and territories of Australia. The GVP for 2017–18 is determined by averaging the GVP of the relevant and the two preceding financial years, as provided under subsection 30A(5) of the Act and Regulation 4E of the Regulations. Notably, the GVP for South Australia excludes input from the Commonwealth-managed southern bluefin tuna fishery. The figures for the financial year 2017–18 were estimated by the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) and were used to determine the GVP for each state and territory.

Key Provisions

The Primary Industries Research and Development Act 1989, along with the Fisheries Research and Development Corporation Regulations 1991, establish the framework for determining the Gross Value of Production (GVP) for state and territory fisheries for any given financial year. Under subsection 30A(2) of the Act, the Minister for Agriculture and Water Resources is mandated to determine the GVP for each state and territory based on the produce of the fishing industry. This determination process takes into account the average GVP over the relevant financial year and the two preceding years (subsections 30A(2) and (3)). The determination made in this instance applies to the financial year 2017–18, as outlined in the Schedule. The Act and the Regulations impose several obligations on the Minister. These include the responsibility to base the GVP determination on the estimates provided by the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES). The Minister must ensure that the figures used for the calculation reflect the produce of the fishing industry managed by or on behalf of the respective state or territory. Additionally, the Minister must exclude any input from Commonwealth-managed fisheries, as highlighted in the case of South Australia’s southern bluefin tuna fishery. The Minister’s role is to ensure that the determination process is transparent, accurate, and based on the most reliable data available. In terms of consequences for non-compliance or breaches of the requirements set out in the Act and the Regulations, the document does not explicitly detail specific offences, penalties, or consequences. However, it is understood that the determination of GVP is a critical component for the allocation of funds from the Consolidated Revenue Fund to the Fisheries Research and Development Corporation. Failure to comply with the statutory obligations could potentially lead to disputes or legal challenges regarding the allocation of funds. It is advisable for the Minister and relevant stakeholders to adhere strictly to the procedures and requirements outlined in the Act and Regulations to avoid any legal complications or financial discrepancies. Given the importance of the GVP determination in funding allocations, the Minister’s determination must be precise and well-supported by data from ABARES. Any inaccuracies or discrepancies in the GVP figures could have significant implications for the funding distribution process, potentially leading to disputes among the states and territories. The Minister must therefore ensure rigorous scrutiny and verification of the data used in making these determinations.