Portfolio Additional Estimates Statements 2015-16

Industry, Innovation and Science Portfolio

Explanations of Additional Estimates 2015-16

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President of the Senate Australian Senate Parliament House CANBERRA ACT 2600

Speaker

House of Representatives Parliament House CANBERRA ACT 2600

Dear Mr President Dear Mr Speaker

We hereby submit Portfolio Additional Estimates Statements in support of the 2015-16 Additional Estimates for the Industry, Innovation and Science Portfolio.

These statements have been developed, and are submitted to the Parliament, as a statement on the funding requirements being sought for the Portfolio.

We present these statements by virtue of our ministerial responsibility for accountability to the Parliament and, through it, the public.

Yours sincerely

Christopher Pyne Josh Frydenberg

ABBREVIATIONS AND CONVENTIONS

The following notations may be used: NEC/nec not elsewhere classified

- nil

.. not zero, but rounded to zero

na not applicable (unless otherwise specified) nfp not for publication

$m $ million

Figures in tables and in the text may be rounded. Figures in text are generally rounded to one decimal place, whereas figures in tables are generally rounded to the nearest thousand. Discrepancies in tables between totals and sums of components are due to rounding.

Enquiries

Should you have any enquiries regarding this publication please contact the Chief Financial Officer, Department of Industry, Innovation and Science on (02) 6213 6000.

Links to Portfolio Budget Statements (including Portfolio Additional Estimates Statements and Portfolio Supplementary Additional Estimates Statements) can be located on the Australian Government Budget website at www.budget.gov.au.

USER GUIDE TO THE

PORTFOLIO ADDITIONAL

ESTIMATE STATEMENTS

USER GUIDE

The purpose of the 2015-16 Portfolio Additional Estimates Statements (PAES), like that of the Portfolio Budget Statements (PB Statements), is to inform Senators and Members of Parliament of the proposed allocation of resources to Government outcomes by entities within the portfolio. The focus of the PAES differs from the PB Statements in one important aspect. While the PAES include an Entity Resource Statement to inform Parliament of the revised estimate of the total resources available to an entity, the focus of the PAES is on explaining the changes in resourcing by outcome(s) since the Budget. As such, the PAES provides information on new measures and their impact on the financial and/or non-financial planned performance of programmes supporting those outcomes.

The PAES facilitate understanding of the proposed appropriations in Appropriation Bills (Nos. 3 and 4) 2015-16. In this sense the PAES is declared by the Additional Estimates Appropriation Bills to be a ‘relevant document’ to the interpretation of the Bills according to section 15AB of the Acts Interpretation Act 1901.

Whereas the Mid-Year Economic and Fiscal Outlook (MYEFO) 2015-16 is a mid-year budget report which provides updated information to allow the assessment of the Government’s fiscal performance against its fiscal strategy, the PAES update the most recent budget appropriations for entities within the portfolio.

User Guide

Structure of the Portfolio Additional Estimates Statements

The PAES are presented in three parts with subsections.

User guide
Provides a brief introduction explaining the purpose of the PAES.
Portfolio overview
Provides an overview of the portfolio, including a chart that outlines the outcomes for entities in the portfolio.
Entity Additional Estimates Statements
A statement (under the name of the entity) for each entity affected by Additional Estimates.
Section 1: Entity overview and resources / This section details the changes in total resources available to an entity, the impact of any measures since Budget, and impact of Appropriation Bills Nos. 3 and 4.
Section 2: revisions to outcomes and planned performance / This section details changes to Government outcomes and/or
changes to the planned performance of entity programmes.
Section 3: Explanatory tables and budgeted financial statements / This section contains updated explanatory tables on special account flows and staffing levels and revisions to the budgeted financial statements.

CONTENTS

Portfolio overview 3

Department of Industry, Innovation and Science 9

Commonwealth Scientific and Industrial Research Organisation 53

PORTFOLIO OVERVIEW

The Industry, Innovation and Science portfolio was established by the 21 and 30 September 2015 Administrative Arrangements Orders.

The structure of the new portfolio is set out on the following page. It incorporates elements of the former Industry and Science portfolio as well as responsibility for Northern Australia policy and coordination and national issues relating to the digital economy.

Portfolio Overview

Figure 1: Industry, Innovation and Science portfolio structure

Portfolio Overview

Portfolio resources

Table 1 shows those entities reporting in the PAES and the additional resources provided to the portfolio in the 2015-16 budget year, by entity.

Table 1: Portfolio Resources (2015-16 Additional Estimates)

Appropriation

Bill No. 3

($m)

Appropriation

Bill No. 4

($m)

Special appropriation

($m)

Receipts

($m)

Total ($m)

Department of Industry, Innovation and Science
Administered appropriations / 24.851 / - / 38.562 / 4.094 / 67.507
Departmental appropriations / - / 2.857 / - / - / 2.857
Total: / 70.364
Commonwealth Scientific and Industrial Research Organisation
Administered appropriations Departmental appropriations / - 0.600 / - - -
- - 0.194 / - 0.794
Total: / 0.794
Portfolio total / 71.158

Additional resources available within portfolio:

71.158

ENTITY ADDITIONAL ESTIMATES STATEMENTS

Department of Industry, Innovation and Science 9

Commonwealth Scientific and Industrial Research Organisation 53

DEPARTMENT OF INDUSTRY, INNOVATION AND SCIENCE

Section 1: Entity overview and resources 11

1.1 Strategic direction statement 11

1.2 Entity resource statement 11

1.3 Entity measures 15

1.4 Additional estimates and variations 18

1.5 Breakdown of additional estimates by appropriation bill 22

Section 2: Revisions to outcomes and planned performance 23

2.1 Outcomes and performance information 23

Section 3: Explanatory tables and budgeted financial statements 33

3.1 Explanatory tables 33

3.2 Budgeted financial statements 35

DEPARTMENT OF INDUSTRY, INNOVATION AND SCIENCE

Section 1: Entity overview and resources

1.1 STRATEGIC DIRECTION STATEMENT

The Industry, Innovation and Science Portfolio was established by the Administrative Arrangements Orders of 21 and 30 September 2015. In addition to the strategic priorities identified in the 2015-16 Industry Portfolio Budget Statements, the department will also be leading the delivery of the Government’s National Innovation and Science Agenda.

Innovation and science are at the heart of the Government’s economic plan, and through the Agenda, the Government will invest $1.1 billion to incentivise innovation and entrepreneurship, reward risk taking, and promote science, maths and computing in schools to drive the smart ideas that create business growth, local jobs and global success.

The department also has a key role in delivering on the initiatives announced in the Government’s Our North, Our Future: White Paper on Developing Northern Australia, including through the establishment of the Northern Australia Infrastructure Facility and the new headquarters for the Office of Northern Australia.

In addition to implementing the policies contained in these packages, the department will continue to focus on the Entrepreneurs’ Programme, Growth Centres, Cooperative Research Centres, helping businesses transition and offering streamlined programme delivery and service delivery arrangements, reflecting the department’s key role in transitioning industry and business to the new economy.

1.2 ENTITY RESOURCE STATEMENT

The Entity Resource Statement details the resourcing for the Department of Industry, Innovation and Science at Additional Estimates. Table 1.1 outlines the total resourcing available from all sources for the 2015-16 Budget year, including variations through Appropriation Bill No. 3 and No. 4, special appropriations and special accounts.

Entity Additional Estimates Statements — DIIS

Table 1.1: Industry, Innovation and Science resource statement — Additional Estimates for 2015-16 as at Additional Estimates February 2016

Ordinary annual services / Actual available / Estimate as at / Proposed / Total estimate
appropriation / Budget / Additional / at Additional
2014-15 / 2015-16 / Estimate / Estimates
$'000 / $'000 / 2015-16 / 2015-16
$'000 / $'000
149,105 / 79,227 / - / 79,227
Departmental appropriation
Prior year departmental appropriation1
Departmental appropriation2,3 / 502,483 / 428,096 / 281 / 428,377
s74 Retained Revenue Receipts4 / 60,996 / 56,276 / 10,838 / 67,114
Total / 712,584 / 563,599 / 11,119 / 574,718
Administered expenses / 1,581,959 / 823,273 / (155,137) / 668,136
Outcome 1
Payments to corporate entities5 / 1,222,164 / 946,864 / 600 / 947,464
Total / 2,804,123 / 1,770,137 / (154,537) / 1,615,600
Total ordinary annual services [A] / 3,516,707 / 2,333,736 / (143,418) / 2,190,318
Other services / 54,099 / 41,562 / - / 41,562
Departmental non-operating
Prior year departmental equity1
Equity injections / 12,514 / 32,512 / 2,857 / 35,369
Total / 66,613 / 74,074 / 2,857 / 76,931
Administered non-operating / 49,607 / 24,177 / - / 24,177
Prior year appropriations1
Administered assets and liabilities / - / 30,938 / - / 30,938
Payments to corporate entities - non-operating / 96,439 / 35,916 / - / 35,916
Total / 146,046 / 91,031 / - / 91,031
Total other services [B] / 212,659 / 165,105 / 2,857 / 167,962
Total available annual appropriations / 3,729,366 / 2,498,841 / (140,561) / 2,358,280
Special appropriations / - / 60 / - / 60
Special appropriations limited by
criteria/entitlement
Offshore Minerals Act 1994 (Fees)
Public Governance, Performance and / 3,448 / - / - / -
Accountability Act 2013 - s77
Trade Support Loans Act 2014 - s104 / 22,049 / - / - / -
Appropriation

Entity Additional Estimates Statements — DIIS

Table 1.1: Industry, Innovation and Science Resource Statement — Additional Estimates for 2015-16 as at Additional Estimates February 2016 (continued)

Special appropriations limited by amount
Australian Renewable Energy Agency Act 2011 6
Automotive Transformation Scheme Act 2009 Offshore Petroleum
and Greenhouse Gas Storage Act 2006
- s682(6) payments to NOPSEMA Textile, Clothing and Footwear Investment and Innovation Programs Act 1999
Total special appropriations [C]
Total appropriations excluding Special Accounts Special Accounts7
Opening balance
Appropriation Receipts
Non-appropriation receipts to Special Accounts
Total Special Account [D] Total resourcing [A+B+C+D]
Less appropriations drawn from annual or special appropriations above and credited to special accounts
and/or payments to corporate entities through annual
or special appropriations
Total net resourcing for Industry, Innovation and Science / Actual available / Estimate as at / Proposed / Total estimate
appropriation / Budget / Additional / at Additional
2014-15 / 2015-16 / Estimate / Estimates
$'000 / $'000 / 2015-16 / 2015-16
$'000 / $'000
244,493 / - / 14,671 / 14,671
251,757 / 227,624 / - / 227,624
36,193 / 37,869 / - / 37,869
24,251 / - / 23,891 / 23,891
582,191 / 265,553 / 38,562 / 304,115
4,311,557 / 2,764,394 / (101,999) / 2,662,395
226,913 / 180,834 / 62,106 / 242,940
36,833 / 91,835 / - / 91,835
45,259 / 39,501 / (6,305) / 33,196
309,005 / 312,170 / 55,801 / 367,971
4,620,562 / 3,076,564 / (46,198) / 3,030,366
(36,833) / (91,835) / - / (91,835)
(1,318,603) / (982,780) / (600) / (983,380)
3,265,126 / 2,001,949 / (46,798) / 1,955,151

1Actual adjusted balance carried from previous year for annual and equity appropriations.

2Includes an amount of $27.838 million in 2014-15 and $28.469 million in 2015-16 for the Departmental Capital Budget.

3The resourcing figures include amounts transferred to and from other agencies as a result of the 21 and

30 September 2015 Administrative Arrangements Orders. Refer to Table 1.4 for further details.

4Estimated retained revenue receipts under section 74 of the Public Governance, Performance and Accountability (PGPA) Act 2013.